Newspaper Subscriptions to Replace Free Digital Content?!?
Jan 14, 2011 12:00:00 AM / by Admin
Verizon's network based on CDMA technology is not as fast from a pure technology standpoint as HSPA 7.2 networks - like AT&T's. Based on utilization, average speeds will vary but on average AT&T's HSPA network is faster than Verizon's 3G CDMA network.
AT&T is using this difference to differentiate itself from Verizon, particularly now that VZ will soon have the iPhone. Highlighting this difference is a wise move by AT&T for both customer acquisitions but also for customer retention.
Interestingly, a slower networkhelps Verizon manage overall utilization. Why - customers will simply not use their phone as much if they are not receiving data fast enough. This may seem trivial but anyone on a PC knows that if a video does not load fast enough or is constantly stopping and starting, you quit viewing the video. The same affect occurs with mobile. Measuring this affect on network utilization is hard to do - but it can help manage customer mobile data usage.
Who wins with a faster network? If greater utilization does not create overall network problems,a faster network is desirable. But if themajority of application usageon a slower network is acceptablefrom a user's perspective, thena slightly slower network will not harm customer adoption and retention and offer some network utilization benefits.
At some point it will be interesting to see a comparison of application speeds foriPhone used on the Verizon 3G CDMA network and AT&T's HSPAnetwork. Then based on the results - who wins......or does it really matter with both operators moving to 4G.
Some of the buzz on release of the iPhone on Verizon's 3G network is the impact it will have on its network. Will Verizon experience the same network overutilization issues as AT&T when the iPhone was released on their network? The simple answer is not likelyand the simple reason is Verizon has learned from AT&T and is prepared for this data hungry device. More specifically the reasons are:
- Verizon's 4G network will remove some load from the 3G network. This is initiallyfrom 3G laptop connect subs upgrading to 4G connections. Verizon 3G laptop subs consume much more data thaniPhone customers.
- The iPhone boost to total Verizon smartphone subs will be incremental - no number is availabe but Verizon is expected to add even more smartphone subs in 2011 than it did in 2010 and most will be with data hungry devices such as the iPhone or Android smartphones
- Android smartphone adoption would have replaced iPhone adoption if the iPhone was not launched onthe VZnetwork. We anticipate VZ is prepared for large increases in its smartphone base regardless of the smartphone brand.
But Verizon will need to be diligent and they have the tools to address network data usage. Release and promotion of a 4G smartphone willremove traffic from the3G network assuming 3G users switch to 4G devices. Promotion of certain Blackberry devices is another option as traditional Blackberries tend to be more network friendly devices.Smartphone pricing is another factor with higher priced smartphones less likely to go into the hands of younger users who will use the smartphone like they use the PC or desktop - consuming all sorts of multimedia. Applications - one application which can drive up usage significantly is video calling and video sharing. This is an app that has the potential to take offassmartphone and media tablet penetration increases.
But it takes just one market with network problems to create a marketing nightmare.
G Whiz: Marketing Claims Distract from Actual 4G Progress at US Carriers
Jan 10, 2011 12:00:00 AM / by Admin
During its developer conference at International CES 2011, AT&T joined T-Mobile US in marketing hijinks by rebranding its HSPA+ network as “4G”. Going into the last quarter of 2010, T-Mobile had previously launched a marketing campaign claiming its latest UMTS network, based on the HSPA+ protocol, was faster than the deployed 4G technologies and therefore the largest and fastest 4G network in the country.
Complicating matters further, AT&T detailed its 2011 “4G” roadmap with 5 to 7 new HSPA+ “4G” devices expected to launch during the first half of 2011, and 13 to 15 additional launching during the second half of this year (with an emphasis, but not necessarily exclusively, on LTE devices).
The operators’ claims have been lambasted by the technologists developing the standards and equipment. Those yet to be impacted are the subscribers that made decisions to switch providers, devices and budgets as a result of the campaigns. Do individuals care? I think so. On a taxi ride back to my hotel during CES, the driver asked what 3G and 4G meant. And what is the difference between the two?
Expect consumers and business decision-makers alike to become increasingly cynical as the marketing continues. Will we see Verizon Wireless, Sprint and US Cellular join these crafty marketers any time soon? Oh wait – those three operators along with Clearwire are actually deploying 4G networks!
Combination chipsets to start ramping up in the new year?
Jan 5, 2011 12:00:00 AM / by Admin
Atheros has announced various new 802.11n and Bluetooth 4.0 products in various formats. Atheros coming up with acombination solutionis not surprising. They had previous combination solutions on a single board to provide integrated solutions.What is different about this solution is that they are launching a 802.11n and Bluetooth 4.0 combination chipset.
Atheros has been a notable player in thein the short range wireless industry. In the past, they had been mainly focused on stand-alone chipsets. With the announcement of theAR9485, which is a system in a package which includes 802.11n and Bluetooth 4.0, Atheros plans to move this towards the mobileComputing and Tablet segment of the market.
