Forget Just Locking Your Laptop's Wireless Modem, Now Operators Can Lock The Whole Machine

from the more-bars,-but-not-the-good-kind dept

Mobile operators are increasingly looking to sell non-phone devices like laptops and netbooks with embedded or add-on wireless modems as a way to boost their subscriber figures and generate extra income. Typically, consumers buy the device at a discounted upfront cost, then get tied in to a long-term contract for monthly data service (2 years at $60 per month seems to be the norm in the US). If users quit paying their bills, in theory, they've gotten a laptop on the cheap, though of course they're still subject to the terms of the contract, and damage to their credit, and so on. But Ericsson, which makes a lot of the embedded modems, has announced some new technology it's calling a "kill pill" that allows mobile operators to remotely lock a laptop by sending a signal to it over their network. The company says it's ideal if a data user quits paying their bills, but it's not hard to imagine mobile operators coming up with more nefarious uses for the device -- like shutting a machine down if a user closes their account, even if they've fulfilled their contract.

Filed Under: laptops, locks, subsidies, wireless
Companies: ericsson

Patent Dispute Blocks iPhone Skype In Canada

from the progress? dept

There's been a lot of buzz this week over a version of Skype finally being released for the iPhone (though, the fact that it's limited to only WiFi connections, rather than cellular ones is annoying, if expected). However, it turns out that Canadian iPhone users are discovering that their iPhones are blocked from using the new iPhone Skype, apparently due to some sort of "patent-licensing issue" related to the codec that Skype uses. The company isn't revealing much (and the link above includes a workaround for Canadians desperate to use Skype on their iPhones), but that's what you get when you end up using patented technology in your products. It makes it that much more difficult to actually offer your product in a variety of markets.

Filed Under: canada, iphone, patents
Companies: skype

No You Can't Sign Up For A Comcast Account And Resell It Throughout Your Building

from the or-do-it-35-times dept

While some progressive ISPs such as Speakeasy have allowed customers to "resell" their connections via WiFi, most broadband providers frown on the practice. They don't seem to mind the casual sharing between neighbors, but it's not too surprising to see Comcast sue a guy who tried to set up an entire wireless ISP business this way. It's almost creative... he subscribed to Comcast broadband at 35 different condos, and then advertised his own "connectivity" within each of those buildings. It's hard to believe his defense will work:

He said Comcast signals are often used to power wireless networks at places like Internet cafes and other businesses that charge users for access. "This is a practice that happens throughout any city," Clark said. "Unfortunately, we're one of the bigger guys in town - so, here we are."

I think he'll find that most businesses reselling access aren't using residential Comcast connections -- and even if they are, they're offering very short, temporary connections, rather than permanent service. While I actually think plans like the Speakeasy plan we discussed that allow subscribers to resell their connections is smart, that doesn't mean that this guy is going to get away with this "business."

Filed Under: reselling, wireless
Companies: comcast

In-Flight WiFi Deployments Grow -- Is The Demand For Real This Time?

from the connection-made dept

American Airlines has announced that it will equip most of its domestic fleet with gear to offer in-flight WiFi over the next two years, following earlier news from Delta that it would roll out equipment in its planes in a similar timeframe. Given the current economic climate and the downturn in both the number of people traveling and airline's fortunes, the news is a little surprising, perhaps even more so when you consider in-flight internet's track record of failure. It's always been sort of a mystery why so many people indicate so much demand for in-flight internet, but then not enough actual paying customers materialize to keep the services afloat. But technology has advanced some since the satellite-based Connexion system. American and Delta are getting their service from Aircell, which uses ground-to-air communications, instead of satellites, at a much cheaper cost. This may trickle down to the price the airlines charge to end users, but its real value is in lowering the breakeven point, meaning not as many users will be needed to justify the installation and operation costs as with the satellite-based systems. Still, it remains to be seen if the actual demand for these services will ever reach the supposed demand indicated anecdotally and by surveys, but the aggressive expansion plans by cash-strapped airlines indicates they think it will.

