Type of site Private Services Wireless internet Native client(s) on iOS, Android Founded December 2012 | Products Karma Go Website yourkarma.com Headquarters United States of America | |
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Karma Mobility, Inc. is headquartered in New York, NY and was founded in 2012 through Techstars. The Karma Go hotspot is an open network that allows customers to share their connection with people around them. Each time someone joins, the owner of the Karma Go receives free data. Karma sells hardware and data to customers, which can be purchased through a monthly subscription or by pay as you go. There are no contracts. Karma Go runs off Sprint's 4G LTE Network
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Services
In December 2012, Karma began providing free and paid wireless Internet services in the United States through wholesale Internet carrier Clearwire. Subscribers connect to Karma's services with a $149 mobile broadband modem.
Karma provides 100 MB to new guest users for free while selling data at the rate of $14 per non-expiring gigabyte, and reward users who bring in more users by wirelessly advertising the service. When purchasing a Karma device, the first 100 MB of data is included for free. Karma offered an unlimited plan for $50 a month called "Neverstop" however, the company could not support this service and it ended after just 3 months of service. Karma now offers a service called "Pulse" which is similar to other hotspot companies. Users can get 5GB for $40, 10GB for $75 and 20GB for $140. Otherwise, users can buy 1GB at a time as needed, for $15 per 1GB.
Controversy
Karma became a center of controversy in January 2016 over changing their Neverstop plan and cutting customers data multiple times. Some customers accused the company of using bait and switch tactics. New Customers were offered a refund for their devices, based on Karma's standard 45-day return policy. However, customers who purchased Karma "Go" hotspots with Neverstop, outside of that standard return period, were explicitly told "no refunds".
Karma offered a program called "Neverstop" where users got unlimited data at up to 5 Mbit/s for $50 a month. After 2 months, Karma blamed customers for "misuse" of the unlimited data service and began throttling users speeds from 5 Mbit/s to 1 Mbit/s. After over a week of throttled speeds, Karma changed the "Neverstop" program from unlimited to 15 GB for the same $50 price. Karmas website stated that they would give users 30 days notice if any changes occur. However, users were given no warning for the sudden change from unlimited 5 Mbit/s to throttled 1.5 Mbit/s then to a data cap of 15 GB. After just one month, the "Neverstop" service changed again and this time Karma decided to use a new program called "Pulse". Neverstop ended and Pulse became the new service for Karma users.
Network
Karma's first generation ran on Sprint's WiMax network which shut down in November 2015. Their second generation, Karma Go, runs on Sprint's 4G LTE network. Karma encountered some issues adapting to Sprints LTE network. However, after a long waiting period, they were able to fully convert over to the Sprint network. As of 2016, Karma has had to change a lot of their services due to high data usage from customers. Karma buys mass bulk data from Sprint and thus, can't support unlimited plans at this time. Karma has updated its services to stay on the Sprint network. Karma and Sprint still maintain a relationship as of 2016.