PayPal Lawsuit Against Google Won't Derail Google Wallet

PayPal's lawsuit against Google alleges that former Google employees took proprietary information to Google. If past precedents hold, PayPal's suit will fail to halt Google Wallet. Courts have in the past ruled that even "non-compete" clauses of employment agreements are unenforceable, one might note.

155 Different Digital Marketing Channels Complicate Choices

One reason digital marketing has gotten so complex is that there are so many channel choices. A recent Adobe global survey of 1,941 respondents, primarily at businesses headquartered primarily in North America, Western Europe and Japan shows that 155 different digital venues now are in operation by businesses.

In addition to the expected emphasis on websites and web analytics, social communities, blogs and microblogs were among the tactics respondents were using most frequently. Mobile tactics, starting from a low base, are growing rapidly, however.

As you might guess, though marketers are unsure about the return on investment from social and mobile tactics, that uncertainty is not preventing companies from investing in the tactics.

While a majority (58 percent) of the respondents say social has a positive impact on conversion, social
features garnering the most “very effective” ratings remain those more mature and proven tactics like
customer reviews and ratings.

In fact, unchanged for the last three years, the social features that drew the most “very effective” votes this year are user comments and reviews, and user ratings and rankings, cited as “very effective” by 32 percent of the respondents.

The content marketing angles are clear. Content has to be created in order for users to comment, review and rank products and services.

Social and mobile tactics, though, are poised to be adopted quickly by small businesses, Adobe says.
Despite the mixed outlook on social and mobile’s effectiveness, that these tactics are among the most planned deployments suggests that small businesses are bypassing tools like site analytics, universally deployed by large businesses.

Instead, smaller businesses are eyeing leading-edge tactics in social and mobile as a fast-track
to reaching users and converting them.

Fully 73 percent of the businesses surveyed say they plan to invest in website redesigns or would otherwise make significant enhancements to improve their site’s return on investment. The vast majority (82 percent) say they plan to deploy those enhancements within the year.

Analytics, social media, and rich media and merchandising are the most deployed tactics globally, while mobile apps, social executions and rich media are among the top planned tactics.

Read more here

Business use of ‘big-screen’ mobile broadband to triple

The number of connections for "big-screen" mobile Internet devices (tablets and notebooks) used for business will almost triple over the next five years as the worldwide workforce becomes increasingly mobile, predicts Ovum.

Broadband connections for devices such as laptops and tablets on enterprise contracts will hit 74 million by 2015, up from 25.8 million in 2010 and a compound annual growth rate of 24 per cent.

Use of mobile handsets will continue to dominate the enterprise market with connections on enterprise contracts predicted to hit 233 million by 2015, a CAGR of six per cent from 2010 to 2015.

Meanwhile, total global revenues for the enterprise mobile market will reach $146 billion in 2015, with the majority of growth globally coming from the use of data services.

Business use of ‘big-screen’ mobile broadband to triple

Cisco to Unveil New Wholesale Managed Services?

Cisco Systems believes it has found a gap in the telecom managed services market and is set to unveil a new white-label offering for operators in the coming weeks. Cisco will attempt to sell the managed service, called SmartOps, to telecom operators looking to serve small business customers.

Operators are expected to brand the service under their own names, which would be run from a Cisco data center.

http://www.lightreading.com/document.asp?doc_id=208383

6% of U.S. Mobile Owners Used a Shopping App Last 3 Months

About six percent of U.S. mobile phone owners have used a dedicated shopping application in the last three months, according to Forrester Research. That doesn't include any shopping-related activities using a standard mobile browser.

The Data Digest: Are Consumers Using Their Mobiles To Shop? | Forrester Blogs

CEO Changes Evidence of Computing Era Shift?

Hewlett-Packard Co., Google Inc. and Advanced Micro Devices Inc. lead technology companies with a combined $265 billion in market value on the Standard & Poor’s 500 Index that have changed CEOs since August 2010. That’s up from companies worth $75 billion a year earlier. Privately held Twitter Inc. replaced its CEO in October, a month after Finland’s Nokia Oyj did the same.

