iPhone, Adroid boost T-mobile numbers

DTAG corporate headquarters, Bonn

Exclusive availability of the first Android-based handset and the ever popular Apple iPhone helped propel T-Mobile‘s wireless subscribers upward during 2008.

T-Mobile’s mobile customers at the end of 2008 reached 128.3 million, up 6.3% year on year.

The firm’s US mobile subsidiary was the first operator to launch the T-Mobile G1, based on Google’s Android, on October 22, 2008. By the end of the year, subscribers to T-Mobile USA hit 32.8 million, following the addition of 621,000 new customers during the final quarter of the year. T-mobile didn’t say how many G1s it shifted but, manufacturer HTC hinted that it had shipped 1 million gadgets worldwide by the end of the year.

Over in the domestic market, Germany, the iPhone 3G and the G1 made significant contribution to increasing competitiveness, where T-Mobile added over 950,000 new customers during the fourth quarter.

Parent firm, Deutsche Telekom also reported that international fixed line broadband userswent up by 8 per cent year on year to 15 million, while traditional fixed lines dropped 7.5% to 33.8 million.

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German cellcos propose a hike in MTA

The three German incumbent, according to the local media, have suggested a hike in the mobile termination fees from April’09. O2 Germany has proposed a fee hike from the current EUR0.088/min to EUR0.1643/min, whereas T-Mobile puts forward an increase from EUR0.0792/min to EUR0.0839/min. Vodafone on the other hand suggest a rise in the mobile termination fees from EUR0.0792/min from the current EUR0.0823/min. E-Plus, unlike other incumbents, proposed a decreased MTA fees from EUR0.088/min to EUR0.084/min. The descision on the MTA fees hike will be published on 12 February’09 by BNA, the telecom regulator.

   

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NTT DoCoMo, market leader in Japan in terms of subscribers have posted net profit for the nine months to the end of December 2008 of JPY437.7 billion (USD4.86 billion), up 16% from a year earlier, whilst operating income grows to 19% year-on-year to JPY746.8 billion, despite revenues falling 4% to JPY3.38 trillion. The handset sales and reudced chun is the attributing factor. The company is home to 54.16 million subscribers, up 220,000 from three months earlier, as of 31st Dec’08.

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Mobile Phones are a personalized device and now have become the popular tool for advertising and campaigning. In Europe and US, where rapid proliferation sounds exciting for marketers, Japan, Land of rising Sun is a step ahead. According to a report, Japan leads their western counterpart in mobile Internet, mobile email, mobile gaming, mobile television and mobile banking. With a population of 127million, 100 million are internet subscribers and the statistics clearly reveals that that brands operating in Japan are using the mobile channel more intensively, especially considering Japan is the number one consumer of brand named goods.
Hakuhodo, Japan’s second largest advertising agency have created a laudable mobile marketing campaign called ‘World’s Worst War’ for food brand Tohato . This campaign won award for best mobile marketing campaign in 2008, at the annual D&AD awards. Lets take a closer look at what this campaign entails:

Tohato introduced two very spicy snacks, the one called ‘Burning Hell Hot’ and the other, his archenemy, ‘Bazooka Deadly Hot’. The two flavours were represented as masters of an army that could be joined by buying one of the two flavours in the supermarket. Using the QR-codes 2D barcodes – on the packaging, the consumer could join the army of his master in a massive online multiplayer game. Every night at 4 a.m. a new battle between the two armies would start at one of the 31 different online battlefields, indicated with names like ‘Sweet Suckers Execution Hall’ or ‘Ouch, The City of Anal Torture’. By either training or recruiting friends to signup, players could get promoted and have a better chance of winning. So called ‘War Reporters’ send SMS messages to players, keeping them up-to-date with what’s happening in the battlefield. Meanwhile, fanatic players met up on social networks to discuss their strategies, because the evil army that managed to conquer all the battlefields would win the war.

Eight success factors:

Key Pousttchi and Dietmar G. Wiedemann have identified eight key success factors in their paper on mobile viral marketing. The eight elements they’ve identified are: (1) perceived usefulness by recipient; (2) reward for communicator; (3) perceived ease of use; (4) free mobile viral content; (5) initial contacts; (6) critical mass; (7) first mover advantage; and (8) scalability.

Lets discuss each and every factor in relation to the Tohato campaign:

* The campaign should contain value that is perceived useful by the recipient (1). Providing product or service information is a common way to provide this kind of value, but in the case of Tohato the perceived usefulness can be found in entertainment value.

* Users should be encouraged to communicate the campaign to others (2). Tohato rewards people to spread the word by a using a pyramid system. Users gain power when a friend signs up for their army, and in turn keeps on being promoted when friends of friends sign up. This system meant that involvement in the evil armies spread very rapidly across Japan, according to a report.

* It should be as easy as possible to interact with the campaign (3). Any hurdles should get straightened out and the user experience shouldn’t leave any room for required thinking, as usability expert Steve Krug argues.

* Pousttchi and Wiedemann argue that content should be provided for free (4). Users are used to free content from the Internet since content can be copied. Instead, charge them for things that can’t be copied, says senior maverick at Wired magazine Kevin Kelly. (Kelly 2008) Tohato doesn’t charge for the game, but revenue is generated through sold snacks that are needed to join the game in the first place.

