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O2 aims for revenue sharing apps starting with eBay

by Sarah Griffiths on 16 February 2011, 12:11

Tags: O2/Telefonica (NYSE:TEF)

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Shopaholics

O2 is rolling out a revenue sharing app model designed to give companies a way to reach up to 22 million UK-based O2 customers via preloaded apps and a portable ‘app folder' as well as to make some cash for itself too.

O2 announced it will pre-install eBay apps on most of its UK smartphones and mid-market devices that will launch this summer.

According to Marketing Week, the telecoms firm will pocket a cut of any transactions made via the prepaid app and is now looking to ink more deals with other brands that match its customer demographic.

eBay generated almost $2bn of mobile sales in 2010 and that amount is expected to double this year. Interestingly, the UK has been the biggest adopter of m-commerce, with more Brits using eBay's app than any of their European neighbours.

O2 said it will install a folder on its handsets to hold the preloaded apps and let customers download more too. Handily, when customers upgrade their phones, they will be able to take the folder with them, even to an app-enabled TV. O2 is also reportedly rolling out its own app store.

Glyn Povah, head of content at O2 apparently said: "My main objective is to get brands that customers know and love in front of them. We will work with brands to drive value, through preloaded apps or in the app store folder so that access for customers is easy."

He added: "Deals like this are great for customers and great for brands. They allow us to bring our customers best-of-breed content and services from the brands they know and love, while also helping brands get stand out in the increasingly cluttered app marketplace."


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HEXUS Forums :: 5 Comments

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Oh great, so bloatware will no longer be confined to off-the-shelf PCs and laptops, etc. we'll also get it on our phones too.
pauldarkside
Oh great, so bloatware will no longer be confined to off-the-shelf PCs and laptops, etc. we'll also get it on our phones too.

Unfortunately its already too late. My SE X10 came with a sat nav app that takes 10Mb is only a 30 day trial and cannot be uninstalled. Also the facebook/twitter SE app timescape was horrendous to use compared to official apps and again can't be uninstalled and very difficult to disable. I really hope its possible to remove all this crud in the future without rooting - At least on a PC the uninstall works (or at least format and reinstall does).
Indeed, I was most miffed to discover apps preinstalled by Three on my phone that required me to pay for to use and wouldn't let me uninstall them. Not a whole lot I can do about them though except ignore them, I haven't been bothered to look into the rooting option.
Not a problem if you have an iPhone - Apple are unlikely ever to allow this to happen :)
Mattus
Not a problem if you have an iPhone - Apple are unlikely ever to allow this to happen :)

Apple would probably want their 30% cut first :mrgreen: