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Showing posts from November, 2007

Google will Bid for 700-MHz Spectrum

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Google plans to submit at least an initial bid for 700-MHz wireless spectrum, the Wall Street Journal reports. There is some thinking that with Verizon's declaration of willingness to open its network to any technically-compliant device, as well as similar open access provisions for any winner of 700-MHz C block spectrum, Google has less need to acquire its own spectrum to ensure an open environment for wireless Internet services.

Google also is working with Sprint and T-Mobile on open devices and applications on those wireless networks, plus Clearwire for WiMAX service. Given all of that recent development, there simply is less need for Google to own spectrum simply as a way of ensuring an open environment.

Sprint Turns Down $5 Billion

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Sprint Nextel Corp. has rejected a $5 billion investment by South Korea's SK Telecom Co. and buyout firm Providence Equity Partners Inc. that would have brought back former Chairman Tim Donahue to run the mobile-phone company, according to Bloomberg.

The investment group reportedly proposed buying Sprint securities that would later convert into equity for 20 percent to 30 percent more than the current stock price.

Sprint's board apparently didn't meet with Donahue or the investors before turning down the deal, nor does it appear SK Telecom and Providence were interested in a hostile takeover.

Sprint Stands Alone

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Now that Verizon Wireless has selected Long Term Evolution as its fourth-generation platform, and if Sprint continues with its WiMAX fourth-generation network platform, prospects for CDMA are dim in the U.S. market.

Of course, there always is the possibility that Sprint might reverse course and abandon WiMAX. But Sprint Nextel at the moment really stands alone in the platform area. It runs the Nextel iDEN network that no other major carrier supports and CDMA-based 3G that Verizon says it will abandon.

It is hard to imagine T-Mobile adopting anything other than LTE, so it appears CDMA is at a deadend in the U.S. market.

Verizon to Dump CDMA for 4G

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Verizon Wireless will base its fourth-generation mobile broadband network on LTE – Long Term Evolution – the technology developed within the Third Generation Partnership Project (3GPP) standards organization and based on GSM.

The selection of LTE means Verizon wants to align itself with the scale opportunities the global standard will provide, rather than extending its existing CDMA platform.

Verizon and Vodafone have a coordinated trial plan for LTE that begins in 2008. Trial suppliers include Alcatel-Lucent, Ericsson, Motorola, Nokia-Siemens, and Nortel. Discussions with device suppliers have expanded beyond traditional suppliers such as LG, Samsung, Motorola, Nokia, and Sony Ericsson, as consumer electronics companies anticipate embedded wireless functionality in their future products.

Users won't see 4G for several years, however, so there's no need to worry about existing CDMA equipment. The decision does call into question how much actual developer interest there will be …

XO Preps FMC Service

XO Communications and Sotto Wireless will begin trials of a fixed mobile convergence solution in Seattle. The Unwired Office integrates customers’ fixed and wireless communications services into a single platform with one smart phone that can be used in the office or on the go for voice, email and Internet access as well optional IP desk phones.

The Unwired Office includes a business phone system, broadband network access and mobile phone service. Features include a high-speed dedicated Internet access; hosted private branch exchange system; individual smart phones with one telephone number for office and mobile calling, wireless email and messaging; optional IP desk phones; and anywhere coverage through in-office Wi-Fi networks and wireless service. In addition, the service enables businesses to transparently extend the office phone system to the home or branch office by using existing cable or digital subscriber line broadband services.

The service uses dual-mode smart phones from Nok…

Online Time up 24%

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User time spent online is up 24 percent over about the last year, according to Compete data.

3G iPhone Next Year

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Make your plans accordingly.

Will Google Bid?

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The deadline for filing an application for the 700-MHz auction is Dec. 3. The actual auction starts Jan. 24; the names of the bidders will be disclosed on Jan. 14.

Prediction: Google will submit a bid of $4.6 billion. But maybe no more than that, and the winning bid will certainly be higher. Now that Verizon has agreed to open up its mobile network to any compliant device or software, and having already gotten working agreements with Sprint, T-Mobile and Clearwire, Google might not need to secure spectrum simply to ensure that its open approach to the mobile Web has a place to develop.

European Commission, FCC Disagree on Competition

As U.S. competitive local exchange carriers and cable companies await key decisions from the Federal Communications Commission, the quantitative tests of "effective competition" are key. And on that score the FCC and the European Commission do not see eye-to-eye. In the video arena, the FCC targets the 30-percent market capture level as denoting "effective competition." In the voice services area the test seems to be 20-percent share loss by incumbents. The EC doesn't even think 50-percent loss of market share by incumbents is sufficient.

The disparities in thinking about what marks "effective" levels of competition leaves at least some room for new thinking on what measures might be required to stimulate even more robust levels of competition. In mass markets, 30 percent quite often is the share held by the market leader.

