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One of the world’s largest casual gaming companies today unveiled HTML5 versions of 47 of its games websites, proclaiming that it will be the new standard for gaming devices within three years.SPIL Games has thrown its considerable weight behind HTML5 and the upward trend in casual gaming, with users now able to play its games on mobile browsers supporting HTML5 (ruling out devices running Android pre-2.0). Previously, mobile visitors would have been taken to the full browser window displayed in Flash – but that would be slow to render with most phone browsers, and incompatible with Apple devices.But close to a million mobile users try accessing a SPIL gaming website every month, a company spokesman tells us. More than half (52%) of these visits are from Apple devices, 15% from Android, 15% from Symbian (ie Nokia and/or Sony Ericcson) and 6% from BlackBerry devices.The company, which currently has more than 4,000 games in its portfolio, is offering developers prizes totalling up to $50,000 (£41,000) for the best HTML5 game, encouraging the potential it says is “hampered by different protocols, operating systems, and platform-approval processes within the mobile world”.An aside: Nick Jones, Gartner analyst, has an interesting take on that very subject:”Native platforms will certainly become less important relative to the web platform because HTML5 supports a wider range of applications than the last-generation web. “But native platforms can stay ahead by evolving faster than HTML5, and in different directions to HTML5, it’s not hard to outrun a snail driven by a committee. So although HTML5 will be important the native platform will retain a big edge if you want to develop clever apps. And the native platform owners want it to stay that way.”"Openness is at the core of everything we do,” says Peter Driesson, chief executive of the Netherlands-based company. “We are aware that HTML5 is still at an early stage, but already developers can use it to make great games, and we are confident that the industry will quickly embrace it. Within three years we expect HTML5 to be the standard in gaming devices.”Analysts at Forrester predict the Western European mobile gaming market to grow from €746m (£616m) at the end of 2010 to €1.46bn (£1.2bn) by the end of 2015, due to the growth in paying mobile gamers (31 million to 45 million over the same time frame, Forrester predicts) and a growth in smarphone adoption.• Another noteworthy HTML5 development: Ephemeral rockers Arcade Fire have teamed up with Google Chrome to put together a personalised music video. Nice.HTML5Casual gamingGamesMobileMobile phonesJosh Hallidayguardian.co.uk © Guardian News & Media Limited 2010 Terms & Conditions

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The move will speed up access for people using the site via iPhones or AndroidMobile users in the UK, Europe and Middle East can now access an HTML5 version of Google’s YouTube video site, speeding up access for those accessing it via iPhones, Android or other mobile devices with browsers able to render HTML5 video content.The launch comes as mobile use of the web is growing rapidly: Google says that YouTube’s mobile site, m.youtube.com, gets more than 100m video playbacks a day – roughly the number of daily views youtube.com was getting when being acquired by Google in 2006 – and every minute an hour of video is uploaded to the site from a mobile device. Mobile video playback also grew by 160% in 2009 on the previous year, along with an increase in adoption of devices able to stream video.The US version of the HTML5 site for mobiles was launched last month.Across Europe, the Middle East and Africa, the UK consumes the most YouTube videos on mobile devices, followed by France, Italy, Netherlands and Switzerland.The original mobile version of YouTube launched in 2007, but relied on versions of Adobe’s Flash for playback – which was too taxing for most devices. Since then, the development of the HTML5 web standard, and of mobile browsers – notably WebKit, used by Apple in the iPhone, iPod Touch and iPad, and by Google in Android – able to play back embedded video content using the H.264 codec, rather than Flash’s usual Sorensen or VP6 codecs, has meant that HTML5 video use has become feasible.Google says the decision has been driven by the dramatic growth in mobile access to YouTube, which is more than doubling every year.Several short-form video sites are building players in HTML5: Vimeo brought out a hybrid HTML5 version of its player earlier this month, designed for better mobile playback. But when US-only TV and movie streaming site Hulu unveiled a major revamp of its display earlier this year, it did so using Adobe Flash, saying HTML5 “doesn’t meet our customers’ needs”.The use of HTML5 does not mean that Flash is shut out of YouTube’s mobile version: Adobe’s product can encode video in H.264 as well. But the growing use of desktop browsers such as Google’s Chrome and Apple’s Safari, which can render H.264 video – and with the forthcoming Internet Explorer 9 also offering it – poses a long-term question about Flash’s continued widespread use.Brightcove, the video hosting service for many media organisations, began offering an HTML5 version of its site in March this year. The New York Times and Time Inc were among the first media outlets to integrate it – allowing playback on Apple’s popular mobile devices, which do not use Flash.Closer to home, Erik Huggers, director of BBC future media & technology, recently defended the corporation from accusations that its widespread use of Flash – on the iPlayer, in particular – betrayed a commitment to open standards.”Our use of Flash is not a case of BBC favouritism, rather it currently happens to be the most efficient way to deliver a high quality experience to the broadest possible audience,” Huggers said, adding: “The fact is that there’s still a lot of work to be done on HTML5 before we can integrate it fully into our products. As things stand I have concerns about HTML5′s ability to deliver on the vision of a single open browser standard which goes beyond the whole debate around video playback.”Though the BBC does deliver H.264-encoded video to Apple mobile devices, it does not do that for Android devices, citing concerns about copying of content via the Android platform, and instead serves Flash-based video to them.However YouTube has said that HTML5 is still some way from becoming the new standard for streaming long-form video content, such as BBC iPlayer content. “While HTML5′s video support enables us to bring most of the content and features of YouTube to computers and other devices that don’t support Flash Player, it does not yet meet all of our needs,” said John Hardin, software engineer at YouTube, in a blogpost published in June. “Today, Adobe Flash provides the best platform for YouTube’s video distribution requirements, which is why our primary video player is built with it.”Microsoft has put its eggs in the HTML5 basket with next year’s release of its internet Explorer 9 browser. Ryan Gavin, Microsoft’s senior director of internet Explorer, said in May this year: “We’re all in on HTML5. We’ve been co-chairing the HTML5 working group, and we’re actually leading the HTML5 testing group.”YouTubeHTML5Mobile phonesSoftwareComputingTelecomsInternetJosh Hallidayguardian.co.uk © Guardian News & Media Limited 2010 Terms & Conditions

