Martin Cooper, generally recognized as inventor of the cell phone, holds up an old-fashioned model. His wife, Arlene Harris, chief executive of Del-Mar based GreatCall, displays one of the company's Jitterbug phones. GreatCall hopes the simplified Jitterbug phones will be popular with older people who want just a phone. Harris and Cooper are co-founders of the company. <br><small><B>Associated Press </B></small> <br> <hr width="250">
DEL MAR -- Some folks don't want a computer in their pocket. They want just a phone. And they don't necessarily want to use it that much.
These are the ideal customers for Del Mar-based GreatCall, maker of simplified cell phones called the Jitterbug that strip out the fancy features other cell phone carriers flaunt. GreatCalll's target market is the elderly, who often find cell phones too complicated. They're the market least-served by most cell phone companies, who target big-spending, younger, hip, tech-loving customers.
The "just a phone" Jitterbug went on sale last week at CVS stores in North County and throughout Southern California. It's been available from the fledgling company since November, with orders taken by phone or on the Web at http://www.jitterbug.com.
GreatCall's least expensive plan runs just $10 a month, with calls costing 35 cents a minute. That's less than other carriers' plans, which generally start around $30 monthly. Those who rarely use cell phones may save money with such a plan.
The Jitterbug comes in two models, both made by Samsung. They feature large, easy-on-the-eyes buttons, letters and numbers. The Jitterbug Dial has a dial pad. The Jitterbug OneTouch, intended mainly for emergency use, has three buttons that dial preprogrammed numbers, labeled "home," "operator" and "emergency." Both cost $147.
However, Vince Andrews of the Utility Consumers Action Network in San Diego, said the cost of the phone and service plans make Jitterbug "one of the least economically attractive" options.
"That being said, they do offer the most user-friendly phone for their target market," Andrews wrote in an e-mail.
Despite its unorthodox strategy of appealing to those who really don't like cell phones, the company says it has received much encouraging news this year. Independent reviewers, including Wall Street Journal personal technology columnist Walt Mossberg, have given the Jitterbug a thumbs-up. Influential telecommunications analyst Andrew Seybold named GreatCall best new wireless company earlier this year.
Competition for the once-neglected senior market is heating up. On Sept. 4, Verizon Wireless introduced a series of America's Choice 65 Plus calling plans for those 65 and older. The least expensive plan offers 200 minutes for $30 a month. Verizon requires age verification to get the plan, however. GreatCall does not.
Jitterbug service is available nationwide in nearly all parts of the United States, including Alaska and Hawaii, says company chief executive Arlene Harris. Her partner in the venture and husband is Martin Cooper, widely acknowledged as the father of the cell phone. Harris herself has a reputation among technology experts: In May she was inducted into the RCR Wireless Hall of Fame.
"We're starting to put inventory in retail stores so people can actually see the phones and feel the phones and see how they're different," Harris said.
Works like a land line
Jitterbug phones, which have been advertised on TV and in AARP Magazine, are designed to work as much like a land line phone as possible, Harris said. Open the clamshell phone and you get a dial tone. Closing the phone hangs it up. And the pricing is as predictable as possible, Harris said. However, differences in cell phone taxes throughout the country mean the bill will vary slightly.
Both models use "yes" and "no" buttons instead of "send" and "end." Their screens display a prompt to guide users in selecting the correct choice. Dialing the operator connects the user to a GreatCall operator who can complete a call to those on a preselected list -- much like the old-fashioned telephone operators who now exist only in memory. The list can be updated by the subscriber or someone designated by the subscriber on the Web at http://www.jitterbug.com or by fax.
Jitterbug subscriber Steve Farrell of Solana Beach says that at "84 and a half," he doesn't consider himself old nor a technophobe. Farrell, a friend of Harris, said he's used many models of cell phones for years, and appreciates a cell phone that doesn't include features that add needless complexity.
"I don't do a lot of talking on the telephone," said Farrell.
Quick calling
Farrell said that when he does use a cell phone, he likes to make calls quickly, without rummaging through a lot of options he'll never use.
GreatCall offers six monthly plans and a yearly plan. Subscribers on any plan can add minutes, paying less per minute the more minutes they buy. GreatCall's yearly plan costs $120 per year. The six monthly plans go up from $10, with calls costing 35 cents per minute to $80 a month with 800 minutes included in the price. Minutes that are included in a plan, but not used, carry over for 90 days.
Part of that user-friendliness is the banishment of "roaming," the costly bane of conventional cell phone carriers. The Jitterbug automatically connects to one of more than 30 preselected carriers who resell minutes to GreatCall. These carriers use the CDMA technology developed by San Diego's Qualcomm Inc. It doesn't matter to the subscriber which company is actually providing the connection, Harris said.
Telecommunications analyst Jane Zweig said GreatCall will have to watch costs carefully to make its model a success.
"They have identified a great niche. The question is, will it be a profitable niche?" said Zweig, chief executive of The Shosteck Group, a consulting firm based in Columbia, Md.
Founded last year, GreatCall raised $36 million in August from private investors. It is still tiny compared to the big carriers.
A North County Times article in November quoted a GreatCall official who said 10,000 Jitterbug phones had been sold. A company spokeswoman said Tuesday that "tens of thousands" of customers have been signed up to date. The company declined to give a precise number, stating that the information is proprietary.
Contact staff writer Bradley J. Fikes at (760) 739-6641 or bfikes@nctimes.com.
Jitterbug cell phones are available at these CVS stores in North County:
CARLSBAD: 2510 El Camino Real (760) 729-4073.
ESCONDIDO: 318 West El Norte Parkway (760) 484-5109
ENCINITAS: 455 Encinitas Blvd. (760) 436-8065
RANCHO BERNARDO: 16773 Bernardo Center Drive (858) 451-1530
Posted in Business on Friday, September 21, 2007 12:00 am Updated: 1:51 pm.
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