There now are calls for replacing Microsoft chief Steve Ballmer and Cisco CEO John Chambers. Research In Motion probably is next, said Bill Coleman, a partner at venture capital firm Alsop Louie Partners in San Francisco.

One wonders whether the changes are just one more sign that a new computing era, to be lead by new firms, is gaining momentum, pressuring the old leaders.

Those of you familiar with the evolution of computing technology over the past few decades are aware of the way historians describe the key "eras" of that history. We begin with mainframe computing, transition to mini-computers, then to personal computers, then to a period we generally call the "Internet" or "Web" era and now seem to be at the beginning of the next era, for which we do not generally agree on a name.

The point we like to make is that, in each era, and eras do not break cleanly and neatly into 10-year periods, there are some firms which dominate the business in terms of market share and influence. What we also have seen, though, is a different set of leaders in each era.

Apple might be the anomaly, as it is in so many other ways. Some will argue that Apple already was a "leader" in the PC era. Others of us who once were Apple fanatics and were forced by our trading partners to join the Wintel orbit might not agree that Apple was a leader in the PC era.

In that case Apple might yet remain a candidate to emerge as among the leaders of the next era. But you already can see that leadership is shifting to software companies rather than "hardware" firms.

Einhorn Adds to Drumbeat for CEO Exits With Call to Oust Ballmer - Businessweek

PayPal Sues Google Over Google Wallet

PayPal has filed a lawsuit accusing Google of stealing trade secrets because former PayPal executive, Osama Bedier now works at Google.

Stephanie Tilenius, another ex-PayPal executive now at Google, violated contractual obligations by recruiting Bedier, PayPal said.

Bedier “is now leading Google’s efforts to bring point of sale technologies and services to retailers on its behalf,” according to the complaint. “Bedier and Google have misappropriated PayPal trade secrets by disclosing them within Google and to major retailers.”

read more here

All Spectrum below 5 GHz for Mobile Broadband?

"I think mobile broadband will occupy all of the spectrum below 5 GHz in five years," said Telstra general manager Brian Miller, as Australian authorities prepare for mobile spectrum auctions expected to happen in 2012. Whether that was just a bit of exuberance or a genuine belief is hard to say, but it is nothing if not bold.

The Australian Communications and Media Authority plans to auction 700 MHz frequencies as well as 2.5 GHz licenses for mobile use, and is expected to underpin new Long Term Evolution fourth generation mobile networks.

Australian super-auction could take place by end of 2012

Vast Majority of Small Businesses Unaware of Cloud Computing?

Some 71 percent of small businesses surveyed by Newtek Business Services said they have never heard of cloud computing. The poll of approximately 1,800 respondents found 26 percent of those who had heard of cloud computing could describe what it was. See http://www.eweekeurope.co.uk/news/most-smbs-ignorant-of-cloud-computing-30355.

On the other hand, during the first half of 2010, 14 percent of small and medium businesses reported using cloud computing services and another 10 percent reported plans to deploy cloud-based services, according to a study by Spiceworks.

Twice as many SMB information technology professionals (28 percent) are using cloud solutions today compared to the second half of 2010 (14 percent).

The difference in survey findings might be that the Newtek survey is of non-technical business owners, while the Spiceworks survey is of IT professionals. One might assume the Newtek respondents do not have in-house technology staffs, while the Spiceworks respondents in fact work in that capacity.

Growth plans for 2011 continue to be aggressive, as another 14 percent of IT professionals plan to start using the cloud by midyear. In all, 42 percent of SMB IT pros plan to be using cloud services by mid-2011.

Among SMB IT pros using the cloud today, 39 percent use the cloud for web hosting, making it the single largest varietal in the cloud family. Another 14 percent plan to start using the cloud for web hosting within the first half of 2011.

As for other cloud services, email hosting (32 percent), data backup and recovery services (29 percent) and application hosting (25 percent) were top applications.

