ZDNet Must Read:
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: Smartphones
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 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 5th, 2009
Will business users get onboard with the Verizon Droid? [podcast]
The Verizon Droid launches Nov. 6 amid a lot of hype and anticipation. It’s also being aimed at business users. We discuss how it measures up.
The Big Question is a joint production from ZDNet and TechRepublic. Larry Dignan is on vacation this week, so I have two guests: Bill Detwiler, Head Technology Editor for TechRepublic, and Andrew Nusca, an editor for ZDNet and SmartPlanet.
You can play this 25-minute episode from the Flash-based player at the top of the page or:
Stories discussed in this episode:
- With Motorola Droid, Verizon puts doubts about Google Android platform to rest (ZDNet)
- Verizon Droid: Doesn’t match iPhone, but brings Android out of beta (TechRepublic)
- Five interesting details about the new Verizon Droid smartphone (TechRepublic)
- What’s new in Android 2.0? (ZDNet)
- Can Droid mask iPhone envy? Or will Verizon iPhone rumors keep users guessing? (ZDNet)
- Will Droid do damage to the iPhone’s mojo? (ZDNet)
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 8th, 2009
Apple leads smartphone customer satisfaction
Apple is the top smartphone dog in both consumer and business satisfaction, according to J.D. Power and Associates 2009 rankings.
J.D. Power released a bevy of surveys gauging the satisfaction with traditional mobile phones and smartphones (statement). The surveys ranked vendors by whether consumers are using the phones for business or personal use. Apple led both categories.
Among smartphones used for personal reasons, Apple led the pack followed by LG and Research in Motion’s BlackBerry. Key factors for personal use include ease of use, operating system, features and designs. Here’s the breakdown:
October 6th, 2009
Verizon-Google changes mobile landscape; Customers have real options again
I had to take a moment to pause and think about this new Google-Verizon chumminess and their common, yet unspoken, quest to go after the Apple-AT&T relationship with the iPhone that includes today’s partnership news and a new ad campaign.
For those who don’t know, I am a Verizon Wireless customer who is currently using a loaner Blackberry Tour. I am also one of the Apple faithful who would rather be using an iPhone but refuses to pay more than $100 a month for the hit-or-miss AT&T service. (But that’s a rant you can read in a previous post.)
What really clouds the issue for me is that I also like Google’s Android mobile OS. I have been carrying around an HTC MyTouch device running pre-paid T-Mobile service for a couple of months now. The service is OK, at best, but the user experience with the software - and the deep integration of Google’s services such as mail, maps and search - is second only to the iPhone (Blackberry has a long way to go, in my opinion).
Yes, I’m a bit torn now - but here’s the good news. I’m torn because I suddenly feel like I have options. Real options.
As my colleague Larry Dignan pointed out in his own post this morning, there has been a trade-off between cutting-edge devices and reliability as a Verizon Wireless customer. (Sorry, the Blackberry Storm didn’t make the cut as a cutting-edge device for me.) Like him, I also stuck by Verizon Wireless and its reliable service over the flashiest new devices. And, in all honesty, I’ve just been holding my breath, waiting for Verizon and Apple to bust out with an iPhone announcement the second that the AT&T-Apple exclusivity deal ends, rumored to be sometime next year.
October 5th, 2009
Adobe has the iPhone surrounded with Flash, but security headaches loom
Adobe’s announcements that a full version of Flash is coming to every smartphone not named Apple iPhone leave me conflicted. Full-blown Flash can be a boon to the mobile Web, but has the potential to become one huge security headache.
First the happy talk (Techmeme, Adobe statement): A public beta of Flash Player 10.1 will be coming to Windows Mobile and Palm’s WebOS later this year. Next year will bring Flash betas to Google Android and Symbian phones. Research in Motion is also working with Adobe. Multi-touch Flash, accelerometer perks and other mobile goodies abound.
And from an tech vendor art of war perspective, Adobe’s news that full Flash capabilities are coming to Windows Mobile phones, Palm, RIM and Google Android phones is very interesting. Apple is the last mobile handset holdout when it comes to Flash adoption. Sure, the two parties are kind of sorta talking about Flash on the iPhone—and have been for months—but the effort isn’t going anywhere. Can Adobe force iPhone adoption by delivering up a Flash-powered mobile utopia on the small screen?
And then you trip over the big honking negative: Security. From a user perspective, Flash your mobile phone may be nice, but can also be a big drag. The patches, the vulnerabilities, the frequent upgrades and the potential monoculture headaches. Monoculture for our purposes refers to one dominant technology that pervades multiple fronts. Windows is a monoculture. Flash is a monoculture. Anything that’s a standard is a monoculture. The problem with monocultures: You can attack them and cause a lot of collateral damage because there’s no diversity.
