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Google getting controversial, Motorola swaps browsers
After broadly adopting Android, Motorola’s Rocky-style bounce back is dependent on the platform being a success. Investors have been alarmed by Google’s dispute with the Chinese powers-that-be over censorship and cyber-hacking, so Moto has said ‘Hello’ to Baidu, and will provide access to the rival as an alternative search engine, on its Chinese launches.
All part of a plan to de-googleise Android phones for China, protecting the potentially huge market even if Google take the nuclear option and decide to pull-out, however unlikely this is. The decision also showcases the adaptability of an Android build.
Chinese subscribers aren’t yet crazy for apps, popularised and raising billions of sales dollars in the West after two and a half years of iPhone dominance. But thinking ‘if you build it, they will come’, Motorola wants to change the situation and lay claim to a stake early, launching its own app phone site. In English it will be called SHOP4APPS, and the Chinese name roughly translates as ‘little place to find App Wisdom’.
Clean slate approach
T-Mobile will be launching a new, simplified contract range on Monday, 1 February. It looks like its existing Flext, Combi and U-Fix ranges will all be ringfenced (unavailable to buy, but existing customers can continue on them), and that Solo ‘SIM only’ plans will be replaced with new rolling and 12-month offers from early March.
The unnamed new price plan range will be available as 18 or 24-month versions, and has been touted in the mobile press by T-Mobile sales bigwig John Fannon as “like a Chinese menu”.
Customers will get X and Y allowance minutes and texts for a set cost, then can choose a free booster that works for them. Booster choices include; unlimited texts, unlimited UK fixed-line calls, up to 1GB of internet access a month, and a variety of international call packages. I imagine some of these booster will only be available on higher priced plans, but I’m willing to be surprised and delighted. Other bolt-ons can then be added to a plan from £5 a month.
Does this sound familiar to you to? The plans are extremely similar to market-leader O2’s range, but T-Mobile can make a difference by offering a choice of booster at a lower price point. Currently O2 customers only get a choice at the £35+ point for 18-month deals, and at £30+ with 24-month contracts.
Because not everyone uses so many, it’s pleasing that unlimited texts will no longer be heaped on every plan, far better to have a choice you can swap out every month. I am a little sad that the era of 12-month deals with a phone has passed at T-Mobile, but at least this provides a market gap for someone else to plug.
Guardian of free trade and fair play kept busy
The United States International Trade Commission (ITC) is an independent federal agency tasked to ensure that foreign trade imports do not unfairly impact domestic industries. The Commission also adjudicates cases involving the alleged infringement of intellectual property rights. One of the ITCs key powers is the ability to hold goods at the port of entry while an investigation takes place. Its services have certainly been called upon regularly by players in our sector over last month or so.
Nokia have requested a ban on Apple imports, claiming infringement of seven key patents in virtually all of Apple’s small electronic devices. Nokia’s claim cites patents in the area of user interface, camera, antenna and power management tech. Nokia also
Motorola make much the same claim against RIM with five patents, user interface and power management again, with a side order of WiFi and app management. Moto claimed for seven patents in 2008, so at least the number is going down. RIM are expected to counter-complain.
It gets more complicated for the ITC, with Kodak (the photographic and imaging company) weighing in and filing actions against both Apple and RIM, a week after amicably closing a patent battle with Samsung. Lawyers say that Kodak has patents on previewing and processing colour images at different resolutions. Kodak invented the digital camera in 1975, to cries of D’oh! from Texas Instruments who had patented an electronic but analog camera in 1972. Sales of stand alone cameras have been hit by convergence with mobiles, so it’s understandable that Kodak about licences.
92% fall in quarterly profits
Swedish network infrastructure supplier Ericsson has said it will cut an extra 1,500 jobs on top of 2009 targets, as it reported another massive quarterly drop in profits. The company’s planned 5000 head-count reduction for 2009 was exceeded, and is now expected to top 6500.
Net profit for October to December was 314 million kronor (£27m), compared with 3.89 billion kronor (£333m) for the same period in 2008. Ouch.
Hans Vestberg, President and CEO allocates some of the blame to heavily reduced operator spending during the second half of the year. The press release also details restructuring costs, from voice telephony towards mobile broadband, as requiring significant spend by Ericsson.
These latest results were much worse than market forecasts, which expected to see a net profit of 3.23bn kronor.
"You know, the market is weak, but one might have hoped for some recovery in quarter four," said analyst Michael Andersson of Evli Bank. Cold comfort for the employees who probably think Evli Bank contains a transposition error on my part.
