MySpace Mobile Phone Coming....Sort Of

Social networking Web site MySpace is launching free, advertising-supported cell phone sites next week as part of a wider bid by parent News Corp. to attract advertising for mobile Web sites, according to the Associated Press.

Fox Interactive Media, which oversees News Corp.'s Internet properties, said it also plans to roll out versions of FoxSports.com, the gaming site IGN, AskMen and its local TV affiliates in the coming months that will work on cell phones that can access the Internet.

The company already offers subscription-based versions of MySpace through at&t and Helio wireless services. Those versions include special features integrated into specific handsets, such as uploading cell phone photos directly to a user's profile page.

The new version reportedly will work on all U.S. mobile carrier networks and will allow users to send and receive messages and friend requests, comment on pictures, post bulletins, update blogs, and find and search for friends.

So I suppose we now have to add "social networking in my pocket" to the expanding set of mobile device niches. Not a phone, though.

iPhone Wins with Software Defined Radio

Software defined radios--software that emulates all the functions of one or more radio transceivers--have been talked about for at least a decade, and at least one company--Vanu--has had its SDR approved for U.S. use by the Federal Communications Commission. The attractions are many: mobile communications becomes an application any device can be given; dedicated firmware and hardware are unnecessary; multiple radios can be made available to any single device; smaller radios are possible.

An SDR could mean a global mobile device, able to work in Japan, on GSM or CDMA networks, with Wi-Fi or other wireless networks. Some users would love it. Mobile carriers have to be ambivalent. Sure, you'd like to sell a true "global phone." But then you also lose control of the end user and the device. Any truly global phone necessarily works with any mobile provider's network, as well as with Wi-Fi and potentially other wireless platforms--such as WiMAX--as well.

On the other hand, looking at this from a consumer device manufacturer's point of view, SDR is a wonderful thing. If you sell mass market communicating devices all over the world, and have to deal with disparate radio infrastructures and protocols, you want SDR because it streamlines the entire manufacturing and logistics process.

You build one device, supporting multiple radio types; not multiple devices designed to work on one sort of radio platform. If you are Apple, in other words, SDR is a really nice thing. It's a nice thing if you are Nokia as well. Nokia just has more entangling relationships with customers that undoubtedly will press Nokia not to make SDR available.

Also, no particular business model inevitably is bound up with the use of SDR, though obviously the technology lends itself to more open and flexible end user models. One can envision open, unlocked business rules on one hand and walled garden rules on the other where "roaming" is possible anywhere in the world so long as the user has agreed to pay for that privilege.

The point is that by fits and starts, we see more openness at both the device and application layers of any communications-enabled business, corresponding to the openness IP itself has brought to transmission.

Now This is a Smart Move

T-Mobile has rolled out the BlackBerry Curve 83200 with Wi-Fi support, so the device can be used with T-Mobile's Hotspot@Home system or on public hotspots. As part of that plan, the Curve can be used for unlimited calling from the home or public Wi-Fi zones. That costs an extra $10 a month.

The in-home router T-Mobile sells is optimized for voice and costs about $50 but there is a rebate, we understand.

Dual-mode service with limited or unappealing handsets is a main reason why femtocells, which place no restrictions on end user handset choice beyond the limitations of handsets any given carrier will support, have seemed to me a wiser choice for fixed-mobile consumer applications. Giving Curve Wi-Fi is smart.

Internet Phobia?

BT wants to find out why some people, even living in homes with broadband connections, resist using the Internet. About 39 percent of U.K. households do not have Web access. Fear of technology might be one reason, BT theorizes.

To acquaint them with online life, four subjects have been given a broadband link, a laptop, webcam and a digital camera. A two-month training plan has also been developed that will introduce them to what they can do on the Internet.

Writ large, that's one way to deal with any lingering short term "digital divide." Long term, I don't think there's a problem. There used to be a joke several decades ago in the U.S. cable TV industry about "resisters." Basically, the punch line is that the "resisters" are dying. There was a clear shift in the character of demand for television that now has fully established itself, as tough as it might have been to get the new behavior established in the first place.

The same thing is going to happen with broadband. Demand simply is shifting. All of which suggests BT ultimately will move beyond its fiber-to-cabinet; copper drop strategy and move ahead with a full fiber-to-customer upgrade. Like any other tier one service provider it is going to hold out for the most favorable deal it can get from regulators. But there's not much doubt about the long term outcome.

