Mot-bile

Face Recognition: When Smart TV Goes Too Smart

2012-01-05T03:51:00.011+01:00

Samsung wants to implement face recognition in certain smart TVs. The function is already available for mobile devices but here, the idea is to adapt content to viewers, for instance in order block adult content when a kid is watching (tadaa - how about Junior in his Spiderman costume?). Swiss researchers have been studying the concept for years, but for a monitor equipped with an arm that allows the screen to follow the user (picture yourself in your kitchen with flour all over your hands and the urgent need to browse recipes).

Speaking of mobile and TV and following our previous updates about M-VNOs in Korea*, CJ HelloVision just launched "Hello Mobile" on Korea Telecom, and the country's second MSO could post interesting figures with the contribution of parent company CJ Group, still a food franchise powerhouse but now the country's multimedia leader (CGV, CGmedia, CJ Home Shopping...). CJ already proposes many mobile apps and multiplatform services (ie tving), but expect more e-commerce synergies ahead, particularly following the launch of Mobile E-Mart, also on KT. Homeplus (Tesco-Samsung) also considering entering the arena as MVNO.

Hello Mobile follows Insprit (Enspert tablet on Wibro) and SRoaming (Skype Roaming phone rental), also on KT, still the leader with a little more than 300,000 MVNO lines compared to about 50,000 for SK Telecom. Remember: KT struck the first deals two years ago*.

mot-bile 2012

* see "A Kbiz MNO ? SMEs vs Korea Inc", "Korea Telecom signs the country's first MVNOs", "Korea : Onse Telecom wants to be a MVNO"

Samsung Flexible AMOLED

2011-12-06T09:49:00.005+01:00

Buzz of the day: a viral ad from Samsung Mobile Display featuring a flexible and transparent AMOLED screen / tablet:

This concept Samsung Flexible AMOLED has it all: 3D holograms, enhanced reality, fresh udon, you name it. Definitely one of the best teasers of the decade.

Take the apps separately, and you don't have anything really new. But I really like how they wrapped it, and the way they boosted two apps: picking a dish from a menu (the above mentioned noodles), and instant translation. Here, the user puts the gizmo between himself and his interlocutor. Each one can talk and read from each side of the screen because the text the said interlocutor needs is written in reverse. A simple but smart detail: transparent means see-through and both ways. Likewise, foldable means two ends of the screen can directly see each other, and there's also a video call app leveraging that.

Not the first concept screen from SMD, but definitely a giant marketing leap for their research teams.

mot-bile 2011

Amazon, Facebook Smartphones? Who cares for Nokia Siemens Networks?

2011-11-24T08:58:00.011+01:00

The coming holiday season is strategic for tablet market shares, and that's one of the main reasons why Apple blocked the Samsung Galaxy Tabs in key countries. Cupertino lawyers didn't even try to stop Amazon's Kindle Fire in spite of its vague iPhone 1G design: this low cost gizmo is not a direct competitor, it contributes to democratize the tablet format, and by contrast enhances the coolness of iPad in places where Galaxy's not available.

If the commoditization of tablets will take more time than it did for smartphones, it won't take ages either. Apple obviously intends to milk the cow as long as it can, and to make sure it doesn't miss the next wave. Meanwhile, Samsung doesn't seem to make the most of its leadership in bigger screens because what Smart TV needs is a leader in value aggregation. Unless your TV remains a dumb screen and your smartbox grows wings.

Smartphones will keep getting smarter, but frankly I don't care if Facebook, Amazon, and the countless players rumored to work on them launch one or not.

I care for the 17,000 people kindly fired by Nokia Siemens Networks by the end of next year, a measure shamelessly presented as a "new strategy" ("Nokia Siemens Networks puts mobile broadband and services at the heart of its strategy; initiates restructuring to maintain long-term competitiveness and improve profitability").

Fair enough, networks have never been sexy in this sector. Except maybe when there were more base stations than mobile subscribers, and when handsets were bigger than Macintoshes. But NSN can sound as attractive as SNS, and if it really wants to put "services at the heart of its strategy", all it has to do is to rephrase its press release.

I'd suggest: "Introducing "Newstrategization", our latest killer app".

mot-bile 2011

tech+ 2011

2011-11-11T07:21:00.007+01:00

If I had received one Korean won each time the name of Steve Jobs was pronounced yesterday at the 2011 tech+ forum, I'd probably be a few million bucks richer today.

The thing is, the late Apple founder used to herald the convergence of humanities and technology, and that's precisely what this forum is all about : tech+ stands for technology, economy, culture, and human, wrapped up in / multiplied n-fold by resolute optimism (the final +).

While I'm at acronyms : the event was organized by the Korea Institute for Advancement of Technology (KIAT), and the Ministry of Knowledge Economy (MKE). Overall, 7,000 people showed up at Kyung Hee University's Grand Peace Palace, an impressive cathedral overlooking the splendid campus at its autumnal best.

Day 2 featured no less than 9 keynote speakers and a final wrap-up speech, but time flew seamlessly thanks to perfectly rhythmed transitions. A refreshing change from the usual verbose introductions : dynamic animations on a giant screen launching each speaker like a rock star.

Actually, the most convincing orator happened to be an expert in music : Stanford University's Ge Wang rocked the audience with his musical demos, winning more than a few hearts with his 'Ocarina' version of Arirang. The young Chinese professor delivered the ultimate stevejobsian show : same black top, same beard stubble, same voice pitch, and same gadgets (iPhone, iPad, imCool). Even his Center for Computer Research in Music and Accoustic (Stanford's CCRMA) echoes Steve's sense of Karma. But Ge Wang is a truly original and passionate individual, with an universe of his own (inhabited by such Zorgians as Smule, ChucK, MoPho, or SLOrk*). Bonus: unlike "He-Who-Must-Not-Be-Named", absolutely not arrogance whatsoever ! Bonus redux: an almost Mozartian touch (short high pitched laughters very reminiscent of Milos Forman's Amadeus). In a nutshell : the inspirational leader every innovating team loves to follow.

At the other end of the spectrum, the Hyundai Motors R&D VP's presentation was almost bad PR for the company. Since I've got the charisma of an anvil on stage, I can't blame him for not being as fun as Ge, but innovation is certainly not about repeating 'convergence' like a mantra without obviously understanding the word, and stamping it on every page of the company's catalog (I'm pretty sure these guys recycle always the same slides with a different keyword depending on the flavor of the month : 'well being', 'ubiquitous', 'premium'...?). Likewise, SK Planet's presentation reminded me of countless shows I attended fifteen years ago, introducing the next deja vu netco with a complete line-up of me-too applications (this time: Sundew, musicBunk, StyleTag, DishPal, Facecard, StarCall).

OK. I'm a more than demanding audience as far as innovation is concerned, but the least you expect is people really enjoying and believing in what they do. So everybody welcomed Yon Namgoong, another man of music and member of the Stevejobsian Adventist Church, and a true model for Korean students who massively attended the event: yes, you can succeed and have an impact, even if you didn't go all the way to the university. Yes, Korea needs to make more room for creative people with diverse backgrounds and a contagious eagerness to share. Yon was clearly more relevant when he developed interesting concepts bridging music with technology than when he interpreted corporate strategies, but did he have fun playing drum on stage !

Significantly, Ge and Yon delivered the same key messages through similar quotes about the evolution of technology : Ben Shneiderman for the hairy Chinese (old computing is about what computers can do / new computing is about what people can do), and the power shift for the bald Korean (power used to come from owning the tool, now it's about how you use it). Both pitches were clearly in the strike zone for the forum's "Technology@me" agenda.

Jay Elliot's job was basically to make sure we didn't forget to mention the late Jobs, and his qualities as a true leader in innovation. From a man who worked closely with him and other giants at IBM or Intel, a rather pleasant chat by the fireplace (i.e. Ge Wang's virtual lighter app for iPhone).

Neither Richard Florida nor Zhong Qui Wang brought disruptive insights either, but it's always useful to remind Korean corporations that stress can be counterproductive, and that staff shouldn't be considered as mere cost centers (and not only in R&D units). I guess Zhong must have an even tougher time trying to convince 'nouveau riche' Chinese entrepreneurs of the virtues of frugality and other Lao Tseuities...

What else ? I wish the 'creative space' presentations had reached deeper because there's so much to say about urbanism and architecture in a 'tech+' perspective for this country, but that leaves more threads to pull for future editions.

I don't know about Steve's second coming, but I'll be back.

mot-bile 2011 (also on Seoul Village : "tech+ 2011 - technology@me"

* respectively the company for which he serves as CTO, a sound programming language, the Stanford Laptop Orchestra, the Mobile Phone Orchestra.

NFC goes shopping : live in Seoul

2011-10-25T14:26:00.007+02:00

As announced (see "Grand NFC Korea Alliance"), the heart of Myeongdong, a major shopping neighborhood popular among younger generations and Japanese tourists, will be a key test bed for NFC transactions in Korea next month.

This "NFC special district" operation is organized by the KCC (since security is key, the national authority delegated the mission to its KISA unit / Korea Internet Security Agency) and involves all 3 operators (SKT, KT, LGT/LGU+), 9 credit card companies, and key players and enablers listed last June (more are expected soon, particularly in ticketing / couponing applications).

Now for the hard(ware) part ? Terminals are ready on both ends : 100 shops will be equipped with dongles, and enough enduser should be enabled from day one. The NFC payment solution has already been embedded in the Samsung Galaxy S II and other recent models, and rival iPhones can join in thanks to a plug-in developped for Korea Telecom.

Microsoft might join later, but I'm not sure the Samsung Series 7 Slate has already the solution.

mot-bile 2011

Steve's Wonders

2011-10-14T03:56:00.008+02:00

The first computer I owned was a Mac. That was back in 1989. I switched for my third one, but even now I keep a special affection for Apple.

I'm not a member of the Stevejobs Adventist Church and I never quite liked the guy, but I always respected the innovator.

Not the inventor but the innovator, the person who decisively accelerates the adoption of something new. People like to quote Steve Jobs quoting Picasso ("good artists copy, great artists steal"), or to remember how he "stole" Xerox's inventions (the windows interface later copied by Microsoft, the mouse)... Nokia and others could argue the Apple Store and iPhone borrowed more than a few characteristics but you've got the general idea : the company suing Samsung & co is not exactly the Saint it pretends to be.

Of course, Steve Jobs was not the only brain in Cupertino, and not the man who brought up new ideas. Of course, his fingerprints will be all over Apple's releases for the next few years, and the company has the money to remain a top competitor far beyond that.

But Apple lost the heck of a decision maker.

Innovating is about making decisions, trading-off at all levels (time to market, availability of key features, readiness of distribution channels...)... and this is the fastest-changing of all environments. Steve Jobs knew when to say no and when to say go. He could launch the first iPhone in 2G because he knew he could count on the customer appetence for the brand (a key asset built over years and perfectly entertained by the King of Hype), and because he had to leverage on the iPod / iTunes momentum without waiting for competitors to soak the market with 3G novelties. But some decisions must have been tougher, and future decision makings will be tougher without him.

It's time for Apple to expose its real innovation engine. We don't necessarily need to hear it roar now and then, but constant purring would be a nice surprise.

mot-bile 2011

Apple employee walks into a bar...

2011-09-01T03:11:00.008+02:00

Fool me once, shame on you. Fool me twice, shame on me.

Again, an Apple employee walks into a bar, where he leaves unattended the company's latest prototype (this time a tablet*).

Highest stage of incompetence or ultimate marketing genius ? This incident feeds the buzz and tells the whole industry nothing has changed in Cupertino following Steve Jobs' resignation.

Want to hear the latest Polish joke ? Steve Wozniak walks into a bar of justice with a Samsung lawyer...

mot-bile 2011

* probably an iPad with a very Random Access Memory

HomePlus subway virtual store gets "real" (from click and mortar to billboard and click)

2011-08-26T10:32:00.009+02:00

Following the success of its QR code-based advertising campaign in Seoul subway with Cheil Worldwide (see "HomePlus subway virtual store - 2011 Cannes Lions"), Korean retailer HomePlus, a Tesco-Samsung JV, launches its first permanent virtual store in Seollung station, Gangnam area.

Since you liked it (over 10,000 views), I'll play it again, Sam :

This time, 2D shelves will stretch deeper into the station : with screen doors and pilars simulating popular sections and products of the hypermarket chain, all commuters have to do is to direct their smartphones to the items they please. HomePlus also decided to beef up backhaul, multiplying the time slots available for home deliveries.

Major hypermarkets being already open 24/7, now there's no way consumers can escape from contextual shopping traps.

mot-bile 2011

Supercharging Whom ? Google to Acquire Motorola Mobility

2011-08-16T03:15:00.013+02:00

"Our acquisition of Motorola will increase competition by strengthening Google's patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies." That's how Larry Page explains the twelve billion purchase in the official Google blog.

The blog is titled "Supercharging Android: Google to Acquire Motorola Mobility"*, but one could wonder who will be supercharged in the end. Third parties and endusers may start asking themselves what will come out of a landscape where former archrivals Microsoft and Nokia tie the knot, or where the mother of all netcos swallows a former giant manufacturer. SonyEricsson theoretically went even further on the value chain, but the union was celebrated in completely different times, when networks were not precisely clogged with mobile internet traffic.

More moves are expected. Apple has been rumored to be in a mega purchasing mood for quite awhile, and I wouldn't be surprised to see Samsung making something big. Lee Kun-hee just pointed out the necessity for the company to evolve, an evidence we recently repeated (see "Huawei Vision : a view from the cloud"). This should go beyond such acquisition as Grandis, a specialist in memory wolfed down earlier this month by the South Korean chaebol.

Anyway, the Motorola episode reassesses the importance of patents in the legal war raging worldwide. Apple claimed a few significant victories : a big chunk of Nortel patents, plus a suspension of Galaxy Tab 10.1 sales in key markets.

The problem is Apple is not John Grisham, an entity that makes money with legal stuff. Being the next NTP is not exactly "cool".

And the consumer is not likely to beg "supercharge me".

mot-bile 2011

* where the king of the 80s is kindly put at the same level as bankrupt Nortel : an empty shell with a collection of patents

Huawei Vision : a view from the cloud

2011-08-04T12:17:00.011+02:00

Huawei Vision runs on Android 2.3 but comes with a 160 Gigabyte spot in the cloud for every owner, positioning the Chinese player at the strategic gateway between that soft spot and its own hardware (scheduled for September in China, along with 4G). Apps agregation starts with the usual suspects : music, images or video that you may not want to transfer forever from laptop to laptop or to XX century storage solutions (ie CDs, DVDs).

Hardly disruptive : Alibaba just launched a similar concept, and of course Apple made a splash with its iCloud earlier this year. But Huawei was supposed to be essentially about hardware.

Sounds like that business model may not be sustainable anymore. Clouds may pass in the sky, replaced with new UFOs, but the truth is starting to sink in : smartphones are not much smarter than computers, and differenciation is getting more and more difficult every year. Worse : product cycles are even shorter and being cool never lasts long.

Food for thought for Samsung, who's been threatened by the Nokia syndrome even before claiming the leadership in handsets. But at least the Finns did venture into new business models. Never forget that OVI preceded Apple's App Store iOs by one year.

Of course, back then, Jorma Ollila was already gone, and Steve Jobs still cool.

mot-bile 2011

A Kbiz MNO ? SMEs vs Korea Inc

2011-07-19T01:46:00.010+02:00

The Korea Federation of Small and Medium Businesses (KFSB or Kbiz) wants to join SK Telecom, Korea Tecom and LG U+ (LG Telecom) as Korea's fourth mobile network operator.

This bid looks like a complete joke : a Kbiz-led consortium of 900 small businesses would invest about KRW 100 bn (USD 94 M) in "4G Wibro". How could it succeed where much stronger players failed and where MVNOs themselves cannot thrive* ?

Kbiz claims 2.7 million SMEs, but I don't see this greenfield player take those demanding customers from the big boys.

WiBro, a WMAN technology competing with WiMax, remains a Koreano-Korean thing with a convenient 4G label. Typically, KT is advertising about their "4G WiBro" coverage as SKT launches its LTE as the "real 4G", but eventually all 3 MNOs will implement LTE. Note that KT is also willing to close its 2G CDMA networks and proposing nice 3G/4G plans to die hard users, some of which have been keeping prehistoric handsets because of unbeatable unlimited rates.

Kbiz needs Samsung to propose WiBro, and that could be the actual aim of the game : not the candidacy to a license, but the PR operation behind the announcement.

Samsung is the ultimate chaebol, the perfect symbol of those almighties who rule over Korean economy and are often blamed for the weakness of the nation's SME ecosystem. Worse : they create their own SMEs to benefit from pro-SME incentives and suck even more value from the market. Even LEE Myung-bak, the CEO president who came from Hyundai Engineering and Construction, is campaigning about a 'fair society' where chaebols would allow small fish to survive.

I don't know if Kbiz will really go all the way, or if Samsung will pretend to play their game for image's sake... but Korean market remains fun to observe.

mot-bile 2011

* see "Korea : Onse Telecom wants to be a MVNO", "Korea Telecom signs the country's first MVNOs"...

HomePlus subway virtual store - 2011 Cannes Lions

2011-06-25T06:53:00.010+02:00

Cheil Worldwide won the Media Grand Prix at the 2011 Cannes Lions International Advertising Festival of Creativity for its amazing HomePlus campaign in Seoul subway, three years after claiming a bronze award for an outdoor advertising campaign "Plus to your life - HomePlus" with the same customer (Samsung Tesco).

Pushing to new levels the now decade-old barcode mobile advertising concept, "Homeplus Subway Virtual Store" transforms a subway station into a replica of supermarket where commuters can register and order online with their smartphone. This is not only spectacular and smart, but efficient : the number of subscribers and the turnover skyrocketed, helping the retailer overtake Emart as the national leader in online sales* :

Of course, you don't want to miss your subway and you won't fill your virtual cart through this sometimes tedious process, but you can just load the first items and quietly finish shopping on the way home.

Expect more of these. I already can see Amazon setting up his own virtual libraries near rival brick and mortar shops...

mot-bile 2011

* a key channel in Korea, see "Online sales become the first distribution channel in Korea - or is door-to-door back ?"

Grand NFC Korea Alliance

2011-06-14T02:09:00.011+02:00

Ten years ago, SK Telecom would carpet bomb Korea with 400,000 terminals ("dongles") to boost its Moneta mobile payment service. Yesterday, Korea Inc. announced 300,000 NFC-enabled Point Of Sales by the end of 2011 to put the country ahead of the pack in this very very strategic sector.

The difference ? This is not a solo act anymore : SKT alone couldn't succeed in setting the new standard in mobile payments at home and pushing the concept overseas, but this time, the whole value chain and ecosystem is following. And if it works, each player will claim a nice slice of a much bigger pie.