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Ever find yourself texting someone in the same house? I admit texting a dinner-time alert to save walking up three flights of stairs (it’s not a big house, just a tall one) and I’m not alone.Photo by katielips on Flickr. Some rights reserved.A survey by Best Buy (the US retailer started opening UK stores in the spring, don’t you know?) found 50% of us – and 69% of under 25s – have texted or emailed someone in the same house. (Which could mean young people use their phones more reflexively, are lazier or live in bigger houses.) Women are more likely to do this than men – 53% compared to 46% of men. Apparently calling out for meals is a regular message, so clearly women are still not emancipated from the kitchen. Digital storage space is now 40% more likely to cause family arguments than hogging the landline (do people still have landlines?), with 50% of us admitting to accidentally deleting stuff and 25% losing photos or contacts. (I lost 12 years worth of files, photos, artwork, emails – phone stolen, laptop died, back-up died, online backup expired. What are the chances?)Best Buy says 52% of us would chose to keep our internet access compared to 19% of us who’d prefer our washing machine, and for 38% of the under 35s, the laptop is the first device we go to when we get home. There’s a generational split between the under 35s and over 35s. Under 35s store most of their music and photographs digitally, but over 35s still have most content on hard copy. I copied all my CDs to an external hard drive and sold them on Amazon, but still have the vinyl, Lionel.Social networkingDigital mediaMobile phonesInternetJemima Kissguardian.co.uk © Guardian News & Media Limited 2010 Terms & Conditions

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Ex-Sony Ericsson veep steps in Disgraced HP chief exec Hark Hurd may have been the most-recent high-level exec to drive away from that company’s Palo Alto headquarters, but he’s not alone in his drive down US Highway 101.…

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Director of indirect distribution to leave Virgin Media in search for new challenges

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Mobile phone operator reports its first quarterly service revenue growth since the recession

Strong demand for mobile data has helped Vodafone increase its service revenues for the first time in 18 months, as its key markets recovered from recession.

Britain’s third-largest mobile phone operator today reported a 1.1% rise in service revenues to £10.58bn in the last three months, reversing a trend that began in the final quarter of 2008. Revenue from data services such as smartphones and high-speed internet “dongles” jumped by 25%.

“These are the first quarterly results to show service revenue growth since the global recession impacted,” said chief executive Vittorio Colao.

“We have achieved these results through our continuing commercial approach in key European markets, focusing especially on data, and from strong growth in emerging markets, with India now cash-positive at an operating level and our highest ever quarterly revenue in Turkey,” he added.

Colao also said that Vodafone would announce a change of strategic direction in October, to “drive shareholder value”. This is understood to include a new focus on data services, especially in emerging markets like India and China.

Colao declined to give further details this morning, saying it would be “disrespectful to his board”, but hinted that it may be driven by the increased number of mobile operating systems on the market today.

“The world has changed,” he told reporters. “Many operating systems are strong and competing … this is a good opportunity to have a look at our strategy.”

Vodafone saw strong growth in demand for smartphones in Europe during the quarter, particularly in the UK where the company started selling Apple’s iPhone earlier this year.

Since taking over as chief executive in summer 2008, Colao has been trying to increase growth in Vodafone’s existing territories rather than continuing with the acquisition drive that has given it stakes in markets around the world.

Vodafone also announced today that it has finally resolved a long-running dispute with the UK tax authorities. This row centred on Vodafone’s decision to register Mannesman, the German mobile giant it acquired in 2000, in Luxembourg.

HM Revenues & Customs had claimed that Vodafone owed taxes in Britain under the Controlled Foreign Companies rules, which the mobile operator disputed. It has now agreed to pay £1.25bn to settle the case, having previously made a provision of £3.1bn on its books.

Shares in Vodafone rose 1.88% this morning to 151.85p.

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(Source The Guardian)

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Microsoft ‘missed a generation’ on the mobile side, but chief executive Steve Ballmer insists that the company’s upcoming Windows Phone 7 will ‘give you a set of Windows-based devices which people will be proud to carry’

Steve Ballmer has admitted that Microsoft “missed a generation” on the mobile side but insisted that the company’s upcoming Windows Phone 7 – which has garnered “really quite nice reviews” – “give you a set of Windows-based devices which people will be proud to carry at home, and which will really fit and support the kinds of scenarios that enterprise IT is trying to make happen with the phone form factor.”

In his speech to the company’s Worldwide Partner Conference, which brings together companies that sell, develop and use Microsoft products, Ballmer, head of the company for the past 10 years, said that slates devices and mobiles are “certainly an area where, how do I say it, we feel all of the energy and vigor and push that we have ever felt to innovate, to drive hard, to compete.”