Verizon Wireless Takes Reasonable Gamble

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One might argue that Verizon Wireless is gambling with its whole business model in allowing use of technically-compliant devices and software on its network next year. But one can point to the experience of wireless operators in Europe, who have used this "open" model for years, to see it is not so dangerous.

In fact, Verizon gains more than it might potentially lose, just about any way you want to spin the matter. First off, it gets great press for breaking the "closed" mobile model on a voluntary basis. Also, it is betting, likely reasonably, that the overwhelming mass of buyers still will prefer the old model of "discounted phone, two-year contract."

Verizon also uses the CDMA platform, which already means there is less handset choice than possible on a GSM network, since the GSM market is so much larger, globally. Verizon just might stimulate a bit more handset and software choice by going open.

Also, open is inevitable. The 700 MHz spectrum requires suc…

$2.4 Billion CLEC Decision Near

Sometime between now and Dec. 5th, the Federal Communications Commission is slated to make decisions that could significantly raise wholesale access and transport tariffs in six markets, including Boston, New York, Philadelphia, Pittsburgh, Providence, and Virginia Beach.

Customers can anticipate an additional $2.4 billion in extra charges for communications services, according to a study by QSI Consulting, if the rules are relaxed.

Basically, Verizon argues that market competition in each of the six markets is equivalent to that found in the Omaha, Neb. market, the benchmark used by the Federal Communications Commission to deregulate wholesale access rules and rates that have been favorable to competitors.

Up to this point, competitors in the six markets have been able to buy wholesale access and transport at rates below “retail” special access rates. Should Verizon prevail, it would be free to raise prices as it sees fit, with the likely result that wholesale rates would rise to just a…

Metro Ethernet, Optical Access: Still Far to Go

In the enterprise high-capacity access markets, one has to distinguish between the financial and operating markets. Of late there has been renewed interest in the financial value of scarce optical assets, particularly in smaller markets.

But the allocation of new capital to the access business, if welcome, is not the same thing as deployment of capital to support alternate optical access facilities to the places most businesses are located, which is, simply, in the larger markets.

There is no “silver bullet” in the optical access market; just determined, steady, slow progress in lighting new buildings with at least one fiber cable. To be sure, global carriers very much want to connect large enterprise locations with 1 Gigabit-per-second to 10 Gbps optical connections.

The problem sometimes is that such connections don’t exist, or sometimes simply that sourcing such facilities is laborious because there are so many small providers in local markets. The problem for a global carrier is si…

Verizon Wireless Goes Open

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In a historic move, Verizon Wireless says it will provide customers the option to use wireless devices, software and applications not offered by the company. Verizon Wireless plans to have this new choice available to customers throughout the country by the end of 2008.

In early 2008, the company will publish the technical standards the development community will need to design products to interface with the Verizon Wireless network. Any device that meets the minimum technical standard will be activated on the network. Devices will be tested and approved in a $20 million state-of-the-art testing lab which received an additional investment this year to gear up for the anticipated new demand. Any application the customer chooses will be allowed on these devices.

“This is a transformation point in the 20-year history of mass market wireless devices, one which we believe will set the table for the next level of innovation and growth,” says Lowell McAdam, Verizon Wireless president and CEO.

T…

New BlackBerry Consumer Phone

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MultiMedia Intelligence projects worldwide unit shipments of multimedia feature-rich mobile phones will exceed 300 million units in 2008, outnumbering shipments of TV sets.

Multimedia phones have at least 1 megapixal image capture, MP3 audio, video playback, Java, USB, Bluetooth, 16-bit screen color, QVGA resolution, WAP and MMS. Revenue from these handsets will be over $76 billion.

Numbers that large are a reason why Research in Motion will be launching new consumer-focused devices in the first quarter next year. The 9000 series is described by Carmi Levy, an analyst at AR Communications Inc. , as "the future of the BlackBerry franchise," a complete breakaway from the device's business roots. Instead, the new series targets the consumer space served by the Pearl and Curve models.

"The 9000 is supposed to be a touch-screen device, very similar in form factor to the iPhone," Levy says. "Which means that it is not an enterprise-friendly device."

The 9000 …

GDrive: Cloud Computing

Google apprears to be prepping a storage service that would let users store online essentially all of the files they might keep on their local hard drives, according to reporting by the Wall Street Journal. Users would gain mobility, remote backup and simple Web access to their information from virtually any broadband-connected device.

For Google, getting people to store data online makes it easier to get them to use productivity and other applications online. The possibly unanticipated impact is that enterprise computing architectures might change in this direction as well, as improbable as that may seem.

Cloud-based computing arguably is easier to manage and better adapted for supporting remote, traveling and dispersed workers, which is more the case every day.