Under the regulator's umbrella (KCC, the herald of "NFC-based Mobile Smart Life Services"), over thirty Korean CEOs met at the Seoul Press Center to sign this decisive MOU in Near Field Communications, and if you throw in the members of the recently formed Grand NFC Korea Alliance, you've got the closest thing to a mobile payment dream team :

- all 3 Mobile Network Operators : Korea Telecom, SK Telecom, U+ (LG Telecom)
- the biggest card players around : Visa, MasterCard, Shinan Card, Kookmin Card (KB), Lotte Card, Hyundai Card, T-Money, MNO partners (Hana) SK Card and BC Card (KT)...
- key authorities and associations : KCC, ETRI, TTA, KISA (Korea Internet & Security Agency), MOIBA (Mobile Internet Business Association), RAPA (Korea Radio Promotion Association)...
- top manufacturers : Samsung, LG, Pantech...
- top enablers: UbiVelox, KEBT, MtekVision, 3ALogics Inc, KICC...
- top payment enablers / billing service providers : KSNet Inc, Mobilians, Galaxia, Danal Corp., KCP...

The only players missing on the picture are the endusers.

And as we saw before, pedagogy will be key in a country where hacking happens to be a national pastime (if you include North Korea in the package), where few people protect their handsets with a PIN code, and where distrust in smartphone security keeps spreading like wildfire.

Of course, "Near Field" meaning 10 cm and below, close encounters of the third thief will require more intimacy than via Bluetooth. Besides, many Koreans are already used to contactless micropayments thanks to T-Money (ie Seoul public transportations and taxis, thousands of convenience stores and vending machines...). Furthermore, NFC trials have been under way for quite a while : for instance KT's "Mobile Stamp" couponing system, SKT's Mobile Commerce Zone or Q Store pilots, or cross border trials between SKT's T-Cash and Japan's KDDI and SoftBank...

This MOU aims at multiplying testbeds and giving momentum to the technology, the bulk of the infrastructure being planned for Q4 2011. So where will NFC-based payments be available ? GS group plans to implement them in its convenience stores (GS25) and gas stations (GS Kaltex). Major retailers (Lotte Mart, Emart...) are joining the party. Seoul and Gyeonggi-do buses and subways, as well as many taxis will be converted. A major shopping area for tourists (particularly from Japan), Myeongdong has been identified as a strategic hotspot to feed the buzz.

Needless to say, the number of NFC-enabled handsets is another essential element in the equation. The alliance targets an ambitious 5 M units by the end of the year, leveraging on existing devices (Samsung Galaxy S II and Sky Vega Racer opened the way), and the Google-Apple war : since Android Gingerbread OS supports NFC, Cupertino had to consider it for iPhone 5.

And oh. This non-event : Samsung is expected to surpass soon Nokia as the world's top handset manufacturer.

mot-bile 2011

* sorry, not yet in English : "국내 통신사·금융(카드)사 CEO 최초로 한자리에 모여 NFC 서비스 활성화를 위한 MOU 체결"

KT and Softbank wed in the cloud

2011-05-31T02:07:00.014+02:00

Two years after the merger of Korea Telecom with KTF, the group claims 27% of its turnover in the "non-communication sectors", and targets 45% by 2015. "Non-communication" covers "convergence, IT service/media and global operations", which have something to do with communication but nevermind :
- 'Communication' means wired and wireless comms + call centers (KRW 18 Tn in 2010, 22 in 2015).
- 'IT service/media' stretches over 'SI/NI, cloud, solutions, contents', so typically Software as a Service (SaaS)... (evolution 2010-2015 : KRW 2 to 6 Tn).
- 'Convergence' includes 'communication-finance convergence' (KT will absorb BC Card and challenge more directly Hana SK Card or the duo SK Telecom - Hana Card), 'car' (KT Rental), 'security', 'ad/commerce' (evolution 2010-2015 : KRW 4 to 8 Tn).
- 'global operations' collects the rest : 'investment, IT and communication' (!), and probably real estate (evolution 2010-2015 : KRW 1 to 4 Tn)

In this last category, KT intends 'to expand its global markets for Smart City, Cloud, and ICT Solutions', and 'to secure more than ten new business items, such as Smart Home, Smart City and Digital Signage', or to 'develop globally competitive products and services and consider expanding its business worldwide from the launch of a project, as in the case of KT Kibot and CCC'. For your information : KT Kibot is a cute robot.

CCC means, of course, Cloud Communication Center. And that's where Korea Telecom and Softbank decided to create a 51/49 Joint Venture next September : a huge cloud data center will be created in Busan, with a back-up system in Seoul. A smart risk management move from ethnic Korean Masayoshi Son : the March 11 earthquake + tsunami followed by Fukushima meltdowns caused major business disruptions and massive energy shortages. This center will start with a 6 MW capacity (the equivalent to 700,000 PCs or 10,000 servers according to KT), and quickly reach 20 MW. A dedicated 10 GW line will secure the traffic and that's another reason why Korea's second biggest city was chosen : it's very and one of the closest to Japan (210 km or 130 miles), with all the right IT and human connections.

Yet. If Korea is spared by tsunamis and earthquakes, it is frequently attacked by North Korean hackers, and that's the reason why mobile banking and finance, a traditional strong point in the country, is not booming as fast as smartphone sales.

NFC-based Google Wallet* will have to overcome even more resistance there considering the company's image in Korea these days and the intense lobbying campaign from local netcos against its potential dominant position.

mot-bile 2011

* see "Coming soon: make your phone your wallet"

Don't catch a Chromebook cold

2011-05-14T13:12:00.006+02:00

In "A new kind of computer: Chromebook", Google announced for June 15th the first Chromebook computers from Samsung and Acer.

Big G claims 160 million Chrome users, and that's more likely Chrome the browser than Chrome the OS. The new devices are supposed to take 8 seconds to boot. How long to catch a virus that may leave you with a useless piece of metal desesperatly knocking on the cloud's door ?

mot-bile 2011

Showing off : Google I/O, World IT Show, Android@Home, Flixster@omized...

2011-05-12T02:07:00.001+02:00

More news from Google I/O* :
- Google loves contents and furthermore, how it's conveyed to you : beyond Music Beta by Google (see "Skype keeps moving, Google googling"), "Movie for rent" sounds like the killer app for (or rather against) Flixster & co.
- Android rocks and keeps gaining Gmentum in the hardware and middleware wars : 100 million activated Android devices (+ 400,000 every day), 200,000 apps in Android Market (4.5 bn apps installed from the same joint)
- on the go : handsets and tablets to converge in the Ice Cream Sandwich version of the OS
- in the more "fixed" range : with the Android@Home concept, Android starts sniffing around your place for friendly devices (including the Project Tungsten designed for Music Beta by Google)

... deja vu all over again for Apple, even if Google won't dominate the OS world the way Microsoft did.

More modestly, the World IT Show (WIS) started at the COEX in Seoul, with LG back on tracks (LG Optimus 3-D handsets, 3D TV war on Samsung, who also pushes its Smart TV and its dual core, 4G Galaxy S2), and SK Telecom showing off its own novelties (N-Screen, LTE network, Wibro CCTVs...).

mot-bile 2011

* "Android: momentum, mobile and more at Google I/O"

Skype keeps moving, Google googling

2011-05-11T02:22:00.006+02:00

Microsoft purchased VoIP 1.0 leader Skype. Not for the technology but for the address books and the entry point to interhuman communications, something Redmond still has trouble getting into.

Google Music sounds like Google Book redux. No agreements yet, but a statement, and an invitation to store your stuff on Big G's cloud. You know, Google, not the major media company but the tech nerds with the big servers that never crash (take that Jeff - see "Melting clouds"). And as YouTube turns 6, Google promotes user generated quality content (YouTube Next, YouTube Creator Institute, YouTube NextUp...). So beyond storage, the idea will soon be to source new talents and to give everyone the opportunity to broadcast oneself.

The main news here is not the service but the branding: it's not "Google Music" but "Music Beta by Google", which allows a future brand to fill the blank (ie a future purchase), but furthermore echoes Google's pervasiveness on Android. In Korea, for instance, a country where it was lagging far behind Naver or Daum, the company managed to accumulate an impressive content far beyond mobile searches, through its no-logo apps and in particular in the LBS fields (maps, places...).

The debate shouldn't be only about collecting personal data but about dominant position in collaborative contents.

mot-bile 2011

Did you slap your PaperPhone on ? Snaplet

2011-05-06T14:53:00.004+02:00

Foldable screens and e-ink technologies have fueled our imaginations for years (remember the downloadable newspaper ?), and teams of North American researchers* added the logical next next step, with a PaperPhone prototype to be on display next Tuesday at the Computer Human Interaction conference in Vancouver. They went one notch further with the Snaplet, a wristband which becomes "a watch when convex, a PDA when flat and a phone when concave"**.

The Snaplet is a really interesting concept because it adds a human touch and provides a wearable solution for the rollscreen (call it a tablet or a phone depending on the circumstances). Of course, it won't be that simple (consider sweat, thefts, or shocks, for instance), but that's a nice upgrade for the snappable watch, and a perfect support for promotional gifts : I don't see people paying fortunes for a rugged version, but couple this with the disposable phone...

mot-bile 2011

* from Human Media Lab, Queen's University / Motivational Environments Research, Arizona State University
** both unveiled by the Beeb, see BBC's "Flexible phone made from electronic paper to debut"

Melting clouds

2011-04-27T07:56:00.009+02:00

Amazon claims its Elastic Cloud Compute (EC2) "changes the economics of computing by allowing you to pay only for capacity that you actually use".

Quora, Foursquare, Reddit and co didn't pay much when, the other day, the said elastic snapped (or as Einstein would put it : EC2 = Mess*) : their customers couldn't reach the service.

Sony also faced down servers issues with its PlayStation Network, but the trouble went even further : it appears that accounts were hacked, password and credit card details potentially stolen. Not the best context for the Sony Tablet launch.

This tablet runs on Android, an OS under scrutiny these days, just like rival iPhone : users start wondering about what happens to the huge amount of data generated by their compulsive smartphone behaviors, and their blind acceptance of countless obscure authorizations. They're afraid of Apple and Google might abuse their power, and they're right. But they should be worrying even more about what might happen when really bad guys reach their supposedly safe place in the cloud.

mot-bile 2011

* not yet a car crash ("Amazon Cloud Drive, cloudn't it ?") ?

Samsung SH100 : from your camera to your social network

2011-04-24T12:12:00.006+02:00

A Wifi camera, a keyboard enabled touch screen, a remote viewfinder Android app and voila, your picture straight to YouTube or to your Facebook page.

You can bet the said app will itself be connected to the existing Samsung Mobile Print app, which allows me to print wirelessly from my Samsung Galaxy phone or my Samsung Sens laptop to my Samsung Printer.

Sooner or later, my Samsung Fridge shall join the party to spit shopping lists out, but I don't have the Wifi model yet.

Next thing you know, SGR-1, Samsung's killer-robot that has been patrolling the DMZ since last year, will update his status on his twitter account ("shot a crane today - getting rusty I guess").

mot-bile 2011

PS: and as far as Samsung's army of 400 lawyers is concerned, they just sent one message to Apple : bring it on (see "Samsung Electronics cleared of infringement of Japanese patents" after "Apple heart(break)s Samsung")

Apple heart(break)s Samsung

2011-04-20T01:39:00.009+02:00

Copycats. That's how Apple sees iPhone / iPad rivals. The main culprit and market share holder with its Galaxy lines, Samsung would have infringed no less than 10 patents, 2 trademarks, and 3 trade dress. As much as it hates suing a good client (Apple devices scream "Samsung Inside" from many angles), Samsung will file a counter-suit for less specific motives.

Nokia, HTC, or Motorola also have two-way legal battles with Cupertino, who also faces lawsuits from H-W Technology, or Robocast.

It's like a poke game : sue me ? suits me: I poke back. Forget hardware, OS, platform, or app wars : lawyer layer's all the rage now, and that's where innovation will come from...

Speaking of upgrades : LTE will be commercialized in July 2011 by SK Telecom and LG U+. Korea Telecom will follow suit (no lawyer needed) the following year : if they haven't decided yet with which infrastructure, they can until then rely on a strong nationwide Wifi presence to absorb the smartphone boom (unlimited wireless data plans include free access to Nespot). LG Telecom is probably eager to switch as quickly as possible to a more universal technology than the CDMA allowed by its own 3G license.

4G in SK ? 3G in NK ! On the other side of the DMC, North Korea's mobile market keeps booming : 430,000 subs EOY 2010, not much for a 24 M strong country, but quite big for a place with so few strong people. Mobility reaches far beyond the first nomenklatura circles : this is the place where not so long ago, only a few priviledged people were allowed to have a radio, locked on official frequencies. Here, suits to be feared are less of the law than of the military kind.

mot-bile 2011

Kakao Talk of the day

2011-04-13T13:44:00.008+02:00

Kakao recently claimed its 10 millionth KakaoTalk user - or is it app download ? -, including 10% overseas (mostly in the US, thanks to the Korean diaspora, but the service is also available in English and Japanese). Now the Bundang based venture wants to go global.

Good luck : VoIP is a highly competitive field where "incumbent" Skype almost looks like the obsolete PTT running on grand dad PCs. In Korea, Kakao faces giant netco Daum's MyPeople, a more comprehensive social networking tool, or pure players like NeoMecca (OlivePhone app)... not to mention Google Talk, present on all Android smartphones.

Note that rivals Daum and Naver are considering suing Google for its dominant position as Android's favored search engine.

Indeed, the Google brand is indeed reigning on every Android smartphone's main screen, and more discreetely but pervasively present across the app menu : "Talk" for Google Talk, "Maps" for Google Map, "Places" for Google Places, "Latitude" for Google Latitude, "Finance" for Google Finance. Also there : Gmail, YouTube...

What puzzles me most is the way local MNOs deserted the battlefield : where a Vodafone would have branded the UI, KT / Show remains in the background. You know you have an iPhone or an Android device, but the operator appears simply as the hardware salesperson, and a not so proud carrier.

As we saw earlier, Korean MNOs have very poorly prepared for the smartphone revolution, but even now, it almost looks as if they want to dump their own app stores.

mot-bile 2011

Amazon Cloud Drive, cloudn't it ?

2011-03-30T11:03:00.007+02:00

Most retailers dream of emptying their shelves. Amazon dreams of seeing his customers leave their stuff in its warehouses. That's called living in a cloud. And these days, preempting cloud space is about keeping your feet on the ground.

Here's the claim:

- 5 GB of free online storage
- Unlimited access from any computer
- Never worry about losing your files again

Here's the catch:
- 5 GB doesn't mean anything these days (ie ADrive has been offering 50 GB for years), but you're invited to buy additional storage and conveniently enough, the stuff you purchase on Amazon store is not included in the 5 GB
- unlimited access from any computer, but forget about your iPhone (only Android does it for mobile devices - and needless to say, Cloud Player doesn't read iTunes)
- never think about changing providers : try moving once you've uploaded the whole shebang

But that's OK. Once again, Amazon shot first among the big non operator fishes. Amazon acted as a leader. As the Kindle proves, it's not a silver bullet, but this shot in the cloud is certainly not a lost bullet.

mot-bile 2011

Sprint fires Google Voice at AT&T - T-Mobile

2011-03-22T01:41:00.010+01:00

It doesn't take an app anymore to use Google Voice on Sprint*.

It doesn't take an ape anymore to spot the 800 pound gorilla in the US wireless jungle : AT&T is having T-mobile for lunch, and the great silverback issues $ 39 bn in greenbacks and shares to pay the bill.

Putting both events at the same level seems unfair, but this is all about asymetric warfare. Sprint Nextel will probably tell this kind of story to the FCC.

Meanwhile, the VoIP app battle keeps raging between Google Voice, Tango, Viber, Skype, Fring, and scores of new players who don't have to plant antennas across the States.

Meanwhile, IRL, people try to survive a much more vital battle in Japan's most battered prefectures, where fixed broadband often proves to be the last link with the rest of mankind.

mot-bile 2011

* as the operator introduces Nexus S 4G, the netco stresses the software level ("Sprint integrates Google Voice") :

"Over time, we've worked to bring an integrated Google Voice experience to your mobile device by building mobile apps, introducing Google Voice Lite, and most recently Number Porting. But we felt that ultimately, the most simple solution would be to partner with carriers to seamlessly integrate Google Voice with your mobile phone.
Today, we’d like to share that we’ve teamed up with Sprint to do just that.
First, Sprint customers will be able to use their existing Sprint mobile number as their Google Voice number and have it ring multiple other phones simultaneously. So now, calls to your Sprint mobile number can easily be answered from your office or your home phone, or even your computer through Gmail. Calls from Gmail and text messages sent from google.com/voice will also display your Sprint number. This basically gives Sprint customers all the benefits of Google Voice without the need to change or port their number.
Alternatively, Google Voice users can choose to replace their Sprint number with their Google Voice number when placing calls or sending text messages from their Sprint handset. This feature works on all Sprint phones and gives Sprint users all the benefits of Google Voice without the need for an app.
In both cases, Google Voice replaces Sprint voicemail, giving Sprint customers transcribed voicemail messages available online and sent via email and/or text message. International calls made from Google Voice users’ Sprint phones will be connected by Google Voice at our very low rates, and Sprint customers will also have access to the rest of Google Voice’s features, like creating personalized voicemail greetings based on who’s calling, call recording, blocking unwanted callers and more."

2001 2011 2021 revolutions

2011-02-15T01:38:00.007+01:00

The Nokia-Microsoft knot tying didn't quite come as a surprise - more the confirmation of a double failure, and the sign that times they have a-changed over the past decade.

Remember the time when both giants were competing for mobile data supremacy ? Well combined they still lead the smartphone OS barnum, but not as cultural leaders.

Ten years from now, we'll probably be laughing at the Apple-Google war - or rather at the Google-Facebook face off. Ten years ago, former webehemoth Yahoo! was licking his post-bubble wounds, toddler Google waiting for better times to consider its IPO, and Facebook was not even on its founders' brainwave maps (whoever said founders may be). Ten years ago, MNOs were trying to figure out how to recover from insane auctions for 3G spectrum.

2021 top duettists may not be born yet. Maybe Apple could be one of them. Not Apple the device manufacturer (still struggling with a sub-5% market share), but Apple the champion of cloud management services, and your favorite remote librarian.

But the next tide is coming. Take Southcentral Google, for instance : rumor has it they're considering a merger with fellow Baby Googles Southeastern Google and Northwestern Google. Announcements to be made in Seoul at the 5GLTE World Congress.

mot-bile 2011

SK Telecom keeps Hoppin

2011-02-12T10:28:00.013+01:00

While I was blogging about KT's cloud computing services, rival SK Telecom was presenting its own cloud computing platform to the press, N-Screen.

The idea is to make convergence as seamless as possible for the enduser and service providers : the platform automatically recognises the device and adapts the content to it, and all DRM hassles have been taken care of in advance.

There too, your handset is as more a smartphone as a smartTV enabler. It's a Samsung device, of the now well established Galaxy S family, and it's branded Galaxy S Hoppin (among other characteristics : Android 2.2, 1 GHz CPU, 4-inch Super AMOLED display...). Subventions included, it will cost you KRW 300,000.

