Vtec525 wrote:Murphy, I never said DON'T sell it. I said make it OPTIONAL. Did you read the initial post?
INDIVIDUAL HUB: $169.99
INDIVIDUAL SCOUT: $69.99
BUNDLE: $229.99 ($10 discounted for both)
So people can buy however they see fit for their needs.
Actually, the value of the individual scout has been established by the market for the most part. About $25-35 (plus shipping). So, it seems to me that assuming a $229 bundle price works, the pricing should be $189-199 for Hub only, and $29-39 for the Scout. BTW, the current Costco in store special offers the Hub only for $199.
Regarding a cost comparison against MagicJack, I posted a similar analysis in another post, but then learned that MJ is, in fact, offering a 5 year plan at $60 for the full five-year period. So, consider the following:
There definitely is a cost to running a computer 24/7, assuming one want's the convenience of 24/7 telephone service. Granted there is debate over just how much cost must be factored in, but there seems to be no denying that there is an added cost.
Assuming for the sake of discussion only that one wanted 24/7 phone service for a single line at a single location, ooma can be obtained for about $40 per year amortized over 5 years (plus tax for current Costco special for Hub only) or $20 per year over ten years (plus some nominal amount for the electricity to run the box). MJ over five years would cost $80 (excluding shipping) plus the cost of electricity to run the computer. Over ten years it would cost $140 plus juice (assuming the MJ service price does not change).
Assuming further for the sake of this discussion only, that it cost only $7.50 per month (or $0.25 per day) to leave the computer on continuiously (as opposed to say... 8 hours per day), the total cost of the single line MJ system would be $80 plus additional electricity cost of $450 or $530 over the five year period which comes out to $106 per year.
O.K. you say... what about the electricity cost for the ooma Hub? I have assumed it is negligible, but even if one were to reduce the marginal cost for electricity to $0.10 per day to run the PC as opposed to the ooma Hub, the MJ would still cost $80 plus additional electricity costs of $36 per year or $260.00 over the five years or $52 per year.
That would put the break even at approximately 3.5 years.
Worried about the ooma equipment? An 3 year exended warranty is available for $69 (let's say $2/mo). Since the unit comes with a one year warranty, the cost should be amortized over 48 months or about $1.50 per month, and thus, meaning that the total cost of the ooma Hub only option would be less than $42 per per year. That would mean a break even of just over five years. Then again, there is no garantee that the MJ would last five years.
But wait... there is more. The ooma system is a huge improvement over the MJ.