BT: Another Twist on Social Networking

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

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

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 services revenues in 2008 to 72.3 percent in 2013.

Wireless services revenues are growing at 14.4 percent over the forecast period, while wireline services, which includes both broadband and narrowband services, grows much more modestly at 2.6 percent.

Heavy Text on iPhone? Not so Accurate

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/message on the iPhone, 1.2 errors/message on the QWERTY test phone, and 1.4 errors/message on their own phone.

The study involved data from 60 participants who were asked to enter specific text messages and complete several mobile device tasks. Twenty of these participants were iPhone owners who owned their phones for at least one month. Twenty more participants were owners of traditional hard-key QWERTY phones and another twenty were owners of numeric phones who used the “multi-tap” method of text entry.

Each participant entered six fixed-length text messages on their own phone.
Non-iPhone owners also did six messages each on the iPhone and a phone of the “opposite” type.

The opposite phone for numeric phone owners was a Blackberry and for hard-key QWERTY phone owners it was a numeric Samsung E300 phone. Some participants did additional tasks, including a contact search and add contacts, as time allowed.

iPhone owners entered six text messages on their own phone. They also typed two pangrams – a sentence that includes every letter in the English language at least once – and one corpus – a set of characters that represents the exact letter frequencies of the English language. These tasks were included to ensure that participants experienced the various phone keyboards in a thorough manner. iPhone owners also completed tasks involving text correction, contacts, and visual voicemail

Non-iPhone owners entered a total of 18 text messages – six each on their own phone (hard-key QWERTY or numeric phone), the iPhone, and the “opposite” phone (numeric test phone for QWERTY phone owners, hard-key QWERTY test phone for numeric owners). These participants also entered two pangrams and one corpus on their own phone and completed the contact list tasks if time was remaining.

As it turns out, subjects preferred hard keys for texting. “Not only was their performance better,” says Jen Allen, User Centric user experience specialist, “their rankings and ratings of the phones indicated that they preferred a hard-key QWERTY phone for texting.”

Participants rated the hard-key QWERTY phone highest out of all three phones for ease of text messaging. The hard-key QWERTY phone was also most frequently ranked first out of the three phones by the numeric and QWERTY users. Overall, the hard-key QWERTY phone was ranked first in text messaging by 85 percent of users.

The iPhone was ranked second by 60 percent of these users. None of the hard-key QWERTY phone owners ranked the iPhone first for text messaging and only three numeric phone owners ranked the iPhone first.

In general, hit rates for all keys on the iPhone keyboard were consistently 90 percent or higher. The average hit rate was about 95 percent.

But participants repeatedly pressed certain keys when they intended instead to press other adjacent keys. Several iPhone keys had high error rates: Q (66 percent), P (27 percent), J (22 percent), X (21 percent), and Z (15 percent). In contrast, the median false alarm rate across the iPhone entire keyboard was 5.48 percent.

iPhone keys with the highest false alarm rates were those in close proximity to the five most frequently used letters in the English language: E, T, A, O, and I.

In addition to the high false alarm letters listed above, other false alarm letters included W (10 percent), R (6.5 percent), Y (8.7 percent), and S (6.0 percent), which are also adjacent to high-frequency letters.

B (8.2 percent) also had a high false alarm rate, potentially because of its location near the letter N (which is the sixth most frequent letter, User Centric says.

On the hard-key QWERTY keyboard, the hit rates for all keys were above 97 percent, except for V (96 percent). Additionally, the false alarm rates for keys on this keyboard were below three percent, with the exception of Q (8 percent).

Performance on the keyboard was much better than on the iPhone keyboard. The letters with higher false alarm rates were similar on both keyboards, involving many of the 5 least frequently used letters in the English language, such as Q, Z, V, and B.

Also, the Q and P keys were problematic for users of both keyboards, suggesting that the issue for these keys arises from their location near the top edges of the keyboards.

Participants made different types of errors on the iPhone and the hard-key QWERTY phones.

The majority of errors made on the iPhone involved substituting a nearby letter for the intended letter. However, on the QWERTY phone, participants made more insertion and omission errors than substitution errors.

Also, many of the substitution errors that were made on the QWERTY keyboards involved swapping the order of the correct letters in the words, such as typing “stomr” instead of “storm”.

Compared to hard-key QWERTY devices, the iPhone may fall short for consumers who use on their mobile device heavily for email and text messaging, says User Centric.

The iPhone was clearly associated with higher text entry error rates than a hard-key QWERTY phone.