SKT has already been advertising massively for Hoppin, with an enduser glued to the screen in every context, even asleep. Since Hoppin is also the name of their cloud computing service, they will eventually communicate about other devices (TV, PCs, tablets, fixed phones... - note that more and more models of fixed phones feature a color screen in Korea).

N-Screen is an open platform, meaning first of all that everybody is invited to join. To prove successful, that should include, beyond endusers, more than a few content providers or handset manufacturers.

Same story for Android platforms : SK Telecom boasts about its close partnership with Google in hardware and software development (GED / Google Experience Device, Samsung Galaxy, Motorola Xoom Tablet, LG Electronics G-Slate...), and it is a clear leader at the handset level (SKT sold 83% of all Android handsets in Korea and now averages 20,000 units a day), but the operator is still struggling at the BtoBtoC level, even if developers are proposed a "T Academy" to create more apps for the "T Store".

This press conference followed the announcement of a partnership with Japan's KDDI and Softbank Mobile for NFC-based mobile payment. Smart Poster will be operational in both countries and aims for the global market. Local competitors with exotic proprietary solutions, take notice :

The aim of the trial test is to establish mutual compatibility between countries using NFC as a common international standard instead of existing local Korean or Japanese mobile financial service methods. Currently in Korea, telecommunication companies provide mobile financial services such as credit cards, public transportation, stock trading and banking using a finance-enabled USIM chip called the 'Combi Card'. While Japan's finance service utilizes a self-developed method called 'Felica' by installing a second chip, apart from the USIM, within the mobile device

NTT DoCoMo, a partner of KT, must have appreciated the ironic tribute. Some may hear some bitterness in the tone : as we often mentioned earlier, SKT has somehow abandoned its cultural and innovative leadership to Korea Telecom. It reshuffled its management and pledged to develop a "young, speedy organization", to promote "openness" and "collaboration", and to regain confidence overseas.

MelOn recently made it in Indonesia, and this partnership with Japanese MNOs is really significant, but it will take more to be recognized as a major value aggregator at the international level. Let's see how the new management takes up the challenge.

mot-bile 2011

Communication-finance convergence: KT joins SKT

2011-02-11T02:32:00.011+01:00

Seems like SK Telecom's debuts as a credit card operator (see previous posts about the SKT-Hana Bank deal) spurred the competition. Korea Telecom announced yesterday that their participation in BC Card, the national leader, would increase from 1.98 to 35.83% after purchases from Woori Bank (20%) and Shinan Bank (13.85%). KT also negociates a further 4.03% participation with Busan Bank.

Lucky Koreans MNO: they can become content majors or financial institutions just by signing checks. And they formed a common lobby with other financial institutions to promote mobile banking in Korea (SK Telecom and KT with Mastercard, Shinhan Card, Samsung Card).

"Finance-communications convergence" comes handy as MNOs need to completely revamp their business models : voice revenues keep decreasing, and the data equation went crazy.

Significantly, KT is now insisting on Wifi coverage in its smartphones advertising campaigns, and promoting uCloud for consumers also as an IPTV service (Smart TV tomorrow I guess). Remaining a leader in cloud computing is an absolute must... and it sure beats car rentals as diversification (KT are also campaigning about that peripheric service of theirs).

mot-bile 2011

Atos Origin and the Three Musketeers

2011-02-07T08:21:00.007+01:00

Atos Origin and France's 3 MNOs Orange, SFR, and Bouygues Telecom created Buyster, a JV devoted to ecommerce with a focus on micropayments and a first batch of merchants already on board (Darty, Rue du Commerce, Aquarelle...).

Led by Eric Gontier, a mobile multimedia veteran with an Atos origin (via Axime, who merged with Sligos to found Atos Origin during the late XXth Century), the new platform targets within 5 years a 10% market share in ecommerce against the likes of PayPal.

The concept also ties the Buyster account to a bank card (transactions will require a Buyster code), but it adds a link to the phone number, a key ID in this mobile world of ours. Conveniently enough, Orange, SFR, and ByT manage the bulk of France's numbers, be they fixed or mobile.

So long life to the new venture... and good luck for the URL : buyster.com is owned by an Australian retailer (buyster.com.au). From checks to kangaroo bounces... And oh, Box Creative LLC recently preempted buysters.com.

mot-bile 2011

Followers and leaders, hardwares and clouds

2011-01-01T08:50:00.010+01:00

CES 2011 will probably celebrate Korea Inc's 3D, smart TVs, or cloud computing successes (see how Korea Telecom markets it's ucloud beyond business and professional targets, towards consumers).

And in retrospect, 2010 clearly marked a turning point for Korea : this is probably the year leadership spirit became mainstream.

I'm not talking about the "can do", "CEO me" spirit, but about a cultural shift from an eternal best follower to a trend setter.

Ever since I first came to Korea 20 years ago, business management has been based on international benchmarking, and executives obsessed with what others were doing overseas. Still now, you can feel this Japanese Complex (how to kill the economic father), or that CEO Complex (how would Steve or Bill think or do ?) almost everywhere, but a top down revolution is trickling down the hierarchy : start thinking by yourselves, go set the pace, all that come on, be a Tiger kind of stuff.

New generation of US-grown Ivy Leaguers instilled strategy into Korean boardrooms, converting top chaebol owners to quality, sustainability, and proactivity. Most notably, Hyundai's Chung Mong Koo or Samsung's Lee Kun-hee had to literally shake their own companies to force much needed cultural revolutions. A couple of years later, both companies shine among the top stars of 2010, but both have yet to confirm and to reach new levels in order to secure their recently claimed leaderships.

There's little choice for them : even if Samsung increases by 18% its research and development investments, competition remains fierce, and Chinese players keep catching up in all major innovation fields.

But this Korean revolution also faces two major homegrown bottlenecks : a SME ecosystem and an education system unfit for the challenges to come. Because paradoxically, the most connected country on Earth generated monsters hampering the emergence of a truly efficient network society.

Of course, this is a country where netizens have more power than anywhere else, but precisely because there's a wide gap between the people and the politic, economic, or media elites. Indeed, Korean society it as the same time too connected and too disconnected.

But let's get back to business, where evergrowing and ever more agile chaebols leave no room for manoeuvre to SMEs : small fishes can only grow dependent from bigger fishes as clients or providers... or end up as trophies in their acquisition sprees. Even at the peak of the economic crisis, SMEs had a tough time hiring or keeping talents because everybody wants to work for a big brand.

Big fishes are only starting to realize they need stronger players around. Take mobile applications, for instance : for years, the most advanced country in mobile multimedia was lacking a balanced ecosystem because operators wanted to control the whole chain and push their own solutions. The irruption of Apple in the local pond did not only wake up the smartphone market at the hardware level, but also the complete middleware and application ecosystem, forcing everybody to open up new stores and to look for new partners. If Korean mobile industry took over Europe ten years ago, it is only catching up now by moving towards a more open ecosystem, fitter for innovation*.

As usual, major cultural changes can't happen without a top-down intervention, and it sometimes takes a whale to set the pond in order : last year, the Korean government had to coerce industry leaders into collaborating with each other as well as with smaller companies on key R&D fields, because that was the only way to compete at the global level.

As a matter of fact, Korea's ultra-competitive culture doesn't prepare for coopetition nor for next generation partnerships : it's all about winning against competitors, being number one, nixing the Other.

The same can be said about Korea's ailing educational system. Ailing ? Korean students fare so well worldwide that this system is often praised as one of the most efficients... but record denatality and suicide rates tell a completely different tale : this system is now completely corrupt and must evolve. If Korea reached the top thanks to a merit-based, social-ladder-friendly educational system, it will collapse if it persists into this unfair, money-based nightmare where creativity is totally castrated, and where young humanoid robots compete in the ultimate dystopian race for conformity.

So instead of celebrating 2010 as the year of the confirmation of Korea as a global power in such various fields as economics, Olympics, or diplomacy, I'd like to expose 2010 as the year the Korean model reached its limits.

As we've seen, change is coming. And I'm confident it will quickly radiate across a society which enjoys an amazing ability to embrace change. The 1998 crisis could have brought an abrupt end to the Miracle on the Han River, but the country somehow managed to rebound, leveraging on regional opportunities (struggling Japan, booming China), but mostly on its own dynamics.

Seoul, the capital city, is showing the way by embracing cultural diversity and collaborative sourcing of new ideas to stimulate the SME ecosystem, to improve everyday life and international competitiveness. And at long last, the national government is reconsidering SMEs as a priority. Unfortunately, the much needed reform of education is not on the agenda of this otherwise very conservative power.

Now is the moment. Flush with money, surfing on an unprecedented wave of international recognition, Korea must have the courage to change key parts of its DNA if it wants to remain a top player.

mot-bile 2011

* Apple itself is not really a model of open business, but that's yet another story

IPTV in Korea (continued) - until really Smart TV takes over

2010-12-10T12:14:00.010+01:00

Yet another update for Korean IPTV*. The market is nearing its second birthday, and the 3M subscribers mark : 2.93M as of December the 5th, according to the regulator (Korea Communications Commission).

Leader KT claims more than half of the pie (1.64M), with SKT a distant second (0.691M), and LGT - now U+ - not far behind (0.597M).

Nice, but not that impressive considering the wide adoption of broadband in the country. But as we saw before, the only 3 IPTV operators have faced many regulatory hurdles... which they deserved as the only 3 mobile network operators.

Note that this trio / kartel created SPOTV, a common channel to lock the rights for major sports. They were probably scared by the SBS revolution in the broadcasting arena : for the first time in the country, one network snatched exclusive rights for major sports events, the FIFA World Cup and the Olympic Games.

But I guess they are furthermore unwilling to enter a costly war which could also hurt IPTV as a whole. IPTV now claims 30% of digital pay-TV and seriously undermined their cableco rivals, but competition remains fierce, and one new major player will soon modify the broadcasting landscape: now allowed to enter the race, all major press groups are competing for new TV licenses. For the general channel license, Maeil Business Newspaper, Korea Economic Daily and Taekwang Group have little chance against the local giants : JoongAng Media Group, Chosun Ilbo, and Dong-A Ilbo. For the news-only channel, Yonhap faces CBS, Seoul Shinmun, MoneyToday, and Herald Media.

And IPTV set top boxes are already passe : Smart TVs are all the rage, with their handfuls of apps. The next big thing. They're actually quite cool, but you can't even check your email with them. Except of course by coupling these smart monitors with smarter devices.

mot-bile 2010

* see previous episodes, including "IPTV and VoIP in Korea : an update" and "IPTV in Korea: an update"

Google-Facebook : don't NIMBY evil ?

2010-11-07T07:33:00.007+01:00

Google decided to stop non reciprocal dataflows with Facebook, starting with contacts which can, until now, be imported from Gmail.

Ahead of the Seoul G20, Google preferred a Chinese Wall to a Free Transfer Agreement, and a negative differenciation with most rivals who embrace THE social network. Not exactly what one would expect from the ultimate cloud computing / openness advocate..., but this kind of skirmishes could multiply between major netcos in the months to come.

mot-bile 2010

Smartphone Overloads and Tablet Scares

2010-10-24T12:57:00.007+02:00

Korean operators are just beginning to "enjoy" the dark side of their honeymoon with smartphones : capacity issues. This as smartphone penetration remains relatively low (about 5 M users), and data-guzzling tablets loom on very close horizon (Samsung Galaxy, Apple iPad...).

MNOs can't say they weren't warned : they've been waging a war to secure as many hotspots as possible, rolling out WiFi, Wibro, and all you can eat fiber networks to prevent data overloads.

What puzzles me is the commercial war that accelerated wireless data network saturation this summer : non existent before, unlimited data offers have taken over the country and right now, every other smartphone user subscribes to these proven networkphobic plans. Furthermore and as we saw earlier (see "VoIP over 3G, unlimited data... SK Telecom victim of the summerheat wave ?"), the ones who ignited the war were no others than the ones who risked the most : market leaders SK Telecom. Needless to say, #2 KT soon followed suit, causing #3 LG U+ (formerly LG Telecom) to join the suicical party short afterwards.

Short term vision 101 ? On the brighter side, this madness may help next gen networks bloom even earlier : Korea already targets 1 Gbps and 10 Gbps for mobile and fixed data by 2012.

mot-bile 2010

Android Smart TV, Dual-Core Phone, Dual-Mode Policies

2010-09-08T04:42:00.007+02:00

A few news from Korea :

LG will release Q4 2010 an Android smartphone running with Tegra 2, a 1GHz dual-core processor made by NVIDIA bound to enhance the mobile multimedia experience (3D, games, video...), and the manufacturer's position in the smartphone race.

Rival Samsung confirmed its ambitions in smart TV, probably also on Android.

At the app level, mobile commerce also benefits from the (late) smart wave, leveraging on a long history in mobile banking. But Hana SK Card (SK Telecom's TouchSeven Card with Hana Bank) "only" claimed 20,000 holders end of May. Yet, KT's Show Touch (with Shinan Bank) joined the party, so the market should grow much faster.

The mobile arena is the perfect space to boost reforms in Korea's SME ecosystem : operators are starting to understand the need to open up and to stimulate diversity, and the government is pushing for a "fair society" : in the country, chaebols (big conglomerates) tend to absorb value as soon as it pops up, leaving crumbs to smaller players, who themselves are not used to surviving off these giant hooks.

On the other hand, the same government is about to grant broadcasting rights to major press groups, accelerating concentration in the medias...

The people doesn't seem to care, provided panem et circenses keep getting better. And that's also what smart TV and dual core handsets are about.

mot-bile 2010

Paul Allen v. Rest Of The Web : NTP Redux ?

2010-08-29T03:54:00.004+02:00

Paul Allen's Interval Licensing is suing a few Microsoft foes : AOL, Apple, eBay, Facebook, Google, Netflix, Office Depot, OfficeMax, Staples, Yahoo, YouTube.

The charges : patent infringement regarding 4 patents owned by Interval Licensing - as the name suggests, an empty shell meant to make as many bucks as possible out of
Interval Research "creations".

In this case, the patents protect : a "Browser (...) With Particular Application to Browsing Information Represented By Audiovisual Data", an "Attention Manager", and a system to "Alert(...) Users to Items of Current Interest".

Now this episode definitely became an "item of current interest" in a sector still shaken by the NTP/RIM battle over patents.

What puzzles me is to see Paul Allen, who only left the board of Microsoft in 2000, claim a leadership in browsers : Microsoft copied all major user interface disruptions from Apple, starting with the "windows" concept, and the company didn't believe in the internet, joining the bandwagon very late, starting the Internet Explorer project two years after Mosaic was created. Why not sue Mosaic then ? And IE for exploiting it ?

You may win your lawsuit, just like NTP did. But do you want to go down in history for that last caricature of Microsoftian Evilness ?

You'd better stick to rock'n roll, Paulie.

mot-bile 2010

15 Gigas of fame for metroPCS : Samsung Craft 4G LTE (SCH-R900)

2010-08-25T08:35:00.008+02:00

Samsung confirmed today to Yonhap that metroPCS Wireless Inc., a CDMA player, would launch its SCH-R900 4G model (LTE with 3G CDMA) in the US. The gizmo had been announced by metroPCS last March, and approved by the FCC last month (leaks for geeks included).

At the OS level, Android remains a favorite.

At the network level, metroPCS has rolled out LTE on places where people love to show off : Las Vegas and Dallas.

At the pricing level, observers expect a $300 price tag, but even more interesting to see will be how aggressively this MNO, specialized in discount and prepaid, will price data. The Texas-based company operates on major US markets, and claims over 7 million subs.

Verizon Wireless & co won't let it enjoy TTM leadership for too long, and they will roll out more aggressively.

Until then, great opportunity to shine. How about Warholian 15 Gigas, the data equivalent to the 15 minutes of fame ?

mot-bile 2010

Korea Telecom signs the country's first MVNOs

2010-08-12T01:29:00.006+02:00

A decade after other countries, Korea is discovering the charms of MVNOhood.

Korea Telecom signed 3 partnerships - a classic mix indeed :
- voice-centric Free Telecom (prepaid offers)
- data-centric EverGreen Mobile (EGMobile)
- entertainment-oriented Entaz (mobile games)

Partnerships were clinched via KTF DoCoMo Mobile and the Fast Incubation Center (FIC), the new unit in charge of stimulating the ecosystem around the company, including a Smart Open Forum.

"Open", but to a certain point : none of the first 3 MVNOs is a big name, even in its own field. Bigger fishes were kept at bay, like ONSE Telecom who, as we saw earlier, was a more than outspoken candidate. It rather looks like the perfect alibi for the regulator, and a convenient training ground for new processes and business models : wider "openings" will be requiered, and KT wants to remain competitive at the international level.

Rivals SK Telecom and LG Telecom will probably follow a similar path. I wouldn't expect from the leader a disruptive deal with a flamboyant player... unless of course the said player is a in-house spinoff in disguise (ie MelOn or another multimedia brand, and a business-centric package.

mot-bile 2010

Motorola's Android Tablet : Focus On TV (Apple, Amazon, Others Watching)

2010-08-04T12:42:00.011+02:00

Motorola and Android have already met, but Motorola and tablets are a new item.

The 10 inch screen device would be bundled with Verizon FiOS TV (pay-TV) service, which makes perfect sense. Much more sense than say Nokia, to name a fabled marketing counter-example... Let's see how rivals will move, for instance how Samsung will position its own Android tablet, smaller in size but with a screen of potentially much better quality, and a better grasp at personal computing.

But this is first about entertainment, and Verizon takes and interesting shot in the convergence barnum. Most quadplay operators across the World have necessarily been, if not working on, at least thinking about a "tabletish" gizmo to complete the set of home / away screens, and if people start (for instance) massively and legally downloading and watching movies with an Android 3.0 / 3G ticket on their tablet this November, xmas season looks fine...

Except maybe for Amazon : expect even more push marketing until then... unless of course Jeff Bezos manages to stevejobs a new Kindle feature high up into the buzzosphere.

mot-bile 2010

On Your Mark, Get Set, Go

2010-08-03T02:14:00.009+02:00

The day after Steve Balmer shook hands with Lee Sang-chul to celebrate a strategic partnership in cloud computing between Microsoft and LG U+ (formerly LG Telecom), Google's Andy Rubin and SK Telecom's Bae Joon-dong did the same over Android Market, to boost the Korean developer ecosystem around the robot version of Shrek (this green Android oger has layers too, beyond the OS stage).

Significantly, the deal was at the CEO level for Korea's #3 MNO and at the VP level for the leader.

Steve Jobs didn't need to show up in Korea, where the Apple-KT partnership ignited much delayed smartphone boom (see previous episodes). Furthermore, he wouldn't be welcomed these days : the war of words between Apple and Samsung has turned nasty in the UK, where the latter countered repeated attacks by the former with a comparative ad in spite of specific orders from Seoul headquarters : Samsung is certainly a major competitor to the iPhone (half a million Samsung Galaxy S sold during the first month), but also a major provider for Apple.

