3GSM-Microsoft wins over LG and Softbank for Windows Mobile
Reuters writes…Microsoft said on Monday that South Korean mobile phone maker LG Electronics and Japanese mobile carrier Softbank had become customers for its Windows Mobile software.
“LG will be joining us for the first time in the Windows Mobile phone space. A new partner is also Softbank, which will introduce multiple devices for us,” said Scott Horn, director of marketing for Microsoft’s mobile and embedded-devices group.
Softbank will distribute to its subscribers Windows Mobile models manufactured by electronics producers.
Toshiba said in a separate statement it would also start producing Windows Mobile devices for the first time.
Microsoft sold software for 3 million mobile phones in the October to December quarter, compared with 6 million in the entire fiscal year to end-June 2006.
It has around 20 percent of the global smartphone market, which is a high-value segment of the 1 billion units a year total mobile phone market.
Despite its modest global market share, well behind software from Symbian and Nokia, Microsoft’s Windows Mobile was selected by Vodafone in November as one of only three mobile operating software systems it would support in the long run. The other two were Symbian/Nokia Series 60 and Linux.
The software giant has said sales of mobile phones running on Windows Mobile would double this fiscal year to mid-2007 and are set to double again in the year beyond.
“We now have almost all Symbian members working on our platform,” said Horn. Top five mobile phone vendors like Motorola, Samsung and LG produce both Symbian-based phones as well as Windows models.
Microsoft on Thursday unveiled a new version of its Windows operating system for mobile devices, making it look more like Windows Vista and adding features previously only available on personal computers.
A week earlier Microsoft introduced Vista, the new version of its personal computer operating system.
Hutch-Essar bid: Advantage Vodafone
IBNlive writes…Hutchison Telecom Board is understood to have concluded it’s meeting on the bids received for its holding in Hutch-Essar. Sources say Vodafone has made the highest bid at over $18 billion.
However, there was no confirmation from either HTIL or Vodafone.
Reliance Communications, Hindujas and Essar, the Indian partner in the venture with 33 per cent stake, had also submitted their bids on Friday.
Vodafone is desperate for a stronger presence in India and seems most likely to partner Essar if it comes down to the wire. But it is constrained by the fact that its bid will have to be price sensitive.
For Anil Ambani’s Reliance Communications, Hutch makes a lot of strategic sense but regulatory issues could come in the way.
Essar has the right of first refusal and looks keen to have a larger telecom play. But don’t be surprised if they sell out.
Hindujas may well be the dark horse. Most analysts ruled them out even before they started due diligence. But they understand telecommunications and look hungry.
Suitors for the 67 per cent Hutchison stake submit their bids on Friday in Hong Kong. There was also a fifth player — Altimo of Russia — in the fray.
According to sources Altimo has tied up with Rothschild as advisor and Nomura of Japan as their financier.
There are atleast four players, including the UK-based Vodafone, NRI Hindujas and Indian entities Reliance Communications and Essar (Indian partner in Hutch-Essar JV with a 33 per cent stake), who have evinced interest in buying HTICL’s 67 per cent stake.
Hutchison Telecommunications International relies on India as its 67 per cent stake holder Hutchison Essar contributes to an estimated four-fifths of operating income. The Hong Kong firm is expected to end 2006 in the black after a hefty 2005 loss.
The company’s India operations expects reaching out to 180 million mobile phone users by end-2007, up more than 25 per cent from 143 million now.
Hutchison Telecom has been an avid deal-maker across Asia. But long-cherished hopes of listing its Indian business have been hampered by regulatory changes amid a dispute over local acquisitions with partner Essar, a conglomerate controlled by India’s Ruia family.
Nokia to Give Venture Capital Higher Priority
<a href="http://users1.wsj.com/lmda/do/checkLogin?mg=wsj-users1&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB117107804022404567.html%3Fmod%3Drss_whats_news_technology” target=”_blank”>WSJ.com writes…Nokia Corp., the world’s largest maker of cellphones, is stepping up a commitment to its venture-capital activities, underscoring its efforts to expand into new and adjacent businesses such as mobile music and video and location-based services.
As cellphones increasingly become more than just a tool for voice calls and text messaging, the handset industry must keep pace with a dizzying array of developments outside .
<a href="http://users1.wsj.com/lmda/do/checkLogin?mg=wsj-users1&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB117107804022404567.html%3Fmod%3Drss_whats_news_technology” target=”_blank” />
With iPhone Release Fast Approaching, Apple and Cisco Near Dispute Settlement
<a href="http://users2.wsj.com/lmda/do/checkLogin?mg=wsj-users2&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB117106773920004229.html%3Fmod%3Drss_whats_news_technology” target=”_blank”>WSJ.com writes…The great iPhone dust-up between Apple Inc. and Cisco Systems Inc. could be coming to an end as soon as next week.
