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Analyst: News Corp.'s Google saber rattling really about MySpace
News Corp.'s alleged dance with Microsoft's Bing and Rupert Murdoch's big plan to de-index from Google is likely to be nothing more than saber rattling to secure a semi-respectable MySpace... Continued »
Category: AT&T
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
AT&T loses lawsuit over Verizon's map commercial
It was almost a gimme. The lawsuit that AT&T filed over a Verizon commercial that compared the 3G coverage maps for the two providers in the U.S. was such a joke from the beginning, it was hard think that a judge would rule against Verizon. 
Today, a federal judge in Atlanta declined AT&T’s request for a temporary restraining order that would have forced Verizon to pull the ads, according to a CNET report.
AT&T had argued that timing was critical because the holiday season, which is a sales period for mobile devices, was approaching quickly and AT&T felt that the commercials were misleading consumers. At issue was the colors on the maps to represent 3G coverage - the AT&T map had a lot of “blank space’ to represent areas in the U.S. that didn’t have 3G coverage.
AT&T didn’t dispute the accuracy of the maps and, in a court filing earlier this week, Verizon argued that the restraining order be denied because the maps were not factually incorrect. In short, Verizon said the ads were true and that the truth hurts.
Related coverage: Memo to AT&T: When you’re in a hole, stop digging
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
AT&T upgrades 3G in SF Bay Area; forgets Silicon Valley is part of region
updated below with response from AT&T:
I realize that I give AT&T a lot of grief over its investment in wireless 3G technology - and I realize I’ve written at length about it, as well - but I have to hand it to the company: it keeps getting beaten up and yet continues to pick itself up, dust itself off and keep a positive attitude about the things it’s doing to improve its network.
I was pretty ticked last year during my brief stint as an iPhone owner/AT&T customer, largely because I live in the technology capital of the world - a region known around the globe as Silicon Valley - and the service was sub-par, at best. So imagine my delight when I came across an AT&T press release that announced it had invested nearly $65 million in and is just about finished with 3G upgrades to the “greater San Francisco Bay Area.”
Previous coverage: AT&T’s 3G upgrade: It’s about time but is it too late?
Hallelujah, I rejoiced. For a split second, I imagined myself cruising up and down the 101 Freeway with a full-strength 3G-powered iPhone by my side.
But then I read the fine print. AT&T went out of its way to list the cities that were part of the upgrade. Of course, San Francisco is on that list - it is the “Big City” of the region and it only makes sense that it would be included. But imagine my surprise when only one Silicon Valley city - Palo Alto, home of Stanford University - was on that list. Not even Cupertino, home to Apple headquarters, is on the 3G upgrade list.
(Side note: When I worked at the San Jose Mercury News, Silicon Valley was defined by the newspaper as roughly as Santa Clara County, with the Dumbarton Bridge as its northern border. Again, this was a rough definition.)
Call it sour grapes if you’d like, but I can’t believe that AT&T is spending $65 million on upgrading 3G service in the Bay Area and leaves out the technology capital of the world. Maybe the demand in such a region still would have been too much for AT&T’s upgraded network. Maybe San Francisco (which, by the way, has a smaller population than San Jose) was a higher priority. Frankly, I don’t know what anyone at AT&T is thinking any more.
Oh well, I guess it just gives me another reason to stay locked into my Verizon account.
update:
I heard from the folks at AT&T today about this post and they wanted to offer a few clarifications:
The $65 million investment in the Bay Area, the company said, included upgrades to the entire 7-county region, including San Jose and Santa Clara County. The upgrades in the “South Bay” region were rolled out in late 2008 and early 2009 but those rollouts were never announced - they just happened, the company said.
Those upgrades, for the most part, involved the upgrade of some 850 cell sites with the launch of additional wireless spectrum in the 850 MHz band, which travels further and offers further capacity. There have also been about 40 new cell sites added in the region over the past year or so - with two more new cell sites using the 850 MHZ band scheduled for completion in San Jose before the end of the year.
Personally, I haven’t heard of any major improvements to the service in this area, based largely on conversations I have with folks from time to time, including one friend who dumped an iPhone about two months ago for a Sprint Blackberry because of the poor AT&T service.