* A brand needs initial contacts to get the campaign of the ground (5). The first people that spread the word are very important, since the overall value of a network increases with the square of the number of users, as the Metcalfe law prescribes. (Carl Shapiro 1999) There is a critical mass point too, indicating the minimum of users needed for the campaign to succeed (6). This is especially essential with multiplayer games like Tohato’s that can’t be played individually.

* A first mover advantage entails that in the initial phases the campaign should have no competitors in the perception of the users (7). It is unclear whether Tohato’s campaign was perceived as being something new, but according to marketing authors Alan Moore and Tomi T. Ahonen the campaign is remarkable to say the least. (Ahonen 2008)

* And finally, when striving for a successful campaign it should be build for scalability (8). It needs to be able to handle the amount of eyeballs you’re hoping to attract. In the case of Tohato it had to digest up to 100.000 page views per day from a total of 10.000 participants. (Hakuhodo 2008).

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T-Mobile USA, one of the country’s leading mobile operator, has added a large number of prepaid subcribers to its kitty in Q4’08, despite the introduction of the Google phone. T-Mobile is way ahead of other mobile operators in the country when it comes to prepaid subscribers, who pay less and move on contracts.

T-Mobile adds 621, 000 in Q4, of which 57% were from the prepaid segment. Looking at the annual growth, T-Mobile aaded 4.07 million subscribers including 1.13 million from SunCom Wireless’ acquisition.

Nearly 82% of T-Mobile’s subscriber base 32.8 million are using the contract tariffs.
   

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MagtiCom has reportedly launched an HSDPA network in Georgia. MagtiCom said that the 3.5G technology will provide its customers with faster internet browsing and video and music downloads. It is anticipated that the launch will boost the competition and will help MagtiCom to tap the major market share. Geocell, a subsidiary of TeliaSonera, which launched its HSDPA platform in July 2008 is a strong contender in Georgian telecom market, owns 46.89% of market share whereas Magticom claims 41.87%, at the end of September 2008.

Wireless

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Deutsche Telecom, the German incumbent, posts a slow mobile subscriber growth during Q4’08. The service provider saw a growth 1.68 million subscribers across the globe in Q4’08, in comparison to 3.76 million net additions in 2007.

Wireless   

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Ugandan ICT Minister said that the number of wireless subscribers rose to 8.2 million at the end of 2008. The mobile penetration stood at around 25%. According to a report, at the end of September 2008 MTN retained a position of strength in the Ugandan wireless arena, with a market share of 42% (3.23 million subscribers), though this was down from 57.6% 18 months earlier. Zain bags second position with 1.86 million customers, where as UTL has an estimated 1.65 million. The new incumbent Warid claimed a laudable million customers at the end of September 2008, 13% of the market, just eight months after launch.

Telecom

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Etisalat today announced its preliminary results for 2008, reporting total annual Net Profits of Dhs8.665bn. This shows a growth of 19% over 2007′s figures, when the Group recorded Dhs 7.297bn in Net Profits. During the fourth quarter of 2008 the Group recorded a Net Profit of Dhs 2.1bn, before year-end adjustments, reflecting an increase of 18% as compared to the same period in 2007.

Etisalat also reported Dhs 26.119bn in Net Revenues for 2008, 22% higher than 2007′s results of Dhs 21.340bn. Etisalat’s Net Revenues during the fourth quarter of 2008 stood at Dhs 7.1bn as against Dhs 6bn in 2007, reflecting an increase of 18%. Total assets also increased from Dhs 52.4bn in 2007 to Dhs 62.1bn, growing 18%. Earning per share has increased from Dhs1.22 in 2007 to Dhs1.45 in 2008 after the issuance of 998.25mn bonus shares in the ratio of 1:5 in 2008.

Mohammed Hassan Omran, Chairman of Etisalat, said: “The significant results achieved by Etisalat in 2008 reflect the company’s ability to manage and sustain our growth as we pursue our ambition to become one of the top ten telecommunications companies in the world. Etisalat is now regarded as one of the strongest players in the telecom market, both regionally and internationally. This has been achieved by our commitment to implement the best international standards at all business levels.”

“Acquiring new licenses in Iran and India provides us with significant growth opportunities, and will support the development of our company for many years to come,” he added.

Mohammed Khalfan Al Qamzi, Chief Executive Officer at Etisalat, said: “Etisalat’s consistently strong performance is a direct result of our extensive operational achievements at home and abroad. At the end of 2008, the number of Etisalat mobile subscribers in the UAE grew 14% compared to 2007 to reach 7.3mn, fixed line subscribers grew 3% to 1.36mn and Internet subscribers grew 31% to 1.15mn.”

For further information, please visit www.etisalat.ae

   

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Vodafone will select 1,000 people to trial its new GSM services in Qatar starting in March. The UK based mobile operator will initially conduct a two-month ‘beta trial’, to get a full fledged response ahead of its commercial response due at the end of 2009. ‘We want a wide sample as possible, reflective of the rich diverse society in Qatar, different ages, men and women,’ a company spokeswoman said.
Wireless Mobile Telecom 

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