The Walt Disney Company plans to pull the plug on its branded cell phone service by the end of the year saying there were problems getting the phone into large retailers. "
We decided that changing strategies was a better alternative to pursue profitable growth in the mobile services area," said Steve Wadsworth, president of the Walt Disney Internet Group. Disney blamed exclusive deals cut between large retailers and mobile carriers for making it hard to get its product in front of customers.
The company will end sales immediately and continue to service the handsets until the end of the year. Disney is talking to major cell phone carriers about offering some of its most popular services, such as tracking the location of phone users. Disney subscribers bought special handsets for their children and the service provided Disney ring tones, video and other branded content. The phones were equipped to display the location of a user's handset on a map, limit when and how the phone was used and set limits on expenditures.
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