The company did say that the network connections are in a constant state of refinement, with tweaks here and there. And it’s also worth noting that since 2008, AT&T’s network in the region has experienced a 3G data traffic increase of 2000 percent, the company said.
Related coverage:
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
AT&T plots compute cloud similar to Amazon Web Services
AT&T on Monday rolled out a cloud computing system that mimics the approach of Amazon Web Services.
Dubbed the AT&T Synaptic Computer Service, the telecom giant is offering on-demand computing via self-service. AT&T said its service will allow corporate customers to scale up computer requirements quickly. As corporate customers increasingly ponder Amazon Web Services, hosting providers and major enterprise IT players are racing to offer similar services. Simply put, many traditional enterprise IT players are likely to emulate Amazon’s on-demand computing cloud model.
The offering, outlined in a statement, is built on software from VMware and Sun Microsystems (Techmeme). Notably, AT&T will use the Sun Open Cloud Platform, Sun Cloud APIs and architecture.
The service will launch in the fourth quarter in the U.S. AT&T will offer international services in the future. AT&T’s feature list includes a portal to order computing power, multiple billing options, storage as a service, no feeds and a service level agreement for the platform.
The service comes in three server sizes:
- Small (1 CPU and 4 GB of memory)
- Medium (2 CPUs and 8 GB of memory)
- Large (4 CPUs and 16 GB of memory)
And the storage options:
- 100 GB of storage provided with each server image (on the same virtual infrastructure in the same IDC)
- Two supplementary storage options for an additional charge:
- Purchase up to 2 TB additional disk storage per virtual server
- Connect to AT&T Synaptic Storage as a Service
- 24×7x365 monitoring of the virtualized infrastructure
- Service level agreement of 99.9% for availability of the infrastructure
AT&T has been adding to its cloud computing lineup for the last year. The company didn’t reveal pricing for its compute as a service offering in its statement or Web site.
AT&T’s storage as a service offering costs 10 cents per GB of data transferred. If you have two copies of data in one location it’s 25 cents per GB. Two copies in one location and backup in another will run you 35 cents per GB.
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 3rd, 2009
AT&T sues Verizon Wireless, calls map ad "misleading" but doesn't dispute accuracy
AT&T has filed a lawsuit against Verizon Wireless over those “There’s a map for that” commercials - but not because AT&T is disputing the accuracy of those 3G coverage maps. (PDF of complaint) Nope, AT&T thinks that consumers are too dumb to differentiate between 3G and non-3G coverage and it wants those maps changed - specifically, the colors. (Techmeme)
The Verizon map is largely covered by red, meant to represent its 3G coverage areas. The AT&T map, by contrast, is sparsely covered by blue - meant to represent its 3G coverage - and has vast sections of the nation covered in white, representing areas without 3G coverage.
AT&T argues that the maps are confusing and that consumers are led to believe that there is no AT&T coverage of any kind in those white areas. From the complaint:
AT&T does not seek to stop Verizon from running its advertisements, nor does it seek to change the words Verizon uses in its advertisements. At this time, AT&T seeks only an order prohibiting Verizon from displaying, in the “Bench” advertisement, or in any other advertisement, a map of AT&T’s “3G” coverage in which AT&T’s non-”3G” coverage areas are depicted by white or blanks space. This limited relief is necessary to prevent consumers from being misled by the maps into believing that AT&T offers no wireless service in large parts of the United States. The Court should enter a temporary restraining order because Verizon should not be permitted to benefit from its misleading use of coverage maps while the Court sets a schedule for a preliminary and permanent injunction hearing, especially in light of the fact that we are approaching the busiest time of year for the purchase of wireless services.
Sure, Verizon could have been more creative with the colors - maybe using light blue for 2G coverage and dark blue for 3G, but why should Verizon go out of its way to advertise AT&T’s 2G coverage when it’s a commercial about 3G coverage? I could see if the commercial were about all of the services - but these commercials clearly show people doing things that need 3G, such as watching streaming video.
The funny part is that AT&T previously complained that a line about customers being “out of touch” and the ad was changed. But the company says it remains misleading.