Like to know more? press release here
One week and 100,000 sales
It’s being reported that Vodafone has shifted 100,000 iPhone units in its first week of sales. Including pre-orders for both networks, Vodafone has topped Orange’s 30,000 launch day sales by an additional 20,000 and then gone on to sell the next 50,000 about twice as fast.
Although Vodafone does have a larger market share, the difference is only a couple of percentage points and doesn’t explain such rapid sales. Now that UK customers can get an iPhone with O2, Orange, Tesco or Vodafone, perhaps customers are more happy to purchase without the grief of feeling artificially forced to change their network. Vodafone have also been flexible in allowing early upgrades and incentivising existing customers repurchase. Also, it’s been my experience that Vodafone customers are extremely loyal to their brand, more so than any other UK customers.
There’s still no price war, with everyone charging virtually the same total cost on 18 or 24 month plans. Vodafone also followed the pack by setting a 1GB allowance on its iOfferings. iPhone popularity has been identified as causing major strain on 3G capacity, a trend that seems likely to continue to challenge all carriers.
3+D=£2
The success of Avatar, the second highest grossing movie of all time has virtually every industry salivating and attempting to jump on the 3D bandwagon. 3D TVs and monitors are ultra cool but will have a price-tag to scare away all but the most fat-wallet laden innovators for a year or two yet. And we haven’t even gone through the pain of competing platforms, you know it will happen.
In the meantime, developers and manufactures will look to smaller screen devices to pilot technology and increase user acceptance of 3D applications, and of using goggles or glasses. I hope message alert and simple icons forming the beginnings of a head-up display will be combined to increase utility and future-factor.
Start taking the tablets
Apple has a mystery press event next Wednesday, having sent invitations that lead with ‘Come see our latest creation’. The shindig is widely tipped to be the launchpad for a 10 inch+ screen tablet going by the speculative name iSlate (because Fujitsu filed the name iPad back in 2003).
Imagine a cross between the iPhone and an eBook reader. So expect colour, web access, downloadable books, video, games, etc. Sounds like a laptop or netbook to me, and I’d still want a keyboard. Piles of slates, tablets, touchpads, ePads, e-Tchasketchs (ok, I made the last one up), appeared at the CES show. Dell chief marketeer Michael Tatelman even announced they had plenty in the lab, in all shapes, sizes and operating systems. If it comes with a stylus I’m going to mock it.
Like Viagra spam mails, all companies seem to want to sell these tablets to you, but it’s still a bit murky as to what you’ll want to do with them.
Multiple Android phones shipping in 2010
Standing tall with no iPhones is becoming harder for a network to do, so credit to both 3 and T-Mobile for not following the fanboys. As alternatives to carrying Apples ubiquitous devices, both networks are expected to unleash a veritable clangor* of Android devices throughout 2010. Here’s a quick look at a few that may walk among us shortly.
 The HTC Bravo has the same spec (allegedly) as Google’s own Nexus One. It swaps the previously featured trackball for an optical sensor and has multi-touch support with Sense UI.
Then there’s the glorious Xperia X10 from Sony Ericsson, and its first Android phone is a real scorcher. Headlining with a 4 inch capacitive touchscreen and including a mighty 1Ghz Snapdragon processor, this is an object of intense desire.
Other incoming Androids include the HD video capturing Vivas (again from Sony Ericsson) and the Samsung Galaxy Spica, renamed as the more sensible Galaxy Portal.
*If you can think of a better collective noun, please let me know!
Farewell bespoke satnav systems, hello Nokia
Nokia today released a new version of its Ovi Maps product, including high-end turn-by-turn voice navigation, all for free at www.nokia.com/maps. The service will work on 10 Nokia smartphones initially, including the N97, 5800 and E72 with more being added in the coming weeks. From March it will be preinstalled on all GPS enabled Nokia smartphones with Lonely Planet and Michelin travel guides as an added freebie.
"The large-scale availability of free-of-charge mobile phone navigation offerings using high-quality map data will be a game changer for the navigation industry" said Thilo Koslowski, Vice President Automotive and Vehicle ICT at Gartner, and boy is he right. Share values at Garmin and TomTom took a tumble last year when similar services became available with Google Maps, and that product remains in beta testing and restricted to the United States.
With support for more than 70 countries in nearly 50 languages, this is added value and a half. Of course, it means Nokia can generate revenue through map advertising and directing you to local services, but at least you’ll be able to find a cheap lunch, if not a free one.
Like to know more? Watch the (somewhat freaky) product managers video or read the press release here
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