Google is trying to let users upload and access files directly from their PC desktops and have the file storage behave for consumers more like another hard drive that is handy at all times, say the people familiar with the mat…

Test Confirms: Vista is a Slug Compared to XP

Windows XP Service Pack 3, the update scheduled to release next year, runs Microsoft Corp.'s Office suite 10 percent faster than XP SP2, Devil Mountain Software, a performance testing software company says. That's not the biggest news.

According to Devil Mountain, Windows XP SP3 is also considerably faster than Vista SP1. "None of this bodes well for Vista, which is now more than two times slower than the most current builds of its older sibling," company executives say.

EU Will Study Targeted Advetising: Much Hangs in the Balance

Targeted online advertising, an important revenue driver for all sorts of media and mobile services, is going to get serious regulatory scrutiny from European Union regulators next year, according to Astrid Wendlandt, Reuters reporter. At stake is the viability and robustness of media revenue models based on targeted messages, obviously key for Web sites such as Facebook, search providers, online media companies and mobile service providers alike.

The European Union's Article 29 Working Party already has ordered Google to curtail the amount of time it stores past Web searches to 18 months.

The EU's moves are a salient reminder that Internet services, especially media and content services and applications, increasingly are falling under the purview of regulators. Some have argued that Internet communications should be free of such rules. More important are regulations affecting content and media services. Historically, regulators have decided whether communications were legal, …

Massive Mobile VoIP Use by 2012

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Who will massively introduce mobile VoIP? Mobile carriers themselves, says Dean Bubley, Disruptive Analysis president. In fact, some 250 million VoIP over mobile accounts will be in service by 2012, he argues. Analysts at Analysys seem to agree, arguing that wireless VoIP end users will outnumber wired VoIP users in the near future, as shown in the graphic.

Conversely, dual-mode mobile devices that work both on wireless networks and Wi-Fi will have been eclipsed, he argues. As for independent providers of VoIP over third generation mobile networks, get ready for something of the same thing that has happened to Vonage, he essentially argues.

In other words, as the mobile carriers increasingly move to provider VoIP as an alternative to legacy Time Division Multiplex services, it will increasingly be tough for independents to make a go of it, much as competition from cable has squeezed Vonage and other independents in the U.S. market.

Independents do have a window of opportunity, though, si…

Unlocked German iPhone: 999 Euros

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Deutsche Telekom, after being sued by Vodafone over availability of unlocked iPhones, will offer the device for 999 euros ($1,483) without requiring a two-year exclusive contract with its T-Mobile unit.

T-Mobile changed the rules after Vodafone won a court injunction that bans T-Mobile from selling the iPhone with contracts or the "SIM lock" that prevents the phone from working on another network.

Apple and Orange have the same issues in France.

gPC from Wal-Mart, Everex

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Wal-Mart will sell a $200 Linux-powered desktop built by Everex and running Google applications. The Everex gPC runs Gmail, Google Docs & Spreadsheets, Google Calendar, Google Product Search, Google Blogger, Google YouTube, Google Maps, Google News, Meebo (instant messaging), GIMP (image editing), Firefox, Xing Movie Player, RhythmBox, Faqly, Facebook, Skype and OpenOffice.org 2.2.

The device is seen as an impulse buy. First-time users and grandparents, perhaps. Or, as will happen, as test platforms for people who already have full-featured PCs, but want to experiment with Linux apps and cloud computing. In some cases, people might just use it as a communications and Web apps platform.

Besides green, the “g” stands for the gOS, the Ubuntu 7.1 Linux desktop developed by an open source startup of the same name. “The gOS is an alternative operating system that makes it apparent that Google is your entire computing experience,” said gOS founder David Liu.

DT Channels BT: Will Others Follow?

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Telcos have not in the past had much success as providers of enterprise system integration and management services. That may be changing as the business of system itnegration begins to look a lot more like advanced communications. BT has been forceful about transitioning in this way. Now Deutsche Telekom (DT) may make a bid to buy IT services giant EDS (EDS).

Telcos and mobile services providers are increasingly becoming IT providers, either directly or as integrators or aggregators of IT functions that they then deliver to their customers. Similarly, large software providers are moving towards "software as a service." And what is communications but "software as a service."

BT was ahead of the curve on this trend.

Vodafone Blocks T-Mobile iPhone Sales

Vodafone has obtained a restraining order in Germany against T-Mobile's exclusive deal to sell iPhones.

Europe has fair-competition laws that are designed to allow consumers choice. So Vodafone might be hoping its lawsuit will help it get its own rights to sell the iPhone. It wouldn't be the first time an iPhone deal has run into complications. In France, Apple has to supply unlocked iPhones, despite Apple's objections, because of a French law requiring carriers to offer unlocked as well as locked phones.

