Friday, September 3, 2010

Google to Launch Own Music Service

Music industry interests unhappy with Apple's role in distribution might be cheering Google plans for a download store and a digital song locker that would allow its mobile users to play songs wherever they are.

Google's Andy Rubin, the brains behind Google's Android mobile operating system, has been leading conversations with the labels about what a new Google music service would look like, Reuters reports.

Rubin, Google's vice president of engineering, hopes to have the service up and running by Christmas, two of these people said.

FCC Wants More Input on Wireless, Managed Services

The Federal Communications Commission's Wireline and Wireless Bureaus are seeking further public comment on issues related to specialized or ‘managed services and mobile broadband, at least partially, and perhaps largely, because Verizon and Google have reached their own agreement about how to implement network neutrality on Verizon's fixed networks, but have agreed not to apply the rules to wireless access.

The FCC wants further input on the exemption of new managed services from the "best effort only" Internet access agreement. In essence, Google and Verizon have agreed to what network neutrality advocates have asked for on the fixed networks. That virtually ends discussion about Internet access and network neutrality.

But the mobile network now emerges as the area where policy advocates will focus their energy, and many will not be happy with the exemption for managed services, though the policy foundation for prohibiting such services seems quite weak. Lots of services, such as private network services or cable TV or telco TV routinely use the same physical facilities, but represent different services from "Internet access" and in fact are regulated using entirely different rules.

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Apple Doubles iPad Production: Android is the Reason

Apple is manufacturing two million iPads each month, but production now is scheduled to ramp up to three million a month.

Android tablets may be the reason. Apple wants to make sure people can walk into an Apple store looking for an iPad and walk out purchase in hand.

Apple TV Deal with Disney, Fox Not Exclusive

Apple TV's plan to stream some Fox and Disney content for 99 cents does not have universal support, judged by the content companies that are not participating.

However well the offer is received, it will not be exclusive to Apple. The same content could be offered by Google, who supply the broadcast networks with content, hate Google, Amazon, Netflix or others.

YouTube Becoming an Ad Venue for Copyrighted Videos

YouTube complies with requests by video copyright owners to remove copyrighted material uploaded without permission.

But more than a third of the two billion views of YouTube videos with ads each week are uploaded without the copyright owner’s permission but left up by the owner’s choice.

Advertising revenue is the explanation for the benign approach.

Those two billion views, a 50 percent increase over last year, according to the company, are just 14 percent of the videos viewed each week on the Google-owned site. But that’s enough to turn YouTube profitable this year, and enough incremental revenue for content owners to cause the new relaxed attitude.

Mobile Phone Sales: Something Has to Give

Samsung, one of the five largest mobile phone manufacturers in the world, recently raised its forecast for 2010 unit sales to 25 million. The South Korean company also expects to sell 50 million handsets next year.

No one believes that the mobile phone market will double in 2011, so the Samsung statement suggests it expects to take a significant amount of market share.

If the company is right, the only real question who loses. It won't be Apple, as Samsung is stronger in the feature phone market. For similar reasons, it shouldn't be Android devices.

That leaves the other big players in feature phones, or the weaker players in smartphones. Either that, or Samsung is just wrong.

Social Networking, Gaming Key for Tweens, Teens

Social networking and gaming increasingly are prevalent in children's lives. Facebook is now the favorite website among tween (8 to 11) boys and teen (12 to 15) girls.

Online games dominate for boys and girls ages 8 to 11. 91 percent of tween boys and 93 percent of tween girls play games online.

Google TV Today

It's hard to tell what Google TV, or similar initiatives, will look like and feature in the future. But here's what it offers today.

Teens Text 5x More than Adults

Teens ages 12 to 17 send and receive a median of five times more texts per day than adult texters, according to new data from the Pew Internet & American Life Project.

But that's probably not the most-important finding. The data also show that use of texting is growing in every age demographic.

Slightly more than half (51 percent) of adults who text send one to 10 texts per day, compared to 22 percent of teens.

The percentages of texting adults and teens who send 11 to 20 and 21 to 50 average daily texts are fairly similar. Where teens begin to outpace adults is in the percentage who send 51 to 100 average texts daily (18 percent of teens, seven percent of adults) and more notably in the percentage who send 101-plus average texts daily (29 percent of teens, eight percent of adults).

Angry Bird Creators on Why Such Games are So Compelling

If you like games, "Angry Birds" is worth a try. If you fear wasting too much time, don't go there.

Thursday, September 2, 2010

Why Apple Hasn't Signed More Studios

Though Disney and News Corp. have agreed to allow Apple to sell content at 99 cents per episode or show, other studios are balking.

As typically is the case for changing rights arrangements in the TV content ecosystem, the issue for studios is the disruption of other parts of the revenue ecosystem.

The 99-cent price tag that represents a steep discount from the TV episodes already offered on iTunes for about $3.

Apparently some executives are worried about devaluation of the content, not just for online consumption, but also "downstream" release windows such as DVD and syndication.

