XeroMobile
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ROK's acquisition of Xero officially now a vapor-acquisition
We certainly can't give Xero Mobile credit for launching any actual product -- because they haven't -- but we're all about giving credit where credit is due, and in Xero's case, we've gotta hand it to 'em for continuing the magnificent vaporware parade for as long as they have. It's now been nearly 14 months since the ad revenue-supported MVNO had originally claimed to be targeting a launch, and as far as we can tell, they're still doing something behind the scenes; that "something" may have absolutely nothing to do with actually launching, but hey, announcing partnerships and potential acquisitions must pay the bills, we suppose. Speaking of potential acquisitions, suitor ROK Entertainment has unceremoniously dropped its bid this week without giving any rhyme or reason, leading us to wonder where this leaves Xero's liquidity -- do they have enough money to continue trying to sell themselves, let alone launch an MVNO?
Xero Mobile in yet another round of acquisition talks
The fact that former Gizmondo peeps are still associated with the vaporware artists at Xero Mobile would send most would-be investors sprinting in the opposite direction, we'd think, but what do we know? After announcing a series of stock swaps, partnerships with companies we've never heard of (whose execs just happen to be on Xero's management team), and failed buyouts, ROK Entertainment Group -- which offers video downloads to phones, apparently -- has inexplicably announced an interest in acquiring the perpetual hype machine. If we had to guess, we'd figure that there's some sort of shady business deal going on behind the scenes that lets parties involved make yet another obscene profit without actually launching any actual product, but we've gotta ask: just how many times can the same team of scam artists run the same con and continue to pad their wallets without getting busted? All we need to see, Xero, is a functional website where we can sign up for one of your ad revenue-subsidized plans you've been touting for ages, and we'll start to believe. Honest!
Blyk: another MVNO enters the ads-for-minutes fold
We're not entirely sure what chemical they've put in the water in the past couple years to make everyone suddenly think that cellphone users want to get blasted with ads in exchange for airtime -- but alas, please welcome Blyk (not to be confused with "bilk") to the party. The upstart Finnish MVNO, put together by an ex-Nokia exec, looks to target young Europeans aged 16 to 24 as soon as next summer by hooking them up with questionnaires that will allow advertisers to send ultra-targeted ads based on lifestyle, hobbies, and preferences. Blyk claims that most handsets already on the market will be compatible with its service -- even those without graphical displays -- suggesting that most ads will initially fly over SMS. The company is making a big stink over the fact that they're the first to suggest that this is a good idea; we think Xero Mobile would beg to differ, but that's one chicken we won't be counting 'til it hatches.[Via Smart Mobs]
Eriksson case ends in mistrial; jurors likely bribed with Gizmondos
In yet another sign that maybe this whole "trial by jury" thing isn't all it's cracked up to be, jurors in the grand theft auto case against former Gizmondo Europe director and current jailbird Bo Stefan Eriksson were unable to come to a unanimous decision regarding his guilt or, ahem, innocence, resulting in a mistrial. Although ten members of the Los Angeles panel felt that Eriksson did indeed steal a Ferrari and a Mercedes imported from England, two of the jurors apparently bought the defense's rather lame excuse that the one-time mobster only stopped making payments because his sham of a company finally disintegrated. Luckily for fans of justice and fast cars, prosecutors have already stated that they are planning to retry Eriksson for the same crimes, not to mention the weapons charges that the slippery Swede still has hanging over his head. At this point it's not clear why those two jurors chose to remain so steadfast in their convictions, although it's somewhat telling that they were spotted skipping around the courthouse halls after the trial was over, clutching unsold Gizmondos in one hand and hundreds of shares of nearly worthless Xero Mobile stock in the other.[Via BoingBoing]
Xero Mobile begins limited trial testing
Everybody read that Wired profile of Stefan Eriksson, right? Or all our coverage of Eriksson, Gizmondo, and the company that formed (and reverse-merged with Desi TV) in its wake -- Xero Mobile? Well, there should be enough links there to keep you entertained for a little while, but once you're up to speed you might find it interesting to know that Xero's actually about to begin its ever-crucial testing phase in anticipation of commercial launch in 2007. We're watching you, Xero, and not necessarily in the watch-ads-get-airtime sense you'd probably prefer.