Jajah Direct Launches: no PC or Web Connection Needed

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Jajah Direct, a new service from Jajah, now allows users to place global calls using any phone and local access numbers, without the use of a Web connection to set up the calls. The actual charges will vary based on carrier policies on "local" calls. If, for example, a caller can reach a "local" number charged as a "free" call, then the global calls are "free." In other cases the charge is the normal per-minute "domestic" call rate plus an international surcharge.


Users of Jajah Direct will dial a local Jajah access number in their city, and then dial the number they want to call. Jajah connects the user directly using VoIP. After the call, the caller will receive a unique local number for the contact, which can be stored for direct dialing.


Each user will get an unique local number for the particular contact. When the user dials the unique local number, the Jajah server compares this number with the data available in the server database…

Google Buying Skype?

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So the latest rumor is that Google is trying to buy Skype. While the move makes a certain sense, this might be a trial balloon of the sort often floated by investment bankers eager to get some deal fees.

Mobile Carriers Will Dominate VoIP

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Who will massively introduce mobile VoIP? Mobile carriers themselves, says Dean Bubley, Disruptive Analysis president. In fact, some 250 million VoIP over mobile accounts will be in service by 2012, he argues. Conversely, dual-mode mobile devices that work both on wireless networks and Wi-Fi will have been eclipsed, he argues. As for independent providers of VoIP over third generation mobile networks, get ready for something of the same thing that has happened to Vonage, he essentially argues.

In other words, as the mobile carriers increasingly move to provider VoIP as an alternative to legacy Time Division Multiplex services, it will increasingly be tough for independents to make a go of it, much as competition from cable has squeezed Vonage and other independents in the U.S. market.

Independents don have a window of opportunity, though, since the majors haven't yet moved.

Though some will find the analysis disturbing, Bubley's predictions fit well with the past history of techn…

Demand is Going to Grow for "Unconverged" Experiences

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Maybe some of you already agree that "Swiss Army knife" mobile platforms have to make compromises. And one of the compromises is ease of use. There's just so much complexity a user can put up with before the alternative--a simpler device--starts to make sense. And we are getting there.

Sure, you have to carry multiple devices. But think about it: most of us already do that, and as nice as one device would be, choosing between a notebook and a mobile phone or email device is too tough a choice. I carry two or three communications devices everywhere, if on the move. And then an iPod Shuffle for music. For short periods of time I will make do with either an email device or a smart phone in the pocket. But the other devices are there.

If an airplane is involved; if I am going to be "out of town," two is the minimum number of devices, and I usually carry three. Yes, it is a hassle. But so is restriction to one device. So far at least, three is the irreducible number.

What Google Wants

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Confused about what Google really wants in the mobility space, and in particular what it wants from the 700 MHz spectrum auctions? The simple answer is that Google is for mobile what the Internet was to telecom service providers: an alternate communications medium whose value does not hinge on access, but on applications.

Wireless service providers will fight Google without quarter for the same reason they learned to loathe the Internet: it is difficult for them to extract revenue when value lies in applications not dependent on recurring payments for access.

That doesn't mean Verizon and at&t, in particular, won't try to make a business out of it. After all, despite the margins, despite the gross revenue implications, both are fierce competitors in the broadband access business. But the tack will be to stop it if possible, slow it where possible, but adapt if necessary.

But Google is not the only force pushing against the old order. iPhone, for example, seems to be the first…

EarthLink Wants to Sell Municipal Wi-Fi Assets

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EarthLink is considering "strategic alternatives" for its municipal Wi-Fi business, says Associated Press, a phrase that generally means it is for sale.

EarthLink originally had hoped it might be able to come up with a revised business plan that relied on additional investment by partners, including the municipalities that wanted the networks in the first place.

The company "decided that making significant further investments in this business could be inconsistent with our objective of maximizing shareholder value," says Rolla Huff, EarthLink CEO.

Enterprises Can't Block User Mobile Phone Choices

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As most enterprises struggle to get a grip on mobility costs and strategy, users continue to impose their own desires for devices that better integrate their jobs and personal lives, says Zeus Kerravala, Yankee Group analyst. They will use what they find most useful in both settings regardless of any corporate efforts to slow or block adoption.

Enterprises were not able to stop users from bringing consumer messaging and VoIP applications into the office, and mobile devices won't prove any different, despite general IT executive opposition.

According to Yankee's latest research, at least 45 percent of all enterprise workers operate outside of the traditional office setting at least part of the time.

If consumer-driven mobile systems offer workers better performance and more robust applications than the devices endorsed by their employers, they will use them, Kerravala says.

Google Riding Global Wave

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As much speculation as there has been about a possible Google bid for 700 MHz spectrum, there now are new reasons to think Google is deadly serious, and that provide new strategic reasons to win the auction, not just to bid for tactical reasons.

A U.N. telecom meeting has decided to give mobile service providers access to similar bandwidth currently reserved for terrestrial television broadcasts, making mobile Internet access a major new wireless feature globally by 2015.

