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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: Personal Technology

November 16th, 2009

Netbooks dead? Not when sales are up 264 percent

Posted by Larry Dignan @ 11:23 am

Categories: Acer, Dell, General, Hardware Infrastructure, Hewlett-Packard, Personal Technology, netbooks

Tags: Sales, Netbook, NPD, Netbooks, Nettops & MIDs, Hardware, Larry Dignan

Can the best-selling category of the PC market really be just a fad? A junky joke? A stunt to prop up the PC market created by Intel?

Jason Hiner at TechRepublic seems to think so. He proclaims:

Netbooks — those underpowered mini laptops with 7-inch screens and unusable little keyboards — are a dying fad. However, the legacy of the netbook will be that inexpensive notebook computers are here to stay, and they are lighter and thinner than ever.

Analysts and pundits will continue to use the term “netbook” but I’m going to argue that the device that we originally called the netbook is being phased out — and thankfully so.

I have a netbook. It’s small—9 inches—and it now belongs to my daughter. My hands are too big. The screen is too cramped. And I’m inclined to think that Jason’s right. The netbook is just a passing fancy.

And then I follow the numbers. Look at all the people buying  netbooks. NPD’s DisplaySearch reckons that netbook sales surged 264 percent in the second quarter from a year ago. Revenue for the overall notebook market declined. Here’s the scorecard.

Meanwhile, check out Jason’s talkbacks. It’s a love affair—and they all couldn’t be sent by the netbook fan club.

The special thing about it that makes me happy is that it’s small and so handy. I don’t need to play games or do lots of complicated things on the street. But this one is just 100% what I need and I will never give it up.

And.

I bought a Dell Mini 9 in 2008 and have never regretted it. It’s small enough to carry in my purse, boots up quick, and maybe it’s because I have small fingers, but the size of the keyboard has never been an issue.

That said, it is not my main PC, nor would I ever try to make it such. I bought it to browse the internet and do some light word processing - the heaviest lifting I have ever asked it to do is stream movies across my wireless home network - and it has always performed flawlessly.

And.

I bought mine due to travel restrictions imposed by the airlines on a trip to Australia in 2008 and love it. I use a regular laptop/notebook as my main computer at home but it is too big and heavy to travel with. The Netbook allows me to use almost all my programs, some engineering, spreadsheets, topographic maps and GPS routings. I even use it at home with my wireless network, sometimes in bed at night while reading books on exploring Utah so I can see the topographic maps and the satellite pictures of the area. No it doesn’t replace the desktop notebook but darn near.

Are these people bonkers? Nope. Intel’s financial results—partially fueled by the Atom chip that powers these little devices—tell the tale.

Also see: All netbook reviews

Netbooks aren’t for me, but apparently there are a ton of allegedly confused consumers still buying them. Dell and Microsoft have downplayed the netbook to some degree, but what else are they going to do? After all, the netbook is a margin killer.

So what’s the future of the netbook? It’s way too predictable to envision lightweight notebooks replacing the netbooks. Netbook 2.0, 3.0 and 4.0 are likely to have different form factors. Perhaps the Droid and the iPhone are really your netbooks. Perhaps Apple redefines the netbook category with a tablet. Perhaps people keep buying the current versions of netbooks. Netbooks will hang around and probably thrive because people like second and third computing devices. The form factor may change, but the market niche isn’t going anywhere.

More: Study claims netbook users dissatisfied with Windows 7. Are you?

November 11th, 2009

Garmin plots Android phone

Posted by Larry Dignan @ 9:11 am

Categories: Android, General, Mobile, Personal Technology

Tags: Phone, Garmin Ltd., Linux, Telecom & Utilities, Mobile Operating Systems, Operating Systems, Software, Larry Dignan

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 10th, 2009

Amazon's Kindle for PC app available; It's a handy download

Posted by Larry Dignan @ 4:43 am

Categories: Amazon, Ebook, General, Personal Technology

Tags: E-reader, PC, Amazon.com Inc., Amazon Kindle, Larry Dignan

Amazon on Tuesday said that the Kindle for PC app is now available. The app allows you to read your Kindle books on your PC.