If the Microsoft / Number 3 model is a classic, the Google-SK Telecom deal could prove a game changer in a country where the 3 major operators dominate too much the value chain / value cloud for app providers to multiply, thrive, and become global players.

But overall, between Microsoft, Apple, and Google, Korea Inc somehow confirms its return into the US Inc technosphere of influence.

Korea Telecom's idea of diversification ? Setting up KT Estate, a real estate arm, to manage its already impressive assets : 30% of revenues last year !

mot-bile 2010

eCommerce revolution in Korea: online sales become the first distribution channel

2010-07-20T04:36:00.003+02:00

When I first came to Korea 20 years ago, Department Stores were becoming the main distribution channel for many consumer goods, taking over traditional door-to-door sales.

Convenience stores (FamilyMart, LG25 - now GS25 -, BuyTheWay, 7Eleven...) were also gaining ground. Then came the hypermarkets (eMart, Carrefour at one moment, Samsung / Tesco HomePlus, Lotte Mart...), and the SSMs / SuperSuperMarkets (Lotte mySuper, HomePlus Express, eMart Everyday...).

One by one, small groceries / mom & pop stores closed, and traditional markets plummeted, killed by discount shopping (or supposedly "discount" shopping : a recent survey pointed out that for many food items, traditional markets are actually cheaper). Survivors could count on one system that protected both food majors and small distributors : product packaging including the price tag regardless of the sales channel, which guaranteed the same price for such basic items as instant noodles or ice creams. But this system is about to be abandoned and anyway, it didn't mean much anymore : big discount sell their own brands of instant noodles, and my local SSM offers a year-round 50% discount on all ice creams.

Even as competition raged between discount shops, many opening 24/7/365, Department Stores (Lotte DS, Shinsegae DS, Hyundai DS, Galleria DS...), sometimes growing into ambitious complexes (ie Shinsegae Centum City in Busan) remained ahead for many consumer goods and fashion.

Until now : online sales have just become Korea's first distribution channel.

This doesn't come as a surprise for anyone living in "ubiquitous" Korea : beyond pure players (ie Auction), even brick and mortar leaders are pushing ecommerce very hard, prefering cannibalization to the loss of a customer.

Somehow, we're back to square one and door-to-door sales. The first door is your mobile, PC or TV screen, but everything is done to deliver it wherever you live (home deliveries keep booming), wherever you work (Seoul would collapse without cheap express deliveries), and even wherever you go (ie location based services and mobile couponing).

Like for ADSL or FTTH, Korea's economy of access is unbeatable. Because of urban density, because major players are ready to offer what comes as a premium anywhere else, and furthermore because in many cases for smaller fish, the last mile is provided by people working under the legal hourly wage, ready to make a buck even if it doesn't make any sense if you simply take into account transportation costs. When you see a truck carrying about five hundred eggs on a highway, you know something is wrong. And when you order a book online, the delivery person is rarely twice the same plain-clothes individual.

I guess that's one of the reasons why Amazon is not in Korea. The retailer tried to do some business via Samsung / SIMS more than ten years ago but failed. So Amazon ships from other countries to international customers while Kim & Chang law firm securely protects Amazon.co.kr URL.

Of course, Amazon would face pure players in cultural goods, such as Aladdin (now Aladin.co.kr), or Kyobo Book Center (very ambitious in the ebook ecosystem), but I don't think it's about competition : players differenciating themselves on logistic platforms tend to struggle here. Carrefour left the country in spite of commercial success for regulatory reasons : it couldn't operate with its usual purchasing power model. I think the logistics equation could be very tricky for Amazon.

eBay is faring much better in Korea (as Auction.co.kr) - it even wolfed down G-market, snatching it away from Inter Park... but eBay more into auctions and C2C than into retailing and B2C. And when it advertised massively on internet shopping, big retailers pushed the pedal to the metal.

But the biggest revolution for e-commerce in Korea this year is the end of Microsoft Explorer's de facto monopoly since July 1st : since 1999, all online shopping and banking services had to use ActiveX systems, but the Financial Services Commission put an end to it following the recent boom in smartphones.

mot-bile 2010 - see also my original post on Seoul Village

3D notebooks from LG

2010-07-19T08:23:00.007+02:00

LG is not only betting on TVs for 3D (1 million units expected this year) : 3 new laptops have just been unveiled, priced about 20% more than standard models (KRW 1.6 M to 1.9 M - USD 1,330 to 1,580 these days). Desktops and monitors were also introduced, all requiring 3D glasses to enjoy the effect.

The Korean manufacturer expects 3D to represent 30% of its laptop sales in 2011, and the segment to boom (1.1 M units in 2011, 13.5 in 2013). For the number 2 player in TV displays, 3D could prove a game changer in a market where it's struggling among second-tier manufacturers. The move is also defensive as TV and PC converge, often sharing the same screens.

Beyond movies, web enabled / 3D devices are ideal online gaming and MMORPG, key drivers in Korea : LG could leverage on the PC Bang - game editors ecosystem to accelerate adoption and stimulate content production.

mot-bile 2010

VoIP over 3G, unlimited data... SK Telecom victim of the summerheat wave ?

2010-07-15T02:32:00.012+02:00

SK Telecom is lobbying in favor of a more open regulation for mobile Voice over IP in Korea : instead of being only legal on Wi-Fi, it would be authorized on 3G as well. SKT would then provide the service through Skype-like solutions - actually, I wouldn't be surprised to see some Google inside (see "Gizmo5 found its Google Voice"), and consumers would only pay for the data (not to mention fees from the app provider).

OK OK. There's a catch : data rates are pretty expensive in Korea.

Well, not so much now : SK Telecom also announced an unlimited data plan for all subs with a data package of over KRW 55,000 (about USD 45) per month. That would be for smartphone holders, but as far as I know, you can use your smartphone as a modem for greedier devices.

Alright. Here is a small operator struggling for market share, desperate to win big customers, and not worried about network capacity.

Wait a minute. SKT is by far the leader of Korea's (saturated) market, with about 51% of the pie. SKT does not sell iPhones like AT&T, whose success with Apple forced a spectacular backpedaling on unlimited data plans, but SKT is doing pretty well with Samsung Galaxy S (over 300,000 units sold for this Android handset in Korea). Its position doesn't seem that much threatened in the short term.

But what looks like a desperate defensive move following data rate cuts by competitors is also an aggressive move on convergence / quadplay offers (or is it pentaplay, now that the battle rages on wi-fi hotspots ?). Voice ? A commodity, sooner than later - losing a big customer altogether would cost me much more. And guess what ? Ultra-Broadband Convergence Network (UBcN) is around the corner (that's to say 2013 but blocks are bigger around here).

Still, unlimited data plans are a very risky bet in "ubiquitous Korea".

mot-bile 2010

Cisco Cius ? Put it on my Samsung Galaxy Tab

2010-07-08T03:33:00.013+02:00

With its Android based Galaxy series, Samsung seems to have packaged a nice alternative to the iPhone / iPad duet. Or is it the whole industry that's growing tired of the Cupertino arrogance ?

Anyway, the Galaxy S is already selling very well in Korea (over 200,000 units within days) and overseas (the top 5 MNOs went for it, 100 worldwide), and NTT DoCoMo already announced the launch of Galaxy Tab in October 2010 (LG's tablet is still expected in Q4).

Meanwhile, Cisco gave a new shot at the business tablet concept : the Cisco Cius is expected H1 2011. Also based on Android, the Cius looks much smaller than the 7 Inch Galaxy Tab, and seems to focus on video calls : "HD video (720p) with Cisco TelePresence solution interoperability for lifelike video communication with the simplicity of a phone call"*... That, of course, is provided you're connected to a big pipe, say Wi-Fi for instance.

Funny how Wi-Fi coverage is getting popular again : MNOs are abandoning flat rates for data... and all hopes that LTE can support the boom in heavy mobile / nomadic usages.

Cisco also throws in EVO 4G, Bluetooth, USB, the last one a sure bet.

But I would rather bet on RIM than Cisco for a hit in business circles, even if the BlackBerry Tablet is supposed to rely on the Blackberry handset for connectivity. Actually, that major drawback for the enduser could prove an excellent argument for CIOs and CFOs.

Nevermind that geeky CEO.

mot-bile 2010

* other applications apabilities (see Cisco Cius website) :
• 802.11a/b/g/n Wi-Fi, 3G/4G data and Bluetooth 3.0 help employees stay connected on and off-campus
• Virtual desktop client enables highly secure access to cloud-based business applications
• Android operating system, with access Android marketplace applications
• Collaboration applications including Cisco Quad, Cisco Show and Share, WebEx, Presence, and IM
Tablet Highlights:
• 7” diagonal, high-resolution color screen with contact-based touch targets delivers an elegant, intuitive experience
• HD Soundstation supports Bluetooth and USB peripherals, 10/100/1000 wired connectivity and a handset option
• Detachable and serviceable 8-hour battery for a full day of work
• Highly secure remote connections with Cisco AnyConnect Security VPN Client
• HD audio with wideband support (tablet, HD Soundstation)

Woot flows with the Amazon

2010-07-01T01:35:00.005+02:00

In his own words*, Woot CEO Matt Rutledge announced the agreement between his hot sales website and Amazon.com. The Woot brand shall survive like today : barely Audible, but with a music of its own.

Barely Audible ? I wouldn't be surprised to see Jeff Bezos use a loudspeaker for that one on social networking sites.

mot-bile 2010

* see "Amazon, Woot, and You: But Mostly Woot", following an email stating "BREAKING: Woot To Be Acquired By Amazon, Then Left To Amuse Ourselves - Holy crap! Woot has signed an agreement with Amazon - yes, the Amazon - to become an independent subsidiary of the ecommerce colossus. Woot HQ will remain in Carrollton, Texas, and will operate as autonomously as other Amazon companies like Zappos and Audible. Visit the blog for our usual snarky commentary and tell us what you think. - Woot" (NB at this stage, nothing about the deal on Amazon.com's corporate website)

YouTube sails away from Viacom in safe harbor

2010-06-25T12:12:00.006+02:00

Google soberly* claimed victory over Viacom in a legal battle about copyrighted contents illegally uploaded on YouTube : removing them swiftly guarantees the portal a "safe harbor".

In Lingua Googla, the act of cleaning up the mess is reworded as "work cooperatively with copyright holders to help them manage their rights online". This is not policing but good editorial business.

In other words : Google, the piggyback media, is relegating Viacom into commodity categories. The real media is not Viacom but Google.

mot-bile 2010

* "YouTube wins case against Viacom"

Korea : Nexus One in June, more robust networks in sight

2010-05-31T03:30:00.010+02:00

Korea Telecom announced Google's Nexus One (HTC on Android FroYo) for June 2010.

Since Samsung preempted the green android territory and even protected the brand for handsets*, KT will have to find a different angle.

June, World Cup, Frozen Yoghurt... expect something fresher for this smartphone / app phone. Patbingsu style.

KT claimed its 700,000th iPhone sold in May, and boosted wireless data traffic by 17.5 in Q1 2010 vs Q1 2009. Q2 should be much more impressive as smartphones rise on track with 5M units sold by EOY 2010.

And 3D TV is becoming a reality (also on time for the FIFA World Cup), 3D is bound to pop up on Korean mobile phones as soon as possible. It's a matter of pride for Samsung and LG, it's also a priority for local authorities who are planning the country for very very high speed broadband.

That's for 2013. But mobile network capacity will become critical much earlier, even with LTE, and Korea's dominant operators (SKT and KT) are intensifying their aggressive race for WiFi hotspots.

mot-bile 2010

* see "KT claims 500,000 iPhones"

Google TV - watch for commercials

2010-05-21T08:32:00.008+02:00

At Google I/O 2010, developpers were offered Frozen Yoghurt and a nice cartoon. FroYo is Android 2.2's nickname, the cartoon an introduction of Google TV* :

Nothing disruptive here. The message to developpers ? Come join our ecosystem, dig this Sony screen, check that Logitech box and wireless keyboard (and you haven't seen our Google Tablet yet), hear that Intel inside jingle from our teevee, enjoy these Android apps, enhance your tube with YouTube, watch those flicks on Jinni.com, see how this Flash animation rocks... We don't do Jobs, we do our job, folks.

mot-bile 2010

* google.com/tv

Euphemism PR 101 : "Nexus One changes in availability"

2010-05-16T07:41:00.004+02:00

As Andy Rubin, VP, Engineering, put it in Google's most elaborate backpedaling announcement ever, "innovation requires constant iteration".

I can't wait to see the next iteration of such innovative PR.

A few months ago, when Google was trumpeting online distribution for its Nexus One, I pointed out that "Google are not into distribution, IRL.*" This operation was bound to fail : not only because this is not Big G's trade, but also because Big G cannot grow bigger in every single dimension without endangering its own stability, including from a regulator's point of view. Furthermore, yes, "it's clear that many customers like a hands-on experience before buying a phone, and they also want a wide range of service plans to chose from".

So the only questions were "when" and "how". When would Google stop this joke ? The answer is today. For the "where", the official Google Blog was the natural channel. Now I really loved the "how" they did it :

- Google is not stopping online sales : "Nexus One changes in availability"

- Google is not abandonning independence : it offers "more retail availability" and is going to be "working with partners"

- Google is not closing its online store : "we'll stop selling handsets via the web store, and will instead use it as an online store window", and we even call this innovation "from retail to viewing".

Now it takes guts to deliver such a pitch without guffawing. Google probably learned that skill from Chinese authorities.

mot-bile 2010

* "Google Phone At Hand. No Kindling."

Disney - SK Telecom JV

2010-05-13T00:51:00.012+02:00

SK Telecom and The Walt Disney Company announced during the Seoul Digital Forum a 51/49 JV meant "to Launch Korean-Language Disney Channels in South Korea"*.

Already available in Korea, Disney Channel and Playhouse Disney Channel will develop local content and diversify to new platforms (HD multiplex, SD over cable, IPTV...). Once okayed by the Korea Communications Commission, this partnership shall bear fruits next year.

Disney picked a strong partner : more than a leading operator, SKT is a multimedia and technology powerhouse, a local major with a tradition for exclusive, premium, and even in-house contents. The main question is : will actual innovations come out of this partnership and be rolled out internationally ?

In the common press release, SK Telecom's President and CEO Man-won Jung seems in the mood for this kind of love : "The joint venture with Disney carries significant meaning, especially considering the business environment of nowadays where customers consume content not only through television, but through an array of devices including mobile handsets, laptop computers, and tablet PCs. In the future, by forging a close strategic alliance with Disney, we hope to create more opportunities between the two parties."

But Andy Bird, Chairman, Walt Disney International centers the scope around the consumer and Korean local market : "South Korea is one of the most exciting digital media markets in the world. Disney's creativity and innovative content, combined with SK Telecom's leading global expertise in digital media and telecommunications, present a unique offering that meets the growing consumer appetite for quality family entertainment where and when they want it".

Disney has always been a follower in new technologies, embracing them once they've been proven robust, absorbing an expert if necessary. Even if SKT were to fail in altering this tradition, this majority stake definitely confirms its expertise and success as a media, far from its original trade.

mot-bile 2010

* "SK Telecom and The Walt Disney Company Announce Intent to Form a joint Venture to Launch Korean-Language Disney Channels in South Korea" (SK Telecom Press Release - 20100512)

Google and Verizon eye a pad - or at least a patch

2010-05-12T07:19:00.016+02:00

In interviews to the Wall Street Journal and Bloomberg*, two Verizon Wireless execs confirmed the carrier's discussions with Google to launch a tablet running on Android OS.

The absence of such discussions would have been surprising.

Verizon and Google will probably accelerate TTM for one manufacturer, very much the way they did with Motorola for Android handsets, and together they have enough power and motivation to close the gap.

Close the gap ? For Verizon Wireless, tablet TTM is definitely less important than LTE TTM, and recent LTE trials in Boston seem to confirm this sense of emergency. VZW can not only remove its CDMA-GSM handicap vs AT&T, but also enjoy a temporary competitive edge when its Texan rivals struggle with capacity issues (partly courtesy Apple). Likewise, tablets and other devices will be less critical than the ecosystems behind : AT&T may or may not keep its exclusivity with Apple for the iPhone until 2012, it still managed to open up to both the Kindle and the iPad. V wants more control on the value chain than pipe filling, and on a more sustainable basis ? Time to prove it.

Close the gap ? I never considered the key race to be between Apple and Google. Mountain View is more aiming at Redmond's throat than at Cupertino's. Yes, Apple the manufacturer is succeeding where Nokia the manufacturer failed, in trade diversification**, but Apple will never enjoy Nokia's record market shares. Yes, Apple played the role of an accelerator for existing usages and business models (ie didn't invent smartphones nor app stores), but Google can go much further and not just because, as expected, it's pushing Android ahead on handsets : Google can literally become a category killer for the wealthiest players around in the telecom and software industries. Operators know it, Microsoft knows it. A success of Google's instant cloud scratchers on bigger screens represent a much bigger disruption than the iPad itself (not really a game changer in the global ecosystem).

mot-bile 2010

* "Verizon, Google Developing iPad Rival" (WSJ) / "Google, Verizon in Talks About a Rival to Apple's iPad" (Bloomberg)
** OK, Nokia has gone a long way from timber

As Daum goes (a bit) mAd, SK Telecom jumps to L Commerce and Mobile Virtual Banking Operator

2010-05-11T06:22:00.022+02:00

I've been expecting a lot from Korea's leading portals Naver and Daum*, but so far, they've not exactly revolutionized mobile internet. For instance, they've only recently set a timid foot into mobile advertising**.

To their credit, it's hard to get a slice of the wireless pie consistent with their impressive web portal market share, even after the implementation of USIM cards, which undermined Korean MNO's lock on handsets, and even after the rise of smartphone apps, which also weakened their positions on the value chain.

According to KoreanClick, #1 NHN / Naver controls 63% of the portal market (31 M Unique Visitors for Naver.com in April 2010) and #2 Daum 21% (28.9 M UV), but #3 Nate (10% MS, 24.7 M UV) can leverage on key enablers provided by owner SK Telecom : the leading cellco, already a quadplay giant, has always put a lot of importance on Location Based Services and financial enablers.

That focus has become even more evident with the creation of the Hana Bank - SKT JV (see "SK Telecom's Wild Hana Card"), confirmed by the first services earlier this year***. The recently rebranded Hana SK Card targets 400 to 500,000 cardholders by EOY 2010.

SKT has also been redefining the "mobile wallet" concept over the past few weeks : leveraging on Visa PayWave radio frequency technology, the "T Smart Pay" (always that "T" umbrella brand of SKT's) concept allows the consumer to monitor up to 8 credit cards, 30 mileage / point cards, and 50 coupons with the same '13.56MHz RF SIM' card (always that "technerdy" trend of SKT's), to the risk of storing all your most critical information on one single device. Each time you present it for a contactless payment, you're proposed the choice between all registered cards.