On Jan. 10, days after Apple had introduced a new cellphone dubbed the iPhone, networking-equipment titan Cisco sued its high-tech neighbor up the road in Silicon Valley. Cisco alleged that Apple had infringed on a trademark that Cisco holds for the term iPhone. While both sides initially seemed to dig in their heels — Apple called Cisco’s lawsuit “silly” and said it was confident it would win in court — they eventually sat down at the bargaining table.
Omnifone unveils rival to iPhone, iTunes
Yahoo writes…Omnifone, a British mobile music company, is unveiling a new music service Monday aimed at cell phone users who crave music while on the go, in the first of what is expected to be many challenges against Apple Inc.’s upcoming iPhone and its ubiquitous iTunes Store.
The London-based company, founded in 2003, said its new MusicStation will be an “all you can eat” service that will let users — in Europe first, but with plans to expand elsewhere — download new songs from dozens of major music labels for a weekly cost starting at 1.99 pounds, or about $3.88, per week.
“The launch of MusicStation heralds the next generation mobile music experience for the hundreds of millions of mobile phone subscribers worldwide who want a simple, easy-to-use digital music experience,” Omnifone Chief Executive Rob Lewis said.
“MusicStation will give users of any music-capable mobile phone the ability to legally access, download and enjoy an unlimited amount of music, from a global music catalog supported by the music industry, all for a small weekly fee, wherever they are.”
Set to debut in Europe and Asia this year, Omnifone said it signed partnerships with 23 mobile network operators with a customer base of 690 million subscribers in 40 countries.
The first major operators include Norway’s Telenor ASA and South Africa’s Vodacom, which is a partner with Britain’s Vodafone Group PLC.
“As one of the first Omnifone partners to launch the MusicStation all you can eat service, Telenor has reinforced its commitment to deliver cutting edge innovative services to its mobile subscribers across Sweden,” said Anders Jensen, Telenor’s chief marketing officer.
Another four networks will launch in western Europe and in Asia and the Pacific between April and June, Omnifone said. The company said its service would be available in Australia, Belgium, the Czech Republic, France, Germany, Greece, Hong Kong, Hungary, Ireland, Italy, Netherlands, New Zealand, Philippines, Poland, Portugal, Romania, Singapore, South Africa, Spain, Sweden, Turkey and the United Kingdom.
Lewis said the aim is to get the service to customers before the planned European introduction of the iPhone in November.
“We will ensure the vast majority of Europeans have the freedom to choose MusicStation by the time iPhone arrives in Europe. We will give consumers the choice they deserve,” he said.
The service works by letting users search, download and play music on their cell phones and sync it with their personal computer to create playlists that can be shared with other MusicStation users.
Unlike the iPhone, Lewis said the service downloads music over the air across a data network, meaning users can have instant access to new music despite their location. He said the service was designed for 2.5- and third-generation networks, which are prevalent across Europe and Asia and expanding in North America.
“By leveraging the hundreds of millions of handsets sold every year by operators to deliver MusicStation into the global market, we believe we can give Apple a run for its money in digital music provision.” Lewis said, likening its use to that of an iPod and iTunes, “except that with MusicStation users don’t need a credit card, computer or broadband connection.”
The tracks will include digital rights management to limit unauthorized copying and be delivered in enhanced advanced audio coding format, or eAAC+.
Songs will come from both major and independent labels, including Universal Music Group, as well as local artists in most areas.
“(It is) one of the most consumer friendly and secure platforms we have seen and the worldwide potential of the MusicStation platform and its ability to make music instantly accessible to consumers via their mobile phone is enormous,” said Rob Wells, senior vice president of digital services at Universal Music.
Songs downloaded through MusicStation, along with users’ playlists, are stored centrally, meaning that if a mobile phone is lost or stolen, the content is not and can be downloaded to a new phone, Lewis said.
“The service provides personalized news, details of new releases, ticket sales and concert listings, all of which you can read while you’re listening to the songs,” he said. “They also get suggestions on their playing behavior such as artists tracks and playlists that are likely to be relevant to them.”
Content is key for mobile industry
Ft writes…Leaders of telecoms, media and technology companies are gathered this week in Barcelona for the mobile industry’s biggest event of the year.
Among the 60,000 visitors and 1,300 exhibitors at the 3GSM World Congress will be heavyweight keynote speakers such as Vodafone’s Arun Sarin and Carl-Eric Svanberg of Ericsson.