So what have we learned here, from the filing of this lawsuit? Well, I know I’ve learned that AT&T’s 3G coverage in the U.S. looks a lot worse than I thought it did. I know I would be pretty upset if I were an iPhone owner living in middle America. And it appears that I made the right call when I decided to stay with Verizon Wireless.
You know what confuses me about this lawsuit? No one seems to be disputing the factual part of the ad - the 3G coverage areas. So the only thing AT&T really stands to accomplish with this lawsuit is to raise awareness about the spottiness of its 3G service outside of major metropolitan areas.
October 28th, 2009
Can Droid mask iPhone envy? Or will Verizon iPhone rumors keep users guessing?
I have made no secret of my iPhone envy - or my refusal to switch to AT&T just to own one. I also have been pretty forthcoming about how much I like Google’s Android mobile OS. Seriously, in my opinion, if there’s going to be a real contender for the iPhone, it’s going to be an Android device.
Today, there’s a bunch of excitement surrounding Droid, the Motorola Android phone gearing up for a Nov. 6 release through Verizon Wireless. Just reading Andrew Nusca’s initial look at the Droid, which was previewed at a press event in New York today and has landed in his hands for a review, has made me jealous.
The beauty of all of this is that my contract with Verizon is up, leaving me free to jump ship, get a promo price on a new device or just hang out month-to-month until I’m ready for the next plunge. Suddenly, Droid hits the scene and - just days after being out of contract - I’m suddenly ready to re-up and run out and buy a Droid when it hits the stores.
But wait… What’s this about an iPhone on Verizon?
October 22nd, 2009
AT&T cuts churn rate; Activates 3.2 million iPhones; Touts network upgrades
AT&T’s bet on the iPhone continues to work well. The company reported a better-than-expected third quarter, delivered post paid churn of 1.17 percent (a low for AT&T), activated 3.2 million iPhones and boosted data revenue by 33.6 percent.
The telecom giant on Thursday delivered net income of $3.2 billion, or 54 cents a share, on revenue of $30.9 billion, down from $31.3 billion a year ago. Wall Street was expecting earnings of 50 cents a share. If you’re an AT&T customer you may be more interested in AT&T’s update on its infrastructure improvements. The company added that dropped calls declined by 12 percent.
As usual, AT&T was powered by its wireless unit, which represents 44 percent of total sales. Among the key wireless data points (statement, financial supplement, quarterly overview, presentation):
October 20th, 2009
AT&T encourages employees to speak out against net neutrality
AT&T’s top policy exec - aka lobbyist - has turned to AT&T employees for a last-chance campaign to flood the FCC with anti-net neutrality messages. In a memo that’s starting to circulate around the Internet, Senior Executive VP Jim Cicconi tells encourages the employees, their friends and family to “join the voices telling the FCC not to regulate the Internet.”
He suggests that employees use their personal e-mail accounts - so as to not be identified as AT&T employees, one might presume - to join the discussions on the FCC’s site, which is taking public comments on proposed network neutrality rules that will be subject of the commission’s meeting on Thursday. Cicconi writes:
Those who seek to impose extreme regulations on the network are flooding the site to influence the FCC. It’s now time for you to voice your opinion!
The memo reeks of desperation on the part of AT&T, which has put itself in the spotlight as the anti-net neutrality poster child. Most recently, the company has said that if the FCC insists on net neutrality rules that Web companies such as Google also deserve some scrutiny because, as content delivery networks, they serve as gatekeepers to the Web alongside broadband service providers.
In his letter, Cicconi goes on to list possible talking points - including a “if it ain’t broke, then don’t try to fix it” argument - that employees might consider when expressing their opinions, or rather the opinions of the company. (Here’s a thought, JIm: Why not just ask the employees for their personal e-mail addresses and then have your staff pull a couple all-nighters so they can rotate these talking points and make sure that the FCC sees the number of reasons why “regular people” are against net neutrality.)
The memo is posted in its entirety on the Actuarial Outpost blog. The Washington Post confirmed its authenticity with AT&T.
October 19th, 2009
Web powerhouses to FCC: We support open Internet
The Internet’s big guns have signed their names to a letter of support for a continued open Internet, sending it to the FCC this morning, just days before the agency is slated to vote on network neutrality rules.
