Decentralized network Helium Mobile launches unlimited 5G plan in the U.S., cheaper than Chunghwa Telecom

The decentralized wireless network Helium announced that its 5G service Helium Mobile will launch nationwide across the United States, offering unlimited 5G telecom services for only $20 per month, officially bringing decentralized network services to the public eye. Source

What is Helium

Helium is a well-established blockchain project that can be traced back to 2013. Over the years, it has continuously evolved its business models, resulting in a diverse and complex product line and services, with three types of tokens. This article mainly focuses on its decentralized 5G mobile network project, Helium Mobile.

Originating from IoT Communication Networks

In 2013, Helium started with decentralized Internet of Things (IoT) by enabling IoT devices to operate through the LoRaWAN communication protocol. However, this business model required efforts to attract users to voluntarily establish base stations, which was not an easy process.

In 2017, the team integrated blockchain into its project, establishing the Helium blockchain network as a reward economic layer, issuing the native token HNT as an incentive to attract participants to help build the network infrastructure.

The integration of blockchain reward mechanism enabled rapid growth of the Helium business. As of now, there are approximately 350,000 active base stations. Helium has indeed become a leader in decentralized physical infrastructure, securing a $200 million funding in February this year, with a valuation of $1.2 billion.

Decentralized 5G Telecommunication Service - Helium Mobile

In the United States, mobile network expenses are not cheap, and due to its vast territory, not all areas have good network infrastructure. On the other hand, 5G base stations require denser placement due to higher frequency bands, increasing costs and making it difficult to expand in most areas.

In light of these issues, the Helium team seized the opportunity, improved its existing business models and strategies, and launched the decentralized 5G mobile network - Helium Mobile.

In August this year, Helium Mobile introduced trial services in the Miami area, offering a 5G unlimited data plan at a competitive price of $5 per month, challenging the market with a much lower price compared to competitors like AT&T and Verizon, which charge around $65 per month.

Expansion of Helium Mobile Nationwide

Introduction of $20 Unlimited Data Plan

Just yesterday, Helium Mobile announced the expansion of its services nationwide, offering a still competitive $20 monthly fee for an unlimited 5G data plan, allowing users to use the network, texts, calls, and other telecommunications services without restrictions.

Average Americans spend around $157 per month on mobile telecommunications plans. Helium Mobile's $20 plan is nearly 8 times cheaper than competitors in the U.S. Furthermore, using Helium Mobile does not require a contract, allowing users to cancel the plan at any time, providing customers with more flexibility and control.

Users of Helium Mobile telecommunication services can choose to port their number or apply for a new one. The $5 per month price in the Miami area remains the same, with no difference in service content for the $20 price nationwide.

Self-Deployed Base Stations: Helium Mobile Hotspots

If users experience poor signal at home or work, they can opt to set up their own base station. Helium Mobile offers Helium Mobile Hotspots facilities, allowing users to flexibly enhance bandwidth demand in remote areas.

The indoor Helium Mobile Hotspots are priced at only $249, while the outdoor version costs $499.

Earn Mobile Tokens by Becoming a Helium Mobile Network Hotspot

If users become a Helium Mobile network hotspot, they can earn Mobile tokens, with the payback time determined by network coverage rate, as the base station also functions as a mining machine. According to the Helium Hotspots Map, there are currently 3,841 active mobile network hotspots in the Helium Mobile 5G network.

Helium Decentralizes and Changes Cost Structure

However, apart from price and contract content, the product is also an important aspect. The actual network connection quality still needs to undergo market testing, considering the vast territory of the U.S. and whether the current incentive mechanism can effectively encourage users to set up more base stations, remains uncertain.

Current base stations will be far from sufficient to support user usage in the U.S., presenting many challenges for Helium Mobile.

This article is not investment advice.