But without naming any of the rivals who have overtaken Microsoft’s mobile sales – such as the iPhone, launched in 2007, which Ballmer initially dismissed, or Android, the Linux-based mobile platform from Google which now outsells both Windows Mobile (soon to be superseded by the incompatible Windows Phone) and Apple’s iPhone – Ballmer insisted that Microsoft is focussed on getting the IT functions within organisations to offer Microsoft solutions to staff: “So, I encourage you, and certainly we’re going to reach out vigorously to work together with you, and to drive enterprise IT, as well as the consumer, the people who work for the businesses we serve, they’ve got to come into IT and say, I want a Windows 7 slate. I want a Windows Phone 7. And we’re absolutely hell-bent and determined to drive that volume with IT as well as with the end consumer.”

Ballmer made no mention of the abrupt cancellation last month of the KIN social networking phones, which were meant to be the result of its billion-dollar acquisition of the Danger mobile company.

Now the company has unveiled a number of services to go with Windows Phone – whose release date is still not set. Windows Phone Live, a companion online service, was announced today. Pitched in the same territory as Apple’s paid-for MobileMe, used for over-the-air synchronisation of iPhone contacts and calendars, it is intended to provide remote synchronisation, remote wipe, and a central location for pictures, contacts, calendar and notes within 25GB of storage. But unlike MobileMe, Microsoft will provide the service free to all Windows Phone customers – apparently for the duration of the phone contract.

Beta versions of the Windows Phone development tools were made available: the new API is nearly feature-complete, with updated push notifications and accelerometer interfaces. The Community Technology Preview back in March allowed for feedback from the development community and Microsoft have said it has been “blown away by the early apps”. Pre-productions devices will be shipped later this month to selected developers, as well as deployment and testing labs in major cities. And earlier this week a group of Polish students were the first non-developers to get pre-production Windows Phone devices.

Appreciating that having applications ready for the launch of the devices later this year is essential to success, Microsoft is running a virtual live class for interested developers in the platform.

There are rumours that HTC – which used to be the biggest licensee of Windows Mobile, but has recently turned towards Android – will launch the first Windows Phone 7 handset in the UK, to be called the HTC Gold, though there is no confirmation from mobile networks or from HTC. There are also

“leaks” claiming there will be models called the HTC Mondrian and Mozart, also running Windows Phone 7 on 800 x 480 screens without a QWERTY keyboard, with Internet Explorer Mobile 7.

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New Mobile & Latest Deal News!

The Nokia E5 has an utterly superb battery life. With up to 29 days standby and up to 18 hours talk it’s perfect for perfect for anyone who needs an exceptional battery life, such as heavy users or those who travel on a regular basis. One-touch gives access to contacts and social networking sites and with live updates from Facebook posted straight into the contact list keeping up with the latest news and gossip has never been easier.

The latest version of Nokia messaging offers full instant messaging and support for multiple email accounts such as Gmail, Hotmail, Yahoo Mail and Ovi Mail. For business users Microsoft Exchange and IBM Lotus Notes Traveller applications are also supported. A-GPS and Ovi Maps with free walk and drive navigation boost the appeal of this 3G handset that additionally connects to the Internet and the Ovi Store in speedy fashion using the HSDPA Web browser.

The 5 megapixel camera works well in all lighting conditions, it has fixed focus and an LED flash. Images, music and video files can be stored onto the 256MB internal memory that can be boosted up to 16GB with a microSD card. Keeping up with the latest news, weather, sports and music releases is simple using the stereo FM radio with RDS and listening in private can be achieved by connecting your own favourite headphones to the 3.5mm audio jack. Connectivity options include Wi-Fi, Bluetooth and quad-band international roaming. The 4 row QWERTY keypad with dedicated nav-key fits nicely into the ergonomic design of the superb Nokia E5.

Compare all Nokia E5 deals

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Don’t be taken in by the empty threats from the big four mobile operators

Readers of your news article could be forgiven for believing that the prospect of the vast majority of UK consumers paying lower prices for calling mobiles would cause the sky to fall in (Reform of mobile phone charges may leave poorest users worse off, June 22). The four biggest mobile operators have been scaremongering with variations on this theme for years.

You report the end of telecoms watchdog Ofcom’s consultation on “its plans to slash the cost of calling a mobile phone … by reducing so-called mobile termination rates – the price networks charge each other and fixed-line companies such as BT to connect calls”. The article states that O2 has “warned the regulator that its proposals are ‘irresponsible’ and could force millions of people on low incomes to abandon their phones”.

Every time the prospect of lower mobile termination rates is raised, operators have cried that prices would go up and that people would stop using their phones. But a quick glance at the facts shows that when rates have come down the exact opposite has happened.

My company, Three, is part of a broad campaign along with BT and 65 other organisations – ranging from charities to financial advisers – that recognise high termination rates as a barrier to lower mobile prices. Orange, Vodafone, O2 and T-Mobile seek to pull off a bold double act by threatening to raise prices yet at the same time quietly introducing more competitive rates every time termination rates come down – as they have done again this year.

The article states: “The industry has warned that the likely shake-up will lead to the reintroduction of controversial ‘expiry dates’ on prepay top-ups.” Again, effective competition will address this threat.