The letter is actually from the Open Internet Coalition, a membership group devoted to keeping the Internet “fast, open and accessible” by Americans. But the letter itself has the support of - and signatures of - 27 top technology company executives, including Google CEO Eric Schmidt, Twitter co-founder Evan Williams, Skype CEO Josh Silverman and Amazon CEO Jeff Bezos.
In the letter, the coalition writes:
For most of the Internet’s history, FCC rules have ensured that consumers have been able to choose the content and services they want over their Internet connections. Entrepreneurs, technologists, and venture capitalists have previously been able to develop new online products and services with the guarantee of neutral, nondiscriminatory access by users, which has fueled an unprecedented era of economic growth and creativity. Existing businesses have been able to leverage the power of the Internet to develop innovative product lines, reach new consumers, and create new ways of doing business.
The debate over net neutrality has long been a complex one, including a recent back-and-forth between AT&T and Google. The position of the broadband service providers, including AT&T, is that open and free rules should apply to everyone, not just the providers. They say that a company like Google - as a content delivery network - is just as much an Internet gatekeeper as AT&T, which manages a pipeline.
But the Washington Post has reported that the FCC is more interested in violations of telecommunications laws than with potential net neutrality violations and that FCC Chairman Julius Genachowski is pushing for net neutrality rules that would focus more on broadband providers and less on web companies such as Google.
October 16th, 2009
Android opens doors for Google's next-gen search, ads and tools
There’s no question that there’s been some pretty astounding growth around Android, Google’s open-source mobile phone operating system. A year ago, there was only one Android device out there - the T-Mobile G-1. Today, Android is powering 12 devices in 26 countries with 32 carriers - and there’s more on the way.
During the company’s quarterly earnings call with analysts yesterday, CEO Eric Schmidt said it plain and clear: “Android adoption is literally about to explode.” And he may be right. Earlier this month, Gartner predicted that Android - which currently runs on less than 2 percent of all smartphones - will power 14 percent of the global smartphone market in 2012.
That would make Android second only to Symbian. Yes, that means it would surpass the iPhone, Blackberry, Windows Mobile and others.
The key, in part is the applications. Apple has already proven that the app experience is a winner in mobile devices. So far, there are about 10,000 applications for Android and its touch-screen interaction is probably the best I’ve experienced aside from the iPhone. (FTC disclosure: Google gave attendees at its last developer’s conference a free Android phone. I picked one up and activated my own pre-paid account to take it for a test drive.)
Also see: Android bolsters its app market as device lineup swells
Android has good engaged base for future app growth
For other consumers to experience Android, it’s important to get the devices into as many hands as possible. Unlike Apple, which has one device on one carrier in the U.S. (but other carriers worldwide), Google is offering multiple devices across multiple carriers, including a major launch with Verizon earlier this month. Once the devices - which have deep ties to Google’s other services, such as Mail, Maps and Search - go mainstream. Google will be positioned to capture a lead in the mobile search advertising business.
Execs yesterday boasted that mobile searches grew 30 percent quarter over quarter. It was interesting to hear them acknowledge that it’s not always obvious how the company’s big investments tie together. But there are connections. On the call, CFO Patrick Pichette said:
The combination of the Android platform with all the smart phones and the momentum in there, as well as the iPhone and the rest of them, I mean, they’re just basically transforming how people live on a mobile basis… If we move forward the adoption of these smart phones by having a lower cost infrastructure because it’s open-source and you bring that, instead of taking seven years—I’m just kind of giving an illustration—all this happens in four years. Think of all the searches that will happen so much faster. So the ecosystem is incredibly vibrant right now and truly what’s interesting about these phones is there are a lot of new types of searches because you are location-specific, you are activity-specific, you are local-specific. Just a new set of areas that are to create a new set of monetization opportunities.
So, to be clear, we’ve got location-specific, activity-specific and local-specific searches being conducted on mobile devices. You also have the Internet’s No. 1 search engine integrating its own services - such as search - directly into the phone’s operating system. At the same time, the mapping application - where many of those location-based queries occur - is also deeply integrated.
And finally, don’t forget that Google is working hard on new advertising products that allow businesses to reach out to and find customers wherever they may be (even if it’s at a red-light down the street) and provide them with turn-by-turn directions on how to reach that business and a link to launch a Google Voice call to that business.