The move (statement, download) illustrates the gradual move to put Kindle content on more devices. In 2010, the availability of e-books on multiple devices is likely to be a key battleground. And the Kindle, which is less open than rivals from Sony and Barnes & Noble’s nook, could be vulnerable since much of the industry is gravitating toward open standards such as ePub.

Amazon’s bet: You’re not going to sweat being tethered to its Kindle format if you can read your books on multiple devices. Kindle content is now available on your PC and iPhone. Like the iPhone app, Amazon’s Kindle for PC synchs with your Kindle via its Whispersync technology. Look for Amazon to put Kindle content on more devices as it throws jabs at rivals.

Also see: Retail distribution may tip e-reader race; Barnes & Noble rolls out Nook

As for the app, the downloading was easy and it picked up my Kindle archive with no problem. However, Kindle for PC did choke downloading one of my archived books a simple retry worked out.

Here’s a look at the Kindle archive on the PC:

Read the rest of this entry »

October 28th, 2009

Google, Android 2.0 sticks fork in GPS devices

Posted by Larry Dignan @ 7:51 am

Categories: Android, General, Google, Personal Technology

Tags: Google Inc., Google Android, Google Maps, Google Maps Navigation App, GPS, Mobile Operating Systems, Branding, Handhelds, Smart Phones, Consumer Electronics

Global positioning devices were already on the road to becoming irrelevant and Google Maps Navigation for Android 2.0 may speed up the trip.

Google on a blog post announced the beta of Google Maps Navigation for Android 2.0 devices. Two takeaways to note:

  • The app could be killer for Android devices and probably the first in a long line of goodies as Google aims to entice consumers to jump to the mobile operating system.
  • The Google Maps Navigation app replicates a GPS device with turn-by-turn directions and automatic rerouting.

So what does Google’s move mean for sales of GPS devices?

Google outlined how Google Maps Navigation has the most recent data, simple search, voice search and various views (satellite, traffic, street). In other words, Google will effectively take on Garmin and TomTom with its Android phones.

Also: Five interesting new details about Verizon’s Moto Droid

Motorola Droid gets official on Verizon; arrives Nov. 6 for $199

October 21st, 2009

Retail distribution may tip e-reader race; Barnes & Noble rolls out Nook

Posted by Larry Dignan @ 4:15 am

Categories: Amazon, Android, Ebook, General, Hardware Infrastructure, Personal Technology, Sony

Tags: E-reader, Barnes & Noble Inc., Nook, Larry Dignan

Barnes & Noble unveiled its Nook e-reader, the latest in a line of alleged Kindle killers, and much of the chatter revolves around open standards, touch features, a little color and competition. The reality: Retail distribution may be much more important to winning the e-reader race.

Barnes & Noble’s Nook will run $259, have 3G and Wi-Fi access and be open. The Nook also runs on Android and has a color screen (Techmeme). But here are some overlooked elements in the Barnes & Noble statement:

Read the rest of this entry »

October 7th, 2009

Teens are Generation Apple as iPod, iPhone dominance reigns

Posted by Larry Dignan @ 7:16 am

Categories: Apple, General, Personal Technology, iPhone

Tags: Apple iPhone, Apple iPod, U.S. Bancorp Piper Jaffray Inc., Apple Inc., Pricing Strategy, Smart Phones, Consumer Electronics, Personal Technology, Larry Dignan

Apple’s dominance among teenagers is unchecked and the iPhone love is growing dramatically, according to a survey by Piper Jaffray.

Simply put, Apple consumer electronics prowess is unchallenged. Piper Jaffray’s bi-annual survey of 600 teenagers reveals:

Read the rest of this entry »

October 7th, 2009

Podcast: Can Apple make the tablet PC cool?

Posted by Larry Dignan @ 6:00 am

Categories: Apple, General, Hardware Infrastructure, Personal Technology

Tags: Podcast, PC, Tablet PC, Apple Inc., Tablets, Notebooks, Hardware, Notebooks & Tablets, Larry Dignan

Apple’s rumored tablet is just the latest incarnation of the form factor. In fact, the tech industry has been pushing tablet PCs forever with little success. The big question we address in this podcast: Can Apple make tablets cool?