The finding that iPhone owners made more texting errors on iPhones than their hard-key QWERTY counterparts (on their own QWERTY phones) suggests that the iPhone may have a higher fundamental error rate. The iPhone’s predictive and corrective text features do alleviate some of the errors users make while texting, but it does not catch them all.

The touch screen obviously is an elegant interface for some tasks. It just doesn't appear to be the best interface for all tasks. Mutlitap and touch screen will work fine for many people. Others will find QWERTY keyboards the only way to go.

Nortel Launches Communication Web Services

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 engaged applications or services across a customer's multi-vendor communications infrastructure. It is expected to be available to customers in the first quarter of 2008, and will provide orchestration of real-time services in a multi-vendor infrastructure environment across multiple domains (enterprise, carrier, wireless and wired).

The intent is to enable the creation of communications-enabled applications that are integrated to customers' business processes.

Vodafone: Pipes, Not Content?

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. That suggests £294 million in revenue from data cards and £165 million from email devices, or £459 million, over a six-month period. EU-wide, Vodafone got something like £843 million in non-messaging data revenue over the same period.

So "pipe" revenues have increased from 46 percent to 54 percent of Vodafone's European data revenues over the last year. "Dumb pipe" trumps "content," in this case.

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 "patents" as a business weapon or means of extortion, and too little use of patents as a genuine way to spur the formation of intellectual capital. We aren't talking about one or two "infringers." We are talking virtually the entire global telecommunications industry here. Can that possibly be the case? Or is this yet another example of "prior art" that should never have been given patent status in the first place?

It's crap.

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 decision stands in stark contrast to rules in the U.S. market, where cable and telco providers are not required to lease such facilities to competitors.

Android Web Browser Renders Well

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

Android Reminds me of Apple

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, something isn't being done as well as it might.

Syncing of data, calendar items and so forth is easy using either RIM's Intellisync or Nokia's PC Suite. And the picture-handling Nokia LifeBlog is interesting. The point is that software and navigation are getting to be more important now that mobiles are computers. Apple always gets this. Android might as well.

These fonts are nice. They also hopefully are a sign.

Watch T-Mobile

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 match. Pushing hard on the Android front is just another step in that direction.

T-Mobile also has been innovative on the services and packaging front. Its "myFaves" program allows unlimited calling to any other five numbers: not numbers supplied by T-Mobile--any other numbers.

T-Mobile also has been first to offer "HotSpot at Home," a dual-mode service allowing unlimited calling from the home Wi-Fi zone or any T-Mobile HotSpot. And though I continue to think the problem with dual-mode services is handset limitations, "HotSpot at Home" supports the BlackBerry Curve, one of the few devices I actually would consider using. So call T-Mobile remarkably prescient or lucky.

T-Mobile also worked closely with HTC, we are told, on the "Shadow," a "slide-out keypad" device with the "no keys" look that is becoming more popular.

The point is that T-Mobile is powerfully motivated to push the innovation envelope because it simply has to. That's going to be good for users. Watch T-Mobile.

Cable Industry to Get Clipped by FCC

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-affiliated programmers have used the "bundled" wholesale tactic to get wider carriage for niche networks that piggyback on the popularity of major networks. In other words, to get the "must have" channels, competing service providers have to buy the weaker networks as well.

The agency is also preparing to adopt a rule that would make it easier for independent programmers to lease access to cable channels. Cable operators oppose that measure because it reduces their control over scarce channel slots.

Though consumer advocates believe the rule changes will lead to lower prices, that might not happen. What might happen is that consumers will be able to buy more targeted channels and packages without the "buy through" requirements that typically result in viewers "paying" for scores of channels they don't want.

In all likelihood, the changes will benefit a small number of viewers that really are interested in just a few channels, or who do not want to buy sports programs. For most viewers, who watch eight to 12 channels fairly regularly, it likely still will make sense to buy a broad package.

ESPN and sports programming in general is a major reason cable prices have risen so much over the past couple of decades, so opting out of ESPN carriage is one way consumers might save some money. Conversely, the rule changes could be damaging to ESPN if any significant number of consumers they can live without it.

Do Patents Retard Innovation?

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. But isn't it obvious we ought to encourage people to work on really hard problems, and reward them, rather than encouraging lots of trivial stuff? Sure, it sometimes is hard to distinguish between an idea of significance and "prior art."

Now there's a big, socially useful problem that Google ought to be able to help with.

Whether it is the patent system or the way it gets used in business, something is out of whack. One might argue it is a necessary evil. Perhaps it isn't so necessary (at least the way currently practiced), though perhaps it often is evil.