Put it all together - search, maps, voice and a mobile operating system that probably has the best chance of truly challenging the mighty iPhone - and I’d be bullish, too.
It’s no wonder that Schmidt thinks Android is about to explode.
Also see:
- Is the Google Android platform the upcoming smartphone of choice?
- CTIA: Android and Apps everywhere
- LG goes Android, but Google’s mobile OS is still swimming upstream [video]
- Motorola bullish on Android, Motoblur rollout in 2010
- It’s official: Google and Apple are competitors (especially in mobile)
- If everyone bets on Android does anyone get an advantage?
October 15th, 2009
AT&T to FCC: Close loopholes and write rules that apply to Google, too
AT&T has taken off the boxing gloves in its fight with Google over the Google Voice service and proposed Net Neutrality rules. In a letter to the FCC (PDF) this week, AT&T went on the attack to portray Google as a big powerful company that’s trying to fool the FCC into believing that the rules shouldn’t apply to it.
In the letter, AT&T is still trying to cover all of its bases. That means that, at times, it’s hard to follow which arguments it’s trying to make - the one about Google Voice or the one about net neutrality. And it doesn’t help that it stooped a little too low by referencing a convent of Benedictine nuns in a list of those who were handicapped by having calls to their numbers blocked to and from Google Voice numbers. Just mentioning an ambulance service, health clinic and school - which were also in the list - would have been sufficient.
AT&T, of course, is trying to make the larger point. The net neutrality rules will likely be in place for some time. AT&T wants to make sure that the FCC closes the potential loopholes for Google - such as being able to call itself a “Web service” to avoid being regulated as a telecommunication service.
I’ve long argued that Google Voice is a Web service, not a phone service, because it needs a working landline or cell phone to process the call. AT&T recognizes that, too, and notes that - regardless of how it does it - Google Voice processes a “PSTN-to-PSTN” call and therefore falls under the jurisdiction of the FCC.
Here’s the part where AT&T is making sure that it covers all bases:
And even if some aspects of Google Voice do not qualify as a telecommunications service as Google alleges, they would nonetheless qualify as an “information service” under the Communications Act because they would offer a “capability for generating, acquiring, storing, transforming, processing, retrieving, utilizing, or making available information via telecommunications.” These services are thus no less subject to FCC jurisdiction than is broadband Internet access service, which is an information service.
This, of course, is the argument that those “open and free” rules should apply to everyone, not just AT&T, Comcast and other broadband pipeline operators. In AT&T’s opinions, Google - as a content delivery network - is just as much a gatekeeper of the Internet as AT&T, which manages the pipeline. It used to be that the ISP was also the provider of the content (remember AOL?) but those days have largely gone away as people get Internet content from Google searches or sites like Yahoo Finance.
Anonymous sources told The Washington Post, however, that the FCC is more interested in violations of telecommunications laws and not as concerned with potential violations of net neutrality. Separately, the Post Tech blog also reported that FCC Chairman Julius Genachowski is pushing for net neutrality rules that would focus more on broadband providers - the cable companies and telcos - and less on web companies such as Yahoo and Google.
With the cards stacking up this way, it’s no wonder that AT&T is going on the attack, pulling out the nuns and covering all bases. This is pretty much that last Hail Mary pass to the FCC before the big vote next week.
October 13th, 2009
Google Voice growth spurt coming with "Invite a Friend" invitations
There’s strength in numbers.
And Google Voice - the controversial service that’s put Google, Apple. AT&T and the Federal Communications Commission into recent headlines - is about to experience a growth spurt.
Until now, you could only become a Google Voice user through an invitation from Google, not people like me who are already Google Voice users. Now, Google is going to give guys like me - users who sing the praises of GV - the power to extend invitations to friends.
No, I don’t have invitations to hand out yet. (So, please refrain from asking.) Google said in a blog post that the “Invite a Friend” will be rolled out to existing users. It didn’t say how many invitations each user would receive. 5? 10? 100?
Google Voice, you’ll recall, is a Web service that allows users to have one phone number for life and forward calls to that number to (almost) any landline or mobile phone number. Without a secondary number to route calls to, it’s just a voice mail service.
