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Josh

Fascinating. My theory on this is that they'll keep spinning the thing through different buzzword driven iterations(advertising/mobile/handheld gaming) w/accompanying rosy fin projections and fin manipulations (rev stock splits, shell co's) till they happen to attract the attention of someone with more $$ than sense.

Hang out enough flypaper and eventually a dumb one will stick...

Sean Ryan

Businessweek.com just posted an article about Xero, with the CEO stating that their goal was to have $1.5B in revenue in year 3 - I can't even begin to address the inherent humor in that statement based on the simple concept of discovering if there have been any companies in the history of the world that had $1.5B in year 3 - Sean

Akon

XERO MOBILE will be great. Their offerings will compete against all major cellular companies and surely surpass them in the market intrests.

I am a college student and look forward to their launch. You;d have to be stupid not to give this company a chance.

They are even going to offer GREAT NEW cell phones at market price. XERO MOBILE does not want to profit on the sales of phones, just mostly advertising.

What else can you ask for? I am willing to switch right away...especially because they will have a NO CONTRACT AGREEMENT..

EXCELLENT!!!

Sean Ryan

To Akon's patently absurd statements, I can only assume his last name is Eriksson...

Specifically, there are a variety of no-contract offerings out there and no cellular company profits on the sale of phones, they profit on the sale of minutes. This service may actually end up being a good deal for users while it exists, but the key question is it a good thing for investors, and the answer is clearly NO

Iconic

Obviously Sean Ryan seems to know more details about Xero than the rest of us. So, based on facts and not your own misguided theories, why don't you enlighten the rest of us on what you think you know. Your postings have some bold opinions. Now lets see what kind of factual backgrounds those opinions stem from.

Sean Ryan

I actually don't know anything about Xero, nor do any investors, by the way, since there is no information outside of a very slim press release and some press interviews.

So what do we know?
1. To create a company with $1.5B in revenue in 3 years with less than $100M in capital is totally absurd, with no parallels in the history of capitalism, yet the executives claim that this will happen in multiple articles. First bad sign
2. The executives were previously senior executives at a company with an allegedly massive amount of fraud and self-dealing, culminating in a horrific bankruptcy, and lots of soap opera antics - 2nd bad sign
3. The company back doored in to a public shell to raise money rather than have sophisticated investors give it money - 3rd bad sign
4. The actual math behind selling enough mobile advertising to pay for a free minutes seems a little difficult based on every known CPM in the category, and even when looking outside the US, where mobile economies are 2-3 years ahead of ours.

Do I need to go on? It's not that it's impossible - it's just highly, highly unlikely.

Robb

I AM A STUDENT AND I NEED THIS! I think its actually quite funny that people on here argue about this company. I dont see any point. I know for a fact this company will bloom. And im being real honest with you. If you can cut my phone bill in half, you have sold me. On top of that guarantee a nice phone and no contract then you must be GOD. Yes I could care less about talk, I want to see this company in action. Lets get on the ball so I can change my plan quickk!!!

Iconic

Sean, you have made some good points, and I can see where your speculation stems from. However, much of the fraud talk is more media hyped than anything else. The media continues to say how the lead officials stole money from the company and paid huge salaries to themselves. What the media does not tell you is that these same people also loaned the company very large sums of money from their personal accounts. Guess what else...they lost out on most of the money they loaned. Maybe everything was not handled the way it should have been in order to avoid scrutinty. Company's fail everyday in the US and cost investors millions. Investing is like going to Vegas. Don't put your money in if you can't afford to lose it.

Stefan

Iconic, what you fail to point out is the loans by the Gizmondo execs to the company by far exceeded their assets. They didn’t have a lot of money when they got out of prison and went to work for Gizmondo. Maybe they were able to loan Gizmondo its own money. Remember the Northern Lights deal, where they sold Gizmondo game software the company already owned for 3.5 million dollars.

sinka silmar

Xero Mobile is an excellent company regardless of its ties...they will offer some of the best products around(service, phones, support) WHO cares about who the investors are!!! Its all about the consumer saving money! and that is what we will do :-)

Swedish Mafia LA

They are rounding up the Xero Mobile executives one-by-one for a trip to jail. Carl Freer, puppetmaster behind Xero, joined Stefan Ericksson in jail. How do I invest in this company. Sounds like a slam-dunk winner!!

