Johnson and Johnson, Google to Create Surgical Robotics System

Johnson and Johnson says Ethicon, a medical device company in the Johnson & Johnson family of companies, will work with Google to develop a surgical robotics platform.

Robotic-assisted surgery is a type of minimally invasive surgery that uses technology to give surgeons greater control, access and accuracy during the surgical procedure while benefitting patients by minimizing trauma and scarring, enabling accelerated post-surgical healing, Johnson and Johnson said.

Cable TV Unbundling Coming to Canada, in 2016

Cable TV channel unbundling--though not complete unbundling--is coming to the Canadian market. By the end of 2016, subscription TV customers in Canada will be able to buy many channels they want, one by one or in small packages, the Canadian Radio-Television and Communications Commission has ruled.

By the end of 2016, TV subscribers will have the option to add those networks to a “skinny” basic cable package that will cost no more than $25 a month. But consumers can buy a traditional bundle of channels if they choose.

Distributors must have the “skinny” basic service announced Thursday in place by March, 2016.

That tier must include all local and regional stations, public interest channels such as the Aboriginal Peoples Television Network (APTN), education and community channels, plus provincial legislature networks.

If distributors wish, they can add national over-the-air stations such as CTV, City and Global, or U.S. networks ABC, CBS, NBC, FOX and PBS. But they cannot raise the price beyond $25 a month.

By December of 2016, other channels must be available a la carte. But those channels also can be sold in a small bundle of perhaps five or 10 channels, which might be built by the viewer or the distributor.

It isn’t yet clear what the impact will be, as consumer can buy the traditional bundles or the skinny bundles, plus a la carte channels. At some point, the traditional bundle is cheaper, so many consumers will not switch.

One issue might be how many non-subscribers will find the skinny bundle--with or without a la carte channels--attractive. Another issue is the extent of downgrades to the skinny bundle.

Some of us would not expect significant changes in subscription rates. But to the extent there are changes in average revenue per account, the pressure has to be to the downside.

AT&T Boosting High Speed Access to 75 Mbps, Prelude to Gigabit

AT&T has boosted consumer Internet access speeds to 75 Mbps in parts of Houston ; Baton Rouge, La; Grand Rapids, Michigan, Milwaukee, Wisconsin; Mobile, Alabama; New Orleans, Louisiana; and South Bend, Indiana.

Those speeds also are available in Augusta, Ga.; Charleston, S.C.; Cleveland, Columbus and Toledo, Ohio; El Paso, Texas; Fort Lauderdale and Miami, Fla.; Monterey and Sacramento, Calif.; and St. Louis, Mo.

Those efforts are part of AT&T’s broader effort to enhance speeds in markets across the country, including gigabit access networks in a number of metropolitan areas across the United States.

AT&T invested nearly $1.4 billion in Houston between 2012 through 2014, and about $1.5 billion in Los Angeles over the same period and $2 billion New Jersey, among investments across the United States.  

AT&T announced a major initiative in 2014 to expand the availability of U-verse with AT&T GigaPower in up to 25 markets nationwide, including Houston. The upgrades to 75 Mbps are a first step in that process.

Will History Repeat for Major New Satellite Constellations?

The assumption made by a number of would-be operators of brand-new satellite constellations designed to bring Internet access rapidly to users across the globe is that there is a sizable untapped market.

That is true today. How true the assumption might be in several years is the issue. That has been a market-opportunity killer in the past. An earlier generation of entrepreneurs argued new satellite constellations would supply huge unmet demand for mobile telephone use.

Instead, mobile operators moved dramatically to fill the demand before a couple of the ventures could launch, while Iridium, which did launch, went bankrupt.

That scenario is at least conceivable, once more.

Consider Thailand. Though details are yet unsettled, Thailand wants to launch a national high speed access program to reach literally all villages in Thailand, and provide affordable Internet access for all,  within about 18 months.

If implemented, the initiative could affect the addressable market for new providers, as well as market share of mobile and fixed service providers in rural areas of Thailand. Replicated more broadly across South Asia and Southeast Asia, the market opportunity for affordable Internet access provided by satellite could shrink dramatically.

It is unlikely mobile Internet service providers, for example, will do nothing, and wait for the demand to be filled by rival suppliers. In Thailand, the government itself has ambitious plans.

"Infrastructure  is the fundamental factor of the digital economy,” said Deputy Prime Minister MR Pridiyathorn Devakula.

The focus on digital-economy policy is touted as the key foundation of the country's economic development. To be sure, previous governments have made the same argument.

Thai Internet access adoption currently is about 26 percent of households.

Thailand also is preparing for an auction of spectrum to support fourth generation Long Term Evolution networks in Thailand.

Just how much spectrum will be made available is yet unclear.