This could be the markof an inflexion point for the combination chipset market. There is enough interest in combination chipsets currently in the mobile computing and tablet market, not to mention the mobile device and handheld market where real estate on a device is even more scarse, fora company that had previously focused on stand alone chipsets tonow showcasea combination chipset. Keep an eye for a ramp up oncombination chipsets in2011 in various segments of the market.
eBook Reader Shipments (and Rumors) Hit All-Time High in 2010
Dec 30, 2010 12:00:00 AM / by Admin
Vendors like to constrain access to product performance data, especially in the early stages of a market. This keeps competitors and investors at bay allowing manufacturers to build awareness and hype. As expected, credible details on shipments for eBook Reader devices have been sparse.
Vendors and so-called “sources familiar with the situation” recently turned up the volume on how well the mobile CE device category is doing. Whether it was about Amazon, Barnes & Noble, Hanvon, or Sony, the message was similar: “millions” of devices have shipped and significant gains were seen in comparison to 2009.
ABI Research expects more than 11 million eBook Reader devices to ship in 2010 with the majority: destined for the United States, and including built-in 3G wireless connectivity. Contrast that with the fact that less than 4 million devices shipped worldwide in 2009.
Some pundits felt media tablets, such as Apple’s iPad, would obviate the need for dedicated consumer electronics reader devices. This couldn’t be further from the real world. Amazon executives directly tackled the claims by saying that their results don’t reflect the supposed cannibalization, and that consumers are even choosing to acquire both slate-shaped devices.
A fundamental change to reading digital content occurred mid-2009 when the dedicated eReader vendors starting offering reader software applications for PCs, media tablets and smartphones. This shift in strategy signaled that no single platform would garner all the eyes. The uptake on additional “screens” bodes well for digital content bookstores.
The statistics emerging today for the eBook Reader market reiterate what was already understood; just coming now from the vendors themselves. Media tablets have created incremental opportunities for the consumption of the written word. It has been a good year for eReaders, but still a long road ahead to become a mass market opportunity.
It has been a year since the first mobile network offering 3GPP’s Long Term Evolution (LTE) mobile broadband service commenced at TeliaSonera in Stockholm, Sweden and Oslo, Norway. Early modem offerings for LTE networks have been rudimentary at best.
Qualcomm sold its 700 MHz spectrum to AT&T for $1.925 billion. This includes 12 MHz of the D and E block spectrum (what was Channel 55 and 56) covering over 70 million people, including in New York, Boston, Philadelphia, Los Angeles, and San Francisco. It also includes 6 MHz of D block spectrum covering over 230 million people across the rest of the United States. In total, the spectrum covers over 300 million people. This sales is expected to close during the second half of 2011.
AT&T paid $6.637 billion for its current 700 MHz spectrum that it acquired in the 2008 auction. This was for 150 licenses of B block spectrum which consists of 12 MHz of spectrum. (Verizon got 22 MHz of spectrum, which is enough to use with one 10 MHz downlink channel and one 10 MHz uplink channel.) This spectrum is only in urban areas. AT&T had gotten less spectrum for 4G than Verizon and covering a smaller geographical area and fewer people. This spectrum will help AT&T to increase its downlink bandwidth using carrier aggregation at a later point.
Overall, this is not a huge deal, but is important for AT&T to compete against Verizon. For the downlink, it puts AT&T more on par with Verizon in rural areas and gives AT&T an advantage over Verizon in urban areas. It will do nothing for AT&T's disadvantage on its uplink spectrum.
I want to try and clear something up here, because a lot of people think that the ITU has accepted HSPA+ as a 4G technology. This is wrong on so many levels.
The ITU does not control the term "4G." They have been trying to do this for a long time now, but 4G is not a specification or standard. It means 4th generation - in this case it means 4th generation WWAN air interface technology. To talk about speeds is to not understand what these technologies are. 3G technologies were all based on CDMA primarily. HSPA+ is a 3G technology that is compatible with WCDMA, HSDPA, and HSUPA (or HSPA). WIMAX and LTE are 4G technologies because they are OFMDA-based and they will be compatible with WiMAX2 and LTE-Advanced, respectively. The ITU defines IMT-2000 and IMT-Advanced based on performance requirements. This has nothing to do with the fundamental generation of technology, and has included a mix of technologies. IMT-2000, for example contains 3G and 4G technologies. As long as you understand that IMT-Advanced does not equal 4G, then all this confusion goes away.
The ITU backed away from tying IMT-Advanced and 4G together after stirring a debate and after the IEEE sent them a letter where the IEEE disagreed with the ITU's use of 4G and pointed out that the working group in the ITU specifically recommended that the ITU avoid using the term 4G. Buried in a mixed press release, the ITU acknowledged that other technologies can also be referred to as 4G, but also mentioned advanced 3G technologies. (Saying a 3G technology can be 4G does not make sense though.) So people assumed that now the ITU relaxed its requirements. No! They didn't IMT-Advanced is still IMT-Advanced - only WiMAX2 and LTE-Advanced meet the ITU's requirements for IMT-Advanced. Just because the ITU seemed to say that HSPA+ can be 4G too does not make it so.
4G (which is OFDMA, where 3G is CDMA) is a completely separate thing from the ITU's performance requirements for IMT-Advanced.