Monday, November 8, 2010
Voice over Internet Protocol (VoIP) innovated and revolutionized communication services using the internet (Arnold, 2004). People utilize VoIP as a conventional telephone to place and receive domestic or international calls (Arnold, 2004). Organizations use VoIP services to facilitate web conferences, phone calls, faxes, voicemails and emails.
Skype utilizes VoIP on a large scale. Users have the option of accessing instant messages, documents and picture transmissions. However among the most noted features is the capability of video conferencing up to 25 users at the same time. Researchers from TeleGeography showed that Skype-to-Skype calls (or free “peer-to-peer” services) represented 13% of all international call minutes in 2009 (Hodson, 2010).
Vonage, the broadband phone company, utilizes VoIP for communication services. In comparison to Skype, Vonage equipment connects directly to customer’s modems. However, Vonage lacks instant messaging services or document sharing capabilities. Focus mainly consisted in offering alternative and less expensive voice communication.
MagicJack connects to the computer using VoIP technology to place and receive calls. MagicJack services cover United States and Canada. People who use it oversees can call any regular number in these countries. The key innovative characteristic is the MagicJack’s portability. MagicJack is economical and costs $20 per year (Lagesse, 2008).
MagicJack exemplifies a sustaining innovation because it blends Skype and Vonage technology together (Lagesse, 2008; Ponce, 2007). MagicJack enhanced and upgraded its services and mobile technology to improve communication quality over the internet. Like Skype, MagicJack also provides telephone numbers with US or Canada area codes, and personalize telephone numbers with an extra charge.
Affordable prices and simple setup characterizes MagicJack (Lagesse, 2008). MagicJack’s software installs immediately after connecting the device to a computer using Windows XP, Vista and 7, and any Macintosh. Placing or receiving a call is similar to regular phone lines (Ponce, 2007).
Although MagicJack is a trendy technology, it cannot be considered as a disruptive innovation as Dan Borislow, inventor, suggested (Lagesse, 2008). MagicJack operates on its own phone network; nevertheless, telecom market analysts state that “once you have an IP network, it really doesn’t cost anything to run voice over” (Lagesse, 2008, p.2). As a consequence, “incumbent companies can deliver phone service for little cost” (Lagesse, 2008, p.2). In order to consider MagicJack a disruptive innovation, Borislow should be the first to invent and use VoIP at a low cost, simple to use, and customizable to everyone (Christensen, Johnson & Horn, 2008).
Portal Gourmet Sauce™ blends exquisite ingredients to create a new taste with multi-faceted applications. Portal Gourmet Sauce™ enhanced the quality of ingredients to make the sauce more compelling and attractive. Also, the new implementation consisted in utilizing organic ingredients to satisfy health issues. This reveals that Portal Gourmet Sauce™ is a sustaining innovation.
MagicJack and Portal Gourmet Sauce™ want to expand its reach to all people making the price affordable. They want to increase sales volume, and over the years, their inventors have learned what implementations are required to accomplish this goal. MagicJack sells 10,000 devices per day because of its affordable price and simple setup (ExploreMediaGroup, 2009). Portal Gourmet Sauce™ is still increasing in popularity as a new product in the market. With its new low price, consumers will be able to purchase the sauce regularly.
For almost two years, MagicJack sold the devices only in its website (Hillebrand, 2008). MagicJack is now carried by major companies such as Best Buy, Radio Shack, Walgreens, and Wal-mart. Small offices need to carry Portal Gourmet Sauce™ to reach more clients. Similarly to MagicJack, Portal Gourmet Sauce™ also needs exposure in different places to increase sales volume.
The main consideration for MagicJack consists in improving the device continually. One of the first improvements consisted in implementing its technology to support Mac computers (MagicJack promises super-simple VoIP, 2007). A future improvement now consists in using a MagicJack to run a phone and a fax line in the same device (Hillebrand, 2008).
In comparison to MagicJack sustaining innovation characteristic, Portal Gourmet, LLC looks to enhance flavors of different sauces. Sauces under the direction of Portal Gourmet, LLC are implemented to utilize ingredients that people consume the most.
