Traditional phone networks involve you paying for every drop of bandwidth you use. Well, why can’t we share our coverage and get some free data back? This is what a new MVNO is trying to do

The hotspot (pictured above) will be sold for $69 and runs on top of the Clearwire 4G network which provides the WiMax variant of “4G” services. However, the good bit is that the network cost is just $14 per gigabyte of data used which isn’t bad, but the most interesting area is that you can actually “earn” more data by sharing your network. The hotspot is completely open for everyone to use and interact with.

Basically, anyone who connects to your hotspot will just need to sign in with Facebook and gets 100mb free browsing for themselves, and you earn 100mb for yourself! Karma are describing this as “Social Telecom”.

The pricing is a lot cheaper than the major US networks, especially for the amount you receive as a lot of them are seeming to move away from the unlimited factor, it would be interesting to see where this goes. Speaking of other networks, one of the founders Robert Gaal said:

Something is fundamentally broken in the market for mobile providers

which I believe is pretty true, there needs to be a massive shakeup, and the best bit is that the service will work on every mobile phone with a WiFi connection (which is 99.99% Android devices).

Also, Karmas has just raised under $1million in investment, including investment from Werner Vogels, Kal Vepuri, Chang Ng, Jerry Neumann, David Tisch, David Cohen, BOLDstart Ventures, 500 Startups, and Collaborative Fund.

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Source: The Verge