Monday, December 5, 2011

Snatching Up Pay Phones...

The following is an interesting article on pay phones, which, kind of reminds me of Sitestar's internet business; but certainly not what they have been using their surplus cash flows from they dying internet business to invest in... distressed real estate! 

Thanks to my uncle for telling me about this story, coming from here:


"People tend to forget about pay phones, until their cellphone doesn't get a signal, until there's a natural disaster," Mr. Keane said. "We want to make sure there's a future with pay phones where Americans need them." 
Mr. Keane said PTS hopes to keep most of Verizon's pay phones operating, though it will eliminate some of them, including some of Verizon's most-frequented phones on New York's underground subway platforms, where wireless signals mostly still don't reach. 
The company plans to outfit other phones with touchscreens, credit-card readers or other applications. PTS views the pay phones as valuable real estate for selling temporary Internet access, advertising or for kiosks designed to market services to travelers. 
Airports, truck stops, train stations and lower-income neighborhoods remain relative strongholds for pay phones. "Basically anywhere you can ring up an average of about 100 calls per month, you can be profitable," said Willard Nichols, president of the pay-phone trade group. Verizon estimates it takes 150 monthly uses for a phone to turn a profit.

Interesting stuff...

Disclosure/Disclaimer: I am long shares of Sitestar. I reserve the right to change any of my positions at any time. This is not advice of any kind. Always do a ton of your own research in regard to anything that I say, do, write, or so much as even think about.

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