Adrian Kingsley-Hughes nails it when he handicaps Adobe’s Open Screen Project that will be bringing full Flash to a mobile phone throughout 2010.
Flash Player is an absolute security nightmare on desktop PCs, and requiring endless updates. I’m not sure how thrilled I’d be to be faced with Flash Player updates on my smartphone every time I was to go browsing. If I’m paying per MB, on a dodgy connection (and chances are that one, if not both of these factors will come into play), I’d be even more upset. I know that the modern web relies heavily on Flash, but this announcement worries me because it’s creating a huge tech monoculture that’s ripe for attack. Unless Adobe is planning on beefing up security, this could be one of the worst things to happen to smartphone users.
Don’t believe Adrian. Check out the Flash vulnerability fiesta from Ryan Naraine and Dancho Danchev. Flash remains unpatched by most users, is frequently open to attack and outfits like Mozilla Firefox are trying to push folks to patch Flash for the greater good.
How many of you have bothered to patch anything on your mobile phone? Thought so.
And now we’re taking Flash to every screen. For Adobe, full-featured Flash on every mobile phone is huge. The rest of us may not be as thrilled about today’s happenings once the mundane processes such as frequent Flash patches take over.
September 30th, 2009
Podcast: Is $99 the new $199 for smartphones?
Here’s our first installment of a joint ZDNet-TechRepublic podcast called the Big Question. In it, we—Jason Hiner, Bill Detwiler and I—pick apart the following:
- RIM’s prospects in a price war;
- Palm as an acquisition target;
- And how the smartphone-feature phone lines are blurring so every phone is “smart.”
You can play this 21-minute episode from the Flash-based player at the top of the page or you can download the MP3 or grab it via RSS:
In October we’ll also be launching the podcast in iTunes and the Zune Marketplace.
September 28th, 2009
Could Microsoft fix Windows Mobile by buying Palm?
This is an excerpt of an article from ZDNet’s sister site, TechRepublic.
Consolidation is coming to the smartphone market. It’s simply a matter of when and how.
There are six big platforms vying for mainstream acceptance, and the market is likely to start weeding that number down to three to four over the next several years as all mobile phones become smartphones and as smartphones start replacing PCs for some users.
The platforms in the strongest position are the Apple iPhone and RIM’s BlackBerry. The platforms that have some momentum but are still vulnerable are Google Android and Palm webOS. The platforms that are most at risk and are struggling the most technologically are Nokia’s Symbian and Microsoft’s Windows Mobile.
The first major consolidation move could involve Palm. The company has been rumored as a buyout target for years. However, after struggling to survive while rebuilding its platform under the leadership of former Apple executive Jon Rubinstein, Palm has had a big year in 2008 with the arrival of its new webOS and the launch of its first webOS device, the Palm Pre.
Despite the fact that the Pre and the webOS have been warmly received by users and the press, Palm still faces challenges. In June, the Pre was launched exclusively with Sprint, the weakest of the U.S. carriers and an acquisition target itself. While Palm aggressively marketed the Pre with its modest resources, Sprint has not been nearly as aggressive.
Source: TechRepublic: Microsoft should buy Palm to resurrect Windows Mobile
September 24th, 2009
Report: Verizon says no to Palm Pre
If a report on TheStreet.com is to believed, things just took a turn for the worst for Palm.
TheStreet, citing “people close to the discussions,” is reporting that Verizon has had a change of heart about carrying the Palm Pre, a smartphone that was scheduled to arrive in January. Currently, the Pre is sold exclusively through Sprint - but the carrier’s struggle to compete with powerhouses AT&T and Verizon hasn’t helped Palm sell enough Pre smartphones to make an impression.
The sources also told TheStreet.com that Verizon may order a small number of Pres but offer little marketing of them. Instead, Verizon is focused on new Blackberry products as well as those built on the new Google Android operating system.
For Palm, the news could be devastating. The company said in its last earnings call that it was focusing all of its efforts on the new WebOS, which so far consists of the Pre and smaller Pixi. Part of its growth strategy included bringing its devices to other carriers.
Shares of Palm plummeted in the final minutes of regular trading, shortly after TheStreet’s report was published. Shares closed at $16.16, down nearly 5 percent.
Also see:
September 24th, 2009
Smartphones: Is image really everything?
If you want to conquer the smartphone market there’s a clear recipe to follow. Be smart, add a lot of hip and cool and stir in productivity. Bake in some marketing buzz and you can hold pricing and become a signature smartphone.
