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Google's Chrome OS: Will you give up desktop apps?
Google revealed a bevy of noteworthy developments for its Chrome OS. However, the success or failure of the Chrome OS will ride on whether users will give up desktop applications.... Continued »
Category: Mobile
November 19th, 2009
AT&T launches Verizon counter-punch ad, keeps digging that hole
AT&T may have lost the legal battle with Verizon Wireless over a marketing campaign that compares the 3G coverage of both carriers. But that doesn’t mean AT&T is going away quietly.
The company is airing a commercial of its own, which features actor Luke Wilson inside what appears to be a warehouse, standing in front of an orange magnet board with a checklist that compares AT&T and Verizon. (Techmeme)
When it comes to the fastest 3G network, AT&T wins, Wilson says. If you want to talk and surf at the same time, AT&T wins. Who has the most popular smartphones? AT&T, of course, home of the iPhone. Who provides access to more than 100,000 apps? You guessed it. Then, in the category, he asks which has a name that starts with the letter V.
I’ll give AT&T credit for making the attempt to even the playing field but - and maybe this is just me - the commercial felt sort of low-budget, like something thrown together in haste. Cheap set. Cheap props. Marketing messages in place of statistics. What is it telling me that’s new? I’ve been hearing that “Nation’s fastest 3G network” for some time now. As far as that “talk and surf” feature, I’m assuming that refers to tethering - mostly because Mr. Wilson doesn’t elaborate - but last time I heard, AT&T still wasn’t offering that for the iPhone.
November 18th, 2009
The Big Question podcast: Handicapping the Verizon vs. AT&T marketing war
In this episode of The Big Question, Jason Hiner, Andrew Nusca and I handicap the entertaining marketing scrum between Verizon and AT&T. Who’s right?
The Big Question is a joint production from ZDNet and TechRepublic.
You can play this 18-minute episode from the Flash-based player at the top of the page or:
Stories discussed in this episode:
- AT&T sues Verizon Wireless, calls map ad “misleading” but doesn’t dispute accuracy (ZDNet)
- Verizon to AT&T: ‘Our ads are true and the truth hurts’ (ZDNet)
- Memo to AT&T: When you’re in a hole, stop digging (ZDNet)
- AT&T: The iPhone’s anchor (ZDNet)
- Verizon Droid: Doesn’t match iPhone, but brings Android out of beta (TechRepublic)
- With Motorola Droid, Verizon puts doubts about Google Android platform to rest (ZDNet)
November 17th, 2009
Apple's app approval revolt: Will it matter? Maybe
There’s a revolt of sorts that’s starting to put a dark cloud over Apple’s App Store approval process. And while Apple - known for its my-way-or-the-highway sort of attitude - is unlikely to hear the moans of frustration coming from the developer community, there may be a bigger storm brewing behind the scenes.
A while back I noted that Apple, by signing a multi-year exclusive deal with AT&T for the iPhone, did more than just alienate the non-AT&T customers from using the device. It actually created a demand for an iPhone-like experience on other devices and gave companies like Google a reason - and the time - to develop something like Android, its own mobile OS.
Fast forward to today and Android is grabbing plenty of headlines about future growth. Motorola is placing its bets on Android with a lineup of products in the works, including the newly released Droid for Verizon Wireless. There are multiple carriers now carrying Android devices and multiple device manufacturers who are getting into the Android game, as well.
Also see: Verizon-Google changes mobile landscape; Customers have real options again
And, of course, the app developers are also starting to build that catalog of mobile apps for Android - and it’s growing fast.
In recent weeks, Apple has been taking a lashing over its don’t-call-us-we’ll-call-you app approval process, which has left developers in limbo, unsure of whether the app is on track for approval or if there’s an issue that needs to be addressed before it can go into the app store. This morning, the Read Write Web blog posted an entry about an online petition by developers who are tired of the months-long process to get an approval - or at least some feedback - from Apple. (Techmeme)
November 16th, 2009
Verizon to AT&T: "Our ads are true and the truth hurts"
Verizon Wireless responded today to a lawsuit filed by AT&T earlier this month that accused Verizon’s “There’s a map for that” marketing campaign of misleading consumers about AT&T’s 3G coverage in the United States.