Filed Under: flight, wifi

10,000 In-Flight Cell Calls In Europe: No Crashes, No Terrorist Attacks

from the amazing dept

A company that provides in-flight mobile phone service to some European airlines says it has logged 10,000 calls since its launch in December 2007. Those calls have passed without incident -- they don't seem to have interfered with ground networks, they haven't led to any terrorist attacks, they haven't messed with planes' electronics and caused any crashes. That pretty much covers the technical or safety reasons given for bans on in-flight calls in countries like the US, really leaving only the annoyance factor as justification for a ban. Surely, though, if safety isn't the issue, the choice should be left up to individual airlines: if calls really are so annoying that they become a problem, airlines can ban them on their own. If an individual flyer feels so bothered by the calls, they can choose to fly only on those airlines that don't allow them.

Filed Under: europe, in-flight calls

Pre-Brief Of The Upcoming CTIA Conference

from the Too-Soon-For-A-De-Brief dept

With the US mobile phone industry's leading conference kicking off in Las Vegas, I thought it might be fun to write a small "pre-brief" of the trends to expect from the show. This CTIA Show comes close on the heels of the huge, Europe-based Mobile World Congress, and I would have dropped a blog post from there...if my Netbook hadn't been stolen! Here's what to expect from the CTIA show:

App Stores: What was innovative about Apple's App Store? It is a single point of sales, it's trusted, compatible, it offers tested apps, and it gives a large (70%) revenue share to the application developer. Nothing new there, but damn, what a success. Once again, Apple succeeded by (not doing anything revolutionary, but) using a simple recipe that makes sense and motivates all stakeholders. Sadly, a similar 'imode' app store has been done by DoCoMo in Japan since 2000, but North American carrier imitations usually neglect being remotely 'open' and don't offer a large revenue share to developers. Turns out, this is fairly important if you want to stimulate a large, diverse offering of useful, high-quality applications. Anyway, all those companies that didn't copy imode are now copying Apple, so expect to see more news around Microsoft's store, RIM Blackberry's store, the Android store, and more. The trend is good, since it will get more money in developers' hands, and should help some phone owners find applications that make their devices more valuable.

Mobile Broadband/Embedded Broadband: There will be lots of talk and probably a bunch of announcements about mobile broadband access at the show. I am referring specifically to the use of cellular broadband modems in devices that are not phones, such as Netbooks, Laptops, cameras, readers, media players, etc. I am moderating a panel on this subject at the CTIA show, and I'm thrilled to be doing it, because it is such a major trend. The two driving forces to this trend are the 3G networks that are already in place, and carrier willingness to sell new kinds of service plans. Carriers have been somewhat stuck in a rut of thinking of mobile access as "one phone, one contract, $60/mo." But recently, their thinking has been changing, and the notion of wholesale businesses of selling connections to devices like Amazon's Kindle is gaining steam. Expect to see more news of daily connection plans for laptops (like Wi-Fi Hotspots), and wireless data bundled in the price of other consumer electronics. 

Femtocells: A femtocell is a small box that looks like a Wi-Fi router, and similarly plugs in at your home or small office. But instead or routing laptops to the Internet, a femtocell routes telephone calls from your mobile phone to your carrier. Put one of these in a home or office with poor cell reception, and instantly get four bars. That's good for you and the carrier, who gets to keep you as a customer. But what also benefits the carrier is that your phone's traffic is now carried over your broadband connection, saving their towers from having to allocate capacity to you. Sprint has it, T-Mobile uses a special variant, Verizon has recently launched it, and AT&T is piloting these devices. I expect femtocells to successfully creep into the marketplace, and we'll hear a fair bit about femtocells at the show, but also other new ways of delivering cellular service like Distributed Antenna Systems, Repeaters, and such.

Backhaul: Wireless data use is taking off. Driven by flat rates, popular and easy to use phones like iPhone, and supplemented by growing use of cellular modems to laptops and Netbooks, people are finally exchanging significant amounts of data traffic from cell towers. But these towers were initially put in place for highly compressed, narrowband voice traffic. As such, each tower was often connected by a meager T1 line. The connection that the towers have to the core network is called "backhaul," and yesterday's backhaul is woefully inadequate for tomorrow's data traffic loads. The short-term solution was to just add more T1s...but the costs of this rapidly become prohibitive. So the long-term solutions that will be discussed at length in Las Vegas are point-to-point microwave wireless relays, metro Ethernet, and fiber optic connections.