High termination rates have been a net subsidy to the mobile industry from landline users for years, but the bills paid to call mobiles by vulnerable landline users and the organisations that support them never feature in the analysis from the big mobile companies. The Terminate the Rate campaign includes Age UK, Crossroads Care and Carers UK who work with the vulnerable all day, every day and know their experience.

Low termination rates will enable effective competition in the UK voice market. They will drive better value for mobile and landline users alike. Since these threats are being made by those who want to delay this change, then as the only mobile operator supporting it we have to make our own case. While Vodafone claims that changes “could see the end of mobile handset subsidies”, we have committed to continue to offer subsidised handsets. Rather than cutting off prepay customers, we expect to serve more.

That the four major operators don’t welcome change is no surprise. But ultimately it is our firm belief that high mobile termination rates don’t protect low users, they create them.

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Tags: 10, all, charges, consumer, drive, HD, lg, line, mobile, mobile phone, mobile phones, mobiles, networks, new, o2, orange, phone, phones, prices, sam, t-mobile, three, uk, vodafone

Operator reports success after implementing mobile services for MVNO partners to drive customer acquisitions and increase ARPU

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The transcript of the phone call earlier this week with Google’s chief reveals the real signals he’s sending out: Android wants to be the Windows of mobile phones

Android is getting too big to ignore. Photo by mathrock on Flickr. Some rights reserved

Below is a transcript (taken with shorthand, contemporaneously) of a conference call with Eric Schmidt, chief executive of Google, on 23 June. There may be some inaccuracies. After that, there is an analysis of what Schmidt said – and where the mobile market is.

Also on the conference call were journalists from Germany, the UK and Brazil. I won’t indicate here who asked what questions; see if you can work it out.

Call begins

Eric Schmidt: Verizon is just announcing the Droid X made by Motorola, its fourth Android phone. We have seen a tremendous increase in the adoption of Android. This is one of the best phones ever made, on the very fastest network.

We’ve now got 160,000 new users per day. That’s a 60% increase per month [compared to the 100,000 figure per day that was given at the Google I/O conference in May]. If you get an increase like that going on, well, I’ve done the maths, and it looks like an incredible trajectory.

[That equates to 58m per month, a 60% increase month-on-month would mean that by the end of the year there would be about 16m Android phones being activated every day, or 480m per month - which doesn't really sounds feasible. Obviously it is going to tail off or even slow down at some stage.]

Counting the number of apps, there are 65,000, compared to 50,000 a month ago. So the growth is accelerating. OK, questions?

Q: How large is Android in the US market and European market compared to the iPhone, because it hasn’t done too well in Europe?

ES: I prefer not to talk about the iPhone as a competitor. The growth rate is very very strong, but I don’t think it’s really appropriate to make claims about market share.

Q: What’s driving that acceleration?

ES: having multiple hardware partners – LG, Samsung, HTC, Motorola. The thing is it’s a totally open platorm, so open that the source is available too. Any application can run on Android as long as it doesn’t damage the network.

Q: Android is lagging in Europe compared to the US – why do you think that is?

ES: I don’t know that it’s lagging; I would have to look at the numbers. It was launched first in the US but we have enough European partners. The Droid phone was a big driver.

Q: Have you made any contacts with Nokia to discuss Android on Nokia?

ES: We have talked to everybody… I don’t want to talk about any specific companies. [A rather odd response which tailed off amid expectation.]

Q: What sort of revenues are you seeing from Android?

ES: We make zero from it. Because it’s free. (Q: but you get advertising revenue from it…) We don’t break out what our mobile advertising revenues are… [in general] we make money when people have powerful broadband devices so we invest in Android so that people can invest in it. But our mobile revenue growth is very very quick.

We know that there will be a great deal of money made in ads from the mobile industry.

Q: Do you think Android can become for mobile what Windows was for the PC?

ES: well, the thing about Android is that anybody can use it.. Android in many ways is better than Windows because it’s free, rather than Windows which had an ever-increasing price point. So anybody can build on Android, and it’s free.

Also Android has GPS and a full media stack [possibly misheard], so it can do things that even the ordinary PC doesn’t have and might never have.

Q: Who is your biggest competitor in this fight – Apple, Nokia, who?

ES: I try to spend time not focussing on those questions. Nokia has the largest market share, certainly. Apple, I was a proud board member there, I respect them. Nokia and Apple are both highly organised to be competitive.

Q: Isn’t a problem with Android that of fragmentation of the platform – that some handsets can’t update from earlier versions either because of the networks or the phones, so people are stuck on older versions which means you’re trying to cope with a broad range of versions?

ES: That’s a very good question. The first thing to say is that the networks are quite interoperable. Some phones shipped a year ago can’t be upgraded. But most can be, to 2.2, though it might take some months to roll out.

The argument about fragmentation has been used by competitors of open source for years. But we agree to support compatibility at the platform level. It’s important to understand this. Android apps will work on the current generation; any Android app written for one version will run on any phone with that version. That prevents fragmentation. Apps are written on a per-OS basis. But of course not every app written for any version will run on every version of Android – otherwise the platform couldn’t evolve.

Q: A team at Larva Labs estimated that while Apple has paid developers $1bn from App Store revenues, the comparable figure for the Android Marketplace is about $200m. Is enough money going to developers to make Android attractive?