In a nutshell, Verizon said AT&T’s request to have the ads pulled is without merit. From the court filing (PDF):
AT&T did not file this lawsuit because Verizon’s “There’s A Map For That” advertisements are untrue; AT&T sued because Verizon’s ads are true and the truth hurts… AT&T now is attempting to silence Verizon’s ads that include maps graphically depicting the geographic reach of AT&T’s 3G network as compared to Verizon’s own 3G network because AT&T does not like the truthful picture painted by that comparison.
In the court filing, Verizon outlines the reasons that AT&T’s arguments are without merit. They include:
- Because the ads are truthful, AT&T is attacking them under faulty theories, including a claim that they are misleading. But Verizon says there’s no real evidence - aside from an AT&T commissioned survey - that proves that consumers are misled by the ad.
- There is no emergency that would require the court to issue an immediate restraining order - as AT&T has requested - without giving Verizon the opportunity to conduct its own research and present evidence to prove that consumers are not being misled.
- The harm to Verizon and the public, in general, caused by pulling the ads is greater than any alleged harm being inflicted on AT&T.
Those are all fine-and-dandy arguments about why the courts should deny AT&T’s motion but the main reason comes back to the headline statement: The ads are true. Period. But regular readers already know my thoughts on this AT&T-Verizon back-and-forth. Instead, I offer one more excerpt from Verizon’s filing that I think sums it up best:
AT&T seeks emergency relief because Verizon’s side-by-side, apples-to-apples comparison of its own 3G coverage with AT&T’s confirms what the marketplace has been saying for months: AT&T failed to invest adequately in the necessary infrastructure to expand its 3G coverage to support its growth in smartphone business, and the usefulness of its service to smartphone users has suffered accordingly. AT&T may not like the message that the ads send, but this Court should reject its efforts to silence the messenger.
I couldn’t have said it better myself.
Related coverage: Memo to AT&T: When you’re in a hole, stop digging
November 16th, 2009
NPD: The subscription model bucks economy
The economy may stink, but consumers are clinging to their entertainment and mobile subscriptions.
According to NPD, monthly per capita entertainment subscriptions rose to $115, up 7 percent from a year ago.
The breakdown from NPD is notable. To wit:
- As of August, 81 percent of U.S households subscribed to a television service (cable, satellite and fiber-optic).
- 76 percent have an Internet subscription.
- 17 percent subscribe to an online music service or satellite radio.
- 14 percent subscribe to an online gaming service.
- Mobile data subscription plans were 9 percent, up from 6 percent last year.
- 14 percent of consumers had a home-video subscription service like Netflix, up 2 percent from a year ago.
- 29 percent of Americans had a newspaper subscription, down 2 percent from a year ago (you’d think it would be worse).
- And 41 percent of consumers subscribed to magazines, down from 43 percent from a year ago.
November 13th, 2009
Memo to AT&T: When you're in a hole, stop digging
Somewhere in the telecommunications afterlife, Ma Bell is hiding her face in shame. The company that was once the powerhouse of American communications has been reduced to being more like that crybaby little kid who sits in a corner of the playground pouting because the other kids beat him at his own game.
AT&T has posted on its Web site an open statement to its customers to whine - again - about those Verizon Wireless TV commercials that paint a sad picture of the wireless 3G coverage that AT&T offers in the United States. (see image on right, video below) The statement is really sort of pathetic, an act of desperation that attempts to paint Verizon’s ads as “blatantly false and misleading” even though AT&T has already acknowledged that the ads are not, in fact, false.
We already knew that AT&T considered the ads to be misleading - that was clear in the lawsuit it filed over the ads. But false? AT&T clearly said before that what Verizon is advertising in these maps is not factually incorrect. Let’s repeat that once more for emphasis: what Verizon is advertising in these maps is not factually incorrect.
AT&T’s beef is that the Verizon isn’t comparing all data coverage, only 3G data coverage (though I would counter that with a “Why should Verizon have to make that comparison?”) In its letter to customers, AT&T attempts to clarify the points by breaking out the coverage of its different data offerings. In total, the company’s wireless data coverage reaches 303 million people – or 97% of the U.S. population, it said, with three different types of technology. (Here’s where we start splitting hairs), Those technologies are:
November 13th, 2009
Android army keeps growing as Dell enlists; Will the mobile OS war follow PC history?