Google simply would be early in the new business if it acquires and then operates a mobile Internet service. Significantly, global data roaming will be much easier as the new rules on spectrum use will rely heavily on common frequencies in diverse regions, meaning handsets will be able to interoperate. That promises higher sales volumes and hence lower costs, on both the infrastructure and handset fronts.

Consumers in the United States are to gain access to at least some of the spectrum in question by 2009, but it will…

Email Communication Declining in U.K. Market

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Most people would guess that teenagers send more instant or text messages than emails. In the U.K., says ComScore, it is a quantifiable trend. As it turns out, people now are communicating more from within the context of their social networks than using portal-based email. That isn't yet true for business communications, of course.

But it stands to reason that personal use of email is for communication with friends and family. And if those people are part of a social network, one doesn't have to go outside the network to send messages. Some day soon, people will launch and receive voice, video and other communications from within the social network as well.

Mobile IM Use Increasing

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According to the second annual AP-AOL Instant Messaging Trends Survey, 25 percent of respondents send instant messages from their mobile phones, including 32 percent teens.

In addition, IM users are instant messaging from within their social networking profiles.

More than 27 percent of users say they use instant messaging at work. Further, half of at-work IM users say that instant messaging makes them more productive at work, a 25 percent increase over last year.

More than half (55 percent) of teen IM users have used instant messaging to get help with their homework. This is a 17 percent increase over last year. Meanwhile, 22 percent of teens say they have sent an IM to ask for or accept a date.

Forty-three percent of teen IM users say they have used instant messaging to say something they would not say to someone in person. Teenage girls are more likely than boys to do so. Nearly half of teenage girls surveyed have used instant messaging to say something they would not say in person, c…

Google Will Bid on 700 MHz Spectrum!

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Google is preparing to bid at least $4.6 billion for wireless spectrum to be bought at the Federal Communications Commission's January auction, the Wall Street Journal reported says. The company is planning to bid without partners, a move some of us would not have predicted.

The company is beta testing a wireless solution in preparation for running a full-scale national mobile network. Obviously, Google as a mobile network services provider would be highly disruptive to the existing legacy carrier business models, given the likelihood Google would emerge fairly quickly as a packaging, pricing and
network functionality innovator.

One simply has to point back to packaging and pricing innovation by just one carrier--AT&T--to illustrate the fact that a significant new pricing pattern, in this case the concept of a bucket of minutes for a flat fee, can cause an entire industry to react.

A bid obviously would vastly complicate Google's other efforts to gain favorable placement of …

Making War on Your Customers a Mistake. Duh!

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Edgar Bronfman, Warner Music CEO, says mobile service providers should not make the mistake the music industry did. "We used to fool ourselves,' he says. "We used to think our content was perfect just exactly as it was."

"We expected our business would remain blissfully unaffected even as the world of interactivity, constant connection and file sharing was exploding," he says. "And of course we were wrong."

"We inadvertently went to war with consumers by denying them what they wanted and could otherwise find and as a result of course, consumers won," he says.

Mobile operators risk making the same mistake with their music services, he says.

"The sad truth is that most of what consumers are being offered today on the mobile platform is boring, banal and basic," Bronfman says. "People want a more interesting form of mobile music content."

"They want it to be easy to buy with a single click," he adds. "And the…

BT: Another Twist on Social Networking

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Tradespace is a community platform that allows businesses to interact together and use PayPal to make transactions. It currently features 20,000 largely small business users.

The SME employs 10 million people in the U.K. market, about half of the total private workforce, says Ben Verwaayen, BT CEO. About 24 percent of the U.K. workforce works from home. About 60 pecent start-ups also are home-based.

"They don't want hassle but they want to live in the 21st century," says Verwaayen. "So they want to have the capability to communicate, to delegate, to go out in the world and find supplies, find customers and do that in a way that they concentrate on what they do best," says Verwaayen.

And that's one example of how social networkng can work for small business.

Enterprise Software Not Where It's At Anymore

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The future of enterprise computing will draw from what is being developed on the consumer side, says Paul Otellini, Intel CEO. "Consumers today are the number one users of semiconductors; they passed over IT and government in 2004."

"Prior to that period, most people developing silicon in the industry were focused on the main market: the enterprise and IT," says Otellini. "Today, most of us are focused on the consumer market as drivers."

"Not so long ago, if you were technology-oriented and wanted to do something innovative and cool that would make you rich, you wrote a new piece of enterprise software," he says. "Or you came up with a new design for a server. Or you figured out a way to link business people with their offices while on the road."

That's just not the case anymore. Innovation is coming from the consumer Web.