The Palm Pre: I'm not sure when the bandwagon is going to hit the trail for this device, but I'm saddling up right now. I've been negative on Palm for a while, but I saw the Pre at CES in January and was pleasantly surprised, but unfortunately didn't allocate much time to Palm. Subsequently, I spent some time with the Pre at MWC in February, and was very impressed. Of all the phones I have seen since the iPhone came out, this is the first one that I think may be better -- and I am very fond of the iPhone. I use a very powerful HTC Windows phone, and when I see the Pre in action, I find myself repeatedly saying "I wish my phone could do that." 'Synergy,' the Pre's ability to pull together your contacts, emails, calendars into one consolidated view, is a favorite element. But what really struck me was the User Interface, which is very visual, very touch, and very intuitive. I felt the same way I felt when I first saw the iPhone in action. The Pre is not an evolution of previous Palms. It is a new starting point, and like the iPhone, it seems devoid of classic silo thinking and lousy UI baggage. I can't predict whether the developer community will rally around the Pre, or whether Sprint and Palm will be successful in selling big volumes, but I want to call this one early: the Pre is a great smartphone.

More iPhone "killers": We've seen handset vendors offer so-called iPhone Killers at every turn since June 2007. I have found almost every such claim to be unfounded over the past 2 years. I have written that a touch screen and square icons do not an iPhone Killer make. But quarter-by-quarter, the competitors' claims get more and more credible. While HTC, Nokia, RIM, Samsung, and LG make incremental progress to matching the iconic device, I think Palm has the real bomb to drop, if they manage to get the Pre to market on time.

Android: The past year was almost devoid of Android handset announcements. Barcelona was strangely silent on that front. In fact, we haven't heard much about new Android handhelds since the T-Mo G1 was announced early in 2008! But there's enough rumors floating around to suspect a batch of Android announcements this week. Let's wait and see. 

Google Voice: Google recently announced their Google Voice service, and it has created quite a stir in the industry. The fixed carriers have long felt threatened by Google, although the search giant had yet to fire a shot across the mobile carriers' bow. So long as it stayed in search, email, web VoIP, advertising, and location services, Google was only a thorn in the cellcos' side. But with the addition of Google Voice (GV), Google is now going straight at the heart of the carrier's core service. GV is essentially a disintermediation play, where users will use just one phone number, provided by Google, and can intelligently route and manage their phone calls to desk, cellphone, voicemail, email, etc., by using a web dashboard interface. By using a Google phone number, users needn't even tell anyone their cellular or landline numbers -- the carriers become pipes for the Google Voice customer. Expect to see and hear some responses, which have already started from other newcomers like Skype, or classic solution vendors like AlcaLu.

Meet Huawei: If you are not familiar with this company yet, better learn how to pronounce the name. Huawei is the leading example of the next generation of telecom infrastructure providers out of China. They have been selling competitive equipment for years, but carriers in Western countries have been reluctant to adopt their products based on a perceived quality gap with leading vendors like Ericsson, Nortel, Motorola, and Alcatel-Lucent. But the winds are shifting. Tougher economic times, paired with some successful Huawei reference cases in Leap Wireless, Cox cable, and Canadian telcos, prove that Huawei can compete on quality and price. Huawei is growing its presence in the US, recently opening offices here in Silicon Valley. Could a major US carrier deal be in the making?