Google CEO Eric Schmidt has said that “Android adoption is literally about to explode” and it’s hard to argue with that assessment given the troops that are amassing behind the mobile operating system. Dell is the latest to enlist with an Android smartphone and Motorola’s Droid is the highest profile device, but it’s the total sum of converts that’ll make 
the difference.
Android is beginning to swamp the mobile market and it’s going to be very interesting to see if other operating systems—namely Apple’s iPhone OS and RIM’s BlackBerry OS—can hold or gain market share as Google’s OS infiltrates multiple devices. In many respects, the Android strategy to be on every device is similar to the early days of the Windows-Mac war. Microsoft enlisted multiple PC partners to swamp Apple to make Windows the dominant operating system. Will there be a mobile replay here with Android? Operating systems that are tethered to one device are going to be swamped from all sides by Android’s army. It’s hard to envision 2010 and not call it the year of the Android device.
“You have all the necessary conditions. You have the vendors, you have the distribution, and so forth,” said Schmidt on Google’s third quarter earnings conference call last month. Simply put, Android is amassing all the ingredients that Microsoft used with Windows way back when.
Meanwhile, the Android army is beginning to advance. To wit: Dell (right), Motorola, Garmin, Verizon, HTC, Barnes & Noble, LG and Samsung are just a sampling of companies making bets on Android. As these companies roll out what is likely to become hundreds of devices over the next few years at least a few of them will be hits. Motorola is expected to ship 1.3 million Droid devices in the fourth quarter, according to Morgan Keegan analyst Tavis McCourt.
Special report: DROID takes on iPhone
- With Motorola Droid, Verizon puts doubts about Google Android platform to rest
- FAQ: Android 2.0 and Droid
What’s also notable is how Android is playing overseas. For instance, Dell isn’t playing ball in the U.S. It’s going right to where the growth is: Asia and Brazil. Perhaps Dell will flop as a smartphone provider, but it won’t go down without advancing Android’s cause somewhat.
All of these troops make big predictions for Android market share entirely plausible. Gartner said that Android only had 1.6 percent of smartphone platform market share in the first quarter. However, the picture in 2012 will look dramatically different.
Gartner analyst Ken Dulaney noted at the research firm’s IT Symposium last month:
Expected improvements in the Android environment backed by the power of not only Google’s search engine, but from their other up and coming consumer (for example, maps) and enterprise products should make this a dominant platform. Potentially the integrative, open environment of Google could easily top that of the singular Apple.
By 2015, Gartner predicts there will be three dominant platforms and several niche players. Given the army that Android is amassing it’s realistic to predict that the open source mobile OS will make the cut.
Also: Android opens doors for Google’s next-gen search, ads and tools
November 13th, 2009
Dell launches Android smartphone; Inks China, Brazil carrier deals
Dell officially hatched its grand smartphone plan and it’s focused on emerging markets and the Android operating system. The company confirmed its plans to launch smartphones in China and Brazil.
In a statement Friday, Dell said it will distribute its Mini 3 smartphones through China Mobile, the wireless behemoth in China. In Brazil, Dell has inked a deal with Claro, which has more than 42 million customers.
The strategy makes a lot of sense. In the U.S. Dell would face a crowded field. In so-called BRIC countries (Brazil, Russia, India and China) the growth pie is big enough to support multiple players and new entrants such as Dell. For instance, China Mobile has 500 million customers.
Gallery: Dell calls on its new Mini 3 smartphone
The other notable wrinkle here is that Dell’s Mini 3 smartphones run on Android. The Mini 3 will be available in late November on China Mobile and by the end of the year on Claro. In a blog post, Dell said:
With Android, we’re designing these initial Mini 3 phones to provide power, flexibility and customization to both our customers and to carriers around the world.
It remains to be seen whether Dell can be a smartphone contender, but if it’s going to be successful the emerging markets are the best place to start. Indeed, Ron Garriques, president of Dell’s consumer group, is familiar with emerging market turf since he led Motorola’s efforts abroad.
Dell said the moves solidify its “continued expansion into mobile Internet products.” Dell already has a bevy of netbook deals with various carriers around the world. Rumors of Dell’s move into smartphones have circulated for months. Dell CEO Michael Dell talked about the company’s smartphone plans on an earnings conference call in August.
