Cisco Visual Networking Index Survey Finds U.S. Consumers Watch More TV, Mobile Video Than Germans, Swedes or Urban Chinese
see also Visual Networking Index (VNI) Pulse Survey
Cisco today announced the first phase of results from a new Visual Networking Index (VNI) Pulse Survey designed to assess worldwide consumer video behaviors and attitudes. The study, conducted by the Center for the Digital Future at the University of Southern California Annenberg School for Communication and sponsored by Cisco, highlights consumer video consumption and attitudes about video in the United States, urban China, Germany, and Sweden. Survey respondents answered questions regarding their level of access to media technology, the devices they used for viewing video, the amount of time they spent watching video on different devices, and the reasons they watch video content.
Cisco® VNI Pulse activities provide qualitative views of network-based consumer video-usage patterns and trends through direct data collection (see Cisco VNI Pulse political survey). This research complements the latest Cisco VNI Forecast, which provides quantitative data and projections for global Internet Protocol (IP) networking growth and video usage based on Cisco's analysis and independent analysts' forecasts.
For this initial phase of the study, more than 1,000 consumers from each of the four target countries completed online or telephone questionnaires about their video usage during the month of November 2008.
Key findings
U.S. consumers watch the most TV: an average of 3.8 hours per day. Germans watched 2.9 hours on average; Swedes, 2.1 hours; and urban Chinese, 1.8 hours.
Urban China has the largest percent of users who watch online video via their PCs, at 97 percent, with the U.S. following at 81 percent.
The U.S. has the largest percentage of users watching video on a mobile phone, at 23 percent.
U.S. respondents who watch video on their mobile phone spend an average of 36 minutes per day doing so.
Eighty-five percent of the German respondents are interested in viewing Internet video on their TV sets, compared with 55 percent of Swedes, 54 percent of Americans, and 35 percent of urban Chinese.
U.S. respondents watch 2.5 times as much professional video content (TV programs and movies) as they do user-generated video content on their PC or laptop. German respondents watch twice as much user-generated video on their PC or laptop as they do professional video content.
On average, American respondents who use a PC or laptop to view video spend 1.5 hours per day doing so. They are well ahead of the Swedes (who spend 0.7 hours per day), equal to the Germans (1.5 hours per day) and slightly below the Chinese (1.9 hours per day).
Friday, January 09, 2009
Cisco - Cybersecurity Report
Cisco Report Spotlights Worldwide Cyber Security Threats
see the full report
Cisco today released a security report that warns that Internet-based attacks are becoming increasingly sophisticated and specialized as profit-driven criminals continue to hone their approach to stealing data from businesses, employees and consumers. In the 2008 edition of the Cisco® Annual Security Report, the company identifies the year's top security threats and offers recommendations for protecting networks against attacks that are propagating more rapidly, becoming increasingly difficult to detect, and exploiting technological and human vulnerabilities.
"Every year we see threats evolve as criminals discover new ways to exploit people, networks and the Internet. This year's trends underscore how important it is to look at all basic elements of security policies and technologies," said Patrick Peterson, Cisco fellow and chief security researcher. "Organizations can lower their risk of data loss by fine-tuning access controls and patching known vulnerabilities to eliminate the ability for criminals to exploit holes in infrastructures. It is important to upgrade applications, endpoint systems and networking equipment to help ensure that corporate systems run smoothly and minimize risk."
see the full report
Cisco today released a security report that warns that Internet-based attacks are becoming increasingly sophisticated and specialized as profit-driven criminals continue to hone their approach to stealing data from businesses, employees and consumers. In the 2008 edition of the Cisco® Annual Security Report, the company identifies the year's top security threats and offers recommendations for protecting networks against attacks that are propagating more rapidly, becoming increasingly difficult to detect, and exploiting technological and human vulnerabilities.
"Every year we see threats evolve as criminals discover new ways to exploit people, networks and the Internet. This year's trends underscore how important it is to look at all basic elements of security policies and technologies," said Patrick Peterson, Cisco fellow and chief security researcher. "Organizations can lower their risk of data loss by fine-tuning access controls and patching known vulnerabilities to eliminate the ability for criminals to exploit holes in infrastructures. It is important to upgrade applications, endpoint systems and networking equipment to help ensure that corporate systems run smoothly and minimize risk."
USA - in-car satellite television
AT&T To Launch In-Car Satellite TV Service
On the heels of Audiovox's announcement of an automotive version of the MediaFlo TV service for cell phones, AT&T has revealed plans for its own robust, satellite-based in-car TV service. AT&T Cruisecast, slated to launch this spring, promises 22 channels of satellite TV at launch and 20 more of satellite radio-but will cost serious money: $1299 for the system, and $28 a month for the satellite TV service (developed in conjunction with satellite industry veteran RaySat).
