Friday, February 11, 2011

New Devices, New Behaviors

User behavior when on a smartphone is quite different from behavior on a traditional device.

Kleiner Perkins Caufield & Byers Partner Mary Meeker says nearly half of all smartphone usage represents new activity, such as navigation, game playing, social networking or use of  other non-traditional applications.

About 12 percent of activity is use of the web or web apps. About seven minutes a day is spent checking or interacting with email. About 32 percent of time is spent using voice or text apps.

SureWest Sees Light Demand for 50 Mbps, Almost None for 100 Mbps

SureWest CEO Steve Oldham recently confirmed a stubborn fact: not many customers are willing to pay for a 50-Mbps Internet access service. “We have a 50 Mbps service that a few people are interested in. We would offer a 100 Mbps service if we had anyone who would want to buy it,”Oldham said.

Apple Working on Cheaper IPhones?

Apple is working on new versions of the iPhone that are aimed at slowing the advance of competing handsets based on Google Inc.’s Android software, according to Bloomberg.

One version would be cheaper and smaller than the most recent iPhone. Apple also is developing technology that makes it easier to use the iPhone on multiple wireless networks.

Thursday, February 10, 2011

Mary Meeker's Latest Take on Internet Trends: Mobile has Critical Mass

http://www.scribd.com/doc/48586092/KPCB-Top-10-Mobile-Trends

Sprint Makes More Progress

Sprint’s fourth quarter highlighted a company that has rebounded nicely, with almost 1.1 million net subscriber additions includng prepaid and postpaid customers.

Sprint added 58,000 postpaid subscribers, 519,000 net subscribers to its brand and prepaid subscribers of 646,000 to the Virgin Mobile, Assurance Wireless and Boost Mobile brands. Overall, Sprint added almost 1.1 million wireless subscribers—the most additions since the first and second quarters of 2006.

Postpaid churn also improved to 1.86 percent in the fourth quarter compared to 2.11 percent a year ago. Now that figure isn’t anywhere near the churn figures Verizon Wireless and AT&T enjoy, but Sprint is doing something right with its value pricing.

78% Use Mobile Location Features

Location-based services and apps are increasingly important. A new survey by JiWire shows 78 percent of mobile consumers use location-based apps on their phone, and 29 percent use them multiple times a day.

Some 34 percent clicked on an ad in response to location specific message, while 57 percent are more likely to engage with an ad that is relevant to their location, an increase from 46 percent in the first quarter of 2010.

About 17 percent have made a purchase in response to a location-based advertisement and 84 percent of people who use app-enabled phones have participated in a shopping activity.

On average, the mobile audience uses 1.6 devices to connect while on the go.

Will Google or Facebook Buy Twitter?

Executives at both Facebook and Google, among other companies, have held low-level talks with those at Twitter Inc. in recent months to explore the prospect of an acquisition of the messaging service, according to the Wall Street Journal. The talks have so far gone nowhere, these people say.

Wednesday, February 9, 2011

Mobile Banking Can Deliver 300% Returns, Accenture Says

A study of 20 financial institutions around the world that offer mobile banking, commissioned by Accenture and conducted by TowerGroup, has found a Middle Eastern bank that is getting an eye-popping 300 percent return on investment by letting its two million mobile banking customers pay bills on their mobile devices, including topping up their pay-as-you-go mobile phones, paying utility bills, or paying a fixed monthly fee for a premium services package.

Another bank in Asia Pacific has achieved an ROI of 230 percent since launching mobile banking in 2007, according to the Accenture report.

Mobile Apps Revenue to Triple in 2011

World-wide, revenue from mobile apps is expected to triple this year to $15.1 billion, including paid downloads and advertising revenue generated by free apps, according to research firm Gartner Inc.

Besides the potential of making money directly from such creations, more and better apps can help devices powered by Google's Android operating system continue to gain ground on Apple's iPhones and iPads. It's all about the ecosystem, says Nokia CEO Stephen Elops.

U.S. Mobile Payment Will Grow Quickly, Some Think

Although mobile payments first became popular in Asia and Europe, analysts agree that the United States is going to catch up quickly. In its November 2010 report, the Aite Group forecasts that U.S. mobile bill payments will reach US$214 billion in gross dollar volume in 2015, up from US$16 billion in 2010.

Starbucks Mobile Payment System: One Unfortunate Security Issue

The Starbucks mobile payment application has a security issue that could allow another person to "steal" the stored value on the linked Starbucks card.

Kelley Langford, vice president of sales and marketing at System Innovators, says the process takes about 90 seconds. One might argue the chances of such theft occurring are rather remote, and almost non-existent if a user keeps their iPhone in sight, in a pocket or a purse.

Online Video Seems to be Cannibalizing DVD, Not Growing the Market

Consumer spending on at-home movie and TV content, exclusive of multichannel TV services, seems to have peaked about 2004, according to IHS Screen Digest (figures are in billions, not millions)

DVD sales and rentals historically have driven the market, with all forms of on-demand delivery remaining a smallish part of the business.

So far, it appears that online delivery, pay per view and video on demand are just cannibalizing the DVD market.

U.S. consumers spent $385 million buying and renting movies using the Internet in 2010 --up 38% from the year before -- surpassing for the first time the amount paid for online television shows.

According to research from IHS Screen Digest, the market for Internet television episode rentals and purchases last year was $366 million. In 2009, spending on online movies and TV was $280 million and $295 million, respectively.

Total revenue from DVD, Blu-ray and digital sales and rentals of movies and television shows in the U.S. declined three percent to $18.8 billion in 2010, according to new data from industry trade organization Digital Entertainment Group.

HP to Introduce New Tablet

Nokia's Blunt Message

What Google Learned About Search in 2010

How Electricity Charging Might Change

It now is easy to argue that U.S. electricity pricing might have to evolve in ways similar to the change in retail pricing of communication...