Also see: Dell alleged smartphone move into China: Not as crazy as it sounds
And the images:
November 11th, 2009
Garmin plots Android phone
Garmin is planning an Android-powered phone in 2010.
The company laid out the plans on a presentation that went with its third quarter earnings call. The find, noted by GSM Arena earlier this week, highlights that Garmin is serious about the Nuvifone, which has questionable prospects and decidedly mixed reviews. Neowin notes that the Nuvifone has Windows Mobile and Linux versions, but little traction thus far.
Reviews of the Garmin Nuvifone G60 (AT&T)
Here’s the slide regarding the Android plans:
There was little else mentioned about the Android plans on Garmin’s earnings conference call. The big question is whether Android will make much of a difference for Nuvifone’s adoption.
November 11th, 2009
Wi-Fi hotspot connection count to hit 1.2 billion
There will be 1.2 billion Wi-Fi hotspot connections worldwide by the end of 2009, up 47 percent from a year ago, according to research firm In-Stat.
The count comes as Google and Yahoo are pushing free Wi-Fi connections as holiday gifts and promotional vehicles. Meanwhile, telecom carriers are also hot on hotspots.
In-Stat notes that mobile operators are pushing hotspots to offload the stress on their taxed 3G networks.
Among the key figures:
- Worldwide hotspot venues will reach 245,000 locations in 2009;
- AT&T will have usage growth of 500 percent in 2009 compared to 2008;
- Wi-Fi deployments are ramping in China.
November 11th, 2009
Five best smartphones for business 2009
The number of smartphone choices on the market is exploding. TechRepublic wants to help IT leaders pinpoint the top smartphones for workers who need serious productivity. This episode of CIO Sanity Savers counts down 2009’s five best smartphones for business.
November 10th, 2009
Samsung launches 'Bada' open mobile platform; is it too late to the game?
Electronics behemoth Samsung on Tuesday announced the launch of its own open mobile platform, named “Bada,” set for December.
The mobile platform will allow developers to create applications for millions of Samsung mobile phones. The question is whether developers really desire yet another mobile platform to manage.
November 9th, 2009
Sprint to cut 2,000 to 2,500 jobs
Sprint Nextel said it will cut 2,000 to 2,500 positions in the fourth quarter in an effort to save $350 million.
The cuts will be completed by Dec. 31.
According to a statement, Sprint will cut jobs across the company, including its wholesale unit and contractors. The company said the cuts won’t impact customer service, something the Sprint has been trying to improve. Nevertheless, Sprint said call volume has decreased so it has discontinued 27 call centers.
Sprint will take a fourth quarter charge of $60 million to $80 million. The layoff news comes as Sprint will reportedly sink another $1 billion into Clearwire.
November 9th, 2009
RIM announces app payment platform, Adobe partnership, OpenGL ES support
Research in Motion announced several advancements at its 2009 BlackBerry Developer Conference on Monday, including a new application payment platform, tighter integration with Adobe products and OpenGL ES support for version 5.0 of its mobile operating system.
November 9th, 2009
Google picks up AdMob for $750 million; Targets mobile display ads
Google said Monday that it will acquire mobile advertising company AdMob in a deal valued at $750 million in stock.
The search giant said the purchase will “enhance Google’s existing expertise and technology in mobile advertising.” See Google blog and statement.
With the move, Google is making a big bet on mobile display advertising. Google, which already occupies the market for mobile text ads, appears to be purchasing AdMob in an acquisition akin to its DoubleClick purchase. The message: Google wants to be a big display ad player on the Internet and mobile.
With AdMob, Google acquires a suite of mobile tools including an ad marketplace, analytics and metric tracking.
In a statement, Google Susan Wojcicki, vice president of product management, said AdMob has made “exceptional progress” in a short time in mobile advertising.
November 3rd, 2009
Survey: mobile access to files is critical to small business
Egnyte, a provider of online file server products targeted at the mainstream, wants to provide the same tools and resources the growing number of savvy small business owners that are provided to large enterprises - and that includes mobile access to their files.
