Monday, February 14, 2011

Consumers Say They Want Priority Services

Consumers, once they understand the need for resource management, have a high acceptance of policies that enable a fair allocation of the available capacity. New research conducted by independent market research agencies YouGov, Quantinet and Toluna, and commissioned by Acision, indicate that 67 percent of respondents support quality of service and network management policies intended to preserve quality of experience. Those sorts of services are forbidden on fixed-line broadband networks because of network neutrality rules.

About 35 percent of respondents report they are willing to pay a premium for such services. About 60 percent of respondents are willing to accept video optimization policies as long as they benefit from an improvement of those aspects of the service experience they find most important, especially less stalling of videos.

Read more here

Will 21st Century Payments be Dominated by Mobile Phones?

The battle for payment method in the 21st century is with mobile devices, some believe. The Apple iPhone and Android phones will one day replace our credit cards and and the winners will be eBay’s Paypal, Google or Apple, some believe.

PayPal revenues are expected in the range of $6 billion to $7 billion in 2013, driven by consumer preferences, market expansion, and innovation in the areas of mobile, digital, social and local, for example.

FTC’s “Do Not Track” Could Hurt Smaller Websites

The effect of Do Not Track on ad-serving websites would be to lower revenues based on behavioral ads. Relatively large websites that publish premium content would likely not be affected significantly by Do Not Track because the vast majority of their ad space is typically sold directly to marketers which may be able to rely successfully on contextual ads.

This would not be true for smaller websites that typically rely more heavily on ad networks to place their ads. For this reason, smaller websites which publish free content supported by behavioral ads could face a significant impact on revenue from Do Not Call.

For consumers, Do Not Track could dramatically affect the quantity and quality of content they see on the Web. This is due to the fact that much of the free content on the Web is supported by ad revenue. Consumers operating in stealth mode would likely see limited or reduced content, plus ads would not be as relevant.

Cloud-Based iPhone?

Apple's possible plans to produce a cheaper, smaller iPhone might also be a test of a "cloud-based" smartphone. The new device might also come with a major revamp of Apple's "MobileMe" online storage service. One way to reduce the price of a new iPhone is to dispense with memory. MobileMe lets users store data in a central location and synchronize their calendars and contacts among computers and other devices.

That same functionality also presumably could be used to support a cloud-based storage replacement for local memory.
If a potential new free MobileMe service is available to store photos, music and videos, the issue will be experience. Will cloud storage be a suitable replacement for on-board storage?

PayPal is Tail Wagging eBay Dog

PayPal is eBay's future, one might well argue. PayPal serves nine million merchants and over 90 million active accounts, expected to grow to 130 million by 2013.

Despite widely-speculated competitive threats from upcoming payment systems from Facebook as well as from Apple, management believes that PayPal's revenues could double by 2013. That growth will be powered by international growth, increasing eBay penetration to 75 percent from 69 percent today; new initiatives with credit growing revenues in the 40 percent range; and merchant coverage market share increasing to upwards of 24 percent from 18 percent today.

Mobile Payments Used by 10% of Japanese Mobile Users

In December 2010, 9.8 million mobile users in Japan used their mobiles for payments, representing about 10 percent of all mobile subscribers in Japan. When looking at the most likely places people used their mobile wallet, retail and convenience stores topped the list with 7.6 million mobile subscribers using
their mobile wallet at these locations in December, followed by vending machines (3.2 million), public transportation (2.7 million), grocery stores (2.6 million) and restaurants (1.5 million).

Since Japan almost universally is seen as the nation most advanced in terms of mobile payments, the usage pattern is illustrative. Only about 10 percent of all mobile users, in that one month, used mobile payment functions of their mobiles.

By way of comparison, 58 percent of Japanese mobile users got news and information on their mobiles. Some 53 percent used at least one mobile app, while 57 percent used email functions on their mobile phones. About 77 percent viewed media on their phones and 63 percent took at least one photo.

That might suggest that deliberate steps, with an assumption of modest adoption, are the best way forward for mobile payment partisans. Even in the relatively well-developed Japanese market, only 10 percent of users avail themselves of the mobile payment functions of their phones, in a given month.

Read more here

Google’s Android: A Billion-Dollar Ad Business In 2012?

Google could generate over $1 billion in Android-related advertising revenue in 2012, according to Piper Jaffray analyst Gene Munster.

Munster argues that Android generated $5.90 per use in mobile advertising in 2010; he sees the total increasing to $9.85 in 2012. CEO Eric Schmidt has argued that Android could be a $10 billion business if there were one billion users each generating $10 a year.

By 2012, Munster thinks there could be 133 million Android users generating $9.85 a year, which would mean $1.3 billion in Android-related revenue.

Net AI Sustainability Footprint Might be Lower, Even if Data Center Footprint is Higher

Nobody knows yet whether higher energy consumption to support artificial intelligence compute operations will ultimately be offset by lower ...