Xero allegedly in talks to sell company
In an announcement that (as far as we can tell) brings them no closer to having an actual -- what's the word we're looking for? -- product, would-be MVNO Xero Mobile is saying that they've "entered into discussions" to be bought out by a management company. To refresh everyone's memory, Xero is that fabulous group of ex-Gizmondo employees looking to adapt the oh-so-successful Gizmondo business model to mobile phones, apparently with the goal of providing free phone service to college students. Xero CEO du jour Roger Davis says "We're excited about the opportunity to work with the new team," which we think is execu-speak for "We're excited to watch this press release marginally boost our share price, dump our holdings, and forget this whole thing ever happened," but we suppose we can't really be sure until that magic January 2007 date when Xero claims they'll be launching.[Via Techdirt]Update: RCR News indicates that the sale is now a done deal. A new operation going by "Advanced Mobile" has apparently completed a stock swap with Xero, though exact terms of the deal weren't disclosed. What's not immediately clear is whether Xero's existing executive team of ex-Gizmondo whiz kids will find their way to Advanced Mobile or whether the January '07 launch is still on, but we imagine we'll get hit up with some press releases from these folks before too long.
SEC to begin probe into Xero Mobile
Well, you can imagine the surprise we're all feeling over here at Engadget HQ at the news of Xero Mobile -- the MVNO started by former Gizmondo execs -- getting calls from the US Securities and Exchange Commission regarding their "conducting an informal inquiry relating to certain aspects of the company's business." For example, how they intend to pay back all those investors after a track record of pump and dump business scams? Something like that? Apparently Xero feigned innocence, shrugging off the initial inquiry, stating they are "unaware of the reason for the request," but apparently are preparing to cooperate voluntarily even though no formal investigation has begun. Oh sure, we have to give them credit for opening themselves up to SEC queries even though they're not yet formally indicted, but you'll have to forgive us if we're just a little skeptical about these guys, even when they claim to be showing their hand.
Xero Mobile to license ad system
As our mamas used to tell us, "fool me once, shame on you; fool me twice, shame on me." Those are wise words right now for any company, investor, or individual with an interest in Xero Mobile, brought to you by some of the same winners that brought you Gizmondo. We'd assumed these folks would've folded by now, but Xero claims to be on target for a January 2007 launch of their free, ad-based MVNO for college students (sound familiar?). In the meantime, they've gotta make an honest buck somehow, so they've begun licensing their nonexistent service to foreign companies with "expressions of interest" in launching Xero in their local markets. We hope this madness comes to an end before the world has to witness another work of art needlessly destroyed by crooked execs, but even in the unlikely event Xero makes it to see 2007, at least Virgin is a step ahead on the business model.
Phalanx of 34 new MVNOs on the way
If you haven't found an MVNO to suit your taste among the 213 now in operation worldwide, just wait a bit, 'cause it looks there's another 34 ready to launch soon, according to MVNODirectory.com. Among the new offerings include an MVNO from Ireland's Eircom, who decided to settle for MVNO after being turned downed for a spectrum license, as well as a couple that we've heard about already; Xero Mobile, for one, which hopes to snag some of that bored-but-poor student market (of course there's already at least one other MVNO targeting the same market), and Virgin Mobile, who are continuing to expand since being the first to launch an MVNO way back in 1999 -- they're poised to move into China and India next. If things keep going at this rate, there'll as many MVNOs as there were over-hyped, profitless dotcomsback in the day, and we all know how well that worked out.[Via The Wireless Report]
Watch out: Xero merges, now a publicly traded company
Well wouldn't you know it, the same people behind Gizmondo who're now behind Xero Mobile (those that aren't in jail, anyway) have found a way to bypass an IPO in getting Xero as a publicly traded company. Basically they merged with Desi TV, a publicly traded company (that couldn't dig up even a little info on), swapped the ticker symbol to XRMB, and started trading on the Over-The-Counter Bulletin Board securities market. Oh, did we mention the first thing they did with their stock was split it 25-to-1? 25 to freaking 1, man! Peter Lilley, CEO of Xero Mobile (and former head of Gizmondo's Smart Adds division) seemed pretty stoked about "implementing [their] ground-breaking business plan." Uh, would that be the same business plan that sunk his former game company and lost a half a billion dollars? Right, dude. Investors beware; remember those who learned a hard lesson about that fateful UK-based game company that seemed eager to cash in on VCs and work a pump n' dump stock scam on all y'all.