Today, the company is unveiling Android and Blackberry apps to add to the iPhone app previously released. It’s also releasing the findings of a survey that it commissioned that found that half of all small businesses are using mobile devices to conduct business and that the majority had been in situations where they needed access to their files while in transit. In a statement, the company said:
Egnyte’s on-demand file server enables both Mac and PC business users to have online file storage, file sharing capabilities and automatic backup in one solution. The new interfaces, which require no additional software installation on the device, leverages a mobile drive — “m Drive” — that lets mobile users access all of their data stored via the Egnyte file server.
Among small business owners, the Blackberry is considered to be most innovative smartphone device available today, with 48 percent of the respondents naming it. In second place was the iPhone, with 29 percent. Google’s Android, which is just starting to branch out in to multiple device and carriers, were rated last with just 3 percent.
Other findings included:
- The biggest challenge to small business owners is slow access to data while out of the office (36 percent).
- A quarter of the small business owners surveyed are hungry for better phones with more advanced features and said they will upgrade their smartphone in the next six months.
- Half said they use their smartphones to conduct business while 13 percent use a smartphone more than they use a computer.
- The most important factors for a business owner’s mobile strategy is access to data (68 percent) and security (56 percent).
- 88 percent view mobile data access as critical for the success of their business.
November 2nd, 2009
Analyst: Big on Motorola, Android; no love for RIM, Palm
Citigroup analyst Jim Suva said in a note this morning what I’ve been saying for some time now - Google’s Android is going to be the “it” smartphone platform in 2010 while Palm’s WebOS and RIM’s Blackberry just don’t have the wow factor - for now - that it will take to compete in the smartphone wars.
Specifically, Suva was bullish on Motorola, which has placed its bets on Android for a turnaround of the struggling handset business. According to a post on the Tech Trader Daily blog, Suva sees Motorola putting some heat on the competition, including Apple’s iPhone. In his note, Suva wrote:
Motorola is launching of one of the most compelling offerings at [a] time when many investors have given up on the company’s handsets. The revolution of product and application service offerings is going to start to crack open the enterprise door and could pose a risk for BlackBerry. Major shifts in promotion support creating a promotion commotion in the months ahead of favor of Motorola and post a challenge for RIMM and PALM.
Suva raised his price target on Motorola and cut his targets for RIM and Palm. Shares of Motorola were up nearly five percent in mid-day trading while shares of Palm were mostly flat and shares of RIM were down more than five percent.
Related coverage:
Motorola bullish on Android, Motoblur rollout in 2010
Motorola’s big Android bet kicks off
Android opens doors for Google’s next-gen search, ads and tools
Motorola: Android device launches get us back in the smartphone game
October 29th, 2009
Motorola's Jha clarifies MotoBlur, Android 2.0 conundrum (Cliq vs. Droid)
Anyone that has played around with Motorola’s latest Android devices—the Cliq and Droid—stumbles across a few questions about the company’s savvy MotoBlur software vs. Android 2.0.
Motorola’s MotoBlur software, which aggregates contacts and pushes data to the user via widgets on the home screen, dominates the Cliq. On the Droid, MotoBlur is a no-show since Android 2.0 takes care of a lot of the problems MotoBlur was designed to solve.
Here’s MotoBlur at work on the Cliq (review, gallery):
And Android 2.0 on the Droid (review, gallery, all resources):
The big question: What becomes of MotoBlur and is it outdated already?
Motorola co-CEO Sanjay Jha clarified a good bit on the company’s earnings conference call. Jha indicated that MotoBlur has a big future for Motorola, but the software will be used in multiple ways.
Also: Motorola delivers profit; Android-powered future awaits
“MotoBlur will not be on Droid,” said Jha. “[The Droid is] what we call a Google experience device.”
Most of Motorola’s devices will be built on Android, but won’t be as tightly integrated with Google services. “We will have MotoBlur devices on Verizon,” explained Jha. “MotoBlur will be on the vast majority of our devices.”
Over time, MotoBlur will be used to “address other experiences.” Jha added that “there has been good consumer response to our experience.”
It’ll be interesting to see how the MotoBlur-Android 2.0 conundrum plays out. In many respects, Android 2.0 makes MotoBlur somewhat redundant. Over time, MotoBlur may play more in the low-end smartphone and feature phone market while Android 2.0 and “Google experiences” will be reserved for the higher end.
