More Use of Open Source Mobile Web Browsers

It might not be the case that control of a mobile browser necessarily means control of the applications environment. It might, though, mean substantial upside in terms of software customization and enhancement of user experience. So mobile device manufacturers seem to be focusing on use of open-source browser platforms as a way to leverage creation of other applications that can lead to differentiation of user experience.

As consumers increasingly surf the Web on their mobile phones, handset vendors are looking toward open-source browsers such as WebKit – the browser engine at the heart of the iPhone’s Safari browser – as a way to bring it to them. However, despite growing interest in WebKit and Gecko (the engine for the Mozilla Corporation Firefox browser), commercial browser vendors such as Opera and ACCESS continue to see growth in their businesses.

According to ABI Research, overall growth in the mobile browser category will lead to a total pre-installed revenue of $492 million by 2013, driven by the trends of more complex HTML-based browser integration.

“Device manufacturers are interested in open-source solutions where there is a desire for increased control of their software footprint, and where they can bring internal programming resources to bear,” says research director Michael Wolf. “

Open-source offerings such as WebKit are experiencing adoption by vendors such as Apple, Nokia, and others. Google made WebKit its core browser and Web-rendering engine for the Android platform; and application framework vendors such as Trolltech have integrated WebKit into their development framework. Mozilla also continues to develop its version of mobile Firefox, and Nokia has integrated a Gecko-based browser on its N800 Internet tablet.

More Evidence of Cloud Computing, SaaS Trends

Coghead, which provides a platform for authoring applications that are "mashups" added to other existing business apps, now is selling its services on a usage-based basis, in addition to a per-user basis, Clint Boulton, eWeek staff writer, notes. That change allowsCoghead to price in a way more attractive for lighter users, and using a model similar to Salesforce.com, the popular application sold as a service.

Coghead CEO Paul McNamara saysCoghead, to date, has charged per user—$49 per month for five users as a base plan—regardless of how much users were using its applications. That worked well for active users but not so well for infrequent users.

Coghead will continue to offer per-user pricing plans for full access to Coghead applications.

Coghead hopes the new pricing will help keep its current customers from jumping ship to Salesforce.com, Bungee Labs or Google App Engine, while luring new users with the flexibility options.

The changes illustrate the growing importance of business-oriented software sold as a service and the simultaneous use of utility computing "in the cloud" to create and deliver the services.

Packet8 Launches IP Key System Service

8x8 has introduced new Packet8 hosted Internet Protocol telephony services designed to replace traditional premise-based telephone "key systems" typically used by companies whose size or structure dictates the sharing of multiple, common phone lines among employees, regardless of where the employees are located.

Note the key phrase "shared line appearance." Since one of the issues hosted IP telephony providers have faced is a bit of confusion about why to adopt, the new Packet 8 service goes about as far as one can to position a feature other than "saving money" as the reason for a particular buyer segment to dive in.

Driven by the new Packet8 675xi series of IP desktop phones and the addition of shared line appearance services to the Packet8 Virtual Office platform, the new hosted key system solution provides businesses an opportunity to migrate to VoIP without altering the features, functionality and user behavior they have traditionally relied upon.Packet8 Virtual Office hosted iPBX solution," said 8x8 Vice President of Sales & Marketing Huw Rees.

The system is said to be ideal for offices where multiple users require the ability to view and answer more than one shared phone line at their desk or anywhere in the business

The SIP busy line appearance function apparently is quite difficult to do, but is essential for customers that require the ability for somebody else to pick up an inbound call without parking, says Rees. "It seems like a small function but it is actually quite complicated to do."

Verizon Launches Wireless, Broadband Wholesale

The Verizon Wholesale Mobility Solutions suite of services is now part of the portfolio of products offered by Verizon Partner Solutions, a leading wholesale provider of networks and network services to competitive local exchange carriers (CLECs) and other telecommunications providers based in the United States.

The move is important because mobility solutions are a more-important part of consumer and business communications spending. And if that is so, competitors will need to bundle wireless solutions.

The introduction of Verizon Wholesale Mobility Solutions means wholesale clients have the opportunity to bundle their full-service Verizon wholesale wireline services with wireless voice, text messaging and mobile broadband services to offer their retail end-users a single source for both fixed and mobile voice and broadband services.

Lightyear Network Solutions LLC is the first VPS client.

The Verizon Wholesale Mobility Solutions suite is comprised of two wireless service offerings: Verizon Wholesale Mobile Voice and Verizon Wholesale Mobile Broadband.