Global Telecom Revenue Up Again

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For all the talk of how IP-based services will cannibalize legacy communications revenue, only narrowband voice services seem to be stalled at this point. In 2008, projects Insight Research, worldwide service provider revenues are predicted to grow to $1.7 trillion
in 2008, and to keep growing to $2.7 trillion in 2013.

While the overall CAGR is 10.3 percent, there are notable regional differences. The Europe/Middle East/Africa (EMEA)region has the slowest growth rate at 5.2 percent annually. The Asia Pacific region is experiencing the highest five-year growth overall, at 15.5 percent. The Latin American region is next with a growth of 12 percent.

Broadband wireline revenues are growing at a 6.7 percent cumulative annual growth rate over the forecast period, while narrowband wireline services revenues are essentially flat at 0.4 percent over the same period.

Clearly wireless and broadband are where the growth is. Wireless revenues will grow from 60.3 percent of all telecommunications ser…

Heavy Text on iPhone? Not so Accurate

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You probably would have guessed this would be the case: User Centric, Inc., a Chicago-based usability consultancy, says iPhone owners can enter text just as rapidly as a BlackBerry user can, but the error rate for iPhone users is higher, and significantly higher for longer messages.

While iPhone owners made an average of 5.6 errors/message on their own phone, hard-key QWERTY owners made an average of 2.1 errors/message on their own phone. Nor does it appear experience makes that much difference. Though User Centric found that experienced iPhone users could type faster, they made as many mistakes as users who never had touched an iPhone before.

Participants who had previously not used either a hard-key QWERTY phone or an iPhone also were significantly faster at entering text messages on the hard-key QWERTY test phone than on the iPhone. These participants also made significantly fewer errors on the hard-key QWERTY than on the iPhone.

Numeric phone owners made an average of 5.4 errors/mes…

Nortel Launches Communication Web Services

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Nortel has unveiled a Communications Enablement strategy that enables Web services on some Nortel products and provides a software-based environment to simplify the creation of customized communications-enabled applications and business processes.

Nortel also is working with IBM to support Service-Oriented Architecture and Web services that allow customers can integrate advanced communications services into business applications.

Nortel recently unveiled Web Services enablement on the Application Server 5200 and Communication Server 2000 IP Multimedia Softswitch, which allow service providers to offer their enterprise and residential customers interactive multimedia communications tools for their websites based on functionalities such as instant messaging, videoconferencing and presence. Nortel has also rolled out extensive Web Services capabilities on its Contact Center and Advanced Speech platforms.

Nortel also is developing a software-based foundation environment that enables network …

Vodafone: Pipes, Not Content?

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Vodafone had a good quarter. It might also have had an instructive quarter. The stand out? Organic growth of 45 percent in non-messaging data revenue. In fact, non-messaging revenue is now up to a level of half that of messaging (text and multimedia messaging.

"The organic growth in data revenue of 45.1 percent was particularly strong and can be attributed in part to increasing penetration of Vodafone Mobile Connect 3G/GPRS data cards and handheld business devices," the company says. Translation: Wireless notebook computers and BlackBerry style email devices are driving data growth.

Vodafone handhelds in the business category increased by 112.6 percent since September last year and Vodafone Mobile Connect 3G/GPRS data cards grew by 78.9 percent. Assume there are 1.8 million data cards in use and 1.4 million email-centric handhelds as well.

Assume the monthly revenue stream for a notebook card is £35 a month. Assume an email device such as a Blackberry represents £25 a month. Th…

Another Ridiculous Patent Suit

Technology Patents, a Maryland entity having its principal place of business in Potomac, Md, (address P.O. Box 61220, Potomac, MD 20859, http://www.arismardirossian.com/), has filed a patent infringement suit claiming that 131 carriers, handset suppliers and application providers have infringed a patent covering global transmission of text or short message service (SMS) communications.

Technology Patents alleges that all of the defendants, which include T-Mobile, Vodafone, China Resources Peoples Telephone Company Ltd, AT&T, Samsung, Palm, Microsoft, and Yahoo! (among the 131 defendants), have caused international text or SMS messages to be sent to and from Maryland, thereby resulting in infringement of the asserted patents in Maryland.

TPLLC has asked for a permanent injunction against the defendants, enjoining them from providing international messaging operations and capabilities in the U.S. market.

My views on this, as previously mentioned, are that there is way too much use of &…

iPhone Not Enterprise Class? Avaya Says It Is

Avaya says its Avaya one-X Mobile unified communications platform will support Apple iPhone. The company also announced the availability of Avaya one-X™ Mobile for RIM, Palm, Java and WAP mobile devices. The first company to announce access to enterprise communications from the iPhone, Avaya now extends this access from the broadest range of mobile devices of any enterprise communications manufacturer today.

Avaya one-X Mobile unites enterprise and mobile networks, allowing the two to work together more effectively while increasing the value of existing investments in communications infrastructure.