October 29th, 2009
Motorola delivers profit; Android-powered future awaits
Motorola reported a slight third quarter profit and projected better-than-expected fourth quarter earnings. But Motorola’s real prospects going forward will depend on how many Android devices it can sell. Sanjay Jha, co-CEO of Motorola, said the company met its commitment to deliver Android devices. Now consumers just have to show up.
In many respects, Motorola’s third quarter is anticlimactic (statement). The results—a profit of $12 million, or a penny a share—reversed a loss from a year ago and topped Wall Street estimates for a break-even quarter. Excluding a charge, Motorola had a profit of 2 cents a share. Revenue for the third quarter was $5.45 billion, down from $7.48 billion a year ago.
Meanwhile, Motorola projected fourth quarter earnings between 7 cents a share to 9 cents a share excluding charges. That outlook was better than the 6 cents a share profit Wall Street expected. The company also named Edward Fitzpatrick, acting CFO, as CFO.
Motorola remains a tale of two companies. A broadband and wireless mobility gear unit and the recovering device division.
But given the Droid launch on Wednesday most of the Motorola focus is on new devices. On a conference call with analysts, Jha described the launch of the Droid and Cliq as the first step in revamping Motorola’s smartphone lineup. “These devices have what is required in a smartphone today,” said Jha, who added that Motorola will continue to closely collaborate with Google and Android developers.
Also see: The Droid assault begins
See full review and hand-on gallery. Plus: All Droid resources
Jha was asked whether Motorola will be prepared to meet demand if Droid is a big hit. Motorola has supply chain and component planning to account for dramatic upside in the company’s base demand scenario, said Jha.
“With our devices we’ll continue to offer differentiated functionality,” said Jha. He said MotoBlur, which integrates social contacts, will be weaved throughout the device lineup. He also added that MotoBlur will be used to solve other consumer problems in the future.
“In 2010 we will launch a variety of new devices,” said Jha. Jha added that Motorola’s financial performance will largely be driven by demand for its smartphones. He wouldn’t be pinned down on the timing of sustainable profits for the device unit and emphasized that Motorola will be focused on evolving the smartphone lineup. “I would be surprised if I don’t break even in one quarter in 2010,” said Jha.
By the numbers:
- Mobile device sales in the third quarter were $1.7 billion, down 46 percent from a year ago. The unit had an operating loss of $183 million.
- Motorola shipped 13.6 million handsets and had a market share of 4.7 percent.
- The home and networks mobility unit had sales of $2 billion, down 15 percent from a year ago. Operating earnings were $199 million, down from $263 million a year ago.
- Enterprise mobility sales were $1.8 billion, down 13 percent from a year ago. Operating earnings were $306 million, down from $403 million a year ago.
October 29th, 2009
Sprint loses money, more subscribers in third quarter
Sprint Nextel continues to lose money and subscribers.
The company said Thursday that it reported a third quarter net loss of $478 million, or 17 cents a share. That tally was 3 cents worse than Wall Street expectations. Revenue was $8 billion, down 9 percent from a year ago.
In addition, Sprint lost 135,000 retail subscribers (statement). However, Sprint said that its year-over-year post paid gross additions were a sign the company was headed in the right direction. Sprint has been saying that for a few quarters, but it’s unclear how long the Wall Street patience will last.
The big question: Is this blip something for Sprint to really get excited about?
As for the outlook, Sprint said it expects that subscriber losses should improve in 2009 from 2008. The company also expects sequential subscriber improvement.
By the numbers:
- Post-paid wireless churn in the third quarter was 2.17 percent compared to 2.15 percent a year ago and 2.05 percent in the second quarter. The uptick was due to “seasonality and heightened competition.”
- Prepaid churn—Sprint owns Boost Mobile—was 6.65 percent, down from 8.16 percent a year ago and 6.38 percent in the second quarter.
- Wireless service revenue in the third quarter was $6.3 billion, down 8 percent from a year ago.
- Sprint generated free cash flow of $664 million.
- The company has $5.9 billion in cash, equivalents and investments.
Larry Dignan is Editor in Chief of ZDNet and Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
For daily updates, follow Larry on Twitter.
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