We—Jason Hiner, Sam Diaz and I—were a bit mixed on the prospects, but agreed that if any company has the marketing mojo to make a tablet work it’s Apple.

You can play this 19-minute episode from the Flash-based player at the top of the page or you can download the MP3 file. Later this month we’ll also be launching the podcast in iTunes and the Zune Marketplace.

Stories discussed in this episode:

September 24th, 2009

Smartphones: Is image really everything?

Posted by Larry Dignan @ 8:54 am

Categories: Android, Apple, General, Mobile, Motorola, Palm, Personal Technology, RIM, Research In Motion, Smartphones, iPhone

Tags: Phone, Palm Inc., Smart Phone, Smartphone, Smart Phones, Cellular Phones, Handhelds, Consumer Electronics, Personal Technology, Hardware

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:

Read the rest of this entry »

September 21st, 2009

Should Apple buy Sonos?

Posted by Larry Dignan @ 3:52 am

Categories: Apple, Entertainment, General, Hollywood on Demand, Personal Technology

Tags: Apple Inc., Sonos, Schackart, Digital Music, Digital Media, Personal Technology, Consumer Electronics, Larry Dignan

Apple should ponder acquiring Sonos in a move to tackle the home audio networking market, a small niche with big potential, according to an analyst.

That’s the takeaway from a research note penned by William Blair analyst Ralph Schackart. The report makes a lot of sense. The logic goes like this: Read the rest of this entry »

September 10th, 2009

No Pixi dust for Palm?

Posted by Larry Dignan @ 2:07 am

Categories: General, Mobile, Palm, Personal Technology, Sprint

Tags: Palm Inc., Smart Phone, Analyst, Pixi, webOS, Pre, Smart Phones, Cellular Phones, Sales Strategy, Handhelds

Palm’s second webOS phone, the Pixi, looks like a good follow up to the Pre, but analysts aren’t expecting any Pixi dust for the company’s financials.

The Pixi, which is expected to retail for $99 or so after rebates, will arrive for the holidays. Palm will talk the Pixi as a fashion accessory (nevermind it may not be much of a looker). Sprint landed the exclusive.

So what’s the financial picture here? Analysts are mixed on the Pixi (see gallery).

For starters, the Pixi will replace Palm’s Centro. Palm is thinking that the Pixi and a Pre price cut to $150 after rebates will push more webOS-based smartphones in the market.

Piper Jaffray analyst Michael Walkley writes:

Read the rest of this entry »

September 1st, 2009

Analyst: Jobs will hit the stage next week

Posted by Larry Dignan @ 4:56 am

Categories: Apple, General, Personal Technology

Tags: Job, Steve Jobs, Apple iPod, Apple Inc., Digital Music, Digital Media, Personal Technology, Consumer Electronics, Larry Dignan

Piper Jaffray analyst Gene Munster calls next week’s new iPod unveiling a non-event with a big headliner: CEO Steve Jobs.

In a research note, Munster previewed Apple’s Sept. 9 ’special event,’ which will introduce a new iPod lineup. The big takeaway: Jobs will take the stage for the first time since his return from a liver transplant.

Munster writes in a note:

We expect CEO, Steve Jobs, to announce a new iPod lineup featuring cameras in re-designed iPod nanos, iPod touches, and the iPod classic. We believe investors will view the new products as a non-event, as iPod growth slows and the segment becomes less of an investable theme. However, we also believe Steve Jobs will present at the event, a first since his health-related leave of absence, which would likely be a slight positive for shares of AAPL and the first public confirmation of Jobs’ health since his return to the company.

Munster also expects a new version of iTunes with social networking features.

Also see: Analyst: Apple to offer iPhone on U.S. carriers within a year; replace cable with iTunes subscriptions

August 21st, 2009

Should Apple make its own TV?