That’s the big takeaway from a report from Interpret LLC. The report, highlighted by Engadget and others, has been used as a data point in the revival of Palm. For instance, Palm rose off of its deathbed with the Pre and now is second in mindshare to the iPhone.
But if you’ve noticed Palm’s latest quarter and lumpy outlook you’ll find mindshare isn’t exactly everything. Price points, margins and sheer volume matter. Palm is a player courtesy of the Pre, but it remains to see if it can keep the hits coming. Nevertheless, it’s worth addressing the mindshare issue since it clearly saved Palm, which has been able to raise capital.
If you buy into Interpret’s findings it’s clear that smartphones are increasingly becoming fashion phones. The big question—left unaddressed by the report—is how long a mindshare edge can last. The question is huge when you consider that Palm may be a 2009 story, but there are no guarantees for 2010. Meanwhile, Motorola may be poised to be the mindshare gainer in 2010.
Interpret states in its report:
September 21st, 2009
Palm's growth plan: Can it work in a changing mobile market?
When Palm announced a new mobile operating system - WebOS - and plans for the first smartphone built on it - the Pre - at the Consumer Electronics Show back in January, the company became the darling of the industry. Here, after all, was the company whose name was once synonymous with mobile computing and it was gearing up for a new offering in the space it helped build.
But a funny thing happened in the time between the announcement and the actual delivery of the Palm’s new OS and device. Other players in this quickly-getting-crowded space were making announcements of their own, taking some of the steam out of Palm’s big splash.
Apple’s iPhone is still going strong, despite criticisms about its exclusivity with AT&T in the U.S. Research in Motion has enhanced the Blackberry lines with touch screens, sleek designs in fun colors and even a buy-one, get-one-free promo through Verizon. And Google’s Android is gearing up for a bigger presence among mobile carriers next year, thanks in part to manufacturers like Motorola, which is basically wagering the turnaround for a struggling handset division on the OS.
So where does that leave Palm?
September 14th, 2009
The 10 smartphones that emit the most radiation
One of the scariest unknown technology risks of this decade is the issue of radiation from cell phones. There’s still an open question about whether long term exposure to these mobile devices will cause damage or disease to human beings.
The Environmental Working Group has a comprehensive new study (download the full report as a PDF) that surveys the scientific research on cellphone heath risks and provides radiation data for most of the current cellphones in use. Here’s how the EWG explained the mission of its study:
September 14th, 2009
Sprint lures two from Verizon; new 'unlimited' plan seals deal
If Sprint thinks it can lure customers back by offering an unlimited everything plan for one flat rate, well… it may be on to something. This weekend, I became a Sprint customer again.
Last week, the company announced a new unlimited plan that includes, well, basically everything unlimited - SMS, MMS, 3G data (yup!) and, in a way, even voice. The plan, at $70 for an individual plan or $130 for a two-line family plan, includes unlimited mobile-to-mobile calling to any network - yup, AT&T, Verizon, T-Mobile and others. Landline calls and international calls are the only ones that eat from the monthly allowance of voice minutes. 
A quick history: The Verizon contracts for my wife and teen daughter’s phones are up and they’ve both been hinting that they’d like to do more with their phones - as in mobile web, as in a data plan and a smartphone. I’ve resisted because, under Verizon, the monthly bill takes a pretty steep hike but now we had some options.
My daughter spotted the Sprint flyer in, of all places, the weekly newspaper ads this weekend and started waving it around for me to see. Getting the hint, I first called Verizon to get a run down of my options on plans, promotions and so on. Verizon has good plans - but the deal-breaker is the monthly add-on for data. For a smartphone, it’s $30 extra per line; for mobile web access on a web-capable phone, it’s $20.
The Sprint option was interesting because it included unlimited everything. Te individual plan comes with 700 minutes but the family plan has 1,500 - more than enough, seeing how the pool only gets tapped from landline or international calls. We did some plan comparisons. And many of them were pretty competitive when you added unlimited data to existing voice plans - but that mobile-to-mobile across network lines just kept giving Sprint the edge.
Also see: Palm Pre weekend: Sprint could steal Palm’s moment
In the end, both wife and daughter ended up getting colorful Blackberrys that came with big rebates. Here was the one drawback about the Sprint experience. Neither wife nor daughter were big Blackberry fans. They just didn’t care for the rest of the offerings - not even the new Palm Pre and Palm Pixi.
As for me, I get two monthly bills now, instead of one. But, I also get to drop to a lower-priced plan for the Verizon account because two of the heaviest users of the family are leaving. I crunched some numbers and found that, when all is said and done, I’ll be saving money every month.