Filed Under: app store, backhaul, ctia, femtocells, google voice, iphone, palm pre, pre-brief, wireless
Companies: apple, google, huawei, palm

Twitter Finds Now It Has The Leverage On Mobile Operators

from the oh-so-now-you-want-to-be-my-friend dept

One issue that's constantly popping up these days is friction between distributors and content or service providers. Companies on either side of the equation often overvalue their contribution, whether it's movie studios thinking they have the leverage over Netflix, or ISPs thinking they've got the upper hand over the likes of Google when it comes to net neutrality because they "control" the pipe. The content or services are worthless without the distribution; without the content, the distribution is worthless. It's not the case where one side always has the power, and often over time, the balance of power shifts. Such is the case with the news that Vodafone UK has enabled Twitter SMS services for its customers. Twitter irritated some of its international users last year when it stopped sending them SMS updates because of the costs. It's a pretty typical story in mobile: if you have a service you want to offer to users via SMS, you've got to be prepared to pony up the cash to mobile operators to reach "their" customers. When Twitter was a nascent service used by web dorks and media types, somebody like Vodafone wouldn't care about it. But as the service has gone mainstream, suddenly it behooves Vodafone to strike a deal with Twitter, make the costs workable, and be able to offer the service to its customers. The mobile industry has long engaged in these stupid battles over who "owns" the customer. Typically, the operator's take has been that they own the pipe, so they own the customer. But maybe they're finally figuring out that without any compelling services to travel through it, the pipe's not such a big deal.

Filed Under: leverage, sms
Companies: twitter, vodafone

Verizon, Too, Turns To Subsidized Netbooks

from the lock-em-in dept

We've wondered before why mobile operators say they hate the subsidies they pay to discount handset prices, but then expand their use of them to include laptops and netbooks. The trend looks like it's here to stay, as Verizon Wireless has now confirmed it will start selling 3G-equipped netbooks by the end of June, so now, in addition to tying yourself into a 2-year contract where you're paying back the cost of your cell phone, you'll soon be able to tie yourself into a long-term data-service contract to pay back the price of a laptop, too. Of course, once that contract's up, the device will still be locked to the operator from which you bought it, making it difficult (or impossible) to take your business elsewhere. Meanwhile, business is flowing the other direction, too: Dell is reportedly looking to set up a virtual operator in Japan, selling its customers network access on another operator's mobile network to use with their mobile-equipped laptops. It's an interesting contrast in models, because it's unlikely Dell will subsidize the hardware like the operators. Part of the issue with handset subsidies is that consumers are used to paying the lower subsidized prices, and so any change that raises prices will be met with disdain. But people aren't used to the benefit of subsidies for their PCs, so may be more open to paying a higher upfront cost for the hardware if it means they don't have to sign a long-term contract with a high monthly service charge.

Filed Under: netbooks, subsidies
Companies: verizon

Police Chief Gets Into Car Accident While Checking His Blackberry

from the nice-move dept

Just as politicians and the police have been increasingly cracking down on drivers who are using mobile phones for texting and emailing while driving, a police chief in the Seattle suburb of Federal Way has issued an apology for hitting another car while checking his Blackberry. Apparently it was a minor accident, that occurred when the chief, Brian Wilson, was stopped at a traffic light in an unmarked police car. He started checking his Blackberry and took his foot off the brake, allowing the car to roll forward into another vehicle. The chief says he takes full responsibility for the accident and is mortified... Of course, it sounds like no legal action will be taken even though Washington was the first state to enact anti-texting while driving laws.

Filed Under: police, texting while driving

When Having Somebody Transfer Your Data From An Old Phone To A New One, Delete Your Self-Porn

from the helpful-reminders dept

A former Miss Britain who posed for Playboy is suing UK mobile phone retailer Carphone Warehouse after one of its employees copied some "very intimate" pictures from her phone and tried to sell them to some newspapers. The woman, Danielle Lloyd, left her phone at the shop so employees could transfer data from it onto a new phone, and is seeking 50,000 pounds in damages for her stupidity the employee's actions. It's slightly ironic that the woman would be upset about the photos getting out, seeing as she once had a flourishing "glamour model" (Britspeak for soft porn) career, but the episode goes to show how easily privacy can be undermined these days. There's a presumption of privacy when people take a picture on their phone, or put something online on their private or semi-private space; but as we capture and share more and more of our lives, the presumption that the content we capture will remain private should probably diminish.

Filed Under: danielle lloyd, phones, porn