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Serious contender for Handango and motricity appeared ?
November 10, 2005 [General] | By Edward J. R.

Not really.

Handango (the biggest online software shop) and motricity (i.e. PocketGear.com/Smartphone.net) are dominating the Windows Mobile software shop market. However not only they are ripping off developers badly by taking away 50% and more money, that end customers are paying, but also they practically constitute duopoly where amount of rip off and conditions for developers and end users are pretty much similar.

New competitor emerged today but is it just "nothing new under new name" without any power of breakthrough or is it really true breakthrough that will bring more money to developers (80% instead of 50%) and more payment possibilities to customers (including PayPal)? First reaction from the duopoly was: "we are not impressed", but should developers and end customers be impressed? Read on!

Paul O'Brien - a Microsoft MVP, who runs one of the biggest Windows Mobile smartphone community sites - MoDaCo (= Mobile Data Community) - announced today proudly that "MoDaCo FairDeal" has been announced. At first glance it looks like quite new offering and it is available at modaco.com Internet domain name - http://fairdeal.modaco.com/ but looking closer one can notice that this offering is nothing new but just MoDaCo branded http://www.mobihand.com offering:

MoDaCo FairDeal is different. To start with, an industry leading 80% of sales revenues are paid to the developer. IMHO that's a fantastic achievement in itself. But that's not all... MoDaCo FairDeal has a fantastic team at our partners MobiHand (who have created the store for us)

Looking further into details one can notice also that "PayPal payments [are] under development" - so not ready yet. At the end of the day the only interesting point of this online store is the 80% of money that should go to developers - instead of 60% to 50% in case of duopoly.

Please note also that putting affiliated online software shop under the domain of other site is nothing technically difficult or impossible as one can observe on this example: http://shop.my-symbian.com - an affiliate shop of Handango under other domain name than handango.com !

Conclusion: we are very happy that developers are getting even more publicity for distribution channel that brings them 80% of money instead of 50%, but one should not forget that the total size of the given distribution channel is this, what is the most important! If a developer will sell only 44 programs and get out of it 80%, it still will be much less, than if he would sell 4400 programs and get out of it 50% of money, that end customers are paying.

To learn more about the new contender for duopoly click here - you can even participate in the discussion online!

As far as developers are concerned we recommend to "put eggs into all baskets" or in other words: to offer software from all possible online shops...


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