ES: Well, I haven’t seen those figures, so I can’t talk to them. The thing is, developers go where the volume is. That’s the most important lesson from platform economics. It’s about scale and volume. It’s very important that developers get to a scale where they can see the ability to get to a very large audience. We believe we have done so.

Q: We’ve seen other companies talking about Android-based tablets – does Google intend to produce a tablet running Android?

ES: We’ve seen a number of announcements from other companies about tablets running Android. It’s a reasonably obvious product extension that people have announced. We haven’t announced any form of Google tablet.

[end of interview]

Analysis: the timing of this announcement – on 23 June, just as Apple’s iPhone 4 was reaching its first customers – was clearly aimed at taking some of the shine off the iPhone announcement by implying that even if Apple activates 1m iPhones in the first sales burst, Android will almost match that in a working week. (Do the maths.)

That of course leaves out all sorts of maybes, gotchas and provisionals: are the activation figures volatile? What’s the churn like – how many of the activations are new customers, and how many are renewing customers? An interesting calculation from the analysts Piper Jaffray, via Fortune suggests that (in the US, at least) 77% of iPhone 4 customers were existing iPhone users.

You can look at that two ways: what an enormous number of renewals! Or you could look at it from the other end: wow, Apple grew its customer base for first-day iPhones by 23% – among people who had to wait in enormously long lines. What’s the last consumer product you recall people queueing through the day for? I recall how Microsoft managed the hype machine perfectly for Windows 95, with midnight store openings; rather less so for every subsequent OS release. The Xbox 360 got some dedicated queuers too.

But in truth, Schmidt really isn’t looking at iPhone sales; he’s not trying here to court buyers dithering between iPhone and Android. This was actually a piece of dog-whistle PR aimed at mobile developers.

Unfamiliar with dog-whistle PR? It’s like dog-whistle politics: aimed at a particular group, couched in terms which don’t say a lot to the average person, but which zero in on that target group and make them sit up. The people who Schmidt wanted to hear this latest bit of PR are mobile developers. He wants them to multiply 160,000 by 5 (working days – perhaps 6), and then by 4, to reach about 4m Android phones being activated per month, and to get them to think that this is a really good platform to be building for.

That’s the point of his “platform economics” answer. Google can only capitalise on mobile advertising once it gets Android to a specific market share. It seems like that it has already crossed it, since it’s by all accounts bigger than Apple in smartphone share in the US (and may even be challenging RIM, though still some way behind Nokia). What the numbers are like for Europe – well, we’ll have to wait a couple of weeks for the end of the quarter for all those numbers.

The interesting challenge though will be whether the Android platform will indeed become the Windows of mobile. That could cut both ways: sure, the handset makers don’t have to pay a levy to use Android (as PC makers do to Microsoft). But when they go to the networks (who are the equivalent, in this scenario, of PC purchasers) they may find that they’re forced to bid down, and that their margins get eroded as more rivals pile into the market.

Apple, meanwhile, can be entirely happy with not having the lion’s share of the market, yet making a colossal profit from both the hardware sales (because nobody else can make an iPhone) and the app sales. It does exactly the same in the computer market: it has about 5% market share worldwide, yet makes a stonking profit on every computer sold. PC manufacturers, by contrast, have long since reached the point where price-cutting to win share simply opens a vein in their profits.

Android could thus win – and for Nokia, the idea of using Android must look ever more enticing, since it would cut costs and let it use its heft with the networks to win back share – and yet the hardware makers would lose. That’s a great danger – not imminent, but it exists – for Schmidt, Android and Google. By creating a flourishing ecosystem of app developers, Android could make life better for the handset makers.

Oh, and the company we haven’t mentioned here at all, except in passing? Microsoft. If you look at what the Android and iPhone platforms are now doing, you have to ask how on earth Windows Phone – which will have a paid-for licence – is ever going to attract any handset makers. Schmidt’s Android dog whistle might be loud for iPhone developers annoyed at the company’s capricious treatment of their apps, but it must be loudest for developers considering whether the shrinking, forwards-incompatible pool of Windows Mobile phones is really worth bothering with.

Between the handset makers pondering the economics of paying for a Windows Phone licence, and developers wondering why they should write code for a platform, Windows Phone, that’s presently activating zero phones a day – because it hasn’t been released – versus one doing 160,000 per day, Microsoft has a real problem with Windows Phone. Apple can survive Android because it has that 77% base of loyal customers. Android has an expanding customer base.

But what on earth has Microsoft got?

* I asked the questions about fragmentation and Larva Labs.

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(Source The Guardian)

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Chief executive Eric Schmidt says both takeup of operating system and number of apps are growing rapidly

Google is now activating 160,000 mobile phones using its Android software a day, equivalent to 4.8m a month, according to the company’s chief executive, Eric Schmidt.

The number is also accelerating, having been put at 100,000 a day in the third week of May during Google’s annual I/O conference, Schmidt said – indicating sales growth of 60% per month.

“We have seen a tremendous increase in adoption,” Schmidt said in an interview exclusive to the Guardian in the UK. “We’ve also seen a growth in the number of apps available for Android – there are now approximately 65,000 compared to only 50,000 a month ago.” He believes that that means Android could have reached the volume necessary to become an essential mobile operating system – and perhaps the equivalent of Windows on PCs.

At those numbers, roughly 15m Android smartphones would be sold every quarter, compared with a worldwide total of 54m sold in the first quarter of 2010, according to the research company Gartner.