Posted by Larry Dignan @ 6:07 am

Categories: Apple, Entertainment, General, Personal Technology

Tags: Apple Inc., TVs, Tv & Home Theater, Personal Technology, Home Entertainment, Larry Dignan

There’s a good amount of buzz about a Piper Jaffray report handicapping a possible move by Apple to reinvigorate its Apple TV lineup and even enter the living room with a television set. Should Apple make its own TV?

The possibilities, outlined here by Sam Diaz, boil down to the following:

  • Piper Jaffray analyst Gene Munster argues that Apple will launch a new Apple TV product with support for subscription iTunes services and digital video recording (DVR).
  • This digital living room takeover revolves around iTunes, which will connect your TV with the iPod and iPhone.
  • In the long run, Apple will manufacture a TV set that’s connected.

Thus far, Apple TV hasn’t been a runaway hit, but a retooling could work. The bigger issue is that your living room already has too many set-top boxes. That’s not going to change. And for a subscription iTunes service to work, Apple would have to cut carriage deals with a bevy of media players who are a suspicious bunch. We’ll also table the fact that Apple chief Steve Jobs has talked down subscription services at every turn.

The most intriguing idea here is Apple making a connected TV. Would enough consumers pay a premium for an Apple television set?

Munster argues:

Yes, TV hardware is a challenging business if you don’t change the rules of the game, but we see potential for Apple to offer best-in-class software and hardware and charge a premium. As of November 2008, 40 million US homes (35% of households) owned an HDTV, and the Leichtman Research Group estimates the number will double in the next four years. This equates to a US addressable market of 10 million units a year. The argument that Apple will not enter the television market because prices have declined by ~70% in the past three years is a similar argument used to conclude Apple would not enter the cell phone market, given phones had seen similar price declines. The bottom line, 10 million HDTV’s sold in the US a year is a real market, and if history repeats itself, Apple will find a way to compete in a commoditized market with a premium priced product.

It’s a solid argument, but color me skeptical. Apply the science behind Apple’s innovation. Would you make a TV?

August 19th, 2009

Do video games really make you fat, depressed?

Posted by Larry Dignan @ 6:50 am

Categories: Entertainment, General, Personal Technology

Tags: Health Care, Video Game, Video, BMI, Games, Personal Technology, Larry Dignan

The headline du jour is that the average gamer is 35, depressed and fat. The reality may be a bit more nuanced.

MSNBC runs with a study conducted by the Centers for Disease Control and Prevention, Emory University and Andrews University. That trio analyzed survey data from 552 adults in the Seattle area. The study, published in the American Journal of Preventive Medicine, examined whether gamers were indeed fatter as measured by the body mass index.

While the MSNBC story covered the basics, it’s worth reading the full study. Was there a causal relationship between video games and being overweight and depressed? What other factors were considered? For instance, a gamer who ate his fruits and veggies while playing may be better off than the guy woofing down cheeseburgers.

Let’s roll the complete study (release, full study pdf, associated article). The last paragraph of the study puts things in proper context:

Read the rest of this entry »

August 11th, 2009

Back to school goes cheap: Here comes another round of Mac vs PC

Posted by Sam Diaz @ 12:18 pm

Categories: Apple, Economy, General, Microsoft, Personal Technology, Retail

Tags: Apple Macintosh, Apple Inc., Machine, Microsoft Windows, Desktops, Operating Systems, Software, Hardware, Sam Diaz

Market research firm NPD Group said today that 44 percent of consumers will spend less this back-to-school season. And electronics, despite falling below school supplies and clothing on the priority list, still ranks high on the chart as consumers go cheap and start looking for bargains to keep costs down.

Count me in as part of Club Cheapo. We spent the weekend at the mall, Target, Staples and a handful of other stores as we try to get the kids - who are heading into the 8th and 6th grades - ready for school. All along, we were watching pennies and forcing ourselves to differentiate between what we need and what we want.

Value, according to the research, is the top reason that drives a consumer purchase this season, ranking higher than a school requirement.