In conclusion, MagicJack is a blend of Skype and Vonage technology. MagicJack’s popularity of communication services using VoIP increased due to accessible and affordable prices. MagicJack is not considered a disruptive innovation; rather, it is a sustaining innovation due to similar characteristics of Skype and Vonage services. Portal Gourmet Sauce™ and MagicJack are similar in regards to their sustaining innovation aspects.
Bibliography
Anthony, S. (2008). What is disruptive innovation? Retrieved November 4, 2010 from http://www.youtube.com/watch?v=9L66OH-x7a4&feature=related
Arnold, J. (2004). VoIP on the verge. Retrieved November 7, 2010 from http://www.telecomengine.com/Americas/article.asp?HH_ID=AR_539
Christensen, C., Johnson, C. & Horn, M. (2008). Disrupting class: How disruptive innovation will change the way the world learns. New York: McGraw-Hill.
ExploreMediaGroup. (2009). MagicJack. Retrieved November 7, 2010 from http://www.youtube.com/watch?v=Z_iQMtI2_pI
Hillebrand, T. (2008). MagicJack is not for dummies. Retrieved November 7, 2010 from http://www.smartphonemag.com/cms/blogs/9/magicjack_is_not_for_dummie
Hodson, S. (2010). Skype commands 13 percent of international phone calls. Retrieved November 6, 2010 from http://www.inquisitr.com/71802/skype-commands-13-percent- of-international-calls/
Lagesse, D. (2008). Look out, Vonage. Here comes magicJack. Retrieved November 6, 2010 from http://money.usnews.com/money/business- economy/technology/articles/2008/06/06/look-out-vonage-here-comes- magicjack.html?PageNr=1
MagicJack promises super-simple VoIP. (2007). Electronista. Gadgets for geeks. Retrieved November 7, 2010 from http://www.electronista.com/articles/07/03/09/magicjack.voip.adapter/
Ponce, D. (2007). MagicJack to be the new Skype? Retrieved November 7, 2010 from http://www.ohgizmo.com/2007/03/16/magicjack-to-be-the-new-skype/
Skype utilizes VoIP on a large scale. Users have the option of accessing instant messages, documents and picture transmissions. However among the most noted features is the capability of video conferencing up to 25 users at the same time. Researchers from TeleGeography showed that Skype-to-Skype calls (or free “peer-to-peer” services) represented 13% of all international call minutes in 2009 (Hodson, 2010).
Vonage, the broadband phone company, utilizes VoIP for communication services. In comparison to Skype, Vonage equipment connects directly to customer’s modems. However, Vonage lacks instant messaging services or document sharing capabilities. Focus mainly consisted in offering alternative and less expensive voice communication.
MagicJack connects to the computer using VoIP technology to place and receive calls. MagicJack services cover United States and Canada. People who use it oversees can call any regular number in these countries. The key innovative characteristic is the MagicJack’s portability. MagicJack is economical and costs $20 per year (Lagesse, 2008).
MagicJack exemplifies a sustaining innovation because it blends Skype and Vonage technology together (Lagesse, 2008; Ponce, 2007). MagicJack enhanced and upgraded its services and mobile technology to improve communication quality over the internet. Like Skype, MagicJack also provides telephone numbers with US or Canada area codes, and personalize telephone numbers with an extra charge.
Affordable prices and simple setup characterizes MagicJack (Lagesse, 2008). MagicJack’s software installs immediately after connecting the device to a computer using Windows XP, Vista and 7, and any Macintosh. Placing or receiving a call is similar to regular phone lines (Ponce, 2007).
Although MagicJack is a trendy technology, it cannot be considered as a disruptive innovation as Dan Borislow, inventor, suggested (Lagesse, 2008). MagicJack operates on its own phone network; nevertheless, telecom market analysts state that “once you have an IP network, it really doesn’t cost anything to run voice over” (Lagesse, 2008, p.2). As a consequence, “incumbent companies can deliver phone service for little cost” (Lagesse, 2008, p.2). In order to consider MagicJack a disruptive innovation, Borislow should be the first to invent and use VoIP at a low cost, simple to use, and customizable to everyone (Christensen, Johnson & Horn, 2008).