Though Schmidt’s announcement was clearly timed to steal some of the thunder of Apple’s launch in five countries of the iPhone 4 on Thursday, Schmidt declined to compare the Android platform’s market position against its better-known rival. Apple has said that it had orders of 600,000 in a single day for the iPhone 4 last week, and was unable to keep up with demand.

Google is notified whenever a smartphone using the Android operating system is activated by a mobile network. In the US, a number of different models are sold on different networks from different manufacturers, including Motorola, which on Wednesday unveiled its latest Droid X phone on the Verizon network. “It’s the best phone ever made on the fastest network,” Schmidt said – which could be seen as a dig at AT&T, which has the exclusive contract to sell the iPhone in the US but has struggled to satisfy users’ demands for mobile data bandwidth.

Asked whether he saw Apple or Nokia – which has the largest market share of smartphones – as Android’s biggest competitor, Schmidt said: “I try to spend my time not focusing on those questions.”

Android is a free mobile operating system which any handset maker can use and alter to produce a new version, while developers are able to write apps which will work on any specific version of the system.

However, while Apple has maintained a tight focus on its App Store, which has roughly 250,000 free and paid-for apps available, Google offers them via a “Marketplace”, and allows any app to run on Android “as long as it does not harm the network,” Schmidt said.

But calculations by a company called Larva Labs, which develops for Android, suggest that iPhone developers may be faring better financially than those on the Android Marketplace. Steve Jobs said earlier this month that Apple has paid out $1bn to developers through a revenue split (which has earned Apple roughly $420m).

By contrast, Larva Labs reckons that Android developers have only earned $20m in total from the Marketplace. Schmidt said he had not seen the figures, but added: “Developers go where the volume is. That’s the most important lesson of platform economics: it’s all about scale and volume. It’s very important that developers get to a scale where they can see the ability to get to a very large audience. We believe we have done so.”

Asked whether Android could become the equivalent of Windows for PCs – the dominant operating system – Schmidt said: “The advantage with Android is that anybody can use it. In many ways it is better than Windows because it’s free, rather than Windows which had an ever-increasing price point.”

He declined to say whether Google has been talking to Nokia about the possibility of an Android-driven Nokia phone, or whether Google would release its own tablet computer similar to Apple’s iPad, which has sold 3m units in 90 days.

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(Source The Guardian)

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Sending mobile data over your broadband with paid-for femtocell will count against monthly tariff

Vodafone has a nasty shock in store for would-be users of its “femtocell”, which boosts patchy mobile signals indoors by sending the voice and data signal over the customer’s home broadband. Any mobile data sent over the home broadband connection will still be charged against customers’ monthly usage, the company has told the Guardian.

Outlining plans for future deployment, Vodafone senior marketing manager Lee McDougall said Vodafone is confident that consumer uptake of femtocells will be high. However he declined to give figures for sales since the launch in July 2009, or to say what increase in mobile use had been seen by femtocell users.

Femtocells – whose name comes from the prefix “femto”, meaning one millionth of a billionth – are designed to improve mobile network coverage by plugging into a home broadband network and providing a 3G connection to attached phones.

Vodafone remains the only UK mobile operator in the UK to offer femtocells, through two different price plans. The current range – dubbed Sure Signal boxes – are retailing at £50 for existing customers on contracts over £25 per month, or £120 – £5 per month for two years – for those on smaller contracts or pay-as-you-go contracts.

But though femtocells effectively relieve load on the mobile network, and send them via the broadband paid for by the customer, any minutes used calling via the femtocell will be taken from a customers monthly allowance, despite having already paid for the bandwidth in the original package. And mobile data sent via Sure Signal – and through the customer’s broadband – will count against the data tariff for the contract as though the customer were outside using a mobile mast.

In Japan, mobile corporation SoftBank offers free femtocell packages to existing customers. Asked why Vodafone would not be following its lead, McDougall said: “Different markets have different drivers. We know we’ve got a competitive product.”

At a time when data traffic is doubling every four months, according to O2, femtocells are an inexpensive solution to rapidly growing demand. Data transfers over femtocell are also far less expensive to the network operator than other means, as Dave Nowicki of mobile technology firm Airvana confirmed. “The marginal cost of delivery per gigabyte is much lower,” he said. “Femtocells are complementary to Wi-Fi.”

The Advertising Standards Authority last week upheld four complaints from rival mobile operators who said that advertising for the product was “misleading”.

Vodafone’s poster campaign pictured a man leaning out of his apartment window, apparently struggling to get a mobile signal, headed: “Only Vodafone can guarantee mobile signal in your home.”

The most pointed complaint came from rival mobile operator O2 which said Vodafone did not make clear users would have to pay additional costs for a femtocell device. On this, the ASA said it was reasonable for people to infer that a guaranteed signal was part of the original mobile package – but because this was not the case, the advertisement was likely to mislead.

McDougall told the Guardian the campaign would be modified to take into account the ASA ruling, maintaining that Vodafone Sure Start boxes would not be a hard sell to would-be customers.

“Customers have told us the product is lifechanging for them,” McDougall told the Guardian. “They said it had made a significant difference to their life. The more they hear about them the more they’re interested.”

Although he said he couldn’t put a figure on it, internal reports showed a higher-than-predicted uplift in data usage for customers trialling the Sure Signal boxes.

“Feedback from an 8m-leaflet door drop indicated that 90% of potential customers were willing to pay up front; unsurprisingly the desire to boost mobile signal was the biggest driver,” he said.