Read the rest of this entry »

August 5th, 2009

Sony's Reader: The road ahead

Posted by Larry Dignan @ 2:15 am

Categories: General, Personal Technology, Sony

Tags: E-reader, Sony Corp., Sony Reader, E-books, Wireless And Mobility, Personal Technology, Larry Dignan

Sony launched two new e-readers, including one that hits the $199 price point and could bring e-books to the masses. Yet Sony is facing stiff competition from Amazon’s Kindle, Plastic Logic (in 2010) and a rapidly expanding field of competitors.

Also see: Sony launches two new readers including a pocket-sized $199 device and Gallery: Sony’s new e-readers.

We spoke to Brennan Mullin, vice president of Sony Electronics’ audio and digital imaging division, about the road ahead for the company on the e-reader front.

On the $199 price point, I noted that it was interesting that Sony is going smaller screen with its Pocket as Amazon is going larger with the Kindle DX. Mullin noted that Sony is looking to expand the market to the masses with an inexpensive device that will fit in your pocket:

“Our themes are that we want to make readers and content the most open, available and affordable. Now there’s a device for someone on a budget—$199 is an important price point that makes digital reading available to a wider audience. Until now (the market) has been for early adopters.”

On Sony’s retail distribution heft, Mullin said the strategy is to get people to try its e-reader in the aisles of Wal-Mart, Target and Best Buy (among other stores). Mullin said:

“We want to make them available wherever consumers shop. We want them to put the books in their hands and try it. Some people are dubious and putting the devices in their hands allows for trial.”

On the need for improvement, Mullin said that Sony is making tweaks based on user feedback. One complaint about the 700 model of Sony’s Reader was that the screen had too much glare and ambient light. The new Touch fixes that problem.

Speaking of improvements where’s the Wi-Fi? Sony’s latest e-readers, like the ones before them, need to be tethered to a PC for downloading. Compared to the ease of the Kindle, Sony will need a wireless answer. Mullin said:

The wireless products are developing. It is coming separately. It’s an important feature.

Mullin didn’t disclose whether Sony’s future e-readers would have 3G and/or Wi-Fi support.  He’d only say that wireless technology is coming.

Does Sony need a partnership with other e-book stores? Mullin said Sony’s plan is to support multiple stores and be wherever consumers buy and use books. Sony sees beyond its SonyStyle.com stores to libraries and other outlets. However, Sony’s store supports its own format while Google features PDFs and e-books on the ePub standard. Mullin said Sony will support them all. “Sony Reader supports ePub and plenty of stores support that format,” said Mullin. “We’re agnostic and encourage the bookstores in the market to provide content in an open format.”

On bigger screens and the B2B opportunity, Mullin said Sony had “no plans bigger screens today.” He was more upbeat on the vertical industry potential. Mullin said that education is a market that Sony is exploring and there’s a lot of potential in the medical industry.

Where are the color screens? Mullin said that color will be very important for B2B applications, but “it’s also important that it’s done well.” In a nutshell, there’s a tradeoff between color and readability.

Mullin said:

“When color is brought to market it has to be brought in a way that meets consumer expectations. There’s a tradeoff between readability and color. It’s also a tradeoff we’re not willing to make at this point.”

August 4th, 2009

Sony launches two new readers including a pocket-sized $199 device

Posted by Larry Dignan @ 2:45 pm

Categories: General, Personal Technology, Sony

Tags: E-reader, Sony Corp., Touch Edition, E-books, Personal Technology, Larry Dignan

Sony on Wednesday will unveil two new e-book devices, a pocket edition with a 5-inch screen for $199 and a touch-screen version starting at $299. The devices will be available at the end of August.

The company also plans to reduce all new releases and best sellers at its e-book store to $9.99 each, down from $11.99. Sony will also offer access to Google’s public domain library. Add it up and Sony will have access to more than 1 million books via a deal with Google announced last month.

Sony was an early mover in the e-reader market—the company launched the Sony Bookman in 1991—but lost the buzz wars to Amazon’s Kindle. However, the e-reader market is just getting started and it would be foolish to write Sony off.