As typically is the case, content owners are trying to protect existing big revenue streams while slowly growing the new channels. But the bigger risk right now is cannibalizing the big revenue channels in favor of much-smaller ancillary channels.

Prepaid Market Cracks With Verizon Smartphone Offerings

Prepaid customers traditionally have had to live with a selection of devices that intentionally did not include the top devices sold in the postpaid market. But that has taken a huge change with Verizon's new willingness to sell even its leading devices on a prepaid basis.

At least at Verizon, the difference between prepaid and postpaid offerings is based more on payment options and subsidized or full price phones than anything else. That is a big change, indeed.

Verizon Wireless also has launched a new "3G Prepaid" data package that lets customers access unlimited data on select 3G smartphones and multimedia phones for $30 monthly access.

Multimedia phone customers also have the option of selecting a new $10 monthly data package for 25 MB per month ($.20/MB overage). These new prepaid data packages are available at Verizon Wireless stores already, and will be available online at www.verizonwireless.com beginning Sept. 28, 2010.

Supported smartphone devices include:

BlackBerry Curve 8330
BlackBerry Curve 8530
BlackBerry Storm 9530
BlackBerry Storm2 9550
BlackBerry Tour 9630
BlackBerry Bold 9650

Palm Pre Plus
Palm Pixi Plus

DROID by Motorola
Motorola DEVOUR
DROID X by Motorola
DROID 2 by Motorola
DROID Eris by HTC
DROID Incredible by HTC
LG Ally

3G Multimedia phones available include:

LG enV TOUCH
LG enV 3
LG Chocolate TOUCH
LG VX8360
Samsung Alias 2
Samsung Renown
Nokia Twist
Casio EXILIM

Will T-Mobile Invest in Clearwire?

Though Clearwire already has gotten about $5 billion in investment, but likely needs another $4 billion to complete its national network.

Credit Suisse analyst Jonathan Chaplin estimates Clearwire will need another $4 billion to extend coverage to the 200 million people they plan to reach by the end of 2011.

That is the biggest carrot for Clearwire: it needs cash, and T-Mobile could provide some of it.

Though Sprint might have qualms about enabling a competitor, Verizon and AT&T, not T-Mobile, is the big problem.

When Sprint and Clearwire merged their networks, Sprint invested $1.2 billion in the venture. Comcast and Time Warner invested a total of $1.6 billion, and they now market Clearwire's service under their own names.

Intel put in an additional $1 billion on top of the $660 million they had invested in Clearwire earlier.

Google invested $500 million and cable operator Bright House Networks kicked in $100 million.

Whether Clearwire gets T-Mobile USA as an investor or not, nothing is going to keep T-Mobile USA from finding some way to provide 4G services. The lesser of the two evils might be to allow T-Mobile USA to invest in, and use, the Clearwire network.

Heavy Texters are Heavy Callers, Study Finds

Want a clue about which consumers, of whatever age, will be heavy text message users? Just look for users who are heavy voice users, a new study by the Pew Internet & American Life Project.

Heavy adult texters who send and receive more than 50 texts a day also tend to be heavy users of voice calling. Light texters, who exchange one to 10 texts a day, do not make up for less texting by calling more. Instead, they are light users of both calling and texting.

Texting by adults has increased over the past nine months from 65 percent of adults sending and receiving texts in September 2009 to 72 percent texting in May 2010. Still, adults do not send nearly the same number of texts per day as teens ages 12-17, who send and receive, on average, five times more texts per day than adult texters.

Adults who text typically send and receive a median of 10 texts a day; teens who text send and receive a median of 50 texts per day.

About five percent of all adult texters send more than 200 text messages a day or more than 6,000 texts a month. Fully 15 percent of teens ages 12 to 17, and 18 percent of adults ages 18 to 24 text message more than 200 messages a day, while just three percent of adults ages 25 to 29 do the same.

The average adult cell phone owner makes and receives around five voice calls a day. Women tend to make slightly fewer calls with their cell phones than men.

Men and women are equally likely to be represented at the extreme high end of callers, with eight percent of men and six percent of women making and taking more than 30 calls a day.

link to study

Gmail Adds "Priority Inbox" Feature

I'm just trying it, so nothing to report about how it changes, or helps, the email sifting process.

Verizon Wireless Offers Top Smartphones with Prepaid Plans

Verizon Wireless is significantly sweetening the deal for its prepaid customers with a new "3G Prepaid" data package that lets customers access unlimited data on select 3G smartphones and multimedia phones for $30 monthly access.

Multimedia phone customers also have the option of selecting a new $10 monthly data package for 25 MB per month ($.20/MB overage). These new prepaid data packages are available at Verizon Wireless stores already, and will be available online at www.verizonwireless.com beginning Sept. 28, 2010.