Of course, Hana SK Card holders can also enjoy a simplified UI :

Here, SKT almost acts like a Mobile Virtual Banking Operator roaming on tens of rival networks and helping the consumer make the most of each buck, picking the best provider depending on the store, account status, promotion... Needless to say that this entry point will be massively exploited for contextual offers : ever since NATE Coupons, SK Telecom has been a major innovator in couponing and in July, SKT will launch 'L-commerce', a new set of Location Based Services bound to confirm the return of its mojo.

About ten years ago, I was impressed by how deep this player ventured into new trades like media or banking. Since then, SK Telecom didn't fully succeed overseas as a classic mobile operator, and at one moment lost some appeal as the marketing king at home, but lately, it seems to be experiencing a revival. Even telematics are back in fashion (SKT MIV / Mobile in Vehicle).

Note that on the more traditional battlefield, SK confirmed 8 more Android handsets by EOY (see "SK Telecom pushes Android"), and KT remains the most likely guess for the iPad exclusivity : Apple's latest gizmo is being approved for import, and TriGem, Samsung, and LG will suffer from a minimized delay before their own tablets****.

mot-bile 2010

* see "KT claims 500,000 iPhones"
** "Daum rolls out mobile advertising network" (JoongAng Daily 20100511)
*** see "Wal-Mart's Vudu Trance - home entertainment and apps"
**** see "Samsung S Pad in a Flash"

Samsung S-Pad in a Flash

2010-05-05T06:33:00.010+02:00

LG and Samsung are rumored to launch their answers to the iPad during the second half of the year. Fellow Korean TriGem will shoot first (end of H1).

Samsung's S-Pad is expected to run on 3G (SK Telecom) and Wi-Fi, and on an Android OS, providing a bigger playground for Flash, which remains banned on Apple's iPad (to cheer them up, Google offered Adobe execs a couple of Android phones).

Repositioned as an editor, Apple has a right to decide what it considers entertainment or education, what fits its editorial line. But it should be careful not to position itself as AOL did against the world wide web. Apple wouldn't want to suffer from an AOL syndrome.

mot-bile 2010

HP buys a Palm ? Big deal...

2010-04-29T12:56:00.008+02:00

$1.2 billion for Palm Inc., the sale itself a non-event, 3Com and its spin-off reunited under the Hewlett-Packard umbrella... times have definitely changed over the past 10 years.

Even if the Palm + HP combo can propose a seamless handset-PDA-tablet-laptop-desktop platform, this episode is not likely to bring real disruption to the market. And to me, it doesn't mean that HP is becoming smart : it simply confirms that smartphones are becoming if not commodities at least more and more common things.

No change for Microsoft : WebOS won't kill Windows Mobile by itself. But the eventual emergence of a more consistant open / Linux-based alliance remains more than ever the base case scenario.

No change for Google : it still needs to succeed regardless of the OS, and Android / the Open Hanset Alliance are bound to merge with some rivals anyway.

No change for Apple : Cupertino still needs to change its strategy if it wants to become THE leader, which I doubt. And there's still a lot of money to make where it sits (and moves), including as an editor.

No change for Research In Motion : it still can stick to its profitable niche, or accept a nice offer.

And most of all, no change for Nokia : the leader in hardware and mobile OS has not been acting like one for too long.

mot-bile 2010

ITA Software : Google's dark cloud obscuring the skies ?

2010-04-21T08:52:00.005+02:00

mot-bile 2010 - Location, location, location. That's what matters when you're purchasing properties.

ITA Software Inc., an expert in online travel solutions, is said to be the next target of Google. Google, a young and promising company, is said to have a few ambitions in things mobile. Come to think of it, Google Earth is the world's biggest virtual airline.

Big G strikes when all airlines are grounded by an icelandic volcano, and competitors can be fuming : some rely on ITA for their travel search engines.

Google's engines probably won't be damaged by their ashes.

Korea Telecom Qooks ebooks

2010-04-21T02:19:00.006+02:00

mot-bile 2010 - In spite of a long literary tradition, Koreans are not big readers. Worse : in 2009, 90% of Korean publishers didn't print any new book.

Through the Korea Electronic Publishing Association, the Ministry of Culture is betting on ebooks to revive the habit (target : 100,000 ebooks per year). Kyobo Book estimates the Korean market at about KRW 1 tn (over USD 900) EOY 2010 and KRW 2.4 tn EOY 2012.

The Ministries of Knowledge Economy and Education are joining this national effort, which will also benefit local manufacturers : those guys didn't wait for the local market to do something (ie Samsung Papyrus, iRiver Story), but the issue became sensible after the launch of the iPhone, and the iPad buzz.

Harmonizing the 40 or so existing distribution platforms is a key factor of success, and the association recently held an "e-publication standardization forum" at the Korean Education & Research Information Service (KERIS).

Education is key in a country where families spend fortunes to help their kids survive one of the most competitive education systems in the world.

Precisely, for its first ebook distribution partners, Korea Telecom picked Woongjin Thinkbig, Inc., which holds a strong position in private tutoring text books, and Wisdomhouse Publishing Co., Ltd., which also has a specialization in educational contents.

The funny thing about the service is the brand : we've already mentioned Qook, KT's umbrella brand for home services. "eBook cafe / Book Cafe" makes sense because book cafes are getting popular in Korea. But "QOOK Book Cafe" bookcafe.qook.co.kr) sounds like the Java hub for rogue accountants.

Lagardere Active meets YouTube

2010-04-13T04:58:00.006+02:00

An interesting partnership was announced at the 2010 MIPTV between Lagardere and YouTube for the international distribution of online videos, ranging from short programs to fictions and documentaries.

Turning the group's traditional media brands (ie Elle) into truly multimedia cash machines... this 3-year agreement is vintage Didier Quillot, who already boosted digital revenues to 7.5% of Lagardere's total turnover.

YouTube / Google promotes its own key features : advertising and DRM, with the IDfication of each content and the total control of diffusion for each region. Of course, this is pure streaming and no download is allowed.

Both partners will share advertising revenues, and the enduser will access new contents for free :
. short in-house programs (caranddriver.com, elle.fr, europe.fr...) : 7,000 by summer 2010, 15,000 by EOY. Distribution : 45% for the French market
. long programs (Lagardere Entertainment) : 315 hours by summer 2010, 600 by EOY. Distribution : 80% France 20% International
. TV programs and cartoons from Lagardere channels, including TV archives. Distribution : 100% for a French audience.

mot-bile 2010

iAdMobsters and multitaskers

2010-04-09T13:51:00.006+02:00

Apple will take a 40% for all ads on its new advertising platform : iAd.

Google will gobble AdMob (whose moto happens to be "Enriching Mobile") with the benediction of regulators on the grounds that Quattro Wireless* + iAd = Google left some room to whatever's left of competitors.

iAd focuses on in-App advertising across iPhone, iPad*, and iWhatevercomesnext. Steve Jobs estimates the potential at 1 billion ad impressions per day on existing Apple devices.

Google focuses on everywhere, including iPad, iPhone, and iPutaspellonyou. It's been a long time since Big G ditched that billboard advertising "over 1 billion burgers served".

But iPhone OS 4 also offers improvements in multitasking, a word Cupertino definitely seems to be getting a grasp on.

mot-bile 2010

* snatched by Apple last January (see "SK Telecom pushes Android"). Google's purchase of AdMob last September has not been okayed yet.
** which eventually sold 450,000 units in 5 days instead of the 700,000 on day one earlier outoftheballparked by a fan (see "iFad's deliberate marketing blur") - anyway a good score. More significant : 600,000 ebooks and 3.5 M apps downloaded (iPad apps store claims 3,500 applications).

FCC : the end of regulation or the end of non-regulation ?

2010-04-07T03:36:00.009+02:00

mot-bile 2010 - A regulator that fails to regulate may need some fixing.

After being awarded the right to deregulate broadband by a Supreme Court ruling in 2005 on the ground that it would not be a telecom service but an information service, the FCC allowed broadband subs to plug whatever hardware or software they pleased to their access, but after that ordered ISPs to fight against peer-to-peer abuses. Comcast logically sued and won the case at a federal court.

That same FCC has also been working on a much advertised National Broadband Plan which now appears to be left to its own devices.

The only way out of this farcical situation would be for lawmakers to restore some regulatory power, a move that could prove unpopular for partisans of freedom on the liberal front (no regulation for the internet : that's fascism) as well as on the libertarian side (no regulation whatsoever : that's socialism). If Obama thought he was done with ideological battles between health care madness and financial reforms, here's yet another hot potato to catch before mid-term elections.

iFad's deliberate marketing blur - Naver / Livedoor

2010-04-05T01:26:00.013+02:00

With 700,000 units sold on launch day including pre-orders (according to Gene Munster, Piper Jaffray), iPad already found its spot on the market. Apple hypists fueled this early success, but other segments may follow, including technophobe seniors who are neither interested in computing nor in exotic web browsing.

Other players targeted this segment, but the Orange Hello and Orange Tabbee proposition, for instance, is clear a deterrent for hypists (see "Orange Hello, is it me you're looking for ?"). Why ? Because it is marketed around functionality-segment duos that mirror the very classic engineer-marketer binome.

The smartest thing about the iFad is the deliberate marketing blur : Apple refuses to build artificial segmentations and prefers to let the market decide, hoping the device will find more niches than initially thought. But the manufacturer pushes the concept with a clearly identified "software-level warranty" to help the hardware concept look more sustainable in the potential purchaser's mind : iPad v1.0 is not the best tablet*, just like iPod was not the best PMP or iPhone the best smartphone, but just like iTunes came from Apple computers to secure the launch of iPod, iPod music platform served as a base for the iPhone, and iPhone apps are paving the way for the iPad.

So if the iPad is not a category killer per se, it could help kill artificial categories, and tear down artificial walls.

Just one word about NHN / Naver, who would be about to snatch the Livedoor portal and its 30 M subs put on the market by LDH Corp (formerly Livedoor Holdings). It reminds me of the Daum / Lycos deal a long time ago. Korea gains an entry point in Japan the same way it did in the US : in a very traditional way. And I hope Naver has bigger plans than Daum. For instance, I wonder which role Naver, as it enters a new country using non-latine alphabet / characters, intends to play in the promising hosting business related to Internationalizing Domain Names in Applications (IDNA).

mot-bile 2010

* and certainly not the best ebook : too heavy, UI and screennot optimized for reading...

KT claims 500,000 iPhones

2010-04-01T10:30:00.007+02:00

We've seen earlier how Korea, a laggard in smartphones, woke up with the help of iPhone* and the arrival of Android**. Now "smartphone" and "apps" pop up anywhere anytime, relegating "ubiquitous" or "well-being" to corny conversations. Among recent developments :

. KT announced today that it sold its 500,000th iPhone four months after launch, and that it's now batting a steady 4,000 new ones every day. Good score, but Samsung's Omnia 2 (Windows Mobile) will remain ahead (600,000th handset sold yesterday). Yet, Apple reaches beyond the smartphone, and KT estimated its market for apps, contents and software at KRW 470 bn, plus KRW 230 bn for accessories (KRW 700 bn means about USD 600 M these days). Unsurprisingly, early bird iPhone caught heavy mobile internet users : 44 times more than other KT customers (includes the majority of non users).

. Last month, Samsung made the headlines by snatching Android trademark for hardware in Korea, preventing rivals from branding any Android gizmo beyond the OS. LG's "Andro-1", an horizontal slider with keyboard sold exclusively by KT, definitely sounds borderline. Andro-1 itself is borderline : even if it came after Motorola's MotoROI (2.0) and the Samsung SHW-M100S (2.1), it runs on Android 1.5...

. In a country plagued with voice / email phishing scams, or even North Korean e-blitzkriegs, the brutal success of smartphones was bound to cause a considerable number of attacks much scarier than Rick Astley***. Competition among crimefigthers is quickly going wireless, and local expert AhnLab released new versions of its star antivirus : V3 Mobile for Android and V3 Mobile+ for iPhone. But operators don't want netcos to claim their own territories and the next day, mobile leader SK Telecom decided to offer McAfee antivirus to all its Android subs. Besides, even if for the moment the bulk of smartphone users are over 18, adult content is also becoming an issue...

Local internet powerhouses Naver and Daum don't want to be followers - Daum even planned to equip all its staff with iPhones ahead of the launch. Both are seizing opportunities and multiplying applications, and the coopetition between Korean netcos and MNOs will really become interesting.

mot-bile 2010

* "iPhone rocks Seoul and sacred cows"
** "SK Telecom pushes Android" followed by "Wal-Mart's Vudu Trance - home entertainment and apps"
*** see "iPhone worm raises its ugly head : Rick Astley"

Video In Print : an example in video

2010-04-01T07:33:00.004+02:00

French advertizers' Bible Strategies published* this interesting video of a video : inserted in Enjeux-Les Echos (business news magazine), all commercials for Citroen DS3 car are played on small LCD screen with a rudimentary mike :

Beyond the mag (10,000 copies), the campaign run by agence H (Groupe Havas) also includes billboards featuring video and interactivity with cellphones.

For this model, the carmaker and its agency have been targeting urban hypists with an "anti-retro" claim, where Marilyn Monroe or John Lennon deliver dopey versions of "think different, think Pepsi".

The screen and holes in the cardboard for the mike do look retro compared to say the seamless and flexible epaper on that Minority Report subway, but that's enough for the buzz.

mot-bile 2010

"Le magazine Enjeux-Les Echos diffuse une vidéo dans ses pages" (Strategies 20100330)

Broadband by Google "small dot" com : cloudy, with chances of bitballs

2010-03-27T07:14:00.010+01:00

mot-bile 2010 - Over 190,000 individuals and 1,100 communities contributed to Google's request for information about its "experimental fiber network"*.

Of course, the aim of this RFI was to optimize the buzz, to impress the FCC, and to scare competitors : the only thing Big G keeps saying about its "Ultra high speed broadband" project is that it will reach 1 Gbps FTTH (don't expect Google Broadband to be con-TISPated**), and that the "experience" will involve between 50,000 and 500,000 customers (small figures for a boolean search, but half a million sounds like a Warren Beatty kind of testbed).

So instead of a network coverage map, Google delivered this splendid PR map where "each small dot represents a government response, and each large dot represents locations where more than 1,000 residents submitted a nomination" :

And "wherever we decide to build" is up to us guys.

Said guys are in Vegas (along with Google, of course) at the CTIA show, listening to T-mobile about 3G++, Verizon Wireless about LTE, and Sprint about "4G" WiMAX***. All making plans to prevent network overloads courtesy iPhone, Android et al.

Next thing you know your Ma and Pa CLEC / coop telco looks attractive again because Google needs a really rural testbed in Armpit, ND or any other "small dot" on their map to tell the FCC they're not only rolling out fiber in San Mateo or Houston.

Wheather forecasts ? Cloudy, with chances of bitballs.

* "Next steps for our experimental fiber network" (Official Google Blog 20100326). Note that the number of communities almost doubled between the 3/26/2010 10:00:00 AM post and its 3/26/2010 05:26:00 AM update.
** "Google TiSP - US Open at Flushing Windows"
*** "HTC EVO 4G : Sprinting to 4G... or rather 4G WiMAX/3G EV-DO Rev. A"

HTC EVO 4G : Sprinting to 4G... or rather 4G WiMAX/3G EV-DO Rev. A

2010-03-24T01:15:00.005+01:00

Sprint unveiled the HTC EVO 4G at CTIA : "America's first 4G phone" will be "Coming Summer 2010", and offer "3G/4G mobile hotspot capability-extend the power of the Now Network"*.

4G ?!? Don't expect LTE but simply 4G WiMAX combined with 3G EV-DO Rev. A. Yes, WiMAX got the 4G label**, just like DECT was 3G ITUwise.

But this HTC EVO is far from being a dud, dude. It also features :
- from Google : Android 2.1, Android Market (30,000 apps up to now), and among Google mobile services clearly advertised by Sprint : Google Talk and Google Voice.
- from HTC : a 4.3-inch screen ("with unique kickstand for easy media viewing", a connection "to your HDTV so you can watch HD movies" on a bigger screen), HTC Sense UI (with "social networking integration with Facebook, Twitter, Flickr and more"), 1,500 mAh Lithium battery, dual cameras (8 megapixel primary, 1.3 megapixel front-facing), proximity and motion sensors, digital compass, 1 GB ROM, 512 MB RAM
- from Qualcomm : 1 GHz Snapdragon processor
- from the air : Wi-Fi, GPS Navigation, Stereo Bluetooth, FM radio
- for the plug-ins : microSD Card slot, micro USB, 3.5 mm headset jack, HDMI output...
- from Sprint : Now Network, Sprint TV...

Yeah. The operator is not doing much beyond rolling out his 27-market WiMAX network and putting a sticker on the phone. The real PR winners here are HTC, Qualcomm (stuck to its proprietary 3G but associated to "4G"), and even more Google : Android starts outhyping iPhone, and Google mobile VoIP gets a front seat.

Hoping that Sprint's networks and HTC's batteries won't spoil the fun.

mot-bile 2010

* see now.sprint.com/evo
** as we saw earlier ("Aloha's long goodbye, Standards Wars Episode 4G and the phantom menace"), the ITU has been kind to WiMAX.

Energize your handset, nevermind the consequences

2010-03-07T13:39:00.007+01:00

Indian manufacturer Olive Telecommunications launched a mobile phone where AAA batteries can give you up to 3 more hours of conversation when the lithium-ion battery is exhausted. "Olive FrvrOn" (Forever On, not Fever On) costs $37 and targets rural areas where plugs are not always available.

Smart and simple, but not very environmental friendly. How many AAA batteries do you think will be recycled in the dead middle of India ? How about the cost of logistics for this noria of 11.5 gram AAA batteries ?

Now there is a power issue here (and there as well). Such manufacturers as Samsung are investigating other solutions, more or less relevant*, but all based on a more sustainable concept : generate your power on the spot, be it using your own force of with the help of the sun.

So OK, this manufacturer will sell a lot of devices and change the lives of a lot of people but I hope this quick fix won't be too successful.

mot-bile 2010

* see "Samsung's power grip", "Samsung Crest Solar"

Wal-Mart's Vudu Trance - home entertainment and apps

2010-02-26T02:25:00.015+01:00

mot-bile 2010 - What is exactly "home entertainment" according to Wal-Mart ? Everyday low prices for home movies or everyday more promotions for everything else on your TV screen ?

The Bentonville, AR giant acquired VUDU, Inc, an online video service embedded in broadband-ready TVs and Blu-ray players, and "combining VUDU's unique digital technology and service with Walmart's retail expertise and scale will provide customers with unprecedented access to home entertainment options as they migrate to a digital environment".*

But Wal-Mart also mentions VUDU Apps, a very crucial entry point in households for all sorts of services, including Twitter or Facebook, the kind of "web family names" we mentioned earlier as the hottest TV stars of the year (see "Skype on your TV : home improvement ?" - 20100106).