Icing on the cake.
Truth be told, the contract for my own account is also expiring and I’m free to move on if I’d like. But, I’m liking the Blackberry Tour I’ve been using (though I have big issues with its battery) and am still hoping that Verizon gets the iPhone and/or an Android device sometime early next year. I’ll hang out for a while and see what develops.
In the meantime, I’m looking forward to watching first-hand how teenagers use smartphones, instead of just reading reports about it.
Previous coverage:
September 11th, 2009
Friday Fun: Your Top 10(ish) alternatives to "smartphones"
This morning, I posted an entry about the evolution of smartphones - with the news hook being the arrival of the new Motorola Cliq, powered by Google Android. In that post, I noted that the “phone” feature on the device was secondary to other apps - notably e-mail and social networking. It stands to reason then that these devices should no longer be referred to as smart”phones,” right? But what to call them?
Many of you chimed in on the talkbacks but I was surprised by how many of you sent e-mails directly to me with your own suggestions. Some were kind of catchy. Others, of course, were kind of silly.
Here is the Top 10(ish) list of alternatives names for the new app-driven smartphones, as submitted by BTL readers:
Personal Communication Device (PCD) or Intelligent Communication Device (ICD)
Handbooks - First there were notebooks, then netbooks. Now come handbooks.
“Handys” - short for handhelds. It’s a term already in use in parts of Europe
A mid-23rd-century tricorder from Star Trek. (Credit: Wikipedia)
Portcom or Pocom, short for “portable computer.” Also, Pepocom, short for “personal portable computer”
Tricorder - someone was bound to mention it.
TID - Tangible Information Device
PMD - Personal Mobile Devices
IMED - Integrated Media Device
Mobile - plain and simple, as in “Where did I set down my mobile?”
MC (Mobile computer) or HC (Handheld computer) - playing off PC, the personal computer
BOGS - B(andwidth) (H)ogs
OYIIPA (Oh Yes It Is a Phone Also)
Personal Digital Assistant, or PDA. If it sounds familiar, that’s because that was the category for the original Palm Pilot-like devices - before they incorporated phones into them.
PIM was suggested twice, once as an acronym for Pocket Information Manager, the other as an acronym for Personal Idiot Machine
And, of course, as long as we’re playing with acronyms, let us not for get the Tangible User Research Device. You can figure out the acronym.
Clearly, that Top 10 list had more than 10 - but it’s Friday fun so it’s all good. Keep the great names rolling in.
September 8th, 2009
Smartphone apps are the technology world's new gold rush
There’s a lot of hyperbole about the expected growth of smartphones over the next three to five years, especially when you consider that in 2009 smartphones represent just 15% of total mobile phone sales. But, the X factor that’s changing the game and creating one of the hottest new trends in technology is smartphones evolving into an application platform.
The smartphone has arrived where it is today by taking the mobile phone and adding a qwerty keyboard plus “push” email and calendar functionality. But, the success of Apple’s iPhone App Store has demonstrated is that simple, functionality-focused applications can unlock a wealth of additional usefulness in the smartphone. Now, the race is on, as mobile vendors and application developers elbow each other in the ribs to gain an advantage in this potentially massive opportunity to capture audience, influence, and revenue.
Apple ran this ad after the App Store hit the 1 billion download mark on April 23, 2009.
Here comes the smartphone
September 1st, 2009
Review: How the iPhone 3GS stacks up as a corporate device
This was originally published on TechRepublic. You can read Jason Hiner’s blog at hiner.techrepublic.com and you can find him on Twitter as @jasonhiner.
The Apple iPhone is perhaps the best-known smartphone on the planet, drooled over by Apple lovers and consumer electronics enthusiasts, but how well does the latest model - the iPhone 3GS - stack up for business users? Here is TechRepublic’s unadulterated evaluation of the iPhone 3GS from a business and IT perspective.
For a full visual of the iPhone 3GS and a quick summary of its strengths and weaknesses, check out this short video clip, and then read the full review below:
August 28th, 2009
Will the FCC's inquiries about wireless market be a waste of time?
The wireless industry is about to find out what it’s like to be under Washington’s microscope. The FCC this week announced efforts to further study competitive landscape of the mobile wireless market and determine whether consumers have the necessary information they need to make informed decisions about mobile phones and mobile phone service.