Among the key points to Sony’s latest e-reader moves:

The Reader Pocket Edition (right), which weighs 7.76 ounces, is designed to be the e-book for everyman or woman. It comes in blue, rose and sliver, The carries a 5-inch display and fits in your pocket. Pocket Edition carries 350 standard e-books and can run up to two weeks on one battery charge. In addition, Sony’s Pocket e-reader will be available at multiple retailers. In an interview, Brennan Mullin, vice president of Sony’s audio and digital reading divisions, said the $199 price point is an important one that will open up the market.

See the gallery

Indeed, Forrester Research projects 13 million e-readers to be sold in 2013, up from the 3 million mark expected in 2009. In a research note Monday, Forrester analyst Sarah Rotman Epps noted that future e-reader adopters will be vastly different than the wealthy early adopters that have gobbled up the Kindle.

Epps wrote:

Forrester’s newest data suggests that tomorrow’s prospects for eReader purchasing bear scant resemblance to the high-earning, male tech optimists that own eReaders today. Later waves of eReader adopters are likely to be female consumers who read a lot but buy fewer of their books online than the first wave of eReader adopters do. This spells trouble for Amazon — and opportunity for consumer electronics manufacturers like Sony, mass-market retailers like Wal-Mart, and publishers like Harlequin, which could (and do) target these consumers with eBook subscription services.


The Reader Touch Edition (right) has a touch screen, clear navigation and finger or stylus enabled note taking. The Touch Edition has five adjustable font sizes, has an onboard Oxford American English Dictionary and memory slots for SD cards and Memory Sticks.

Both devices are Mac compatible, read multiple formats such as Adobe PDF, Microsoft Word, Sony’s BBeB format and other text documents. The devices also support ePub format for Google Books, but purchased books will come in Sony’s format.  Sony also has a library network so you can check out digital collections.

The new Sony Readers will be carried on Sony’s online store as well as Best Buy, Borders, Costco, Staples, Target and Wal-Mart.

Mullin’s big pitch for Sony is that it has the retail distribution to get its e-readers in consumer hands to try. To Sony, the game isn’t the early adopters but the second and third waves of adopters.

Now there are a few items that are missing in Sony’s latest readers with the biggest item being some kind of wireless connection. Amazon has bet big on 3G access and other players such as Plastic Logic will have Wi-Fi connections. Mullin said that Sony will have a wireless answer shortly, but declined to detail whether that technology would be 3G or Wi-Fi based.

Also see: E-readers: The fun is just starting

Barnes & Noble partners with Plastic Logic; Opens up; Targets Kindle

August 4th, 2009

Palm Pre's creepy ads: They worked. You're still talking about them

Posted by Larry Dignan @ 8:36 am

Categories: General, Mobile, Palm, Personal Technology

Tags: Advertisement, Palm Inc., Ad Age, Palm Pre, Smart Phones, Consumer Electronics, Personal Technology, Larry Dignan

There’s a good bit of chatter today about the latest Palm Pre ad. In a nutshell, actress Tamara Hope, who oddly sort of resembles Data from Star Trek: The Next Generation, goes all abstract about the Palm Pre.

And folks can’t handle abstract phone ads.

Read the rest of this entry »

July 27th, 2009

Apple's tablet in time for Christmas?

Posted by Larry Dignan @ 3:47 am

Categories: Apple, General, Hardware Infrastructure, Personal Technology

Tags: Apple Macintosh, Apple Inc., Tablets, Notebooks, Hardware, Notebooks & Tablets, Larry Dignan

That long rumored Apple tablet may land in time for the holidays.

The Financial Times appears to have confirmed an Apple Insider report fleshing out many of the details of the Mac tablet. The report sparked a lot of comment.

Now the Financial Times reports the following:

Apple is separately racing to offer a portable, full-featured, tablet-sized computer in time for the Christmas shopping season, in what the entertainment industry hopes will be a new revolution.