Iconic

Stefan...first off there was no they when you speak of jail. There was only Stefan. Second, yes one of the main investors had plenty of money. Everyone posts and fails to closely read the SEC filings. Again maybe everything internally wasn't handled the correct way, but the SEC is not after the execs.
As for Swedish Mafia. You continue to post a news article and one or two of your own misguided opinions. Give us some real fact and intelligent insight that might make you credible. Remeber to concentrate on the word allegedly when reading your articles. A slick way for media to print gossip. You know nothing about Xero or its team..Might want to check that out before slamming anyone

Stefan

Actually, Carl Freer did get arrested the other day for buying guns with his phony police department badge. His attorney says it was a simple misunderstanding. If you make up the rules as you go, you will eventually get bit. The homemade porn on Eriksson’s computer of him and Freer having sex with a teenage girl may have been legal where it was made, but possession of kiddy porn in the states is a serious crime. Carl is so busted!

http://www.nbc4.tv/news/9042444/detail.html

http://cbs2.com/topstories/local_story_117003409.html

http://www.latimes.com/news/printedition/c...s-pe-california

Stefan

It’s been reported that all of the Xero Mobile employees have fled the office. The landlord came in on Friday to find them packing. They left no forwarding address. Gone public on Monday and ran out on Friday. Is this a record? This is a better story than Gizmondo, oh wait, this IS the Gizmondo story. I guess we won’t see many “students” posting how great Xero is after they have done their “research”. Any one at Desi TV left in the building? HA ha ha ha ha. LMFAO!

onlooker

Stefan,
Fled?
Try their web page, they are on Olympic now. When I called and e-mailed, I really did get replies and talk to real people. This is a great idea, you may not think so, but you are not the TARGET market. Get it?

Stefan

Well E-X-C-U-S-E M-E Onlooker! Your right, I’m not the target market. Considering this is the same business plan as Gizmondo, and the real target market will be naive investors, inexperienced creditors, soon to be working for free employees and adolescent customers. I guess the rent was too high to pay at the old Gizmondo office. Like the former Gizmondo office, this is just an office suite space. Xero Mobile will probably get to use the conference room for 10 hours a month, and the air conditioning will be on during normal business hours. The land lord will provide the receptionist, telephones with voice mail, furniture, kitchen and the utilities are included with the rent. Photocopies are 25 cents each. Long distance will be billed separately. Please try not to trip over the many lawyers that you share the office with.

Knowledgable Insider

I worked for a company that was pitching business from Xero Mobile so I've "seen" their business plan. FACT: This company is a joke and exists as a front to bilk investors out of millions of dollars. FACT: All positive posts made on this and all other blogs are fake and are being posted by Xero executives. Come on people, take a look at the way these posts are being written "Wow, Xero is my dream. Service, support and free phones!" I mean does any college kid talk like that and b. there hasn't been a whole lot written about the Xero Mobile service so how are all these rand "college students" so knowledgable about the ins and outs of their offering?

Jeff Martin

Fact: Knowledgable Insider has no clue what he is talking about. Don't write you comments as fact when they are your own opinions. That makes you look foolish and uneducated. I'm not sure who is writing the blogs on Xero nor do I care, but I will tell you that they bring college students in on a consistant basis to interview them and discuss the service and what the students think of it. FACT

Stefan

Jeff, get a life! Just because they ask kids what they want doesn’t make this a sound business plan. If it were so, Santa would be in every board room across the nation. If you read the Los Angeles Times article about these guys, you would know who’s smoking the crack. Carl and Stefan ARE Xero Mobile! Read it and weep.

http://www.latimes.com/news/nationworld/wo...0,3415150.story?

Jeff Martin

Well Stefan you are officially as uneducated as I suspected. Only an uneducated person would write "read the LA Times". I really don't need to argue with you after that comment. I have to laugh at you for reading the LA Times and trying to call it any kind of fact. If you are going to continue to post like you might know something, go out and get hard data and then you might be able to hold your end in this argument. If not...shut up guy!

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