Article at a glance:

Meeting the no-frills mobile challenge

Not everyone, it seems, needs a camera phone. In many markets, mobile-telephone customers are becoming more sensitive to price and less interested in expensive services. As this trend spreads, markets will become increasingly vulnerable to low-cost no-frills attackers that offer simple plans with standard fees.

The take-away

To adapt to a changing market, incumbent mobile-phone providers must hone their customer segmentation skills, cut costs, and, in some cases, meet the attackers head-on by offering their own no-frills service.