In the US, AT&T is taking the same approach to mobile data sent through femtocells as Vodafone, and counting it against the customer’s bill. AT&T argues that it is costly to install the systems at ISPs which will collect the voice and mobile data being sent by broadband and route it through its own network.

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(Source The Guardian)

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Apple’s ’4G’ device is out this month. Will Steve Jobs also cut the price of the current model and challenge Nokia head-on?

Steve Jobs will appear before the Apple faithful tomorrow to reveal the latest version of the Californian technology group’s mobile phone. Nicknamed the iPhone “4G” – on the basis that the last one was the 3GS, with the “S” standing for speed – it will be the summer’s must-have gadget, hitting the UK this month. But it is also seen as being in the vanguard of an all-out assault on the mobile market.

In the three years since it launched its first handset, Apple has grabbed the headlines and, more importantly, snatched a lucrative share of the more mature mobile phone markets of the US and Europe, where consumers are willing to pay upwards of £30 a month to get an iPhone. Now, speculation is rising that the company is approaching a so-called “iPod moment” in mobiles: the point at which it will decide that it can capture a much larger slice of the market by producing more than one device.

The success of the App Store, which has seen iPhone users download billions of applications, coupled with the pressure to have a wide market to attract advertisers to its embryonic iAd platform, is pushing Apple towards diversifying, just as it did with the iPod six years ago when it introduced the iPod mini. There is also increasing competition from Google’s Android platform. After two and a half years, handset manufacturers are finally producing compelling Android phones – such as the HTC Desire – and more are slated for release this year, including the mass-market HTC Wildfire.

But rather than unveil a new, cheaper version of the iPhone, Apple is expected to position the iPhone 4G at the top of the smartphone market and reorganise the existing range. The company is likely to halt production of the iPhone 3G – which cannot cope with Apple’s new multi-tasking software – and scrap both existing versions of the iPhone 3GS, which have 16GB and 32GB of memory. It will replace them with a new 8GB version of the 3GS, which is expected to be aimed at the wider market.

The iPhone 4G – according to mobile industry insiders who have seen one and confirmed widespread web leaks – will be available in two versions: 32GB and 64GB. These will put “clear blue water” between it and the mass-market 3GS, as one industry executive puts it. The 4G is slightly smaller and slimmer than the current 3GS. It has an improved 5-megapixel camera with flash and uses micro-sim cards, as seen in the iPad. It also has a glass back, which greatly assists phone reception. In the UK, it is expected to be sold by the same mobile phone networks that have the current iPhone: O2, Orange and Vodafone. It is unclear whether Tesco Mobile will have the 4G when it is launched in the last week of this month.

The parallels between Apple’s current position in the mobile phone market and the place it held in the digital music market when it introduced the iPod mini are revealing. The first iPod appeared in late 2001, but it was not until 2003 that Apple launched the iTunes store. One million tracks were sold in the first five days and 70m in the first year. That showed Apple there was a real mass market for digital music and was a spur for the creation of the first variant of the iPod line, the iPod mini, the following year.

At the time, Apple was lodged firmly in the high end of the market for digital music players. The iPod was the benchmark by which all others were measured and Apple had a share of about 30%. The iPod mini – replaced at the end of 2005 by the Nano – was designed to grab a large part of the next third down. In similar fashion, the iPhone has become the handset by which other mobiles are measured, and in markets including the UK it has made Apple the third-largest mobile phone manufacturer after Nokia and Samsung. It is now a question of how much of the rest of the market – chock full of me-too touchscreen devices from the likes of Nokia, LG and Samsung – Apple wants.

“I would argue that they may already have reached the tipping point,” Ben Wood at CCS Insight – a long-time follower of the mobile market – says. “The iPhone has become a ubiquitous product in the markets where its pricing is acceptable.”

He believes that a real driver behind Apple’s growth will be the iAd platform, which Jobs announced this year alongside the new version of the iPhone software – which is also in the iPad. The new mobile advertising platform is designed to allow iPhone app developers to create in-app advertising. Currently, anyone who clicks on an advert in a downloadable app is bounced out of it and on to the advertiser’s webpage. As a result, many users are put off clicking on adverts. In contrast, iAd will allow full-screen video and interactive advertising content to be served within an application. Crucially, Apple will sell and serve the adverts, and developers will receive 60% of their iAd revenue.

“With iAd, which could be as significant to Apple as the iPod franchise itself, Apple has a tremendous opportunity. It will provide a further chance to lock in their leading position in application development,” Wood says. “If iAd becomes the kind of phenomenon that Apple appears to be able to create, and becomes as big as it could, then potentially Apple could really disrupt the market by subsidising the iPhone from their iAd revenues.”

But whether iAd means that Apple needs to go all the way into the low end of the market is doubtful.

“IPhone users are a segment of the population that has affinity with technology and disposable income, and that is a marketeer’s dream already,” Wood says.

And Carolina Milanesi, research vice-president at rival analysts Gartner, is not convinced that this is the right time for Apple to go mass market, citing price constraints on the iPhone’s most important feature – its large touchscreen.

“On the iPod touch and the iPhone, the screen is very important,” she says. “Music is easier [to do in a mass-market device] because it is just [data] storage, and with the price of storage coming down you can experiment with design. But when you have applications running on the device, how much dumber can your device become before it is useless? And that is where they are going to struggle. What else do you cut?”

