Tuesday, September 9, 2008
Zong is Cool. Long Live Zong
Zong has been around for 8 years doing some cool things with mobile micropayments. The company behind Zong is Echovox, a transplant from Europe that is now located in Redwood City. The way it works is like this, you setup your service to accept a mobile payment from Zong which then passes a keycode to a user via SMS that the users then inputs into the service to authenticate the user. With 68 carriers currently active, Zong claims critical mass penetration in North America and Europe, and is bringing Latin America online as well which will move them closer to their 3 billion user goal. Analysts like this company because its mobile payments work with a developed and deployed infrastructure that serves as an effective barrier to entry for potential competitors.