Wal-Mart was not the only bidder for this entry point : it won over direct rivals (Amazon & co), victims of Vudu curses (Blockbuster & co) media manufacturers turner entertainers (Sony & co), or the usual Redmond suspects (Micro and Soft).

Now back to the smaller screen, but still in the retailing arena : SK Telecom and Hana Bank eventually released their joint services** in Korea. Push and pull location-based marketing make sure you have always an incentive even if you came out without your paper coupons.

Note that in their latest TV ads, SKT are marketing Android a very cute way with a green robot dancing on "That's the way (uh uh uh uh) I like it", and that's likely to boost the brand's fun factor. The Android brand, I mean : the character bumps into SKT's dull "T" logo and roars at it... There was probably a smarter way of celebrating this encounter of the third kind.

* "Walmart Announces Acquisition of Digital Entertainment Provider, VUDU" (20100222)
** on this killer alliance, see "SK Telecom's Wild Hana Card" (20090612)

WACking Apple's App Store : United Colors of MNOs or WAP redux ?

2010-02-16T02:07:00.007+01:00

The Wholesale Applications Community (WAC) chose the Mobile World Congress in Barcelona to announce its foundation. The aim it to make application standards transparent, and services available on as many platforms as possible, or as the association puts it from the customer's point of view : to offer "a broader choice of innovative applications and services available on a wider choice of devices than ever before". From the application developers' point of views it goes like this : "a single gateway (...) to access a vast potential customer base".

How big ? Among the 27 founding members of the WAC, 24 operators claiming 3 bn subs : America Movil, AT&T, Bharti Airtel, China Mobile, China Unicom, Deutsche Telekom, KT, Mobilkom Austria Group, MTN Group, NTT DoCoMo, Orange, Orascom Telecom, Softbank Mobile, Telecom Italia, Telefónica, Telenor Group, Telia Sonera, SingTel, SK Telecom, Sprint, Verizon Wireless, VimpelCom, Vodafone, Wind.

The casting is less impressive for manufacturers : Samsung, LG, Sony Ericsson. Significant players, but all losers in the smartphone standards. Yeah, Samsung is showing off its Samsung Bada OS in Barcelona but come on, that one is not going to become number one. Even Nokia and Intel combined can't make it with their brand new Meego.

Anyway, here's the deal for developers : on one hand, become one of the billion plus apps available in the App Store reserved to iPhone users... and on the other, tap into the 3 billion plus market opened by this elite of haves and havemores.

Tired of the multiplication of proprietary platforms ? The WAC intends to make that layer transparent for you. And when the WAC writes "developers will only have to create one version of their application and this can be used on multiple types of devices and operating systems (such as Symbian, Android, Windows etc)", it's up to every potential "etc" to decide : keep playing it solo or join the party.

Some developers may remember how WAP struggled in its early stages. Will this WAC work ? Fool me once, shame on... shame on you. Fool me... you can't get fooled again'.

Can you ?

I think Vodafone, Orange & co remember perfectly the WAP episode. Since then MNOs proved they could work on common platforms to boost the ecosystem (ie Gallery in France). And if they fight against each other, they would love to commoditize markets they cannot rule anyway.

I'm not worried about technology roadmaps and paths.

But the editorial line... believe me, that one is gonna be a long and winding one.

mot-bile 2010

* see "Leading Operators Unite to Unleash Global Apps potential" (20100215 - on wholesaleappcommunity.com, the association's website)

Microsoft Pink Phone : sexing up Windows Mobile 7

2010-02-13T03:09:00.008+01:00

A fun handset with an innovative ergonomy and an app store ? Before Apple came Danger, who remained below the radar after Microsoft purchased it.

Granted. The Hiptop has a vintage look of a Minitel II, but what matters is the platform, and the industry has been bracing for the Danger + Zune + WM7 combo for months.

What's in a (code)name ? Pink stresses the need to sex up the Windows Mobile platform against iPhone and Android.

WM performed well in Korea against the iPhone (Samsung Omnia)... but only for lack of an alternative before the arrival of Android (see "SK Telecom pushes Android"). Motorola's Motoroi has just been introduced on a market suddenly converted to smartphones, and Samsung and LG are working double time on Google's platform.

Microsoft, Apple, Google... sooner or later telecom "incumbents" will raise their voices, and leader Nokia will have to do what it does worst : look cool, not cold.

mot-bile 2010

Google Smokescreen Computing : May The Dark Fiber Be With You

2010-02-11T09:01:00.005+01:00

Google has made some progress since its previous experience as an innovative ISP (see "Google TiSP - US Open at Flushing Windows). Big G issued a nice video (see below*), but here are a few keywords :

Crowdsourcing - "Today we're putting out a request for information (RFI) to help identify interested communities".

Interested in what ?

1 Gbps FTTH - "We'll deliver Internet speeds more than 100 times faster than what most Americans have access to today with 1 gigabit per second, fiber-to-the-home connections. We plan to offer service at a competitive price to at least 50,000 and potentially up to 500,000 people."

A lightweight on the market ?

Lobbying - "We've urged the FCC". We'll soon be urged by the EU but that's not the issue of the day...

Not in a hurry when it comes to digging your own grave ?

Digging - "We'll test new ways to build fiber networks". Like we don't actually build but find partners, or bail out people lost in the dark fiber, or invent smokescreen computing.

Smokescreen computing ?

The highest stage of cloud computing.

mot-bile 2010

*

"Think big with a gig: Our experimental fiber network" (20100210 - Official Google Blog)

Google Avatar

2010-02-09T03:28:00.001+01:00

"Parisian Love", Google's Superbowl ad. Rom@nce, cliches and snapshots... as artificial and predictable as Avatar, only cheaper. And just like Avatar, you keep watching :

Hey kids, Apple is educating the market for iPad

2010-02-04T02:11:00.005+01:00

mot-bile 2009 - Traditionally, ebook readers have been marketed for an elite of early adopters not only interested in high-tech but also in books.

With its Kindle, Amazon focused on "human" readers, making the technology as transparent as possible, talking about books instead of gizmos, and widening the base all of a sudden.

For its iPad, Apple seems to be focusing on kids and education (beyond, of course, the iMac / iPod / iPhone followers). Neither reinventing the old chalk tablet nor the old "kids as prescriptors" mantra : simply considering an important part of the edition ecosystem snubbed by rivals, a cornerstone of familial and societal spheres.

You're going to hear a lot about school textbooks, lessons, ebooks for kids, animated mangas and cartoons, and even do-it-yourself cartoons. About more serious stuff of course, but somewhere, Jeff Bezos must wonder why his marketing teams didn't venture beyond the standard Amazon customer.

Obama considering purchasing an IPad

2010-01-29T04:47:00.001+01:00

That's what I gathered listening to his State Of The Union speech : the POTUS said he wanted to focus on Jobs and to help the country cruise safely through this painful iPeriod.

mot-bile 2010

Google in China : don't be evil anymore ?

2010-01-13T03:13:00.006+01:00

Google decided to risk all its China operations in a public* stand-up against local censorship and repression but at this stage, it's hard to tell whether Mountain View acts as a proxy to prevent a major clash between Washington and Beijing, or to the contrary as a courageous whistleblower exposing a major crisis up to now contained by both diplomatic teams. Or is it simply good PR because the cover-up couldn't last much longer anyway ?

The crisis ? A massive cyberattack from China last December, against Google and "at least twenty other large companies from a wide range of businesses--including the Internet, finance, technology, media and chemical sectors". As far as Big G is concerned, they "we have evidence to suggest that a primary goal of the attackers was accessing the Gmail accounts of Chinese human rights activists," but (in substance) our systems proved once against their infallibility and if a few activists were eventually phished, it was outside of China and only because of their carelessness so at the end of the day we're pretty sure no good guy is rottening in one of their terrible "black jails" or worse because of us...

... but this is definitely getting a bit too far. And Google is under enough pressure in the West these days... so avoiding a major blunder in the East could be wise, even if it means making less business there... So. "We have decided we are no longer willing to continue censoring our results on Google.cn, and so over the next few weeks we will be discussing with the Chinese government the basis on which we could operate an unfiltered search engine within the law, if at all. We recognize that this may well mean having to shut down Google.cn, and potentially our offices in China."

This noble deed fairy tale even includes a footnote reminding us accepting censorship in the first place was some kind of "discomfort" for Google. "At the time we made clear that "we will carefully monitor conditions in China, including new laws and other restrictions on our services. If we determine that we are unable to achieve the objectives outlined we will not hesitate to reconsider our approach to China.""

Right now, Google China's future in the Middle Empire does look rather gloomy. China will have to give some sort of indirect answer**, arrest some fake culprit or whatever, but it is even less likely to concede to a foreign company than to a foreign country.

Is this good news for human rights in China ? Yes and no : Beijing may enjoy an even stronger direct control on the internet.

Will Google prevail in the long term in China ? As Zhou Enlai said about some other major disruption : too early to tell.

mot-bile 2010

* see "A new Approach to China" (Official Google Blog - 20010112)

** ** even if being caught red-handed is not a crime in communist China

IPTV and VoIP in Korea : an update

2010-01-13T02:44:00.008+01:00

Since our last update last August (see "IPTV in Korea: an update"), Korea's IPTV market has almost tripled and is claiming 1.729 M subscribers EOY 2009 :

KT : 1,010,000 subs (58.4% market share vs 46% in July)
SKT : 403,000 (MS: 23.3% vs 22%)
LGT : 316,000 (MS: 18.2% vs 32%)

Even if all 3 players can leverage on their mobile bases, mobile leader SKT is not reducing the gap with KT, who benefits from an earlier start in / a better culture of convergence. Furthermore, SKT's "T" brand lags behind to the popular "Cook + Show" package in fun factor (reminder : Show is KT's 3G W-CDMA brand and Cook it's nth umbrella brand for fixed line services). LG Telecom is unfortunately more successful in converging towards its own mobile market share (around 16%).

But LGT's IPTV base keeps growing, and the group (via LG DaCom) remains the leader in the (also at last) booming VoIP market (sce Yonhap) :

LGT : 71.1% market share EOY 2008 (1.202 M subs), 42.7% EOY 2009 (2.140 M), 26.9% over 2009 (net gain : + 0.938 M)
KTF : 19.4% market share EOY 2008 (0.328 M subs), 32.9% EOY 2009 (1.700 M), 39.4% over 2009 (net gain : + 1.372 M)
SKT : 9.5% market share EOY 2008 (0.160 M subs), 33.6% EOY 2009 (1.330 M), 33.6% over 2009 (net gain : + 1.170 M)
Total : 5.17 M vs 1.69 M (+ 3.48 M)

Cablecos must wonder what Korea's 3 MNOs will leave to them EOY 2010 (KT boasted only 16,000 IPTV customers EOY 2008). On the other hand, MNO success in fixed access may help M-VNO candidates (such as Onse Telecom, as we saw earlier) make their cases.

mot-bile 2010

SK Telecom pushes Android

2010-01-07T01:09:00.013+01:00

It's CES time again and ahead of the show, Google and Apple have warmed up the audience*, Palm afficionados braced themselves for a new Pre-view, and HDTV confirmed it's dispositions to grow smarter and 3D.

But I'd like to get back to what's happening in Korea right now. Following iPhone's successful launch ("iPhone rocks Seoul and sacred cows"), both SK Telecom and KT are left without decent app stores of their own. We saw how SKT relied too timidly on the Samsung Omnia, but KT didn't play it smart either, stuck in the iPhone trap : on one hand you want to optimize your ROI in the Apple partnership, on the other you need to grow you own ecosystem and avoid the iPhone dependence. And which model do you think KT proposed as a plan B ? The same Omnia.**

SK Telecom started the new year with a higher profile : it's both high time to turn the WIPI page and the best moment to build Korea's leading platform against Apple. Android got the regulatory nod and ahead of the commercial launch, SKT proposed a "T-Store Application Contest" to developpers (reward : KRW 40 M or about USD 35.3 k).

The first Android device will be a Motorola (in February), but 11 other handsets are planned by EOY 2010, mostly from Korean manufacturers, who cannot afford lagging behind any longer : beyond Korea, they target China, where a big chunk of 2010-2011 smartphone market shares will be taken (even in case of a probable second dip). US (Motorola) and Taiwan (HTC) won't wait for Korea Inc.

It's not just about Samsung and LG : the whole ecosystem needs to catch up, and the future of many Taehangno service providers and start-ups depends on their ability to ride the next wave. SK Telecom can recover its mojo if it acts as a smart and swift leader. Again.

mot-bile 2010

* the former going at iPhone's throat with his Nexus One, the latter preparing a counteroffensive into Big G's mobile advertising dreamland (Quattro Wireless will fill a gap in Cupertino's portfolio).

** note that the iPhone-Omnia battle has recently shifted in favor of Samsung : if more than 240,000 iPhones have been sold so far, Omnia is now leading in daily sales. Very much like the lack of 3G played against Apple during its 2007 launch, rivals pointed out the lack of connectivity (WiFi but moreover and as expected DMB), but also dramatized the fact that you cannot replace batteries with an iPhone. Seeding doubt in consumer minds done, more positive messages could start passing. For instance, Omnia's DivX player more often mentioned.

Skype on your TV : home improvement ?

2010-01-06T05:56:00.010+01:00

mot-bile 2010 - Skype stole part of the Google show : if the Nexus One was already yesterday's news*, Skype is tomorrow's.

Because coming up this spring, Panasonic and LG internet-connected HDTVs will have Skype inside**.

OK. We're not talking major innovation there. Only smart bundling. And for the moment, it's either Skype or TV, so forget about chatting while watching a program, for instance a soccer game (heard the news ? there's a World Cup this year). But it should help videophony get a boost, and internet TV become as mainstream as it should be.

Next thing you know, some may reconsider using at home that other always on screen of theirs, a much more personal yet smaller and costlier one.

Former Skype owners eBay were left at the gate, but I'm sure they - among others - would love to take a shot at home shopping networks. Anyway, expect in a very near future more familiar logos sticked on every internet HDTV.

* see "Google Phone at hand, no kindling".

ADDENDUM 20100105 : on the official Google blog, Mario Queiroz, VP of Product Management
developped "Our new approach to buying a mobile phone" (or rather "superphones")
"through a new, simple online web store from Google".

** see Skype video on "Get Skype on your TV" (Skype - 20100105)

Apple Tablet, or iSlate, or Google Whatever

2009-12-28T06:18:00.009+01:00

What's in a domain name ? When a company takes an URL it's not necessarily to use it*. It can be a defensive move, for instance to limit noise around one of its brands.

Tracking domain names for major corporations is now part of day to day routine when you are into business intelligence, that's the reason why companies who want to remain discreet use a proxy. Arnold Kim just reignited rumors about an Apple Tablet to be launched early next year ("Apple Purchased iSlate.com in 2007. Apple's New Tablet Called iSlate?" - MacRumors.com 20091224), but iSlate happens to be the name of an Apple Store app...

... which doesn't change anything : the best way to protect a brand is to use it, and iSlate would make a nice brand to rival the "tablet" label (I can't see Apple marketing a "tablet device" any more than I can see it mention "PC" for its own devices).

Anyway Apple needs to propose a solution for scribblers, sketchers, and their readers. Google has yet to join the netbook party, but I can't see Google NOT working on some android thing or another in that field, and not just to fill the fabled 20 percent time.

ebooks, tablets, and related mobile devices are nothing new but they are bound to have a better decade than the one which is about to end.

mot-bile 2009

* I recently got rid of the bulk I owned after my registrar tripled the annual fees, and some have been snatched right away but that's OK.

UPDATE 20100118

Apple is expected to announce the entertainment gizmo (ebook, movies, music...) in an event on January 27th.

Korea : Onse Telecom wants to be a MVNO

2009-12-22T01:31:00.008+01:00

Onse Telecom announced its intention to become a MVNO by 2011, lobbying the National Assembly to pass the law obliging 3 incumbents to open their networks.

The landline operator boasted it could claim 5% of the market (about 2M customers), thanks to lower rates and "differentiating" offers.

I guess Onse execs are more interested in "diversification" than "differenciation" : VoIP is bound to hit seriously their core business in Korea (international voice services - ie Shinbiro calling cards), and all 3 incumbents are also integrated fixed-mobile players, only bigger : LG Telecom is about to follow SK and KT and to merge all its telecom units.

Differenciation through creative marketing ? Don't expect support from the new mother company : Taihan Electric Wire is into wires, fibers, powerlines... Onse itself delivers equipments and systems, even if it stopped its terminal manufacturing activity last year.

Onse Telecom is expected to post profits in 2009, but that will be a premiere after an eight year losing streak. Lately, they've mostly been converting third bonds with warrants into shares...

So the message is not "Onse Telecom wants to be a MVNO" as much as "if you want to become a MVNO in Korea, Onse Telecom can help you face the big guys." Of course they could leverage on their customer base, but they also enjoy a certain technical know-how, and the experience of interfacing with different network operators. So they could position themselves as the ideal MVNE, starting with themselves as the first customer.

mot-bile 2009

Free Mobile gets France's 4th 3G license, will offer VoIP

2009-12-18T12:54:00.007+01:00

mot-bile 2009 - French regulator ARCEP gave the final nod to Illiad's 100% (for the moment - see previous episodes including "Free: alea jacta est") subsidiary. Free Mobile gave all the guarantees needed and pledged to offer all web services on the mobile, including VoIP.

Also to be noted : total transparency for the cost of mobiles. Consumers will know when they pay for the devices or for the traffic... greenfield Free found a smart way of disturbing the local operators / manufacturers cuisine.

Overall, Free gets 382 points out of 500 : 55/65 for commercial offers, 64/100 for coverage, 20/25 for QoS, 54/60 for relationships with service providers, 22/25 for customer relationships, 22/25 for environment, 22/25 for employment, 56/75 for business plan consistency and credibility, 72/100 for project constistency and credibility.

In a nutshell :
. TTM / commercial launch : 2 years from now.
. coverage : just above the levels required for 3G (voice : 27% at launch instead of 25%, 75% after 5 years, 90% after 8 years instead of 90%), and a contribution to the common effort for 2G coverage of remote areas
. staff : from 1,000 (EOY 2012) to 5,000 (EOY 2018)
. M-VNOs : Free Mobile will accept up to 4 full m-vnos
. devices : offers without terminals, payment of terminals over few months
. voice : an access package including 3 hours of intraeuropean calls for less than 20 euros
. data : all offers include mobile internet access
. customer services : customers can contact for free consumer associations when they want to post a complaint ! The best way to relieve Free's hotlines and to get rid of the said associations !!!

Of course, Free Mobile's capital is as expected very likely to be raised to finance both 3G and FTTH, and that's been clearly specified in the proposal.

Next steps for the ARCEP ? Attributing the remaining blocks of frequencies : 5 and 4.8MHz in the 2.1GHz band (H1 2010 - open to any player), and the 800 MHz and 2.6 GHz bands for 4G (H2 2010).