The 1,500 Spiceworks respondents work at firms with fewer than 1,000 employees. But the study suggests smaller SMBs are more aggressive when it comes to cloud services adoption than their larger SMB counterparts. See http://www.crn.com/news/cloud/226700068/smbs-gobbling-up-cloud-computing-in-2010.htm.

Some 38 percent of SMBs with fewer than 20 employees use or plan to use cloud solutions in the next six months, the Spiceworks survey found. This adoption rate is markedly higher than the 17 percent of organizations with between 20 and 99 and the 22 percent of organizations with more than 100 employees that use or plan to use cloud services over the same time period.

Technology companies also are adopting cloud services at a faster pace. Some 34 percent of SMBs in the tech sector use or are planning to use cloud services. Companies in the services sector (finance, HR, consulting) comprise next fastest growing vertical segment with 22 percent using or planning to deploy cloud solutions.

Vast Majority of Small Businesses Unaware of Cloud Computing

So Where are the Net Neutrality Rules?

It has been about five months since the Federal Communications Commission decided to impose network neutrality rules on fixed line access providers. But the actual rules haven't been published in the Federal Register, so haven't taken effect.

That is an unusually long delay, and some think it will take another five months before the rules actually are published. The delay, say FCC officials, has to do with the sheer complexity of implementing the order. In other words, some might say, it isn't easy to quantify exactly what has to be done, what cannot be done, and how to collect information to ascertain what is happening.

Then, once the actual orders are published, the lawsuits will start to be filed, leading to possibly years more delay. And in the meantime, it is entirely possible that the market participants might themselves come to some understanding that either side steps the rules or makes them unnecessary.

FCC slow to publish neutrality rules

PayPal Payouts with Facebook Credits

Developers signing up for "Facebook Credits" as a currency will have the option to use PayPal as a payout option, Facebook says. When signing up for Facebook Credits for the first time, developers can add an existing PayPal account as well

Adding PayPal offers more flexibility and choice for payouts and makes it even easier to monetize apps with Facebook Credits. It also raises the issue of what "currency" or "money" is, or could be. In the same way that airline miles now are a form of currency, so "credits" or "tokens" or other mechanisms could emerge as a supplemental form of "money," both in the mobile and online spaces.

PayPal Payouts with Facebook Credits

Google Passes Yahoo in Online Display Advertising

Google has passed Yahoo as the biggest seller of online display ads in the United States, according to IDC.

Google's share of the U.S. display ad market grew to 14.7 percent in the first quarter of 2011, compared to Yahoo's 12.3 percent, IDC says. Google's share is growing fast (up from 13.3 percent last year), while Yahoo's is declining almost as fast (down from 13.6 percent last year).

Google had $396 million in display ad revenue in the quarter, compared to Yahoo's $330 million. And Yahoo's second-place position is under threat: Facebook is well within striking distance, with $238 million.

U.S. online revenue overall is up around $7 billion a quarter, according to the Interactive Advertising Bureau.

Google Passes Yahoo in Online Display Advertising

Google Wallet: Smaller, Impulse Buys are Likely Sweet Spot

Google Wallet has launched with a rather impressive set of partners spanning the key retail, finance and mobile ecosystems, each of which is necessary.

The leveraging of the MasterCard "PayPass" network is important, as it brings potential access to more than 124,000 merchants in United States.

But the partnerships with Verifone, Hypercom and perhaps others will put Google Wallet in next-generation point of sale terminals over time. But it is the immediate installed base of terminals that is most important right now.

Starbucks signed up so many users for its mobile payment system in part because it was able to use the entire installed base of POS terminals, did not have to create or recreate a payment system or deal too much with the number of smart phones able to use the network.

One would not be surprised if the "killer" transactions turn out to be relatively small purchases, many of an impulse nature. Walgreens and Subway provide examples. People will probably spend a relatively small amount per transaction, but might conduct transactions relatively frequently.

Google Wallet: Handicapping why it will (and won't) work | ZDNet

Google Wallet Highlights a Business Model

Google's new mobile wallet illustrates the expected potential of local and mobile advertising, promotion, loyalty offers and "offers" as a full-blown revenue model in the mobile payments space, having nothing to do directly with the revenue earned by card issuers from the actual payment transactions.