A final channel lineup is still being developed, but AT&T says it will include lots of family-friendly entertainment, including Disney Channel, Disney XD, Discovery Kids, Animal Planet, Nickelodeon, Cartoon Network Mobile, USA, COMEDY CENTRAL, MSNBC, CNN Mobile Live and CNBC.
The system requires installation of a 3-pound, 11.3-by-10.3-by-4.3-inch antenna on the roof of your vehicle. AT&T describes this as "not particularly noticeable," but I'd take that observation with a grain of salt: Check out the rooftop image, above.
AT&T says its technology addresses shortcomings of other in-car entertainment systems. For example, the company says, its breakthrough buffering technology keeps the show going even when you're under a tunnel or other line-of-site obstacle.
Avis and Budget car rental services have announced plans to make the Cruisecast service available in rental cars at some locations for $9 a day or $63 a week.
On the heels of Audiovox's announcement of an automotive version of the MediaFlo TV service for cell phones, AT&T has revealed plans for its own robust, satellite-based in-car TV service. AT&T Cruisecast, slated to launch this spring, promises 22 channels of satellite TV at launch and 20 more of satellite radio-but will cost serious money: $1299 for the system, and $28 a month for the satellite TV service (developed in conjunction with satellite industry veteran RaySat).
A final channel lineup is still being developed, but AT&T says it will include lots of family-friendly entertainment, including Disney Channel, Disney XD, Discovery Kids, Animal Planet, Nickelodeon, Cartoon Network Mobile, USA, COMEDY CENTRAL, MSNBC, CNN Mobile Live and CNBC.
The system requires installation of a 3-pound, 11.3-by-10.3-by-4.3-inch antenna on the roof of your vehicle. AT&T describes this as "not particularly noticeable," but I'd take that observation with a grain of salt: Check out the rooftop image, above.
AT&T says its technology addresses shortcomings of other in-car entertainment systems. For example, the company says, its breakthrough buffering technology keeps the show going even when you're under a tunnel or other line-of-site obstacle.
Avis and Budget car rental services have announced plans to make the Cruisecast service available in rental cars at some locations for $9 a day or $63 a week.
Greenpeace - green electronics
Greenpeace still hunting for truly green electronics
see also the Greenpeace report
New consumer-electronics products are a little greener than those on sale a year ago -- but manufacturers could do much better, according to a study by environmental campaign group Greenpeace International.
The report, "Green Electronics: The Search Continues" evaluated 50 products that 15 companies identified as their most environmentally friendly models, but it found that none of them performed well against all criteria. Greenpeace will hold a news conference at the International CES in Las Vegas on Friday to discuss the report's details.
In general, the consumer electronics industry is far better at making green claims than green products, prompting skepticism on the part of consumers. Earlier this week, researchers at CES presented the results of a survey that found, among other things, that 65% of consumers think some companies overstate their green credentials to sell more products.
In its own tests, Greenpeace found that fewer of the products contained PVC (polyvinyl chloride) plastic and other hazardous chemicals than those tested a year ago. In the past, it has campaigned vigorously against the use of toxic materials in products.
One thing that changed for the better in 2008 was the increasing use of LED displays, which avoid the use of backlights containing mercury and are also more energy efficient, Greenpeace said. Companies are also using recycled materials -- in TV and monitor casings, for example -- and are increasing the volume of old products that they take back for recycling.
Despite all these improvements, the best-rated product, Lenovo's L2440x computer monitor, scored only 6.9 out of 10. The second-place product was also a monitor, Fujitsu Siemens Computers' ScenicView P22W-5 Eco, with 6.33.
Lenovo's weakest link was energy use. It lost points for not tracking the energy used to manufacture the monitor, and it could have done better by providing more information about the monitor's energy-saving mode. It could have scored an easy point by including an off switch that physically cuts all current. Instead, like many devices, it has a standby switch that contributes to so-called phantom power consumption by maintaining power to some of its circuitry even when it is apparently turned off.
Lenovo also lost marks for exploiting exemptions in the European Union directive on the reduction of hazardous substances, which allows companies to continue using banned toxic chemicals in their products in certain circumstances.
Other companies have shown that they can do better in the categories where Lenovo fell down. If a manufacturer were to follow the best practices of any of the companies seen by Greenpeace in each category (energy use, reduction of toxic chemicals, recycling and so on), then it would score 8.6 out of 10.
see also the Greenpeace report
New consumer-electronics products are a little greener than those on sale a year ago -- but manufacturers could do much better, according to a study by environmental campaign group Greenpeace International.