"L'ARCEP retient la candidature de Free Mobile" (20091218) + slides presented during today's Press conference

TeliaSonera 4G LTE, with a little elf from my friends

2009-12-16T01:29:00.007+01:00

mot-bile 2009 - TeliaSonera launched commercially 4G LTE in Stockholm (Ericsson network) and Oslo (Huawei network) with a Samsung 4G USB key. Roll out will continue over 2010 : the 4 biggest cities in Norway, the top 25 cities and vacation areas in Sweden.

Of course, handsets are not ready yet, and the MNO makes good use of this technical and PR stunt to draw new partners : "Evaluation of suppliers for TeliaSonera's common 4G core network and radio networks in the Nordic and Baltic countries is in progress and vendors will be selected in the beginning of 2010*"... Too late to save the face of a well known Finnish vendor called Nokia. Sonera comes from Finland and TeliaSonera was awarded a license there last month, but the group is based in Sweden and proceeded with the Chinese champion along with Ericsson.

Of course, TeliaSonera is likely to select buyers as well as vendors. And the likes of France Telecom could also feel the 4G acceleration.

This operation has been smoothly run for months, without overhyping. TeliaSonera even launched ahead of schedule. No big deal. A non-event, almost.

Far from the complex launch of 3G by NTT DoCoMo but then again, technical, commercial, and political challenges were completely different.

And back then, NTT DoCoMo was claiming the world and calling smaller fishes to join his big pond. Here, TeliaSonera is clearly calling a bigger fish : hey Santa, please hire me in your workshop ! look, been a good elf, uh ? I showed you the goods, now show me the money.

* "TeliaSonera first in the world with 4G services" (20091212)

Google Phone At Hand. No Kindling.

2009-12-14T01:21:00.008+01:00

mot-bile 2009 - Nexus One is all over the web. Unlocked, open, bare, the gPhone will probably be cheaper than an iPhone... MNO subsidies not included.

MNO subsidies ? As Big G eventually takes on Apple & co on their core business, it decides to redefine the whole handset ecosystem : direct sales, operator agnostic, Dell Computer style, without the intel inside jingle.

Imagine a small M-VNO proposing competitive rates for data. All of a sudden, a bunch of nerds subscribe for their brand new Nexus and bring the house down. Far-fetched ? 3% of iPhone users generate 40% of the data traffic on AT&T's network, to the point the operator confessed : "we've got to get to those customers and have them recognize that they need to change their patterns or have to face other things" (see "AT&T may penalize iPhone users who hog data"). In other words : be a good customer, but not too smart. or else... "face other things". Whatever that means. Maybe some big guy with a slight Italian accent will come with a baseball bat and redesign your knee caps, or upload a creative application on your face.

Nexus One makes a lot of people nervous. Some even consider lawsuits : if Google inaugurates itself the next version of Android, the newcomer may face charges of anticompetitive behavior, even if it only sells one device.

I'm looking forward to an interesting 2010 year : Apple facing full-fledged competition, Nokia going at Blackberry's throat... and Google releasing its Kindle.

Because that's basically the same story for Google and Amazon : beyond the device (the "Google outside", if you prefer), the aim is to understand the whole value chain and to secure future revenues in a field that's bound to represent a great chunk of the core business in a very near future.

The main difference : Google are not into distribution, IRL.

AOL dot nothing ?

2009-12-10T07:16:00.005+01:00

mot-bile 2009 - The spin-off of AOL from Time Warner is operational. A giant leap for Tim Armstrong, who must now be focusing on finding new partners before the incredible shrinking company becomes too passe. I hope he's got a powerful search engine...

Who wants to marry a former billionaire with a new name (AOL Inc.), a new logo (Aol. nothing), a couple of valuable web brands, a few million ISP customers... ? Ring my bell, says Tim. And he'll be doing just that, himself, at the NYSE this Thursday morning.

It does raise the image of the Salvation Army but precisely, something Dickensian could happen - you know, the down-and-out-then-back-on-top kind of tale... ?

Google.co.kr stopped the diet

2009-12-09T02:32:00.006+01:00

This is google.co.kr in English :

The same URL, Korean version ? Ta-daaa :

OK... looks like a weak North Korean attempt to compete with the flashy and animated homepages of local rivals Daum or Naver, but that's a giant leap for Googlekind. Images beyond the logo - heck, actual photos ! - an embryo of menu, some bits of news... Plus 2 small PNGs to catch your eye :
- (top) the little house on the prair-e to reach your iGoogle page
- (bottom) a "+" which becomes a "-" when you click it : Big G then unfolds its own menu of services without refreshing the whole page

Time is money. Google used to prove it by skimming all fat tissues from its most essential URL, but now they're following the adage in a different meaning : let's not waste time catching up with leaders, even if it means bending sacrosanct rules.

But if low carb homepages are history in Korea (and probably Japan and China, where Big G's market shares are also below "normal"), "don't be evil" is still standing.

For the moment.

mot-bile 2009

---
ADDENDUM 20091211

According to Joseon Ilbo, Rankey estimated that the new Google homepage, launched on Friday the 4th, gained 83% Saturday (reaching 921,000 visitors), plus 29% Sunday, plus 9% Monday. No comparisons were given with the previous week.

iPhone rocks Seoul and sacred cows

2009-11-29T09:45:00.006+01:00

KTF will probably sell between 300,000 and 500,000 iPhones in Korea, and Apple make a big splash for Christmas.

The buzz has been building up for many years, people have been massively preordering iPhones (over 60,000 units, to be compared to an estimated 400,000 base of smartphone users in Korea), and well ahead of the official release (yesterday), massively purchasing iPhone accessories.

As we mentioned before (see "iPhone wakes up Korean mobile internet market"), Apple will probably be associated with a boom in usages which should have happened much earlier : it's less a matter of design and hardware (Samsung and LG handsets have caught up in user experience), than a litany of missed opportunities, protectionist regulations, and terrible marketing (dissuasive pricing for data, app stores launched much too late...).

If Korean operators and manufacturers have no one to blame but themselves, at least KT / KTF will enjoy the exclusivity for awhile. And the context is perfect : hipsters don't have much choice for Xmas, all high tech fields considered. There are fantastic TVs out there, and the World Cup is coming soon, but that's a completely different range of prices.

Speaking of which... a "basic" iPhone 3GS 8 giga costs KRW 132,000 (about USD 112.6) for a 2 year subscription at the "basic" rate of KRW 45,000 (about USD 38.4 - the kind of basis many MNOs would love to boast). The 32 giga reaches KRW 365,000 (about USD 311), but the price goes down to KRW 264,000 for subs with a KRW 65k plan, and to zero for premium customers (KRW 95k / mo).

That's much more aggressive than what competitors expected, but Apple and KT obviously learnt a lesson from China, where the device struggles. Apple didn't want to fail in the homeland of two major rivals, and decided to forget about short term rentability.

What does it leave for rivals, beyond negative campaigning ? Differentiation by technology ? There's no DMB on iPhones, and that's the key techno for mobile TV in Korea... for the moment. And SKT customers pay for DMB TV, not KT customers...

You get it : the only way is to join the price war. In other countries, rival operators could counter the iPhone with a wider range of terminals but here, LG and Samsung control 90% of the market. Samsung and SKT united to discount iPhone rival Samsung Omnia2 to the max, dividing the price by two or three, and giving it away for subs who pay KRW 95,000 per month. The beauty used to sell for KRW 900,000, and incredibly enough, price cuts only started a few weeks ago, and by not even 15% ! So instead of acting as leaders and making the most of their window of opportunity, they wasted it milking the stupid cow.

By the end of the year, that will change. And the local smartphone market shall look a bit smarter.

mot-bile 2009

Femtosat, but not seamless yet

2009-11-26T02:21:00.011+01:00

Covering France has always been a headache for operators : unlike in the UK, population is very much dispersed, and 75 million visitors roam the country every year with a special fondness for bullet trains, mountain hiking, or kayaking down remote valleys.

Curing the great "digital divide" between broadband France and forsaken France became a national cause, local administrations pushing their own agendas to prevent businesses from leaving their regions, and national authorities forcing operators to pool resources in non-telecomly-strategic areas... As of today, total unbundling is available only in 30% of France Telecom POPs, and even Paris is struggling : rolling out FTTH remains a painstaking process from one old building to another.

As far as 3G is concerned, SFR is supposed to cover 90% of the population and 98% by 2012, but remains closer to 80%. Orange is not respecting its own obligations either. Bouygues Telecom ? even further downhill... Many wonder how potential newcomer Iliad Free could roll out a brand new nationwide 3G network...

But for the public, all 3 incumbents are seen as Scrooges : either of the Scrooge McDuck kind, sitting on a mountain of money and refusing to spend it, or of the Ebenezer Scrooge kind, bitterly sitting in the dark while everybody else expects Santa Claus Free Mobile for Christmas.

SFR obviously refused the role and announced two innovations for this week (for the moment, same brand but different worlds) :

=> a Satellite Internet Pack with Eutelsat (from EUR 29.90 / month for a not so broad band - max 3.6 Mbps and 4.7 GB -, but unlimited browsing between 11 pm and 7 am)

=> a femtocell quad play booster, Home 3G (via SHD, a.k.a. Société du Haut Débit, a SFR / Neuf Cegetel unit). Theoretically, Home 3G's EUR199 adaptor can be plugged on any ADSL box, but not all equipments will be compatible :

4 SFR 3G subscribers will be able to communicate at the same time on the same femtocell, but if they fully enjoy the service from day one, they may adapt their usage after receiving the first bill... and reconsider the virtues of the ADSL box they had in the first place.

Nevertheless, the best defense is a good offense, and being the first to strike at the macro and micro level necessarily paves the way for the next steps.

mot-bile 2009

Mating season for media : Steve & Ruppert / Time Inc, Conde Nast, Hearst & Meredith

2009-11-25T08:56:00.012+01:00

Gossip of the day : Hearst heart Time heart Meredith heart Conde Nast. It heard it through the newsvine, or rather the NYT : "Group of Magazine Publishers Is Said to Be Building an Online Newsstand", the fabled "iTunes for magazines". The New York Times itself being an item on the Amazon Kindle platform*.

The previous day, the same NYT had a story about that flirt between Murdoch and Balmer : jealous of Google's curves, Baldy would like to keep the moghul's treasures for himself : only Bing would be able to reach inside its pages**.

In Korea, courting may turn predatorial : antitrust laws allow press groups to develop bigger TV channels. Big fishs are literally venturing into / vulturing around the pond.

The hate / love relationship between traditional media and new media remains in this transitional phase when nothing seems to be granted, even for major stars. No one seems to be sustainably bankable.

So major studios people tend to cling to behaviors they feel comfortable with : investing in the latest technologies to appear up to date, promising blockbusters with Ocean's Twenty Six castings... but they still have no script, no storyboard, and no director whatsoever.

So what they're basically trying to do is to put everybody together for one night in some sort of Kodak Theater, betting on favorable buzz outside and last minute deals inside, forcing smiles and spotlights to the point no outsider may notice the collection of butcher knives.

mot-bile 2009

* Speaking of platforms and music : Brian Stelter also mentions in his article YouTube's Vevo music video platform.
** "News Corp. Weighs an Exclusive Alliance With Bing" (NYT - 20091124)

Sonyntendows, beware : Freebox now a game console

2009-11-20T05:59:00.005+01:00

mot-bile 2009 - First a set-top box remote control looking strangely like those you play basic videogames with on a boring flight, then some new games, now a developer toolkit... the gaming war is definitely on between French MSOs, and Free-Iliad wanted to shoot first, ahead of Xmas and of likely anouncements by SFR & friends (Universal). Ahead of December the 17th, too, the date when regulator ARCEP is expected to deliver its verdict for France's last 3G license.

Freebox should by no means be likely to compete with Sonyntendows (Sony, Nintendo, Microsoft). But as an enabler for low end gaming experiences, an emulator, it could have some impact. Game console manufacturers cannot expect to rule over The Big Screen as easily as they used to. Besides, The Big Screen is already as much a PC monitor as a game console monitor, when it's not already itself an internet enabled device.

The only question that seems to matter is the future of what is still called video game industry. Some day, players will have to move beyond the old PC/Mac - Sony/Nintendo/Microsoft - Java/BREW comedy. Without rejecting as false the choice between safety and ordeals.

More to come before Game Developers Conference 2010, next March in San Francisco.

Gizmo5 found its Google Voice

2009-11-16T10:00:00.006+01:00

Skype owners were considering snatching Gizmo5 as a B plan, should the legal matters with founders turn nasty.

Turns out Gizmo5 had a G plan : Google showed them the money, made a star of founder Michael Robertson, and yes, "Google Welcomes Gizmo5".

Gizmo5 welcomes visitors on its website with the less enthusiastic "Gizmo5 Has Been Acquired by Google". Note that "New user signup has been suspended and will return when we re-launch" Gizmoogle6.

Now that it owns a PSTN entry point, Google Voice will probably make use of its Dark Force : the fabled "dark fiber" it's been piling up and laying out everywhere.

Now let's see how cellcos swallow this VoIP doubledecker.

2010 should be an interesting year for anti-Big G movements (i.e. in the book section, Google may face a global front after reaching an agreement with the US Authors Guild).

mot-bile 2009

UPDATE 20100219

See this video from "Google Voice, Explained" (Google Voice official blog 20100219) :

iPhone Worm Raises Its Ugly Head : Rick Astley

2009-11-09T01:27:00.004+01:00

Worse than I Love You ? Never Gonna Give You Up.

Rick Astley made history as the first iPhone worm... down under. Not in the charts, but in Oz land : victims are plagued with Astley wallpapers on their handsets*.

After Monty Python's SPAM, England brings us another laughingStock (Aitken, Waterman) for online generations to come : the ultimate musical junk from the 80s already gave its name to "Rickrolling".

Why Astley ? Because Ashley. "Ashley Towns, a 21 year-old unemployed programmer from Wollogong, Australia", guilty for creating the worm and furthermore, for his terrible musical taste.

mot-bile 2009

* "First IPhone Worm Spreads Rick Astley Wallpaper" (PCWorld - 20091108)

Free: alea jacta est

2009-10-29T13:43:00.004+01:00

Unsurprisingly, Virgin Mobile / Numericable / Bollore & Co didn't bid for France's 4th 3G license*, leaving Free Mobile as the only official candidate.

"Free Mobile" is neither Free nor Iliad but a special vehicle (100% Iliad) likely to welcome new investors on board... should it win.

Losing a beauty contest of one would be embarrassing. Not finding MNOs eager to invest and bring some know-how after winning could be even more embarrassing.

ORASCOM dropped from the race earlier this month but remains as deep-pocketed as a few days ago. Other players stay tuned, including MVNOs.

French regulator ARCEP should give its verdict by Christmas. Free targets a Time To Market 18 months later.

French consumers also expect gifts from the new entrant, but incumbents will probably anticipate as well, donning brand new Santa Claus suits a few months before #4's arrival on the market.

mot-bile 2009

* see Iliad's 20091028 communique

In Google times, where are the operators ?

2009-10-07T09:08:00.011+02:00

Google and Verizon Wireless will release several Android devices every year, starting with two in 2009 (courtesy HTC and Motorola), contributing to a global roaster of 18 gizmos for this OS.

Microsoft announced 30 Windows Mobile 6.5 devices by EOY 2009. It speaks volumes of Redmond's intentions to remain ahead of Apple in smartphones. Or to remain in smartphones altogether.

Ever the sexier BlackBerry announced the Storm of the century and new Curves.

Meanwhile, Kindle goes global : Amazon intends to become the worldwide cultural leader before Apple makes its splash in the ebook reader / app space.

We're talking platforms and OS but Amazon is into grocery, Google into advertising, Microsoft into healthcare (a cash cow for antivirus labs). BlackBerry ? A "manufactoperator" which somehow succeeded in opening itself without losing its consistency.

Nokia "pushes" Symbian as a Wikipedia style fundation, Palm "WebOS" as a more or less open platform (open as in up for grabs ?)... but the mojo seems to belong to the Open Handset Alliance, the movement supporting Android. Verizon Wireless is not even a member, and SonyEricsson could be jumping on board anytime soon, along with other nondescript manufacturers and operators.

The OS wars are not over. They're simply getting more boring. Differenciation will at last converge towards that forsaken player, the user.

3DTV, 2D screens, 1Dollar from the referee

2009-10-05T02:03:00.006+02:00

Imagine the referee, in the middle of the game, paying from his own wallet new recruits to improve the quality of play.

In Korea, convergence is also about blending roles : mobile operators can become banks, and regulators invest directly in new technologies. Well, isn't it about regulating the pace of innovation ?

In that field, Korea Inc. usually needs to be cooled down but when it comes to 3DTV, the country's lagging behind Japan, even if LG released a product last summer.

So the KCC will invest KRW 2 bn (1,000 Korean wons = about USD .85 these days) to facilitate the first 3DTV commercial tests in the country in 2010. Too late for the World Cup ? Officials are rather mentioning the 2011 IAAF World Championships in Athletics, to be held home in Daegu (good PR), and the 2012 London Olympics. The actual target for worldwide recognition and mass market HDTV.

mot-bile 2009

AOL, Time, Warner

2009-09-30T03:02:00.007+02:00

AOL keeps shopping at Google to prepare its spin off from Time Warner : Shashi Seth will be Senior VP of Global Advertising Products, serving under President Jeff Levick (formerly Google) and AOL CEO Tim Armstrong (formerly Google). AOL itself shall relocate its headquarters in Mountain View, CA (always Google).

Still mother company Time Warner is expected to get rid of its other "half" : a Capital Group director gave more than a few hints about a Time Inc. spin off, leaving basically Warner on its own.

OK. Warner Brothers (Warner Bros. Interactive Entertainment, Inc. - wbie.com ) still have many gems, HBO, CNN, Warner Brothers Games or the newly formed DC Entertainment Inc., a superhero vehicle to counter the Disney-Marvel League. Furthermore, getting rid of paper along with the industry's massive (but everyday more cashless) flow now could land them on a green paper mattress of around half a dozen billion bucks or more (why not from Google, now that lifeless LIFE Magazine archives are on Google Books ?).

TIME may be struggling, the brand remains... timeless. And the Warner group would be brandless : its umbrella has already been torn away in 2004, when Warner Music Group left. That day, Edgar Bronfman, Jr. made a comeback Steve Case will never try - too much involved in mortarizing his native Hawai'i thanks to his clickally owned billions, and in his Case Foundation (basically, a foundation fundraising enabler - fooled me once...).

All major media / entertainment groups need to refocus, but this major is not really keeping a... major. I mean they more into distribution than media, more into production than creation, more into rights and franchises management than brand management. Harry Potter is a beautiful franchise and the final (double) movie will probably break all records but it's not as if they owned it. And Harry will neither resuscitate Warner, nor resuscitate, period.

Don't worry. Warner will stay afloat for awhile*. But I hope they have other ambitions than exposing "Adult Swim" to entertain us.