But the speakers will not just come from the telecommunications sector. There will also be luminaries from the entertainment industry such as Warner Music’s Edgar Bronfman.
As usual, a key theme at the event will be how to increase usage of third-generation mobile phone networks, so that operators will be able to recoup the billions of pounds they spent on 3G licences at the beginning of the decade.
A host of new phones will be unveiled, boasting bigger screens and enhanced capabilities, such as mobile TV and hard disc drives, to tempt mobile users to watch movies and surf the internet.
The launch of a relatively low-cost 3G phone, made by LG Electronics, is also aimed at expanding 3G usage, according to an executive at one of the leading mobile operators.
Operators have also been striving to offer more compelling content for mobile phones.
There has been an emphasis recently on offering mobile versions of popular internet sites. Last week, Vodafone announced a series of partnerships with MySpace, the social networking site, Ebay, the auction service and YouTube, the online video sharing site.
This follows the launch in December by Hutchison Whampoa’s 3 mobile phone group of the X-Series service, which seeks to recreate the PC experience on mobile handsets with partnerships with Google, Yahoo, Ebay and Skype.
Google, which made headlines at 3GSM last year when it announced a search deal with Vodafone, is not expected to make any large announcements this time, but Yahoo, which has been working frantically to secure its own place on the mobile internet, will unveil a series of enhancements to its mobile internet search engine.
Yahoo will also kick-start a new era of mobile advertising as it announces a deal to bring a number of its big-name advertising partners including Pepsi, Procter & Gamble, Intel, and Singapore Airlines on to its mobile internet site on a global basis.
Informa Telecoms & Media, the research group, has forecast that the mobile advertising market will grow from $900m in 2006 to more than $11bn by 2011.
Searching the mobile internet will be a key issue at the conference. Mobile operators such as Vodafone have deals with Google and Yahoo to provide search, but many believe that if they created their own search technology, they would get a bigger slice of lucrative advertising revenues.
Operators have denied rumours that they will meet in Barcelona to discuss designing their own rival to Google and Yahoo. However, dotMobi, the company that runs the .mobi internet address designed specifically for mobile phones, will announce today that it will launch a directory of all mobile internet content, which could be used as a basis for a search engine.
Increasing data revenues by getting users to watch television on their mobile handsets will also be a key theme. Nokia, Samsung, LG and others are expected to unveil new, medium-priced TV phones in Barcelona.
Strategy Analytics forecast that 20m mobile broadcast TV phones, 2 per cent of total phones sold, will be shipped in 2007. The GSM Association, the trade body representing more than 700 mobile operators, will also show a number of short films in Barcelona, commissioned by Robert Redford’s Sundance Film Institute and Bollywood, specifically for the mobile phone.
While mobile operators focus on consumer-facing features, Nokia and Microsoft will square up against each other in a battle to capture the business market.
Not only are business users generally buyers of more expensive phones, but the market for applications such mobile e-mail is still largely untapped.
Nokia estimates that there are about 650m corporate e-mail boxes globally, and only 5 per cent of these are accessed via mobile phone.
Microsoft is launching the latest version of its Windows for Mobile operating system, with numerous enhancements for accessing e-mail and Microsoft office tools.
Microsoft will also announce that two new handset manufacturers LG and Toshiba will put Windows Mobile onto their phones.
Samsung, Motorola and Palm already have Windows devices, but these have been popular mainly in the US, while Microsoft has much ground to make up in Asia and Europe.
Nokia, meanwhile, will launch three new business phones and a new version of its own mobile e-mail and office software.
Roaming rates slashed
MobilePundit writes…Telecom Regulatory Authority of India issued a tariff order substantially reducing the tariffs
for national roaming for mobile subscribers. This would result in reduction of roaming tariffs to the extent of 22% to 56% compared with the current market rates.
Distance neutral composite ceiling tariffs specified.
No rental for roaming in any form.
Mobile operators can not charge any type of fixed or recurring charges for accessing roaming facility, for example, monthly rental, weekly rental , daily rental etc.
Receiving SMS is free while roaming.
Maximum permissible per minute charges for roaming calls, irrespective of the terminating networks, and irrespective of tariff plans would be:
Rs. 1.40 for outgoing local calls
Rs. 2.40 for outgoing NLD calls
Rs. 1.75 for incoming calls
Reliance does not charge a roaming rental. It has a country wide network and the subscriber always stays on its network while roaming unlike GSM operators where a subscriber of Operator A can use the network of Operator B while roaming.