With Avaya one-X Mobile, mobile devices from Apple, RIM, Palm, Motorola, LG, Nokia, Samsung, Sanyo, Sony Ericsson and others become endpoints on the corporate network.

From the iPhone, users will have iPhone optimized access to the Avaya one-X Mobile interface, providing the same ability to make the iPhone their personal remote control for enterprise communications.

Flat Rate Data Roaming from Asian Mobile Providers

A group of Asian mobile carriers early next year will provide traveling users data access for a flat daily fee.

The carriers call themselves the Conexus Mobile Alliance, and include Hong Kong's Hutchison, Indonesia's Indosat, Japan's NTT DoCoMo, the Philippines' Smart, Singapore's StarHub, South Korea's KT Freetel, India's Bharat Sanchar Nigam Ltd., Manager Telephone Nigam Ltd. (MTNL) and Taiwan's Far EasTone. The alliance covers 11 territories and 160 million consumers.

All the carriers use the Wideband Code Division Multiple Access data standard operating faster than 3G.

Some of the carriers already have deployed high-speed downlink packet access (HSDPA), supporting speeds up to 1.8 Mbps. NTT DoCoMo already offers 3.6Mbps, and plans to launch a 7.2M bps service early next year.

The carriers hope the new alliance will boost data usage within Asia.

Major Reform of EU Telecom?

In a major revamp of its rules on wholesale access to optical loops, the European Commission executive branch has decided that, where competition is weak, incumbents must create separate “wholesale access” companies that sell services to all service providers.

Known as “structural separation,” the model resembles that current in the U.K. market, where BT and all other wireline providers buy access services from a wholesale OpenReach company.

The plan still must be ratified by member nations, and opposition is expected. National regulators are happy to be given more powers, but do not want the EU executive to be allowed to overrule their decisions and insist that they do not need an EU watchdog.

The European Commission says the new rules could be applied by the end of 2009, but observers expect EU states such as Germany, France and Spain to water them down.

If ratified, however, the decision essentially means competitors will have wholesale access to incumbent fiber-to-home facilities. The…

Android Web Browser Renders Well

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The Android Web browser seems to render Web pages nicely, based on these screenshots from Google Operating System.

Android Reminds me of Apple

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Not since Steve Jobs over at Apple has a company apparently worked so hard on the look of fonts. But it appears Google has something of that same passion for user experience as it develops Android, its open source platform for mobile computing and communications devices. Here are the fonts users will be interacting with. Nice. Pleasing. But just as important, a sign that mobile user experience might now be really be an obsession at two companies.

Don't get me wrong. My BlackBerry is one of two devices I can't seem to dispense with, simply because it handles email so well. But it doesn't do voice very well, the key placement is occasionally awkward, and camera and media support is woeful.

The other, curently a Nokia N95, does photography, audio and video really well, has much more personality and uses a much better Web browser. RIM's browser is awful. Still, when I find I am reading the manuals, over and over, to learn how to use either device, which was my experience, …

Watch T-Mobile

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T-Mobile is going to be the first U.S. wireless provider to offer Android-powered phones next year. It is going to be first because it already has been working to develop such phones with Google and because it has powerful incentives to do something really dramatic to close the gap between itself and the other three major mobile providers. Put simply, it has got to take more chances and gamble more.

And oddly enough for the carrier with the least broadband capability (T-Mobile hasn't yet deployed its third generation network and the others have, T-Mobile might be launching a major push for Web-centric services. If the big opportunity not yet dominated by anybody else is the mobile Web, it's a major chance for T-Mobile to establish a new position for itself in the marketplace.

Once positioned at the "more minutes, less money" end of the spectrum, T-Mobile over the past several years has gotten more traction as a provider of "trendy" devices with an image to m…

Cable Industry to Get Clipped by FCC

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In a move that will limit business opportunities for Comcast and Time Warner Cable and help independent networks, the Federal Communications Commission is preparing to impose significant new regulations to open the cable television market to independent networks, after determining that cable operators are too dominant in the multichannel video entertainment market.

Satellite and telco competitors should benefit at least in part, as the new rules are expected to force cable-affiliated programming networks to sell their content to competitors at better rates.

The new rules essentially would prevent Comcast from acquiring any other system assets, and limit Time Warner Cable's ability to make large acquisitions, shutting off a revenue growth path for both firms.

One of the proposals under consideration by the commission would force the largest cable networks to be offered to the rivals of the big cable companies on an individual, rather than packaged, basis. Up to this point cable-affi…

Do Patents Retard Innovation?

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Is the patent system broken? Supposedly a way to protect genuine intellectual property and spur innovation, patents these days seem most likely to wind up being used as a weapon of business warfare, and may actually retard innovation in many cases. Vonage and Research in Motion come to mind, as many observers think the patents Vonage is said to have infringed should not have been granted in the first place, and RIM had to pay what amounts to greenmail so its carrier and enterprise partners would not suddenly have to make all BlackBerry services "go dark."