The notices of inquiry announced by the FCC comes on the heels of replies from Google, AT&T and Apple over government’s inquiry surrounding the controversial Google Voice app for the iPhone. Earlier this month, word spread that Apple had rejected the Google Voice app - though Apple says it’s still “pondering” it. It was believed that the reason for a rejection of the app was because it cut into the voice service revenue stream offered by Apple partner AT&T. That’s not exactly the case, as I keep explaining in blog posts, but it was enough to spark some interest in Washington.
The announcements of the formal notices of inquiry are here, here and here.
Also see: FCC’s more proactive stance: Should we cheer or worry?
Washington has raised some questions earlier this year about exclusivity deals, such as the multi-year exclusive agreement between AT&T and Apple for service on the iPhone. In its notice, the FCC wrote:
Wireless mobility has become central to the economic, civic, and social lives of over 270 million Americans. We are now in the midst of a transition from reliance on mobile voice services to increasing use of and reliance on mobile broadband services, which promise to connect American citizens in new and profound ways. A robustly competitive mobile wireless market will be essential to realizing the full benefits to American consumers and channeling investment into vitally important national infrastructure. The FCC is seeking to ensure that competition in the mobile wireless market continues to bring substantial benefits to American consumers.
My biggest concern with the inquiries out of Washington, though, are that the FCC is reacting a bit too late and will move slowly - with new deals and new technologies coming out before any sort of conclusions are reached, potentially making the government’s issue a moot point.
August 27th, 2009
Dell alleged smartphone move into China: Not as crazy as it sounds
Dell earlier this week showed off a smartphone prototype called the Mini 3i to be sold in China. The big question: Does Dell have a chance in the smartphone market?
The company hasn’t announced anything yet, but there’s sure to be a smartphone question or two on Dell’s second quarter earnings conference call given the blog chatter. Dell is expected to report another so-so quarter with most analysts anxiously awaiting some transformational acquisition to shift the company’s business toward higher margin endevours (think services).
It’s odd that perhaps the most interesting item from Dell—whether the company is serious about a smartphone—will get the least amount (if any) of play. Wall Street will compare Dell to Thomson Reuters earnings estimates of 23 cents a share on revenue of $12.6 billion and move along.
Does Dell stand a chance in China? Yes. Why? Ron Garriques, Dell’s president of the global consumer business, used be Motorola’s main man in China. Garriques helped launch the Motorola MOTOMING touchscreen device in China back in 2006.
Given Garriques contacts and knowledge of China Dell may have some inroads that other newbies wouldn’t. MOTOMING became the top selling phone in China for a spell, say analysts.
Garriques is one reason that analysts aren’t completely dismissing Dell as a smartphone player. To wit: Susquehanna Financial Group analyst Jeffrey Fidacaro writes in a research note:
We believe Dell has a unique window of opportunity to establish a foothold in China Mobile’s 498 mln and growing subscriber base by leveraging Ron Garriques’s experience and success at Motorola when it launched the MOTOMING in China, and since Dell would not yet face competition from the current smartphone heavyweights Apple and RIM in this market.
It should be noted that Fidicaro’s note was penned on Monday. The Wall Street Journal reports that Apple is close (yet again) to launching the iPhone in China. Nevertheless, Fidacaro estimates that Dell could enter the smartphone market and provide an earnings bump in fiscal 2011.
Like Dell’s analyst meeting executives are likely to give smartphones a passing mention but nothing more. Dell’s success is mostly tethered to PC demand and enterprise technology spending and that’s not going to change for awhile.
August 26th, 2009
BlackBerry, iPhone dominate list of 10 best-selling U.S. smartphones of Q2
The earnings reports of most of the big public technology companies for Q2 2009 were a lot like “confessionals,” as my colleague Larry Dignan likes to say. Most segments of the tech industry are struggling through lower sales and an uncertain forecast for the rest of 2009.
One of tech’s few bright spots is smartphones. Gartner reported that worldwide mobile phone unit sales were down 6 per cent in Q2 2009 (compared to Q2 2008), but smartphone unit sales were up 27% for the same period.
Meanwhile, IDC reported that the worldwide mobile phone unit sales were down a steeper 10.8% in Q2 compared to Q2 2008. And while IDC also found strength in smartphones, the analyst house noted that competition was fierce and a price war had broken out:
Jason Hiner is the Editor in Chief of TechRepublic, ZDNet's sister site. Read his blog Tech Sanity Check at hiner.techrepublic.com. You can also find him on Twitter, LinkedIn, and JasonHiner.com.
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- Email Security and Archiving - Clearer in the Cloud Google The time is NOW for businesses and organizations of all sizes to implement ... Download Now
- VMware Infrastructure: A Guide to Bottom-Line Benefits VMware Frustrated by the costs of maintain ever larger data centers?or building ... Download Now
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