Feeds

Amstrad's em@iler makes a profit

They said it would

  • alert
  • submit to reddit

Bridging the IT gap between rising business demands and ageing tools

Amserve - the business behind Amstrad's em@iler phone-cum-email thingy - has finally made a profit.

Four years or so after the Webphone thingamajig was launched to a somewhat sceptical world, those who have maintained their faith in the em@iler have at last seen some financial reward.

In the six months to the end of December the Amserve business moved into the black with a pre-tax profit of £1 million on the back of increased sales worth £6.5 million.

In same six-month period last year the business lost £5.5 million on revenues of £4.2 million.

In essence, the em@iler business model is based on subsidising the sale price of the units with revenue recouped from using the em@iler thingamabob.

So far, 298,000 em@ilers have been sold and registered and, no doubt, it will be hoped that a post Christmas price cut (from £49 to £29) will help boost sales still further.

Last December, the average revenue generated per day was £21,000 (which works out at around £7.6 million a year) with the majority of revenues continuing to come from email and Web access.

Amstrad added that it is "particularly encouraged by the [revenue] contribution from other services such as the downloading of ring tones, games and SMS text messaging".

Ad revenues also continue to grow, with companies such as AOL, BT, Halifax, BSkyB and One.tel all regularly using the service.

Looking ahead, Amserve aims to up revenues by increasing the number of customers and the number of services on offer.

And in the second half of the year, Amstrad intends to introduce a new "third generation product" which "takes us into a new exciting level of technology" and "additional revenue earning functionality". Can't wait.

Shares in Amstrad were up 10.75p (6.12 per cent) at 186.5p in early trading. ®

Related Stories

Amstrad slashes em@iler prices
Em@iler set to make a profit

Build a business case: developing custom apps

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Airbus promises Wi-Fi – yay – and 3D movies (meh) in new A330
If the person in front reclines their seat, this could get interesting
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.