* particularly if they keep discarding BUs... need a broom with a (Mountain) view ?

iPhone wakes up Korean mobile internet market

2009-09-25T03:26:00.015+02:00

Amazing : Korea, a world leader in mobile innovations in the early 2000s, Korea, still nowadays the land of broadband and home to such IT giants as Samsung and LG, Korea is lagging behind European countries in both IPTV and mobile internet.

As we saw with IPTV (see "IPTV in Korea, an update"), lobbying and regulation played an important part in this paradox, and the country is finally trying to fix the bug.

For mobile internet, the first opening came last year with the abandon of WIPI (Wireless Internet Platform for Interoperability) as the mandatory platform for smartphones, opening the market to Blackberry and other players. Today, we can hardly speak of a shift from an industry-based to a consumer-based regulation, but the Korea Communications Commission (KCC) just cleared the way for iPhone in Korea by stating that Apple, after all, doesn't need an extra license for Location-Based Services as long as there's a MNO with the relevant license in the loop.

KT is expected to launch the iPhone in the weeks to come (October or November), and to subsidize the device down to a retail price of around KRW 240,000 (about USD 200). Apple wants more than the 300,000 units announced by its Korean partner, who will have to release its own KT Apps Store ahead of the iPhone in order to mark its territory. In order to leverage on the operator's strong leadership in fixed and fixed wireless services, KT's apps will be downloadable by Wi-Fi.

Competitors have been bracing themselves for the iPhone, fearing market disruptions : wireless leader SK Telecom opened the first App Store earlier this month. But unfortunately, "T Store" has been bashed by the critic : users can browse as much as they want on their PC (tstore.co.kr - about 6,500 references), but can only download apps via their 3G phones, and via 3G only (not Wi-Fi). Worse : the price doesn't include connection costs ! Needless to say the service is WIPI-based : SKT is the mobile leader and bets on a wider installed based from the start. I can already see marketers scratch their heads : we want our customers to rediscover their own handsets and find them sexier than the ultimate hype machine... good luck ! Needless to say T Store won't remain WIPI-based : SKT plans to go "global" within two years and to generate a 1 trillion won turnover in 2013. If SKT maintains its 30% cut, we're talking about over half a billion bucks. And since SKT happens to be also a major content provider, that's a rather conservative estimation... provided the store succees, of course.

Korean developers will have fish to fry, as well as the editors' sectoral federations (ie games), in charge of okaying new apps. Furthermore, Microsoft is also roaming the country to snatch some gems (USD 19M planned for game developers over the next 4 years).

Netcos have been barred by cellcos but grow new ambitions, like NHN for its "web" brands. Beyond Naver, NHN wants to push Me2Day, a K-"twitter" acquired last year and already on iPhone.

Now How about endusers ?

Mobile TV is very popular but doesn't require 3G. And wireless internet echoes more Wi-Fi / WiBro than 3G. Even if half of the core target (12 to 59 year-olds) is somehow using services, mobile internet over 3G remains ways too expensive, and most players would like operators to slash connection costs, particularly to welcome revenues from social networking platforms. MNOs already had to undergo significant cuts in calling charges, but their rates remain high and the percentage of turnover made on wireless internet very low (below 20%) compared to advanced European nations (in the mid 30%s).

Usages are bound to soar once MNOs accept to share more with the rest of the ecosystem, to grow a much bigger pie. All together, now.

ADDENDUM 20090927

More precisions regarding the cuts in mobile charges (announced this week-end) :
- wireless internet basic rates : 50% reduction for LGT, 88% for KT. To be defined for SKT, but from next March on, the leader will calculate call charges per second (every 10 second now). note that Long Distance has disappeared in Korea : calls within Seoul and outside will cost the same. VoIP also gains ground, even if rates are not as slashed as in other countries (ie nothing is actually free).
- basic access fees slashed (KT : from KRW 30 to 24,000 - SKT : from 55 to 44,000)
- loyalty discounts (KT 5,000 / mo, SKT up to 22,000, LGT up to 25,000) - NB: all 3 MNOs have also triple play discounts. Logically, #3 LG Telecom (mobile portal brand : Oz) is the most aggressive player.

Amazon Basics : private label, low profile kick-off

2009-09-20T09:02:00.010+02:00

If you visit Amazon.com store this week-end, Kindle remains on the top shelf of the Electronics section. The Top brand, with 171 references, is Amazon, but that's mostly Kindle stuff (the grey machine itself surrounded by more colorful accessories). No mention of AmazonBasics here.

If you want to get products from Amazon's new private label*, you have to type the direct URL amazon.com/AmazonBasics. And you'll get is really basics : blank media (ie DVD) and accessory cables branded Amazon. No-frills, smartly marketed as "Frustration-Free Packaging" ("a multi-year initiative designed to alleviate "wrap rage", featuring recyclable boxes that are easy to open and free of excess materials"). Even IKEA is more direct : we're just bringing the costs down, who cares if the packaging looks poor ?

Oviously, AmazonBasics is designed to alleviate Wrap rage from Amazon providers : we're not tapping your cash cow see ? We're only competing with your cheapest competitors, making up for the decrease in CD and DVD sales. For starters.

But everybody's got the message : we're there now. If Amazon becomes your "blank media" provider, and your "non blank media" publisher (ie CreateSpace), it can fill a few other blanks in the process.

Smarter products and services may follow.

* "Amazon.com Introduces AmazonBasics" (Amazon 20090919):

"We saw an opportunity to create a line of consumer electronics basics that combine quality and low prices for an overall focus on value," said Paul Ryder, vice president of Consumer Electronics for Amazon.com. "We drew on our history of developing other private-label brands and combined that with our mission to give customers the ultimate in selection and value. AmazonBasics is the result. We will continue to gather input from customers and evaluate opportunities for new products under the AmazonBasics brand. We aim to offer our customers as wide a selection as possible, and we think AmazonBasics makes a great addition to the brands we already carry."

Gotcha ! Google learns to read with reCAPTCHA

2009-09-18T01:33:00.004+02:00

If you leave a comment on this page, chances are you'll face a CAPTCHA box. This "Completely Automated Public Turing test to tell Computers and Humans Apart" prevents robots from spamming. If you pass the test, you'll face a human being, Yours Truly. And since my platform is Blogger (a Google unit), CAPTCHA provider will eventually be reCATCHA, the company purchased by Google yesterday.

Each time Microsoft or Google snatches a start-up, conspiration theorists try to decypher the CAPTCHA, as in "Completely Automated Private Takeover to tear Competitors and Humans Apart".

This time, Google provides the key on its blog* : they need the technology to capture our own know how in text recognition for its own document scanning processes, most notably for Google Books, which recently claimed a spectacular partnership with one of its former opponents, the Bibliotheque Nationale de France.

Who knows ? The system could also boost other applications in the long run... Writing to speech ? At times I'd love to find a tool to decypher my own scribbles.

* "Teaching computers to read: Google acquires reCAPTCHA" (20090916) :

" Computers find it hard to recognize these words because the ink and paper have degraded over time, but by typing them in as a CAPTCHA, crowds teach computers to read the scanned text"

ADDENDUM 20090919

Since this post received yesterday a visit from Carnegie Mellon Algorithms and Complexity Theory Group, I shall add, for full recognition, that reCAPTCHA happens to be a spinoff of Carnegie Mellon University’s Computer Science Department.

Crouching Snow Leopard, Hidden Booklet

2009-09-09T03:09:00.011+02:00

According to GfK, Apple knocked Nokia out of the second spot in France last July : Samsung still led with 27% of the market (in value), but Apple reached 25%, leaving Nokia far behind with 16.9%. In volumes, the Samsung - Nokia - LG trio (36.1% - 21.7% - 12.1%) remains well ahead of Apple (8%).
As we saw earlier (ie "Nokia's Ovi Store - a follower-leader"), the Cupertino brand's rise as a power player in smartphones met surprisingly little resistance from the Finnish giant.

But Apple is not neglecting its original business. Snow Leopard upgrades come for as cheap as $29, sending the right message to people stuck to Windows or considering Windows 7 : don't think of it as just a one shot operation but a completely different customer experience and value proposition, guys. We're cheaper, upgrading is cheaper with us, and guess what, upgrading can even free some space on your laptop !

It would be cruel to mention Nokia's $850 Booklet 3G Netbook after that but I have to. Maybe it's a good product. It has all the connectivity and security you can dream of, but it's very expensive.

So is this asymetrical war over ?

No : Nokia has the global power to refresh parts other manufacturers cannot reach, and enough brain to consider hiring new marketers. Furthermore, Apple is enjoying the success of one line of devices, very much the way it did back in the eighties. It is not fit to lead in technology, design will pass away, and the Apps editor / retailer dimension is becoming less and less differentiating. Differentiation itself is getting more and more challenging. Besides, Apple will not win the OS war, and this time he will not be defeated by a quasi-monopoly : the industry shall settle for commoditization on a more open basis... preferably not Google's Android but some may go for the quick fix, anything to get outta here.

That said, in the short term and medium term, Apple's position remains definitely more comfortable than rivals who keep planting seeds everywhere, bracing themselves for the next champions from China.

Umbrellapps : iPhone but you can't VoIP

2009-08-24T13:19:00.008+02:00

James W. Cicconi wrote a letter to Ruth Milkman on August 21, 2009, received on the same day (confirmation # 2009821776906).

In "AT&T Response to Wireless Telecommunications Bureau Letter, DA 09-1737 (July 31, 2009); RM-11361; RM-11497", Senior Executive Vice President, External and Legislative Affairs, AT&T notified Chief Wireless Telecommunications Bureau, Federal Communications Commission a few things:

- We read in the paper that Google Voice application to the Apple App Store had been rejected. AT&T was not consulted by Apple in the decision process.

- BTW : what is "Google Voice" anyway ? What lies behind that strange "umbrellapp" ? We had a quick look at their website and "'Google Voice' appears to be an umbrella term used to describe a collection of different services". Interesting, isn't it ? "AT&T expects that Google will provide a complete description of Google Voice in response to the letter it received from the Commission and we look forward to learning more about Google Voice based on that response".

- Maybe it has something to do with that other "Google Voice application specifically for BlackBerry devices, which AT&T customers may download from the Google Voice website. AT&T does not disable access to or use of this application". Who knows ? Anyway, any AT&T customer may use Google Voice on his or her iPhone without passing by that store, via web browsing. So maybe AT&T did some research on this weird app after all.

- AT&T and Apple do discuss about App services, including with third parties, to fix technical issues. And AT&T does have its say sometimes : "AT&T has discovered applications in the Apple App Store (after they had been approved by Apple) that raised concerns about the potential misuse of certain AT&T services or customer information. AT&T alerted Apple to our concerns and, in two cases, Apple referred AT&T directly to the application providers to discuss whether the concerns could be resolved. In the third case, AT&T understands that Apple addressed the matter with the application provider".

- and oh. "AT&T and Apple have an agreement regarding Voice over Internet Protocol (VoIP) functionality. Apple also is aware that AT&T’s wireless data terms and conditions prohibit subscribers from redirecting television signals." So we put on the same level VoIP and TV broadcasting. Maybe AT&T doesn't want VoIP because DRM issues are not solved yet for private conversations. Go figure...

- come to think of it, Amazon made a similar trade-off with its Kindle : no voice, but no monthly charge for connectivity. So not adding calling feature to an ebook reader would be equivalent to preventing a smartphone from making smart calls.

Here I want to mark a pause and applaud the poet(s) who wrote this beautiful sentence : "It is widely recognized by economists and jurists that parties to strategic alliances in competitive markets may enter into contracts to promote and protect their respective business interests and to refrain from taking actions adverse to those interests."

You liked it too ? There's a bit more of it until the next comma : "Consistent with such lawful, economically efficient practices common among parties to strategic alliances, including participants in the mobile wireless marketplace,". Now AT&T can deliver the news : "AT&T and Apple agreed that Apple would not take affirmative steps to enable an iPhone to use AT&T’s wireless service (including 2G, 3G and Wi-Fi) to make VoIP calls without first obtaining AT&T’s consent. AT&T and Apple also agreed, however, that if a third party enables an iPhone to make VoIP calls using AT&T’s wireless service, Apple would have no obligation to take action against that third party."

So basically AT&T and Apple agreed on a block of all VoIP applications on iPhones, except via exotic Wi-Fi access.

VoIPoiPhone ? Not OK

VoIPoWiFi ? OK, even on iPhone

VoIPoiCantSeeHowRightNowButSomewhereaGeekMayFindAWay ? Try me, but don't sue me.

Nokia Maemo 5 - Nokia RX-51

2009-08-13T04:55:00.006+02:00

Paparazzi keep spamming the media with quasi official pictures of Carla-Nicolas romantic summer, or sneak peeks of Sylvio with Noemi, Patrizia, Maria, Claudia, Anna, Loretta, Rosetta, Carla (another one), Alessandra, Donatella, Paola...

Geeks prefered to browse* snapshots of Nokia RX-51, a.k.a. Nokia Maemo 5, a slim linux-based tablet that can take photos and probably call.

The Maemo community (maemo.org) claims 16,000 registered members and 700 projects. A far cry from Symbian, but Nokia is first of all into manufacturing phones that sell, and they are also working with Intel on oFono (ofono.org - open source telephony).

* ie on engadget : "Nokia RX-51 tablet captured in the wild"

Star fees and Hutch

2009-08-10T05:02:00.009+02:00

Hutchison Whampoa is selling its 51% participation in Partner Communications (to Scailex), which seems to make sense as far as geography and marketing are concerned :

- the Israeli operation carried the Orange brand

- the group operates in Europe and Asia-Pacific :
. via "3" : Austria, Croatia, Denmark, Ireland, Italy, Sweden, UK, and Australia (the new 50/50 Vodafone Hutchison Australia JV runs both Vodafone and "3" brands),
. via Hutchison Telecom International Limited / HTIL : Indonesia as "3", Sri Lanka and Thailand as "Hutch", and Vietnam as Vietnamobile
. via HTIL's spin off Hutchison HK Holdings / HTHKH : Hong-Kong & Macau as "3".

"Hutch" as a brand has been dead ever since the group sold its participation in India (see "3GSM 2007 - A brave new World ? A new and improved Vodafone ?/em>"). Lately, Sri Lanka and Thailand operations have been struggling in most unstable contexts. HWL shall either try to dump them or to switch to "3", as the hybrid logo in Thailand seem to tell. Without India (now Vodafone Essar), Sri Lanka has a relatively limited potential : 20 million inhabitants vs 63 for Thailand, 86 for Vietnam, and of course 237 for Indonesia.

Switching from CDMA to GSM in Vietnam costs a lot. Rolling out networks in emerging countries costs a lot. Competing in the handset arena, even with smart solutions*, costs a lot. Running operations in highly competitive, saturated markets in Europe as well as Hong Kong, costs a lot. And this conglomerate is not as ripe with cash as it used to be.

Rumor has it more dividends could be shed. Such a counterproductive heresy should be counterbalanced with counterproductive promises of productivity increases. Depending on a financial holding can be such a drag.

* Facebook, Skype, and now Twitter shortcuts : after the INQ1, the group announced the INQ Mini 3G, along with a INQ Chat 3G with a full keyboard

IPTV in Korea, an update

2009-08-06T08:22:00.010+02:00

Korea Communications Commission (KCC) is now one year old, and IPTV eventually gaining ground.

Korea's 3 IP operators totalled 595,000 IPTV subs at the end of July 2009. They're still dwarfed by cablecos (ie CJ Hello Vision boasts about 800,000 cable TV subs, C&M 700,000), but they gained 26% in one month and 58% over the past two months. And cablecos are feeling the heat as IP players plan to extend the technological wars into new territories.

As we saw earlier*, Korea's 3 IPTV players are also Korea's 3 MNOs. They cannot market VoIP as aggressively as they'd like to, nor propose as wide a choice of TV channels as cablecos, but they keep extending their TV offers, and their triple play offers are claiming new converts.

With 22% of the IPTV market, SK Broadband (SK Telecom) is still lagging behind Qook (KT/KTF, 46%) and LG Dacom (LG Telecom, 32% MS), but it led the small pack with a 35% market share for July and at such a pace, positions could very much change dramatically before the end of the year.

KT intends to remain confortably at the top, and will put more pressure on its competitors by pushing voice over WiBro.

Stuck with cdma2000 for 3G, LG Telecom is speeding up the preparation of LTE (announced for 2013), with the help of its cousin LG Electronics, who will provide NTT DoCoMo with "4G" chips as early as next year for the first LTE devices. LG Telecom can also count on Qualcomm to quicken the transition from cdma2000 to LTE.

In partnership with the National Information Society Agency (NIA), KCC recently announced "Giga Internet" service trials for 2,000 households by the end of 2012. The idea is to lift Korea Inc from the 100M "standard" to 1 Giga all the way across the value chain, with new networks, new devices, and new IPTV services (3D, multi-angle, HD Home CCTV, TV multimedia messenger...). One consortium will be led by KT (the leading "telco") and the other by CJ Hello Vision (the leading "cableco").

Concentration seems bound to accelerate. Most Korea Cable Television and Telecommunications Association (KCTA) operators are not fitted for this kind of race, and some players may be up for grabs for powerful new entrants : controversial new media laws allow press groups and conglomerates to invest in broadcasting, and not all of them may be satisfied with a partner's seat.

mot-bile 2009

* see "One stop selling", "IPTV wars and WiBro truce", "IPTV in Korea"

Korea Semicon United v. Chaiwan Reunited

2009-07-28T02:21:00.006+02:00

Recently LG and Samsung have been enjoying spectacular sales overseas as the Korean Won slumped against other currencies. But Wisely, Korea Inc. has also been massively investing in R&D during the downturn.

The Government wants to go even faster and seize the opportunity to diminish dependence on foreign components key to the IT sector. Yesterday, the Ministry of Knowledge Economy announced that it would contribute to 51% of a KRW 13.3 bn (USD 10.7 M) project in semiconductors which, down the line, may turn KRW 300 bn yearly imports into KRW 300 bn yearly exports*... and whatever the outcome, will result in the creation of new jobs at a most crucial moment.

More than money, the Government seems to be providing a new R&D ecosystem with a set of fair play rules : the most spectacular dimension of the project is the unprecedented alliance of IT rivals Samsung Electronics and LG Electronics on "global digital TV receiver chips", LG developping the core chips and Samsung testing and producing them. Burying the hatchet in this most strategic field could speed up innovation and boost the tandem's overall global sales for many key devices.

The State will also finance 58% (KRW 2.8 bn / 4.8 bn) of a project where SK Telecom shall develop a wireless connectivity SoC for smartphones (WiFi, GPS...) with local chipmakers and system-on-chip expert Xronet.

Korea cannot afford to waste time and energy as China is de facto absorbing Taiwan's industry. They can't compete in volumes in the long term, but need the capacity in order to remain one step ahead in innovation.

This may not sound disruptive, but it's a giant leap since the times when Korea invested in a company called Qualcomm...

Bringing speed and decisiveness, now that's good politics.

* see "Samsung, LG, SK Telecom to develop advanced semiconductors" (20090727 Yonhap)