The Financial Times report is primarily focused on Apple’s sometimes tense dealings with the music industry. In a nutshell, Apple is working with the industry to create interactive booklets to spur sales of entire CDs. Good luck with that one. While interactive music features on a tablet would be nice it’s not likely to alter consumer behavior, which revolves around buying singles not albums. The Mac tablet’s real appeal may be for watching movies.

A few thoughts on the Mac tablet:

  • If the device is full featured computer the pricing should be interesting. The Mac tablet will be more than a netbook, but arguably less than a laptop. Guesstimate: $800.
  • Will there be a separate App Store area for the tablet? Those iPhone and iPod touch apps won’t look so hot on a bigger screen.
  • A Mac tablet will shake up the e-book market. I already view this thus far fictional device as a potential Kindle replacement.
  • The Mac tablet combined with the launch of Windows 7 is good news for the tech economy. Apple may be trying to blunt the Windows 7 buzz, but in the grand scheme of things this duo could provide a boost for the tech ecosystem.
  • Apple needs a name for this device. I nominate Newton.

July 20th, 2009

Amazon's Kindle: A customer relationship management appliance?

Posted by Larry Dignan @ 2:15 am

Categories: Amazon, E-commerce, General, Personal Technology

Tags: Larry Dignan

The Kindle’s real benefit to Amazon may never show up in the profit and loss statement directly. Instead, the Kindle is about keeping the top 5 percent of Amazon’s customers engaged since they account for 20 percent of the e-tailer’s sales.

That argument was laid out by ThinkEquity analyst Edward Weller. He’s wildly bullish about the Kindle’s effect on Amazon’s business. In many recent research notes, Weller can barely contain his enthusiasm. Weller, who pens some fun reads on the retail sector, writes in his latest missive:

Kindle’s most-important benefit to the company, one that may appear indirect and secondary, one we view as utterly central: Kindle firms up and solidifies Amazon’s connection to its most important customers, and not just the heaviest users, but a special class of heavy users who were at the beginning—and probably still are—at the very heart of the franchise: better-educated, higher-income, early-accepting, serious readers, the kind most motivated by depth of selection, the kind that seem increasingly dedicated to Amazon as the default go-to for media… and, increasingly, everything else.

Weller reckons that the top 5 percent of Amazon’s customers account for 20 percent of the company’s sales. The upshot: Amazon will enable these folks to buy non-media items from the company.

Consider the following:

Like a warehouse club’s membership, Kindle enhances customer commitment and, with the convenience it provides, and perhaps even more importantly, indirectly, through “Kindling” on other devices, it also adds to the customer base.

The risk here is pretty obvious. If Amazon screws up the Kindle—with cracked screen flaps and digital rights management problems—then it risks annoying its most important set of customers.

If Weller’s theory is right—and I’m not sure I completely buy it—the Kindle is really a customer relationship management appliance that will drive more revenue and earnings that will ever be directly attributed to the Kindle.

Who would’ve thunk it?

July 16th, 2009

Palm launches webOS SDK, aims to bolster app lineup

Posted by Larry Dignan @ 10:08 am

Categories: Apple, General, Mobile, Palm, Personal Technology

Tags: Palm Inc., Apple iTunes, Executuves, Palm Pre, Smart Phones, Consumer Electronics, Personal Technology, Larry Dignan

Palm on Thursday opened up its Mojo Software Development Kit for download and it comes at an interesting time.

In a blog post, Palm said the SDK is available at its developer portal. Executuves are also planning a series of chats and meetups to woo software developers.

Palm, which claimed that 1.8 million apps have been downloaded from its App Catalog since the Pre launched, delivers the SDK at an interesting time. Andrew Mager notes that these early Pre apps show promise, but has a few device problems.

On Wednesday, Precentral confirmed that the latest iTunes update breaks the Palm Pre’s sync with iTunes. That connection was a selling point for the Pre. Apple just noted that the iTunes update addresses “an issue with verification of Apple devices.”

For Palm to make the Pre an ongoing hit it’ll need to develop a stronger app lineup. Apple is already touting the fact that its App Store will be hard to catch.

Also seeiTunes 8.2.1 stops Palm Pre from syncing

Larry DignanLarry 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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