Verizon Wholesale Mobile Voice offers wireless calling plans with a choice of designated minutes of use allowances per month. Each plan includes Call Waiting, Call Forwarding, Three-Way Calling, No Answer/Busy Transfer, Caller ID and Basic Voice Mail at no additional monthly fee. Premium features, like Enhanced Voice Mail, monthly mobile-to-mobile minutes and directory assistance, are each available at an additional monthly charge.

In addition to voice plans, wholesale clients can offer text-messaging plans with a choice of designated message allowances per month to end-users that have also purchased wireless voice service. Optional international messaging and premium messaging packages are each available at an additional monthly charge.

Verizon Wholesale Mobile Broadband offers high-speed wireless Internet access via laptop computers with a choice of designated packet data transport MB allowances per month. This product can be sold as either a stand-alone service or as an addition to a voice calling plan. In addition to wireless network services, Verizon Wholesale Mobility Solutions provides wholesale clients with tools that enable them to become one-stop wireline and wireless services providers.

Jajah Adds Hosted PBX Functionality

Jajah has expanded its SMB Solution Suite to incorporate a managed service IP telephony solution, including a fully functional 'soft' PBX. The suite of services gives every small and medium business the ability to IP-enable their existing telephony systems and make VoIP calls to over 200 countries without any additional investment.

The Jajah SMB Solution Suite allows all devices: make or receive calls via mobile, landline and even softphone (PC-based telephone), with specific plug-ins for Blackberry and Windows Mobile phones available. Pre-paid and analog-only phones will also be supported.

Also included:are a suite of productivity tools providing the ability to embed telephony within Google Enterprise Apps and Microsoft Office. Features also include centralized address book, database and directory lookup services.

Presence features allow users to choose which phone to use to answer a call, whether on a mobile, landline or softphone, or even to divert the call to a voice mail, which will be converted to text and delivered as an email into the employee's inbox.

Employees can specify their location and availability, while the network will also make intelligent routing decisions based on last-call and office hours.

The system fully supports number portability. The Jajah SMB Suite also offers sophisticated dial-plans, call monitoring and limit-setting amongst other budget management tools.

The service also supports visual Voicemail (where voicemail is converted to text), universal messaging, SMS, conference calls, scheduled calls, call logging, and address book synchronization.

The SMB Solution Suite will be available directly at www.jajahSMB.com, with a global indirect channel partner to be announced in the third quarter of 2008.

Not Good Enough, Netherlands Regulators Say

The largest Dutch cable operator Ziggo has said it now reaches one million digital homes and is claiming to be the number one digital provider in the country. The figures means around 30% of all 3.3 million homes served is now digital.

Not good enough, Netherlands regulators believe. Coming: new rules giving alternate video providers access rights to cable plant. One wonders: will anybody want to do so?

Consumer Satellite Broadband to Overtake Commercial Revenue

Northern Sky Research Now Projects that HughesNet and WildBlue each will have about 50 percent share of the consumer satellite broadband market by the end of 2008.

In fact, aggregate industry revenue from consumer broadband will surpass commercial revenues by about 2013.

YouTube: Complete Dominance of UGC

TubeMogul allows content creators to post video clips to multiple sites at once and track aggregate views for the clip across sites.

So in a recent survey of over 200,000 clips and traffic over a 90 day period, YouTube blew every body else away.

The average clip got more views on YouTube in three months (3,092) than on the next eight video sites combined (2,092).

In principle such dominance should translate into meaningful positioning as an ad medium at some point, with one important caveat. Most user generated content is hard, if not impossible, to monetize in that way. Google executives themselves seem to think something on the order of four percent of YouTube's inventory is the primary inventory against which to sell advertising.

Good content is hard to create on a sustained basis.

Wireless Milestone in 2009

Some mile markers are more important than others. One big change in 2009 is that, for the first time, U.S. customers will spend more money on wireless services than on wired services, according to forecasts from the Telecommunications Industry Association.

What's in an 8 Gbyte iPhone?

Not many iPhone owners will dissect it with the specific intent of determining all the components and estimating the manufacturing cost. But that's what iSuppli Corp. does, and did.

iSuppli estimates the 8 Gbyte version's component and manufacturing costs are $174.33, exclusive of other costs such as software development, shipping and distribution, packaging and miscellaneous accessories included with each phone.

At $174.33, the cost of the new iPhone is markedly less than the $227 that iSuppli estimated for the first-generation, 8Gbyte 2G iPhone in June 2007.

“iSuppli believes Apple aimed for a more cost-effective design for the 3G iPhone compared to the 2G, in order to lower the retail price—which will allow the company to seed adoption and to capture maximum market share now—while the company still has buzz and a perceived differentiation relative to its competitors," says Andrew Rassweiler, principal analyst at iSuppli.