Supported smartphone devices include:

BlackBerry Curve 8330
BlackBerry Curve 8530
BlackBerry Storm 9530
BlackBerry Storm2 9550
BlackBerry Tour 9630
BlackBerry Bold 9650

Palm Pre Plus
Palm Pixi Plus

DROID by Motorola
Motorola DEVOUR
DROID X by Motorola
DROID 2 by Motorola
DROID Eris by HTC
DROID Incredible by HTC
LG Ally

3G Multimedia phones available include:

LG enV TOUCH
LG enV 3
LG Chocolate TOUCH
LG VX8360
Samsung Alias 2
Samsung Renown
Nokia Twist
Casio EXILIM

The big issue is likely to be consumer shock at the cost of unsubsidized devices, though.

link

TVs and Landline Phones Not Seen as Necessities by Growing Number of Users




The television set and the landline telephone are suffering from a sharp decline in reported public perception that they are necessities of life, say researchers at the Pew Research Center’s Social & Demographic Trends project.

Just 42 percent of Americans say they consider the television set to be a necessity, according to a new nationwide survey from the Pew Research Center’s Social & Demographic Trends project. Last year, this figure was 52 percent. In 2006, it was 64 percent.

The drop-off has been less severe for the landline telephone. Some 62 percent of Americans say it’s a necessity of life, down from 68 pecent last year. Also, some 47 percent of respondents say that the mobile phone is a necessity of life.

One might question whether actual behavior tracks what respondents are saying, though. Though there has to have been concern about an actual decline in the total number of subscribers to multichannel TV services in the second quarter of 2010, there has been no break in the long-term growth trend line for multichannel video subscriptions, says Michael Turk, a political and communications consultant.

He chalks up the second quarter decline of 711,000 total industry subscribers as an artifact of "artificially" higher sign-ups as the broadcast digital TV transition occurred, a process that lead to higher-than-typical signups, followed by slower demand in the aftermath, but well within the historical growth profile.

Also, for the 2010-2011 broadcast season, Nielsen estimates the total number of TV households in the U.S. will climb to 115.9 million, an increase of one million homes from last year. Nielsen also estimates an increase of more than two million persons age two and older in U.S. TV households, for a total of 294,650,000 people.

It is less possible to argue with behavior related to landline telephone subscriptions, where survey respondent attitudes tend to be reflected in the data on buying of those services.
The general understanding is that people are ditching landline phone service, and there is evidence that perhaps 25 percent of U.S. households now do not use fixed-line telephone service.

But the data is quite inconsistent, at first glance. The telephone subscribership penetration rate in the United States was 96 percent, an actual increase of 0.4 percent over the rate from March 2009, and the highest reported rate since the agency began collecting this data in November 1983, according to the Industry Analysis and Technology Division of the Wireline Competition Bureau of the Federal Communications Commission.

But there is a catch. The Industry Analysis and Technology Division of the Wireline Competition Bureau of the Federal Communications Commission includes both mobile and fixed voice connections within its definition. So this measure of overall voice penetration, per household, while accurate enough, does not specificially show what is happening in terms of fixed-line penetration.

Other FCC reports do show a decline of fixed line services in use over time. So what does seem clear is that people are backing up their attitudes with behavior. Their reported attitudes about televisions, though, do not seem supported by the data.

link to full report


Multigenerational Homes on the Rise

Here's a trend you might think was created by the recession: younger people moving back home instead of living out on their own.

But it appears the number of younger people, and older people, living in multi-generational households has been growing for decades, according to the Pew Research Center.

It appears 1970 was the peak year for formation of single-generation households.

Google and Apple Spar Over "Daily Activations"

Steve Jobs, Apple CEO, says Apple was activating 230,000 devices a day, and questioned Google's claim that it is activating over 200,000 devices a day and growing.

"We think some of our friends are counting upgrades in their numbers," Jobs said.

Google says the Android activation numbers do not include upgrades and are, in fact, only a portion of the Android devices in the market, since Google only counts devices that have Google services.

Any way you look at it, that is in excess of 430,000 new Apple or Android smartphones going into service every day.

Twitter Most Popular U.K. Business Social Media Platform

Twitter is the most popular social media platform used by U.K. businesses, a new survey by Virgin Media Business shows.

Virgin Media Business polled 5,000 businesses across the United Kingdom and found that a third use social media. About 33 percent of the companies that use social media to engage with consumers use Twitter, compared to 32 percent who use Facebook. MySpace followed third, being used by 29 percent of businesses, while 19 percent of respondents blog and 17 percent produce and distribute video content via Youtube.

Virgin Media Business also discovered that the U.K.'s biggest banks are missing out on thousands of opportunities a month to connect with their customers online. Virgin Media Business research indicates that Britain's biggest banks are being tweeted about 180 times a day on average. Yet, despite a growing number of businesses using social networks as customer service channels, Virgin Media Business found that only one bank has launched a Twitter account to monitor and respond to their customer's conversations.

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Will the 2026 World Cup Create Any Long-Term Economic Benefit for Host Nations?

World Cup long-term economic effects will be negligible, economists at Goldman Sachs say. That might seem unlikely, given the 2026 FIFA Wor...