Most recently, AT&T and lawmakers have called for the FCC to investigate Google Voice and the rules it must follow. Is it a telecommunications service or a Web service. This follows an FCC inquiry about the rejection-that-really-wasn’t-rejected GV app for the Apple iPhone, which, of course, is powered by AT&T.
Google co-founder Sergey Brin, speaking about the government’s Apps.gov initiatives and Washington’s private Google cloud, said that the more familiar people in Washington are with Google’s cloud apps, the more likely they are to shape policy that reflects that familiarity.
Sounds like a good time to send more invitations and get some folks in Washington - and elsewhere - equipped with an account.
October 9th, 2009
Lawmakers to FCC: Time for a closer look at Google Voice
There’s been yet another twist in the ongoing drama surrounding Google, AT&T and the FCC.
Washington lawmakers from both sides of the aisle have asked the FCC to launch a formal investigation of Google Voice, specifically Google’s blocking of calls to certain rural exchanges, according to a Reuters report. Last month, AT&T sent a letter to the Federal Communications Commission, crying foul because Google blocks calls to exchanges that route certain types of calls, such as adult chat lines, because they charge excessive fees.
According to AT&T’s reasoning, Google is acting like a telecommunications company because it’s connecting calls. And as a telecommunications company, it’s subject to laws that prohibit a carrier from blocking access to numbers. Google, of course, says it’s not a telecommunications company and is not subject to the same regulations. In that sense, Google is right. It’s a Web service that doesn’t even work unless it’s linked to a landline or wireless phone. As a stand-alone service, it is incapable of placing and receiving phone calls.
Clearly, AT&T has an issue with Google Voice, which is making it harder to believe that it’s not involved in the other Google Voice controversy - the alleged rejection by Apple of the Google Voice app for the iPhone. Google has said publicly and in a response from FCC questioning that the app had been rejected. Apple disputed that claim, saying that it is still reviewing the app. AT&T has said from the beginning that it has had no influence over Apple’s rejection or acceptance of the app.
But now I can’t help but wonder if there’s something fishy going on behind the scenes. I originally bought into the claim that AT&T had no say in the Google Voice app - but now I’m starting to feel very naive and suckered. Maybe it is a good idea for the FCC to launch a full-fledged investigation. If there’s funny business going on - or if companies are lying to federal officials - that’s something that needs to be looked into.
Also see:
October 8th, 2009
CTIA: Qualcomm, AT&T execs reflect on Mobile's past, future
In many ways, it may feel like we’ve “arrived” when it comes to wireless technology. But Drs. Irwin and Paul Jacobs, the father-and-son duo who run Qualcomm, pointed out during a chat with CTIA President Steve Largent this morning that the industry has seen major changes over the decades and will continue to see more as mobile devices evolve from being phones to being portable computers.
These days, it takes a cooperated effort to deliver a flashy new device that delivers ground-breaking technology. You’ve got the combination of the hardware itself and the designs that make it appealing to consumers. You’ve also got the software, the operating system and applications that give the users the functionality to interact with the device. And you’ve also got the network - a battleground that’s vital because, as we’ve said here before, you can have the coolest device in the world but if it’s running on a crappy network, you’ve got a flashy cool brick.
But it’s not just mobile phones that has the Jacobs duo excited. When you consider what’s happening with devices like the Amazon Kindle e-book reader - where whole books magically transmit over the network to appear on a screen - or GPS devices, which can update themselves to reflect changes in traffic or shuttered businesses. Dr. Irwin Jacob joked that he’d like to see a device in his lifetime that will recognize people who are in the same room with him and provide him with a quick recap on this person and what he has been up to - you know, like the stuff we share on our Facebook pages.
That would be kind of nice for those of us who are better with faces than names.
The two also noted that spectrum is very much an issue, just as FCC Chairman Julius Genchowski referenced in his own keynote speech yesterday. Dr. Irwin Jacobs said that, at Qualcomm, the engineers have just about pushed the limits on spectrum efficiency and said that the trends to use more and more data are only going up.