Beyond the $174.33 bill of materials and manufacturing cost of the iPhone 3G, Apple is spending an estimated $50 on intellectual property royalties for each unit shipped. With the 8Gbyte version retail-priced at $199, and the estimated $300 subsidy paid by AT&T to Apple for each unit, Apple is selling the product at a price of $499, and spending $224.33 to produce each one. This gives Apple a BOM, manufacturing and royalty margin of 55 percent for each 8Gbyte iPhone 3G unit sold.

Netherlands to Mandate Cable Network Access

At some point, as cable operators become more substantial providers of voice and data services, they will find they start to come under the regulatory frameworks long established for other telecom providers. Cable operators in The Netherlands appear to be at the front of that trend.

The Netherlands regulatory authority OPTA is proposing mandatory access rules for cable operators very similar to rules governing wholesale access that apply to KPN, for example, but in the video services area.

OPTA says the emergence of terrestrial digital TV, satellite and IPTV platforms have failed to bring about a greater choice for buyers of multichannel video. OPTA says the option of imposing a freeze on prices is not a sustainable solution that would lead to greater competition.

So now it wants to create a wholesale access regime for video services. The actual text is not yet available, so it is difficult to assess the extent of the rules. It does seem reasonable that what OPTA is after is something more than the ability to resell the existing cable services. More likely, the rules will allow competing video packagers access through the local cable network for alternate providers offering differentiated fare.

Why Open is Good for Mobile Service Providers

Recent efforts by Apple and Google to reshape the wireless industry ultimately will help mobile operators and handset vendors, In-Stat argues. The reason is simple: in a business environment where partners and third-party developers now are essential for rapid development of new applications, the more-open and standardized frameworks will allow for faster rates of innovation, even if carriers find the change a bit unsettling.

The current telco-centered approach to developing Internet mobile applications has created an ecosystem for application developers that is complex, fragmented, difficult to enter, and offers a high risk of failure, the high-tech market research firm says.

Look for early examples in the location-aware advertising area, especially as revenue sharing models come into play.

Jajah, eMobile Launch IP Mobile Voice Service

Jajah and Japan-based eMobile have launched an IP-only mobile device, the EM-ONE, allowing users to make and receive voice-over-mobile-broadband calls without a traditional mobile phone connection.

The Jajah Mobile software uses the data channel, a HSDPA connection, to deliver voice services. In 2007 Jajah and eMobile released an outbound-only IP-mobile service, which attracted thousands of Japanses users. Now eMobile customers can not only use their device to make calls to more than 200 global destinations, but for the first time also to receive calls.

For about $5 a month, eMobile customers can purchase a Direct Inward Dialing number, for their Sharp EM·ONE Ultra Mobile Device running Windows Mobile 6, which turns their device into a fully functioning mobile phone, without a cellular connection, beginning August 1, 2008.

Analysts at Ovum predict that, by 2010, 77 percent of the voice connections in the Asia-Pacific region will be mobile and that the region will host over two billion fixed and mobile voice connections, 42 percent of the global total. Ovum’s annual voice service forecasts mobility to be the key growth technology in the voice market for the foreseeable future.

In addition to low cost long-distance and international calls, calls between eMobile customers are free and transmited over a pure SIP connection.

Digital Living Room Market Still a Bit of a Niche

While data-centric home networking is mainstream, the market for Internet-connected TV devices is still nascent. Early adopters of networked digital home services today are found, as you might expect, in higher-income homes.

The target connected digital living room consumer household has household income between $100,000 and $150,000, says MultiMedia Intelligence. These households typically have children and are located in a metropolitan area on the East or West Coast.

So Much for UGC Advertising

Would-be film makers hoping to make a little money creating content and posting that content on video sites will do exactly that" generate a little money.

Though user-generated video will continue to account for close to half of total online video streams between 2008 and 2013, UGC content will produce no more than four percent of ad-related online video revenue at any time during this period, according to The Diffusion Group.

In fact, UGV mostly will be an indirect way of drawing more viewers to professional online video sites capable of generating sustainable ad-related revenue, TDG says.

According to Mugs Buckley, UGV currently accounts for 42 percent of online video streams, yet generates less than four percent of video ad-related revenue. Conversely, professional online video (including both short-clip and long-form content) accounts for 58 percent of streams and 96 percent of ad-related revenue, a reality unlikely to change over the next five years.

So much for the unrealistic hope that amateurs are going to reshape the content business.