Tuesday, June 14, 2011

U.S. Wireless Consumers Get Best Rates

Some of us can remember when mobile phones were the size of bricks and cost four figures. Likewise, there was a time when the United States trailed most other developed nations in wireless service penetration. That isn't the case anymore, of course.

The United States wireless industry offers subscribers the lowest revenue per minute of all OECD countries. Also, according to Bank of America Merrill Lynch, average revenue per minute is nearly 70 percent lower than the averages of the other 25 countries.

Average revenue per minute is nearly 70 percent lower than the average European country.

As a result, the average wireless consumer in Europe used just 172 minutes a month compared to 793 minutes a month for the typical U.S. consumer.

The U.S. market also is the largest mobile data market and also has the most mobile Internet users, according to Nielsen Mobile."

Starbucks App Coming to Android

Beginning June 15, 2011, the Starbucks mobile payment app will be extended to include the Android platform.

The coffee giant also plans to add mobile payment capabilities to Starbucks shops in 1,000 Safeway stores, bringing the number of places where mobile payments work to nearly 9,000 in the U.S. That number includes 6,800 company-owned Starbucks and another 1,000 locations inside of Target stores, said Chuck Davidson, category manager for innovation on the Starbucks card.

“With the addition of Starbucks for Android to the Starbucks app line-up, a Starbucks mobile payment app may now be used on approximately 90% of smartphones currently in use,” said Adam Brotman, Starbucks’s vice president and general manager of digital ventures.

January marked the nationwide rollout of Starbucks’s mobile payment system. By the end of March — just nine weeks later — Starbucks told its shareholders that it had processed more than 3 million mobile paymentsvia its Starbucks Card Mobile application for iPhone and BlackBerry. See http://mashable.com/2011/06/14/starbucks-mobile-payments-android/#view_as_one_page-gallery_box1543

Digital Drives Media Futures, Hitting $555B In 2015 06/15/2011

Digital has emerged as the central driver for media companies' operating models, consumer connections and revenues, according to PwC's "Global entertainment and media outlook: 2011-2015."

Domestically, the entertainment and media market is expected to grow at 4.6 percent compound annual growth rates, reaching $555 billion in 2015, while online ad growth should average 12.2 percent annually through 2015.

Total U.S. advertising is expected to increase at a 4.2 percent CAGR, from $170 billion in 2010 to $208 billion in 2015.

PwC predicts that global entertainment and media spending will rise from $1.4 trillion in 2010 to $1.9 trillion by 2015, growing at a 5.7 percent CAGR.

T-Mobile Father's Day "Free Broadband" Promotion

On June 18, T-Mobile is hooking up new and existing customers (with at least 18 months of contract tenure) with 12 months of free data ($10 a month worth) for signing a new talk, text, and data plan on a two-year contract. So if you’re looking to save Dad from all those data overage charges, perhaps the one-day-only Father’s Day sale at T-Mo is the way to go.

If you sign up for T-Mo’s 200 MByte data plan, the carrier will reimburse you every month with $10 in credit, covering the whole $120 cost of that size plan. If you opt for one of T-Mobile’s larger data packages (2GB, 5GB, or 10GB) with unlimited talk and text, T-Mobile will still offer $10 in monthly credit.

Ericsson to Acquire Telcordia

Many readers will be too young to remember it, but Telcordia once was called "Bellcore," way back in the days after the breakup of the AT&T system, and designed to provide a similar function for the Regional Bell Operating Companies that Bell Laboratories traditionally had played for Western Electric and the old AT&T.

That function had changed over the years, of course. Bellcore was privatized in 1996, when it was sold to SAIC.

Did Apple Embrace the Cloud with iCloud, or Not?

Apple’s iCloud announcement can be read two different ways, it seems. Some say Apple's approach is more closed than open, more focused on device-based apps than cloud apps and actually is a private cloud, or a re-defined cloud. See iCloud and Apple’s truth.

Others disagree. "With iCloud, Apple is transforming the cloud from an almost tangible place that you visit to find your stuff, to a place that only exists in the background. It’s never seen. You never interact with it, your apps do — and you never realize it." See http://techcrunch.com/2011/06/08/apple-icloud-google-cloud/.

Apple is going after consumers who have absolutely no idea what the cloud is, and don’t care. Apple is saying they shouldn’t care.

Google seems to be aiming more for users who understand current computing paradigms and want to transition that knowledge to the future of computing, the cloud. Power users, if you will.

While the fundamentals are the same, Apple’s approach to the concept of the cloud is the opposite of their competitors. Apple’s belief is clearly that users will not and should not care how the cloud actually works.


Monday, June 13, 2011

Did Nokia Shoot Itself?

One false step and you’re dead. Or worse: You’re the walking dead. This is what awaits CEOs who mismanage a product transition and allow the existing revenue stream to run dry before the promising new product shows up.

The "Osborne Effect" is how some describe the problem. Osborne Computer Corporation in 1981 introduced a machine that was, in effect, the first commercially available portable computer, the Osborne 1. In 1983, the company announced two superior models in the works, the Executive and the Vixen.

Customers took his advice. They stopped buying the current model and waited…and waited… In 1985, the company ran out of cash and went bankrupt. Some would say Nokia is making the same mistake.

Directv-Dish Merger Fails

Directv’’s termination of its deal to merge with EchoStar, apparently because EchoStar bondholders did not approve, means EchoStar continue...