Google says its service will start out with "daily deals" but will expand into things like check-in offers. Though much attention remains focused on new "payments" platforms, the local advertising, mobile advertising and promotion businesses are seen by Google as the opportunities it wants to focus upon, logically enough, given its advertising revenue model.

Hello Google Wallet

Google Launches Mobile Wallet

Google has launched its "SingleTap" mobile wallet service, working with Citi, MasterCard, First Data and Sprint. Google suggests one of the advantages, aside from reducing the need to carry multiple loyalty program cards and credentials, are savings and offers of various types.

Google Wallet is a key part of Google's strategy for enhancing shopping for both businesses and consumers. "It’s aimed at making it easier for you to pay for and save on the goods you want, while giving merchants more ways to offer coupons and loyalty programs to customers, as well as bridging the gap between online and offline commerce," Google says. See http://www.google.com/wallet/.

At first, Google Wallet will support both Citi MasterCard and a Google Prepaid Card, which you’ll be able to fund with almost any payment card.

Users will have to use a Google Nexus S at first, since that is the only Android device that natively supports near field communications. The service also will be available in a limited number of cities.



Google Wallet is built to work with the fast growing MasterCard PayPass network—a merchant point of sale service that enables consumers to tap to pay. As a result, Google Wallet will immediately be accepted at more than 124,000 PayPass-enabled merchants nationally and more than 311,000 globally.

Google is also working with point of sale systems companies and top retail brands to create a new SingleTap shopping experience. Consumers will be able to pay for an item using a credit card or gift card, redeem promotions and earn loyalty points—all with a single tap of their Google Wallet. Google is working with VeriFone, Hypercom, Ingenico, VIVOTech and others to develop these next generation point of sale systems.

Retailers participating in the new SingleTap experience include: American Eagle Outfitters, Bloomingdale’s, Champs Sports, The Container Store, Duane Reade, Einstein Bros. Bagels, Foot Locker, Guess, Jamba Juice, Macy’s, Noah's Bagels, Peet’s Coffee & Tea, RadioShack, Subway, Toys“R”Us and Walgreens.

“Google Wallet allows us to harness the power of mobile technology to enhance our in-store shopping experience and helps bridge the gap between our online and in-store consumer interactions,” said Martine Reardon, executive vice-president of marketing and advertising, Macy's. “Macy's is always looking for cutting-edge technology that will deliver value and engage our customers in personal ways. Google Wallet delivers this unique interaction across channels.”
The first Google Wallet field tests are focused in New York and San Francisco, where many retailers, Coca-Cola vending machines and even taxis are enabled, including major outlets such as CVS, Jack in the Box, Sports Authority and Sunoco. First Data, a global leader in electronic commerce and payment processing, is actively recruiting thousands of new merchants in these areas and will soon expand those efforts to deploy more contactless merchant terminals across the country.
Google has also been testing a variety of consumer deals that can range from a 20-percent discount on a new pair of boots discovered on a Google search advertisement; to a $5 off check-in offer received upon entering a store; to a "deal of the day" offering a $20 lunch for $10 at a local restaurant.

At most stores you will be able to use Google Wallet to show your offer at the register, where the cashier will either scan it or manually type it in. At participating Google SingleTap merchants, you will be able to pay and redeem an offer with one tap of your mobile device.

Because Google Wallet is a mobile app, it will eventually be able to do more than a regular wallet ever could, but without the bulk, Google says, SingleTap will start with offers, loyalty and gift cards but some day items like receipts, boarding passes and tickets will all be seamlessly synced to your Google Wallet.

Google Wallet will work best if it’s an open commerce ecosystem so you will be able to carry all the credit cards, offers, loyalty and gift cards you choose—and eventually much more. To this end, Google Wallet will make it possible to integrate numerous types of partners, and Google, Citi, MasterCard, First Data and Sprint invite the banking community, mobile carriers, handset manufacturers, merchants and others to work with Google Wallet.

Official Google Blog: Coming soon: make your phone your wallet