INQ Mobile to Launch Twitter Phone

Cell phone maker INQ Mobile plans to introduce a "Twitter phone" for the Christmas selling season. The device is intended for sale at prices less than $140, and feature an Internet-based Twitter client, says Frank Meehan, INQ CEO.

The phone will use Internet connections for sending Tweets, not text messages. The idea is to spur usage by eliminating the text messaging charges, and using the mobile phone's data plan, instead.

INQ in 2007 had introduced a mobile device optimized for use of Skype. The move indicates a developing niche in mobile devices and applications: social networking as a lead application.

In a sense, you can think of the BlackBerry as an "email phone" and the iPhone as an "Internet phone." INQ earlier this year also introduced what some call the "Facebook phone," as it is optimized for instant access to Facebook, Skype and other social networking applications.

And the optimization might be working. Traffic on INQ1 "Facebook phones" are three to four times higher than from other phones, says Marc Allera, 3 UK director of sales and marketing.

About 65 percent useFacebook on a regular basis while 50 percent use Windows Live Messenger regularly.

http://www.reuters.com/article/technologyNews/idUSTRE5513L820090602?pageNumber=2&virtualBrandChannel=0&sp=true

AT&T Launches New Small Business Bundle

AT&T has launched what it calls the nation's first bundled offer targeted at small businesses,  including wireless, wired and high speed Internet services, starting at $99.99 a month.

The “All for Less” bundle is now available to small business customers with one to four lines at a single location, across AT&T’s 22-state footprint.

The wireless plan features 450 minutes of use each month for each wireless device.

The broadband service operates at rates up to 1.5 Mbps and comes with as many as 11 email accounts and AT&T Wi-Fi hotspot connectivity.

The local voice service comes with unlimited local calling, call forwarding and caller ID, as well as unlimited domestic long distance calling.

To qualify, customers must already have wireless service or purchase new wireless service from AT&T in addition to new or existing local voice, long distance voice and broadband services.

The offer expires Aug. 31, 2009 and requires a two-year service agreement. Additional bundles that include other high-speed Internet speed tiers and/or wireless plans are available at additional costs.

Fring Launches New Social Networking for Mobile App

Fring haslaunched a new version of its social community and communication service that combines each contact’s separate online social communities into one, manageable profile on the users’ mobile phone.

Fring enables users to talk and chat with their Internet instant-message buddies on Skype, GTalk, Facebook, Twitter and last.fm, among other services, from one integrated, searchable fring contact list. 

The new fring version combines a user’s multiple IM contacts into one dynamic profile, which shows each friend’s current availability at a quick glance and enables interaction, all directly from this combined mobile profile.

As social networking becomes a more-popular mobile activity, we are likely to see mobile devices optimized for social networking, much as iPhones have popularized the notion of a "Web" phone or BlackBerry essentially created an "Email phone."

In fact, the notion of a "smart phone" should at some point stop being a meaningful end user category at all, replaced by a lead feature corresponding to a lead app. 

Has the Recession Ended?

ADP’s jobs data is showing an expected jobs decrease of some 532,000 for the month of May. The data for April from ADP also showed that the job losses were revised down to 545,000.

If the Bureau of Labor Statistics data confirms the trend on June 5, 2009, it will add to other data suggesting the recession has ended. Unemployment claims are a lagging economic indicator and a rule of thumb is that recessions later are determined to have ended about 30 days after the peak rate of new claims.

The SurePayroll Hiring Index rose 26 points to 11,430 in May, up from 11,404 at the end of April. The uptick was 0.2 percent from the prior month, suggesting that on average small businesses were hiring.

Year-to-date, the Hiring Index is up 1.4 percent, which puts small business hiring on track to increase 3.3 percent for calendar year 2009.

The results suggest that the U.S. economy is in much better shape these days than many may realize, SurePayroll says. Small businesses often lead economic recovery, so it is good to see that small businesses are continuing to add new employees, the firm notes.

It might seem odd to call the end of a recession when the nation still is losing a half a million jobs a month. But if the trend is confirmed, the economy's direction has changed.

Apple Could Boost iPhone Sales 100%

Apple could boost sales of iPhones 100 percent by ending its exclusivity arrangement with AT&T and signing up Verizon Communications as an additional distributor. But Bernstein Research analysts Craig Moffett and Toni Sacconaghi  think the move also would cut handset revenue between $100 and $200 on each unit sold.

