Solana Mobile, the team behind the blockchain’s smartphone, raked in $70 million in preorders for its second mobile device, the project said Thursday.
Dubbed Seeker, the new iteration’s revenue is almost five times the level of Solana’s debut crypto phone, Saga. The Seeker isn’t expected to hit the market until the summer of 2025.
So, what is driving the demand? New markets.
“More than half of our order volume is coming from Asia-Pacific countries, a region in which we previously could not sell phones,” Emmett Hollyer, general manager of Solana Mobile, told DL News ahead of this week’s Token2049 conference in Singapore.
Launching a new mobile phone, even one without crypto components, is a daunting task. It’s one of the most regulated industries in the world and already dominated by Apple and Samsung.
Not only that, but Solana Mobile’s first attempt fell far short of expectations. In 2023, the firm sold 20,000 units in total, far fewer than its 50,000 unit goal.
So far, the firm’s second attempt is doing much better.
Seeker already has more than 140,000 preorders. It’s not just new markets driving this growth, either, said Hollyer.
SOL, the blockchain’s native cryptocurrency, has climbed 27% this year, which is twice better than Ether.
The new phone, Hollyer said, comes with a few key changes thanks to user feedback.
What’s new with Seeker?
The phone is lighter, the screen is brighter, its battery lasts longer, and it’s cheaper than the Saga. When Saga was first launched, it cost $1,000. Four months later, the price was slashed by 40%.
“All those things come together on Seeker and are available at a lower price point of $500 and available in more markets,” said Hollyer.
The new phone’s crypto components weren’t forgotten in the upgrade either.
The Seed Vault, where users store their crypto seed phrases, has become a slick crypto mobile wallet.
One new feature, for instance, lets users double-tap their screen to sign historically clunky crypto transactions.
Solana Seeker device comes with a soulbound NFT that will unlock various rewards programs for owners. Credit: Solana Mobile.
Hollyer told DL News that the phone, like its predecessor, will also be a “rewards magnet” for buyers.
Users who bought the Saga phone were also airdropped the dog-themed memecoin BONK. At one point, the amount of BONK included in the phone covered the costs of the phone.
The Seeker will come with memecoins, too, but today, it’s not nearly enough to cover the device’s costs. Twoloot, which tracks the prices of memecoins included with the phone, shows that users can expect a $250 payout.
Bootstrapping beyond memecoins
Instead, Hollyer said two specific sectors, in particular, will drive rewards for the device: Decentralised physical infrastructure networks — or DePINs — and token launching platforms.
Crypto’s DePIN sector offers a way to reward users for providing real-world data or sharing computing power for a network.
“Talking to our users, they see their phone as an underutilised asset,” said Hollyer. “You know there’s constantly data that you’re picking up, that you’re sharing, and so finding ways to use your phone to more directly participate in DePIN networks is something we expect to come forward with Seeker.”
Token launching platforms — like the massively successful Pump.fun and similar venues — have at times generated more revenue than entire blockchains.
On the Google and Apple app stores, however, creators would need to pay 30% of that revenue to the app stores.
That’s not the case for the Solana store.
“Given that our store is crypto-friendly and has zero fees,” he told DL News. “That’s going to be another huge one.”
Liam Kelly is a DeFi Correspondent for DL News. Got a tip? Email him at liam@dlnews.com.
