Will Tablets Depress Mobile Broadband Sales?

It's too early to tell, but one wonders whether tablet sales actually will depress some amount of mobile broadband data plan sales int he short term, even though logic suggests they will increase demand, long term.

It has become routine over the last two years to hear executives at cable and telecom companies point to the sluggish economy and low housing starts as the reason for similarly stubborn consumer resistance to spending more money on some services.

It looks like nothing has changed since the start of 2009. That's significant because it suggests consumers are making deliberate choices in spending on tablets that basically come down to funding tablet purchases by not spending elsewhere in the household budgets. 

It might only be slight issue at the moment, or a near term issue, but one wonders whether a shift to Wi-Fi-using mobile devices is beginning to lessen demand for smartphones, higher-end smartphones and data plans. And, if so, the related question is whether the substitution is just a temporary issue.

Most reports seem to suggest that most iPads, for example, are Wi-Fi units, not 3G-connected. If tablet popularity grows, and at this point it seems to be growing, then more discretionary end user income could be shifted to device purchases and reliance on Wi-Fi, and away from smartphone data plans or PC dongles.

It won't take a user long to figure out that he or she can buy an iPad for about 10 months worth of a 3G mobile data plan costing $60 a month, or an Android tablet for the equivalent of 10 months of smartphone service at $30 a month.

For many users, that will be a trade off that seems logical, since at least half of all iPad use seems to occur at home, where most people have Wi-Fi, while perhaps 10 percent to 25 percent takes place at work, where there often is Wi-Fi. It does not appear that many people actually use their iPads "in transit."

Long term, one suspects tablet ownership will increase appetite for, and use of, mobile broadband services. Ironically, such demand might also lessen appetite for sizable smartphone data plans. Some users might conclude that a Mi-Fi type service, which can supply Wi-Fi for a tablet, smartphone and notebook, all at once, works well enough.

YouTube: 1 Billion Subscriptions

YouTube says it now has more than a billion subscriptions to YouTube channels, used by business as well as consumer entities.

To make it easier, YouTube has developed a new widget that any video-maker can embed on a website or blog. It lets people subscribe to a YouTube channel with a single click, without having to leave the website site to log into YouTube or confirm a subscription. The entire process happens in the widget.

You can embed the code below into the source code of your website or blog, in the same way you embed a YouTube video.

YouTube Blog: 1 billion subscriptions and counting

Sprint Benefits from iPad

Sprint doesn't sell the iPad, nor does it have the right to sell 3G connections for iPads. Nevertheless, Sprint says it is benefitting from demand for Apple’s device. The reason is that most iPads seem to be of the Wi-Fi-only variety, and that means a wireless hotspot service adds value.

Dan Hesse, Sprint Nextel chief executive officer says Sprint Nextel has seen an uptick in demand for its "Overdrive MiFi" wireless-hotspot device, as people use it to connect their iPads to the Internet when on the go.

Sprint CEO: The iPad Has Been Good to Us

Google Maps On Android: Key Location Based Service

"The combination and integration of Google Maps, Places Pages, Street View and Navigation (with the phone and contacts) has created a kind of LBS juggernaut on the Android device that will increasingly prove challenging to compete with," says Greg Sterling, a Contributing Editor at Search Engine Land.

Right now, no such combination of services exists on the iPhone, which makes it a more “open” playing field for location-based services and local publishers, he argues.

"I use the Google services on my Evo almost exclusively now to find local information and directions," says Sterling. "And yesterday Google updated Maps for Android to make Place Pages on the device look and operate more like Places on the PC."

I'd have to agree that the navigation and mapping features of the Evo are the top reason the Evo has value, though I would rank "voice search" number two.

Google Maps On Android Becoming An LBS Juggernaut

How Is Desktop Videoconferencing Used?

At the moment, it appears that enterprise workers who use desktop videoconferencing are mostly the same people who used any other form of room-based technology, at least so far, Forrester Research analyst T.J. Klett says.

"We find that while 29 percent of workers use videoconferencing technology, only 15 percent have access to desktop video technology.

\The bulk of those using this tool are not the rank-and-file, but the managers and executives who have historically been the users of videoconferencing services.

How Is Desktop Videoconferencing Being Used In Your Business? | Forrester Blogs

Broadband stimulus flows disproportionately to Commerce Committee members

Over 40 percent of stimulus funds that the Commerce Department doled out for broadband went to or was shared by districts represented by House Energy and Commerce Committee members, according to an analysis by Communications Daily. The committee oversees telecom issues.

That's despite the fact that these members only make up 14 percent of the House, the analysis said. National Telecommunications and Information Administration (NTIA) records show that committee members' districts took in all or part of nearly $1.9 billion in grants, the report said.

The committee members whose districts were awarded the the most funding were Reps. Mike Doyle (D-Pa.) with $128 million, Joe Pitts (R-Pa.) with $128 million, George Radanovich (R-Calif.) with $128 million, Chris Murphy (D-Conn.) with $123 million and John Sarbanes (D-Md.) with $115 million, according to the report, which drew from grant descriptions posted on the NTIA website.

Report: Broadband stimulus flows disproportionately to Commerce Committee members - The Hill's Hillicon Valley

Net neutrality: Job-killing zombie

Imposing net neutrality could reduce broadband expansion and cost the U.S. economy upwards of 300,000 jobs, according to a new Phoenix Center study.