During a keynote yesterday, AT&T Mobility CEO Ralph de la Vega referenced those mobile broadband hogs, those who use so much that they’re creating an unfair climate for those who don’t use it a lot. Dr. Paul Jacobs chimed in on that topic by saying that some sort of “traffic shaping” was probably going to be necessary at some point. That’s different from giving the networks the ability to pick and choose which services run over their networks - the infamous Net Neutrality debate. Instead, the carriers need to come up with a system for monitoring and shaping traffic, After all, the demand is only going to increase.
Speaking of increasing demands, I have to say that I sat through two AT&T keynote sessions this week and couldn’t help but notice that, in both instances, AT&T was going out of its way to point to the fast growth in data-usage. The problem was that the company execs on stage didn’t seem to be offering this data to point out trends. Instead, they seemed to dwell on that fact that such rapid growth, accelerated by devices such as the iPhone and other smartphones, had taken a toll on its network and how it’s working hard to invest and innovate in next-generation technologies.
Because I don’t have an iPhone, I can’t speak to the service quality inside the San Diego Convention Center or even in the neighboring Gaslamp Quarter, which houses most of the hotels where attendees are staying. But, at one point during AT&T CTO John Donovan’s keynote speech this morning, I couldn’t help but think that AT&T was focused so much on the heavy data usage tapping the network that the company could have just posted a banner outside the convention center that read, “We’re sorry our network sucks but it’s not our fault - you people are using it too much.”
It would have been just as effective.
October 7th, 2009
Dell reportedly on Android bandwagon with AT&T
Dell is reportedly planning to make an Android-based phone for AT&T’s network.
According to CrunchGear, citing a tipster, and the Wall Street Journal, citing “people briefed on the plans,” Dell is making a touch screen phone that will run on Android.
The phone will be similar to one showed off in China in August.
The larger question is whether consumers will be clamoring for a Dell phone. Will Dell be a mobile phone success?
More:
October 7th, 2009
Are you a mobile broadband hog? Should that be your problem?
Should mobile broadband be preserved, much the same way people are interested in conserving energy and saving the environment?
During a keynote speech at CTIA, AT&T Mobility CEO Ralph de la Vega spoke about the state of the wireless industry and the trends that we’re seeing in mobile. For the most part, he focused on growth in things like investments, data usage and the projections for coming years.
But he also chimed in with a message that we’ve all heard repeatedly - some people are mobile bandwidth hogs and, unless the broadband is better managed, a few heavy users will crowd out other users who want to connect, as well.
In his speech, de la Vega noted that, among AT&T smartphone users, the top 3 percent of the users are using 40 percent of the data. But, unlike fiber, which has a much greater capacity (25 million mbps) than even the forthcoming 4G LTE broadband capacity (100 mpbs). That means that the broadband needs to be managed so that everyone can take advantage of it.
I’ve heard this before but still have a hard time coming to grips with it.
Specifically to AT&T, I have issues with a company that has gained so much through its lucrative exclusivity with Apple and the iPhone. AT&T continues to sell the iPhone and sign up new customers for an unlimited data plan - but then cries about its network being stretched thin.
What did you expect? Your partner there - Apple - is pushing apps of all kinds, music streaming, video, online gaming and now VoIP. Of course it’s stretched thin. Now, you’re facing a data crunch. The network was ill-equipped before and now, as more and more people are being exposed to the things that can be done over the mobile network, you want to highlight the heavy users as the bad guys? That’s not very fair.
The mobile carriers are offering unlimited data plans to get those customers to sign those two-year contracts. Now, it sounds like they don’t want us to use them. If I stream Pandora all day or catch NFL Mobile video clips on Sunday afternoons or upload photos to share with my Facebook friends, I shouldn’t have to worry about being labeled a mobile broadband hog. I pay my bill every month for unlimited usage. Repeat: unlimited.
If AT&T or any other carrier is feeling the pinch, then it probably needs to fast-forward its plan to increase capacity. Don’t expect me to pay for an unlimited access plan and then feel bad about using it.
Also see:
- Gallery: Sights from CTIA Wireless I.T. & Entertainment Show
- AT&T plans 3G upgrade; Promises ‘considerably’ faster mobile broadband speeds
- Android sucks oxygen from mobile broadband room
Sam Diaz is a senior editor at ZDNet. See his full profile and disclosure of his industry affiliations.
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