In fact, it seems to be common these days to attempt to patent common business practices, obvious to anyone in the field. That leads to patent "trolls" buying up intellectual property and then suing companies as a business model.

Suing is a repugnant business model. And most patents seem trivial or--to a layman--overly broad. It is important to foster innovation and reward effort, and some innovations fit that bill.…

Google Tailors Search

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One of the best things about Web services is that user experiences can be personalized and customized . So it is that Google uses many signals to rank search results and in some cases filters returns based on a user's location, device or preferences.

You've probably noticed that hyphenation doesn't limit results. "T-Mobile" and "TMobile" results both come up. Helpful since hyphenation conventions vary from one document and user to the next. However, typing "+TMobile" only brings up results that do not have the hyphenation.

Google defaults to eliminating duplicate search results, which normally is desirable. There be some cases where a particular search might return multiple results from a single Web page, and a user might want those results. Typing "&filter=0" at the end of Google's URL will disable that function.

I find it useful that Google senses when I am searching from a mobile and formats the display accordingly. If, by …

Skype, Logitech Partner for Video Calling

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In 1970, AT&T introduced "Picturephone" service in Pittsburgh. It flopped. In fact, the average person wouldn't normally think to turn to a telephone or cable company to buy or use video-enabled communications. Instead, one might think of WebEx, Cisco, Packet8 or Skype. And options on the mass market front just got better.

Skype and Logitech have partnered to create a High Quality Video experience using Skype 3.6 for Windows and Logitech QuickCam software, version 11.5.

The new capability provides VGA-quality video calls (640-by-480-pixels) at up to 30 frames per second over connections of 384 kbps connection or higher, when using a
High Quality Video-certified Logitech webcam and a PC with a dual-core processor.

Obviously, both end points need the set-up to ensure the best experience. This is a potential experience changer, as it should allow full-screen images with decent quality.

Skype 3.6 for Windows is expected to be available in early November in 28 languages. The…

RIM Lawsuit is Silly

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Most litigation in the U.S. business markets is crap. So put Research in Motion into the camp of crappers. RIM is suing to prevent LG from using the words "Black Label, Strawberry and Black Cherry" for its wireless phones, arguing that the "fruit" names are too similar to its own, and infringe on its trademarks.

I don't know. I just can't imagine anybody confusing a BlackBerry with any other device, no matter what the name.

LG isn't the only company to have faced a challenge from RIM over the BlackBerry name. Last December, RIM filed a suit in the same court against Samsung Electronics Co. Ltd. alleging that company's BlackJack wireless device was creating confusion between the two products. RIM and Samsung settled the suit.

The current dispute with LG appears to go back to March, 2006, when LG filed an application with the U.S. Patent and Trademark Office to use the Black Label brand.

Over the next 10 months, LG filed additional applications for the Ch…

All Carriers Cave on Early Termination Fees

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Users hate early termination fees that come with their mobile service contracts. Now, in part because of pressure from lawsuits filed challening the practice, all four major U.S. wireless carriers are softening the blow.

Verizon Wireless was the first to prorate early termiantion fees last year. at&t Wireless did so in October. T-Mobile and Sprint now also say they will start prorating their early termination fees in the first half of next year.

The fees aren't gone. But the amount will decrease the closer you get to contract end date. Sprint also says it will allow allow users to change plans without renewing the contract, something Verizon started doing in October.

All the moves are user friendly. Look for more signs of "friendliness" as use of unlocked phones starts to spread, open source Android phones start to make their appearance and, just maybe, a new carrier decides to push the envelope even more.

Clearwire Shares Drop 25% at Market Open

...as a result of the scuttling of its proposed agreement with Sprint to build a natinal WiMAX network reaching 100 million potential users. Investors reason that Clearwire now will need a new cash infusion, as it continues to lose money on its operations.

Sprint, Clearwire Deal Dead

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In a surprise move, Sprint Nextel Corp. and Clearwire Corp. say they are scrapping their agreement to jointly build a nationwide high-speed wireless network based on WiMax technology, after failing to reach agreement on terms of the deal.

The move naturally will increase speculation about the fate of the Xohm WiMAX venture, given Sprint's desperate need to shore up its existing mobile phone business. Obviously, the asset is easier to sell or spin off if Clearwire isn't involved.

Is it not too early to predict that Google strategists now will be taking another look at spectrum options? At the same time, might not once more note that the complexity of running two separate networks, sets of devices and software are part of Sprint's problem?

Other carriers have dealt with such issues by collapsing all services and users onto a single technology platform. Clearly, most of the churn issues are caused by the Nextel base, heavy with small business users. The Nextel iDen network is …