BSNL doesn’t share its network with roaming users of other GSM operators except MTNL. I am curious to know what roaming rental did BSNL users pay till now.
Vodafone wins Hutch-Essar bid
IBNlive writes…The long-drawn ‘bid battle’ for Hutch-Essar finally came to an end on Sunday as UK telecom giant Vodafone acquired India’s fourth largest mobile venture for an estimated enterprise value of US $19 billion (Rs 85,000 crores).
Essar welcomed the offer and said it is indeed good price??? for the company. This is a good price, which reflects the premier position of Hutchison Essar as India’s leading operator. Essar owns 33 per cent of the company and we are delighted that Hutchison and Essar have together created this value,??? said the company in a statemnt.
Sources told CNN-IBN that Vodaphone has offered Essar to become a partner firm. The board is evaluating the option and is likely to appear with a decision shortly. We have been offered by Vodafone to be their partner. We are at the moment evaluating all our options in the best interest of the Group,??? said Essar in a statement.
Vodafone, the world’s largest mobile phone group by revenue, emerged winner at the Hutchison Telecom Ltd’s Board Meeting at Hong Kong convened for considering the four bids for its 67 per cent stake put on the block late in 2006.
Essar, a conglomerate, that owns 33 per cent of Hutchison-Essar Limited has 21 days time to decide on whether to exercise its RoFR (matching the top bid) or the tag-along right (to sell its 33 per cent stake in the venture).
The company’s India operations expects reaching out to 180 million mobile phone users by end-2007, up more than 25 per cent from 143 million now.
Hutchison Telecom first announced in December last year that it had been approached by various bidders for acquisition of its stake in the Indian venture.
This was followed by announcements by Vodafone, Reliance Communications, Essar Group and Hindujas expressing their interest in the acquisition.
Comverse demos Second Life on mobile phones
Reuters writes…Software firm Comverse Technology has created an application that runs Second Life on Java-enabled mobile phones, along with other software that allows integrated SMS and instant messaging and the streaming of mobile video directly in-world.
People are spending more and more time in virtual worlds,??? Daphna Steinmetz, head of Comverse Innovation Labs, told Reuters in an interview on Thursday. We want to bring closer the first life and the Second Life.???
The software was developed over the last six months, well before the open-sourcing of the Second Life client, and relies on using a separate PC or server as an intermediary. Comverse, which plans to demonstrate the products at the 3GSM conference in Barcelona next week, has also created an application that allows Second Life to run on IPTV platforms.
On IPTV you can actually do most of the things you can do on the PC because the screen is very large, and the remote has lots of keys, so you can jump, fly, write a message,??? Steinmetz said. On the handset it’s a little more limited — it’s hard writing long sentences. It’s more just popping in, seeing who’s visiting your area.???
During a demonstration for Reuters, an avatar named Claude Minnelli (below) was logged in via mobile phone, walked around and chatted with others in the room. However, at one point the connection was lost, the avatar slumped over and his status shown as Away.???
The company is in discussions with mobile phone carriers about rolling out the Second Life software.
Porting Second Life to other platforms is likely to accelerate following the open-sourcing of the client, but Comverse emphasized that its product is ready to go now.
We are of course going to benefit from the opening of the client and possibilities it will give us,??? said Comverse Innovation Labs’ Idan Cohen. But the service we will offer now is ready for deployment.???
Comverse said on last month that it will be delisted from the Nasdaq stock exchange, joining a handful of companies that were kicked off the exchange as a result of irregularities in the way they accounted for stock options.
CNN launches free mobile service
BroadbandTvNews writes…CNN is to launch its new CNN Mobile service at the 3GSM show in Barcelona on Monday (February 12). The service is the first fruit of its collaboration with Ericsson and, significantly, will be delivered free to consumers. It goes live at 12.00 CET when correspondent Jim Boulden will file a ‘live via phone’ piece for daily news show Business International.
The new mobile internet service will include ‘In the Field’ blogs from the network’s international correspondents, a searchable 14-day news archive with over 2,000 stories as well as a breaking news service and an hourly made-for-mobile hourly news update.
CNN mobile will work on all WAP-enabled mobile and handheld devices, independent of operator, and is accessed on the CNNmobile.com site.
The consumer launch in March will be supported by an extensive marketing campaign that will include on-air, outdoor, print and online advertising and includes demonstrations and opportunities for people to trial the new product.
CNN was one of the first news organisations to offer a mobile news service in 1999, when the headlines were delivered to US pages, it has subsequently been involved in streaming to 3G and UMTS phones and a series of DVB-H trials.
