New York
CNN
—
The latest celebrity start-up trend is no longer tequila. It’s telecom.
Actors Sean Hayes, Will Arnett and Jason Bateman — who host the popular “SmartLess” podcast — are launching a wireless service as an alternative to pricier unlimited data plans from major carriers like Verizon, T-Mobile or AT&T.
The decision to start the company, called SmartLess Mobile, came from a simple realization: while industry giants generally push unlimited plans, most people don’t actually use that much data. Even if they’re glued to their phones.
“Most Americans spend almost 90% of their time under Wi-Fi. Their mobile device very seldom actually uses the actual wireless network,” said SmartLess CEO Paul McAleese, a telecom industry veteran who co-founded the company with the actors.
Research published last year by the consultancy group OpenSignal found that most mobile customers spend between 77% and 88% of their on-screen time connected to a Wi-Fi network.
SmartLess Mobile offers wireless plans starting at $15 per month for 5 gigabytes of high-speed data, going up to $30 monthly for 30 gigabytes. By contrast, starter unlimited plans from the major carriers range from around $35 to $65 per month.
McAleese said he and Arnett started discussing the idea after the actor bought a new phone for his teenage son and was sold an unlimited plan that cost around $70 monthly. (Arnett previously served as a spokesperson for Canadian telecom giant Shaw Communications; McAleese is the company’s former president.)
“And (Arnett) goes, ‘Geez, it’s awfully expensive,’” McAleese said in an interview with CNN. “And I said, ‘Your boy spends almost his entire life under Wi-Fi. He’s at home, he’s at school … he’s never going to be on the network. Why would you buy all that?’”
SmartLess Mobile joins a growing slate of celebrity-backed wireless carriers, including Consumer Cellular, with longtime spokesperson Ted Danson, and Ryan Reynolds’ Mint Mobile, which was acquired by T-Mobile in 2023. These providers, known as mobile virtual network operators (or MVNOs), lease access to a major telecom provider’s spectrum — SmartLess plans will run on T-Mobile’s 5G network — and can often charge lower prices because they don’t have to manage the physical infrastructure.
The services have gained popularity as cell phone technology has advanced. Most phones now have digital SIM cards, making it easier for consumers to switch carriers without having to visit a retail store. And the proliferation of Wi-Fi infrastructure everywhere from subways to restaurants means many people have lesser data needs.
If their partner network goes down, MVNOs do risk being the ones customers blame for losing missing service. And limited data plans aren’t necessarily for everyone — ride-share drivers and delivery couriers likely use a lot more data than people who work from home or from an office with a Wi-Fi network.
But the primary “uphill battle for any MVNO is to stand out in the space,” said Jeffrey Moore, principal at wireless industry research firm Wave7, because the industry giants have much more name recognition. Major carriers also entice customers with deals on new phones, which they practically give away for free if consumers join their network.
Smaller carriers “have to stand out either in terms of offerings or in terms of marketing,” Moore said. That’s where celebrity endorsements come in.
SmartLess already has a significant built-in audience; the podcast ranks among the top 20 most popular shows on Apple Podcasts. And Arnett, Hayes and the SmartLess podcast have more than 2 million combined Instagram followers.
“Whether by luck or by design, they also have a brand name that has both ‘smart’ and ‘less’ in the name,” McAleese said, “which, if you’re going to be a challenger brand in this day and age, those are two pretty good head starts.”
The team plans to start discussing SmartLess Mobile on the podcast in the coming weeks, he said.
And the SmartLess hosts’ involvement in the new carrier goes beyond typical celebrity endorsements, McAleese said. Hayes, Arnett and Bateman had already turned down the opportunity to lend their names to other types of products, and they’ve been involved in everything from financing to marketing the new company.
“They rely on the category for what is now one of their primary professional pursuits, which is the podcast, this is how people consume their product,” McAleese said. “These guys are master storytellers, and they have the brand ethos of sort of an honest broker. I think it’s just a perfect marriage.”