Just a 10 percent decline in IT infrastructure investment, Brett Swanson of Entropy Economics found, could eliminate 502,000 jobs and $62 billion in gross domestic product growth. This is a price that the U.S. economy cannot afford.

Opinion: Net neutrality: Job-killing zombie - Douglas Holtz-Eakin and Sam Batkins - POLITICO.com

Slight Dip in Consumer Satisfaction with Broadband Access Services

Overall customer satisfaction with residential high-speed Internet service providers has decreased slightly from 2009 due to declines in satisfaction with cost of service and offerings and promotions, according to J.D. Power and Associates.

The study finds that overall satisfaction with residential high-speed Internet service averages 634 on a 1,000-point scale, a decrease of five index points from 2009.

The study also finds that customer satisfaction with cost of service averages 584 in 2010, a 12-point decrease from 596 in 2009. Contributing to this decline are decreases in satisfaction with fairness of prices paid and ease of understanding pricing options.

“Although product performance is most important in retaining customers, the top reason they switch providers is cost-related,” said Frank Perazzini, director of telecommunications at J.D. Power and Associates.

It isn't always clear how such "satisfaction" ratings affect customer propensity to churn, though. Some products just never seen to be seen as providing high value and reasonable price. Airline service comes to mind. But most consumers are happy with broadband. See http://ipcarrier.blogspot.com/2009/12/is-broadband-satisfaction-directly.html

J.D.Power and Associates

Moms text at home, use apps outside the home

We have a tendency to think of some products as "commodities." Even when that characterization is correct in some ways, it very often is not completely correct, with some important potential marketing implications.

Unless I completely miss my guess, I'd say the "Droid" and "Evo" probably appeal mostly to men, for example.

My unscientific sample suggests the typical first impression some women have is that the Droid and Evo are "heavy," the implication being that neither is a device  would prefer to carry and use.

The point, whether the characterization is mostly right, or not, is that user segments likely exist that service and app providers, as well as device manufacturers, have only begun to assess and design around. To be sure, a smartphone is a multi-purpose device. But most people have lead apps that are more important than most others, and could create opportunities to differentiate the end user experience.

Time Warner Cable Tells Subs How to Cut Cord

Though it is Cablevision Systems Corp. that now is feuding with Fox over the cost of programming, the temporary content blackout is not unprecedented. Time Warner Cable has had its own programming cost disputes, and produced this video to show its customers how to connect their PCs to their TVs to watch content online, during the blackout.

Cablevision is doing the same at the moment. It's ironic, though.

Mobile Users Prefer Browsers over Apps

Although about a third of U.S. mobile phone subscribers used a downloaded application in August, according to comScore, and app downloads have shown impressive growth, many mobile device users appear to think browsers offer the better user experience.

Mobile users polled by Keynote Systems for Adobe reported a preference for mobile browsers to access virtually all mobile content. Games, music and social media were the only categories in which users would rather use a downloaded app than browse the mobile web.

Mobile Users Prefer Browsers over Apps - eMarketer

YouTube's Promoted Videos Program Hits 500 Million Views

YouTube’s "Promoted Videos" program hit a major milestone this month, hitting half a billion views. This figure certainly lends more credence to recent conjectures that the video-sharing site might, in fact, be starting to generate significant revenue, if not profits, for Google.

Think about Twitter's "Promoted Tweets" and you will get the idea.

The Promoted Videos program launched two years ago, and, according to the YouTube blog, has seen a six-fold increase in viewers clicking on these creator-sponsored vids in the past year (advertisers basically pay to have these videos appear in search results, on the YouTube homepage and on video pages).

YouTube's Promoted Videos Program Hits 500 Million Views -- Profits on the Horizon?

Google exec: Android was “best deal ever”

Buying Android Inc., the wireless-software startup founded by Andy Rubin, was Google’s “best deal ever,” said David Lawee, vice president of corporate development at the search giant.

Google acquired Android in 2005 for an undisclosed price which has been estimated at $50 million.

Google exec: Android was “best deal ever” | VentureBeat

Microsoft Says Tablets Are Not A Threat to PCs

Microsoft CFO Peter Klein says he is “confident” that the rise of tablets will expand the market for PCs, saying he was “enthusiastic about our opportunity” and insisting that consumers will continue to turn to Windows for “choice and value.”

Executives also said that to date they had not seen a “material” shift from low-end PCs to tablets. Some will not agree with Klein or Microsoft, but so far the iPad might be a new device category, rather than a full replacement for a PC. What might happen later, when early adopter market is satiated, and tablets start to be available at lower cost, in different configurations, remains to be seen.

Some light users who rely on email and ebook reading might find a tablet a perfectly workable substitute.

Microsoft Says Tablets Are Not A Threat | paidContent

Appcelerator, PayPal Team for Mobile Commerce

Mobile commerce is a huge business opportunity because, at least in the United States, there is not much infrastructure to support it, though that appears to be changing fast. One example is Appcelerator's recent integration with PayPal, which will allow smartphone apps to use PayPal more easily as a mobile payment mechanism.

Now iPhone, Android and iPad developers using the paid version of the company’s Titanium framework get the ability to conduct mobile commerce.