NBTC Secretary-General Takorn Tantasit announced that a 50 MHz spectrum cap would be put in place for private sector bidders in Thailand's upcoming 4G auction and would take into account current spectrum holdings.

That move is intended to stimulate competition by ensuring that smaller bidders can acquire spectrum.

Two licenses of 12.5 MHz each in the 1800-MHz band will be available, as well as 20 MHz of 900 MHz spectrum, the bulk of which is currently being used by AIS under concession from state-owned TOT.

The Thai government also has asked the Information and Communication Technology Ministry to reclaim 100 MHz of unused 2.3 GHz spectrum from state-owned operator TOT for re-bidding as part of the upcoming 4G auctions.

At a meeting of the digital economy committee last week, deputy prime minister Pridiyathorn Devakula asked the National Broadcasting and Telecommunications Commission (NBTC) to look at including additional spectrum bands in the auction as well as the planned 900 MHz and 1.8 GHz bands.

The ICT minister has suggested that in return for giving up spectrum, TOT might be allowed to keep the 17.5 MHz of 900 MHz spectrum now used by market leader AIS.

At issue is whether some 2.6 GHz spectrum will be part of the auction. That seems unlikely, as use of 2.6 GHz for Long Term Evolution is not a global standard. Those frequencies were previously used by state-owned broadcaster MCOT.

Though Thailand is free to do so if it chooses, costs of handsets would be affected, as suppliers would have to create special Thai versions of their devices. Some other infrastructure implications, such as cell site planning, also would be affected.

National Broadcasting and Telecoms Commission (NBTC) the freedom to choose which spectrum bands it will auction and what format the sale will take. It has 900 MHz, 1800 MHz and 2.6GHz frequencies at its disposal. http://www.totaltele.com/view.aspx?ID=489415

The 1800 MHz spectrum the state has earmarked for 4G was previously used by True Move and AIS unit Digital Phone Co (DPC) for 2G services.

Some would argue the 50-MHz spectrum cap is specifically intended to help Dtac, a smaller provider in the market.

The larger point is that the market for consumer Internet access across South Asia and Southeast Asia seems to be entering a more-aggressive phase. ISPs will have to move faster to take advantage of the opportunity.

Global Average Internet Access Speeds Increase 20% in 4Q 2014

In the fourth quarter of 2014, the global average Internet connection speed increased 20 percent to 4.5 Mbps, while the global average peak connection speed increased 16 percent to 26.9 Mbps, according to Akamai.

In the Asia-Pacific region, South Korea had the highest average overall connection speeds at 22.2 Mbps, while Indonesia had the lowest at 1.9 Mbps.

Hong Kong had the highest average overall Internet peak connection speed at 87.7 Mbps, while Indonesia had the lowest at 13.4 Mbps.

In the fourth quarter of 2014, average mobile connection speeds ranged from a high of 16 Mbps in the United Kingdom to a low of 1 Mbps in New Caledonia in the fourth quarter of 2014. China had an average mobile speed of four; Hong Kong about 5.7 Mbps. India had average mobile speeds about 1 Mbps.

In the fourth quarter of 2014, China had an average mobile Internet access speed of about 4 Mbps; Hong Kong about 5.7 Mbps. India had average mobile speeds about 1 Mbps, according to Akamai.

Sri Lanka and Malaysia had average mobile speeds of about 2 Mbps, while Thailand average speeds were a bit lower, at about 1.8 Mbps. according to Akamai.

In 2019, 79% of U.K. Households Will Buy a Bundle

By the end of 2019, 79 percent of U.K. households will be buying a bundle with two or more services such as telephone, high speed access, subscription video or mobile service,  from the same provider, according to CCS Insight.

That pattern would not be unusual. In the U.K. market, some 60 percent of U.K. consumers buy a bundle of some sort, the “typical” bundle is a dual-play bundle of fixed network voice and high speed access, according to Ofcom, the U.K. communications regulator.

In 2014, about 43 percent of U.K. consumers purchased triple-play bundles.

Hard to Say What is Happening to Global Telecom Capex

It is impossible, yet, to say whether a big forecast revenue miss by Sonus Networks also will affect other suppliers of global telecom infrastructure.

Sonus blamed an expected miss of as much as 32 percent to 36 percent in the first quarter of 2015 on delayed orders and longer decision cycles.

For the first quarter ending March 27, 2015, revenue is now expected to be in the range of $47 million to $50 million compared to previous guidance of $74 million.

Some might expected a bit of a slowdown in global capital spending, as some mobile programs, primarily around fourth generation Long Term Evolution, wound down. But many analysts have been predicting capital investment levels that are flat.

Others have forecast declining capital investment in 2015, however.

It is possible some U.S. carriers are slowing investment because of unfavorable regulatory rulings, but other carriers, in other regions, might have reasons to maintain or even increase investment, especially to support new mobile infrastructure and fixed network Internet access.