Portal Gourmet Sauce™ blends exquisite ingredients to create a new taste with multi-faceted applications. Portal Gourmet Sauce™ enhanced the quality of ingredients to make the sauce more compelling and attractive. Also, the new implementation consisted in utilizing organic ingredients to satisfy health issues. This reveals that Portal Gourmet Sauce™ is a sustaining innovation.
MagicJack and Portal Gourmet Sauce™ want to expand its reach to all people making the price affordable. They want to increase sales volume, and over the years, their inventors have learned what implementations are required to accomplish this goal. MagicJack sells 10,000 devices per day because of its affordable price and simple setup (ExploreMediaGroup, 2009). Portal Gourmet Sauce™ is still increasing in popularity as a new product in the market. With its new low price, consumers will be able to purchase the sauce regularly.
For almost two years, MagicJack sold the devices only in its website (Hillebrand, 2008). MagicJack is now carried by major companies such as Best Buy, Radio Shack, Walgreens, and Wal-mart. Small offices need to carry Portal Gourmet Sauce™ to reach more clients. Similarly to MagicJack, Portal Gourmet Sauce™ also needs exposure in different places to increase sales volume.
The main consideration for MagicJack consists in improving the device continually. One of the first improvements consisted in implementing its technology to support Mac computers (MagicJack promises super-simple VoIP, 2007). A future improvement now consists in using a MagicJack to run a phone and a fax line in the same device (Hillebrand, 2008).
In comparison to MagicJack sustaining innovation characteristic, Portal Gourmet, LLC looks to enhance flavors of different sauces. Sauces under the direction of Portal Gourmet, LLC are implemented to utilize ingredients that people consume the most.
In conclusion, MagicJack is a blend of Skype and Vonage technology. MagicJack’s popularity of communication services using VoIP increased due to accessible and affordable prices. MagicJack is not considered a disruptive innovation; rather, it is a sustaining innovation due to similar characteristics of Skype and Vonage services. Portal Gourmet Sauce™ and MagicJack are similar in regards to their sustaining innovation aspects.
Bibliography
Anthony, S. (2008). What is disruptive innovation? Retrieved November 4, 2010 from http://www.youtube.com/watch?v=9L66OH-x7a4&feature=related
Arnold, J. (2004). VoIP on the verge. Retrieved November 7, 2010 from http://www.telecomengine.com/Americas/article.asp?HH_ID=AR_539
Christensen, C., Johnson, C. & Horn, M. (2008). Disrupting class: How disruptive innovation will change the way the world learns. New York: McGraw-Hill.
ExploreMediaGroup. (2009). MagicJack. Retrieved November 7, 2010 from http://www.youtube.com/watch?v=Z_iQMtI2_pI
Hillebrand, T. (2008). MagicJack is not for dummies. Retrieved November 7, 2010 from http://www.smartphonemag.com/cms/blogs/9/magicjack_is_not_for_dummie
Hodson, S. (2010). Skype commands 13 percent of international phone calls. Retrieved November 6, 2010 from http://www.inquisitr.com/71802/skype-commands-13-percent- of-international-calls/
Lagesse, D. (2008). Look out, Vonage. Here comes magicJack. Retrieved November 6, 2010 from http://money.usnews.com/money/business- economy/technology/articles/2008/06/06/look-out-vonage-here-comes- magicjack.html?PageNr=1
MagicJack promises super-simple VoIP. (2007). Electronista. Gadgets for geeks. Retrieved November 7, 2010 from http://www.electronista.com/articles/07/03/09/magicjack.voip.adapter/
Ponce, D. (2007). MagicJack to be the new Skype? Retrieved November 7, 2010 from http://www.ohgizmo.com/2007/03/16/magicjack-to-be-the-new-skype/
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2 comments:
Hey Max,
I completely agree that Magic Jack is not a disruptive innovation. I am very intrigued as to how you are integrating what you learning in this course to the gourmet sauce industry. Great work!
Telecom has radically changed in the past few years. Just five years ago discount long distance service ruled and moved away from basic land line long distance. It did not take long for the VOIP services to come and go. Especially when I can communicate to my daughter in Taiwan via Skype. My land line is gone, cells rule my family usage and Skype rules the long distance world. Magic Jack appealed for a while, but it has never taken off and captured the market. I communicate world wide instantaneously via Facebook and Magic Jack no longer appeals.
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