The issue is hot now because AT&T's exclusivity deal is set to expire in 2010 and AT&T wants to extend the exclusive deal until 2011.

A non-exclusive deal would reduce the value of the phone to AT&T and likely result in a reduction in the subsidy per phone from an estimated $450 to around $250 to $350.

More than 10 percent of AT&T’s post-paid subs already are using an iPhone, and Verizon is the largest U.S. mobile provider. Verizon Wireless now 86.6 million customers, compared to AT&T's 78.2 million.

Though Apple ultimately will abandon the exclusive relationship with AT&T, in the near term it might do what it must to maximize revenue, and that means negotiating for the highest-possible per-unit payments from the carriers, possibly even at the expense of faster unit growth.

Could AT&T keep the exclusive and drive penetration further? Yes, Moffett and Sacconaghi say.

Apple could add a lower-end phone or provide healthier hardware discounts, reduce service plan prices or launch a new device such as a tablet-based unit.

But Apple might wait to see the market response to Sprint's introduction of the Pre, intended to mimic the iPhone's user experience. If it takes off, Verizon will offer the Pre as well, within six months of its Sprint introduction.

http://blogs.barrons.com/techtraderdaily/2009/06/01/apple-a-verizon-deal-could-double-iphone-sales/#mod=yahoobarrons

22 percent of Generation Y consumers are using Twitter

About 22 percent of Generation Y consumers are using Twitter, according to a new study by the Participatory Marketing Network, an organization that helps marketers transition from push and permission marketing to participatory marketing.

In February the largest age group on Twitter was the 35 to 49 age demographic, representing almost 42 percent of the site’s audience, according to Nielsen Online. So much for the general rule that the younger demographics drive most of the use for new technologies.

When asked about social network usage, however, 99 percent of this same group reports having an active profile on at least one social networking site.

The May 2009 survey of 200 PMN panel members and consumers between the ages of 18-24 also found growing use of mobile social networking.

About 38 percent of respondents have an iPhone or iPod Touch. Some 53 percent play games, 35 percent use entertainment apps and 31 percent use lifestyle apps.

About 28 percent say they use free financial apps while seven percent use paid financial apps.

http://thepmn.org/pressreleases/060109

"All You Can Eat" is Dysfunctional, Phoenix Center Says

"All you can eat" broadband access plans are unsustainable and should be replaced by more-flexible plans that allow users to match what they pay with what they use, though a strict "per byte" metering would be a disaster, says Lawrence J. Spiwak, Phoenix Center for Advanced Legal and Economic Public Policy Studies president.

Indeed, if the old long distance and dial-up Internet models are any indication, a strict “pay by the byte” pricing scheme would scare many low-income and low-volume users to overcompensate and change their usage habits, or even to drop their service all together, Spivak says.

Telling carriers to just “invest their way out” of the congestion problem is also a naïve solution, he says. "The network is a shared resource, and this approach would cause the price for all users of the network to rise," says Spivak.

And, as the price for everyone rises, some households won’t be able to afford broadband at all, he says. Publicly available studies show that these costs could potentially reach several hundred dollars per month, which would certainly put broadband out of the reach of many Americans.

The best, and most economically efficient, option is to let carriers develop plans that allow consumers to pick and chose the approach that best suits their needs and, just as important, let consumers be responsible for their choices.

In the end, efforts to prevent carriers from experimenting with different pricing plans for multi-product offerings is nothing more than a thinly veiled attempt to tax the many to subsidize the few who spend their lives online, Spivak argues.

However, in this case, the “few” are not the poor and disenfranchised who work hard to just to pay for their own broadband, but the Internet glutton next door, he notes.

When there is a congestion problem, there is actually a pricing problem, he says. "All you can eat" works when there are few users. It doesn't work when most people use a resource, and the usage pattern is highly disparate.

Like it or not, constructing broadband networks (wireline and wireless) is extremely expensive. Payback is difficult. But lighter users should not be asked to subsidize consumption by unusually high consumers.

The needs of the few are now often outweighing the needs of the many, Spivak says.

http://foxforum.blogs.foxnews.com/2009/06/02/spiwak_broadband_congress