Bandwidth consumption is going to outstrip anything all the wireless networks together can provide, which makes the fiber connections an essential part of the future bandwidth story.

U.S. cable operators used to "diss" switched digital video" as well. Now they're starting to embrace it. They still say in public that fiber-to-home networks are way too expensive, and are unnecessary, from a cable standpoint. That's not necessarily what executives think privately, though.

Nor is it the case that resisters stay that way forever. Those of you with grandparents, who are grandparents or who have pre-baby boomer relatives know that mobile phones, PCs, cable and Internet connections frequently are used daily by people who might be prime "resisters." And the people who move them into the "connected" camp are friends, children and grandchildren. So BT might consider a "friends and family" program that enlists other family members in providing training and support for resisters. That's the way it works anyway.

Boomers Buy More than 1/3 of all Music

The trick is to get them to buy digital downloads or music subscriptions as well as CDs, which they buy in great quantities. More than 70 percent of the 76 million baby boomers in the U.S. report buying music in the past year, making it the most important buying segment for CDs and an increasingly important market for digital downloads, according to Russ Crupnick, entertainment industry analyst for The NPD Group.

Baby boomers born between 1941 and 1964 now account for a third of all music sales. About 68 percent buy CDs. About 26 percent purchase both digital music and CDs, while just six percent purchase only digital music downloads.

Nearly 40 percent of boomers report that they regularly visit the music retailers or the music section of retail stores.

NPD believes more attention to the boomer segment could yield $700 million to $1 billion in potential incremental sales of both CDs and digital downloads from baby boomers.

Nothing personal: Just don't put them on iPod billboards!! That would not, as they say, be a pretty picture

SK Telecom to Carry Helio

SK Telecom says it will invest up to an additional $270 million to support Helio, effectively signaling that Earthlink will not be investing further in the joint venture. So the issue is how Earthlink can exit the joint venture.

No Contract, No Locking, Nobody

Sprint CEO Gary Forsee says Sprint is thinking about expanding the test area for an unlimited calling plan that doesn’t require customers to sign a contract. That's something Leap Wireless and MetroPCS already offer. Nokia meanwhile appears poised to start selling unlocked N95 series really-smart phones imminently. So far, no carriers seem willing to do both.

Of course, there are good financial reasons why carriers like contracts and locked phones. The former provides a more predictable revenue stream and the latter ensures lower churn. Apple doesn't like unlocking either, as it now participates in the recurring revenue stream.

At least some users would benefit from unlocking and contractless service. Anybody buying a Nokia N95, for example, is spending enough on a device that the portable computer (it seems too limiting to call it a phone) clearly is more important than any network.

Of course, the carriers increasingly will find themselves in the position of angering power users who can figure out other ways to use unlocked devices, with or without contracts. To the extent that an N95 really is a mobile media and Web platform, outfitted both with Bluetooth and Wi-Fi, users can simply avoid any carrier "calling plan" if they are willing to put up with a little hassle and use Wi-Fi for connectivity.

That won't be very desirable for anybody who really needs mobile calling, but lots of people choose to carry two devices in any case. So maybe one of the new choices is one device for mobile email and voice, and the second for rich media and rich Web browsing.

It isn't so clear to me that a heavy email user is going to opt for an N95 in any case. The N95 excels as a rich media device (audio and video performance is spectacular) but won't satisfy a BlackBerry addict. The BlackBerry, though, isn't so great as a phone and really doesn't measure up as a media player.

Carriers might not like it, but devices are becoming the drivers of purchase and use behavior for a growing segment of the user base. Sure, the presence or non-presence of 3G capabilities is an issue. Operating system is getting to be more important. And then there's the blasted CDMA or GSM choice to be made. Pricing plans still are important, to be sure. But device coolness arguably is enough to outweigh the other considerations.

N95 might be among the first devices that test the theory that a powerful enough rich media device can get traction using Wi-Fi connectivity as an alternative to "mobile network" connectivity. Broad traction still will require 3G GSM. But N95 is the first device I've experienced that gets one to thinking about using it in a way similar to a laptop, rather than a phone. A Wi-Fi-equipped iPod is sort of in the same category.