Apple could cut its own profits, but it has shown little desire to do that in the past: the switch from the 3G to the 3GS actually reduced the manufacturing cost of the phone, analysts reckon.

“Yes, of course, they can expand their addressable market so much quicker, but do they want that?” says Milanesi. “Just as Jobs says Apple does not want to be the Dell of the PC market, [so] Apple does not want to be the Nokia of the mobile market.” How true that is will be revealed tomorrow.

Focus on Apple’s factory

While Apple fans will drool over the new iPhone this week, tragic events in China have thrown a spotlight on the human cost of the west’s obsession with shiny toys. A spate of suicides at the massive Chinese plant run by Taiwanese contract electronics manufacturer Foxconn has called into question working conditions at one of Apple’s largest suppliers.

The Californian company has dispatched a team of investigators to discover why 10 people have killed themselves so far this year. Management at the Shenzhen facility, which stretches across three square kilometers and employs more than 250,000 people, are trying to solve the problem by hiring counsellors, playing soothing music on production lines, increasing wages and asking new recruits to sign a ‘”no-suicide” contract. They are also taking more direct action, installing netting around outdoor stairwells of the dormitory buildings, where workers sleep eight to a room.

Speaking last week, Steve Jobs said Apple was “diligent” when it came to understanding the working conditions in the supply chain, auditing its direct suppliers as well as tertiary suppliers.

“We are over there trying to understand what is happening and more importantly trying to understand how we can help because it is a difficult situation,” he told the D8 conference organised by All Things Digital. He said many young workers came from poor rural areas and were away from home for the first time.

“They are probably less prepared to leave home than your typical High School student going to college in this country. I think there are some real issues there,” he said.

But he stressed: “Foxconn is not a sweatshop. They have got restaurants and movie theatres and hospitals and swimming pools. For a factory, it is a pretty nice factory.”

Some of Foxconn’s workers disagree, complaining the monotonous workload causes depression. “I do the same thing every day,” Xiao Qi, a college graduate who works at Foxconn in product development told Bloomberg Businessweek. “I have no future.”

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(Source The Guardian)

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Daisy’s drive to consolidate the SME telecoms arena has been boosted by the agreement of
a £75m credit deal.

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(Source Yahoo UK News)

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Cisco has predicted in its Visual Network Index Forecast 2010-2014 that video will dominate network traffic by the end of the year.

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(Source Yahoo UK News)

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The SSD manufacturer has bumped up the capacity of its Vertex and Agility products, aiming for buyers who want want fast boot-times and high storage capacity

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(Source ZDNet UK)

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Telecoms firms must work together to meet connectivity targets by 2015 in
order to drive social and economic change across the world, according to the
International Telecommunication Union (ITU).

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(Source Yahoo UK News)

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The 2012 London Olympic Games Committee will be creating community-driven web content around the event using
Ciscos Eos software-as-a-service platform.

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Phone makers should be happy: the worldwide market is enjoying strong growth in sales of phones and a boom in smartphone sales, which grew by almost 50% compared to the recession-hit first quarter last year

Smartphone sales increased by 48.7% to 54.3 million units in this year’s first quarter, according to research company Gartner, Inc. Smartphones are a small but extremely profitable sector of a mobile phone business that sold 314.7 million units, a 17.0% increase on the same quarter last year. Nokia remained the top supplier in both categories.

“This quarter saw RIM, a pure smartphone player, make its debut in the top five mobile devices manufacturers, and saw Apple increase its market share by 1.2 percentage points. Android’s momentum continued into the first quarter of 2010, particularly in North America, where sales of Android-based phones increased 707% year-on-year,” said Carolina Milanesi, research vice president at Gartner, in a statement.

Gartner also confirmed what NPD had said earlier: in the US, more smartphones shipped with Google’s open source Android operating system than Apple’s closed proprietary iPhone OS.

Worldwide, Symbian was the most popular smartphone OS, selling 24.1m units for a market share of 44.3%, down by 4.5 percentage points. RIM came second with 10.6m sales and a 19.4% share, ahead of Apple’s iPhone OS with its 8.4m sales and 15.4%. (Symbian is used mainly by Nokia, while RIM makes BlackBerrys.)

Sales of Microsoft Windows Mobile phones were almost flat at 3.7m units, which meant its market share fell by 3.4 percentage points to only 6.8%. Linux dropped 3.3 percentage points to 3.7%.

In the phone market, the top three suppliers — Nokia, Samsung and LG — took almost two-thirds of the market. Nokia sold 110.1 million units in the quarter for a 35% market share, though this was down by 1.2 percentage points compared with last year’s first quarter. Nokia was followed by the two South Korean rivals, Samsung (20.6%) and LG (8.6%), then by RIM (3.4%), Sony Ericsson (3.1%), Motorola (3.0%), and Apple (2.7%).

Although RIM did well to make the top 5, its total sales (10.6m units) were still smaller than Nokia’s increase in phone sales (12.7m units). However, Nokia’s growth wasn’t enough to get it back to its 2008 level, when it sold 115m phones in the first quarter.

Gartner’s Roberta Cozza, principal research analyst, said that e-mail, rich messaging and social networking will continue to drive demand for smarter phones. “To compete in such a crowded market, manufacturers need to tightly integrate hardware, user interface, and cloud and social networking services if their solutions are to appeal to users,” she said.

Read Original Story…
(Source The Guardian)

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