The report, "Green Electronics: The Search Continues" evaluated 50 products that 15 companies identified as their most environmentally friendly models, but it found that none of them performed well against all criteria. Greenpeace will hold a news conference at the International CES in Las Vegas on Friday to discuss the report's details.
In general, the consumer electronics industry is far better at making green claims than green products, prompting skepticism on the part of consumers. Earlier this week, researchers at CES presented the results of a survey that found, among other things, that 65% of consumers think some companies overstate their green credentials to sell more products.
In its own tests, Greenpeace found that fewer of the products contained PVC (polyvinyl chloride) plastic and other hazardous chemicals than those tested a year ago. In the past, it has campaigned vigorously against the use of toxic materials in products.
One thing that changed for the better in 2008 was the increasing use of LED displays, which avoid the use of backlights containing mercury and are also more energy efficient, Greenpeace said. Companies are also using recycled materials -- in TV and monitor casings, for example -- and are increasing the volume of old products that they take back for recycling.
Despite all these improvements, the best-rated product, Lenovo's L2440x computer monitor, scored only 6.9 out of 10. The second-place product was also a monitor, Fujitsu Siemens Computers' ScenicView P22W-5 Eco, with 6.33.
Lenovo's weakest link was energy use. It lost points for not tracking the energy used to manufacture the monitor, and it could have done better by providing more information about the monitor's energy-saving mode. It could have scored an easy point by including an off switch that physically cuts all current. Instead, like many devices, it has a standby switch that contributes to so-called phantom power consumption by maintaining power to some of its circuitry even when it is apparently turned off.
Lenovo also lost marks for exploiting exemptions in the European Union directive on the reduction of hazardous substances, which allows companies to continue using banned toxic chemicals in their products in certain circumstances.
Other companies have shown that they can do better in the categories where Lenovo fell down. If a manufacturer were to follow the best practices of any of the companies seen by Greenpeace in each category (energy use, reduction of toxic chemicals, recycling and so on), then it would score 8.6 out of 10.
UK - broadband as an economic stimulus
Can broadband save the economy?
After the depression of the 1920s, US president Roosevelt started a public works programme which saw billions of dollars pumped into a series of projects, including the building of roads, airports and dams in an effort to reignite the economy.
In the UK there are increasingly loud rumblings that a similar thing is needed in the UK, with a superfast broadband infrastructure a prime candidate for cash.
Prime Minister Gordon Brown has recently acknowledged that such an infrastructure could play a part in pulling the country out of economic gloom - although he has stopped short of committing public money to it.
Nevertheless his comments have pleased those in the industry keen to get next-generation broadband out of the starting block.
"It would be easy to see broadband as an expensive luxury in difficult times but it is encouraging that Gordon Brown has recognised that investment in the broadband infrastructure could provide long-term benefits to productivity," said Antony Walker, chief executive of the Broadband Stakeholders Group.
After the depression of the 1920s, US president Roosevelt started a public works programme which saw billions of dollars pumped into a series of projects, including the building of roads, airports and dams in an effort to reignite the economy.
In the UK there are increasingly loud rumblings that a similar thing is needed in the UK, with a superfast broadband infrastructure a prime candidate for cash.
Prime Minister Gordon Brown has recently acknowledged that such an infrastructure could play a part in pulling the country out of economic gloom - although he has stopped short of committing public money to it.
Nevertheless his comments have pleased those in the industry keen to get next-generation broadband out of the starting block.
"It would be easy to see broadband as an expensive luxury in difficult times but it is encouraging that Gordon Brown has recognised that investment in the broadband infrastructure could provide long-term benefits to productivity," said Antony Walker, chief executive of the Broadband Stakeholders Group.
Fax - why does it persist?
Burning Question: Why Are Faxes Still Around?
Who hasn't put a perfectly good fax machine on the curb? In those hasty moments of purging, you think, "I don't need this dinosaur. Who faxes anymore?" Hope it wasn't a really nice one you junked, because someday you'll wish you had it back. The facsimile isn't going anywhere.
Patented in 1843 and mainstreamed sometime between the 8-track and the CD, the technology is like a B-movie zombie that keeps lurching forward—clumsily, relentlessly—long after it should be in the ground.
Fax machines are everywhere: doctors' offices, delicatessens, brokerage firms, even souvenir shops in the developing world (for verifying tourists' credit cards).
The device's particular skill is well known: It makes a replica of a document appear in another location in seconds. When machines dropped in price in the late '80s, their closest competitor was hand delivery—not a tenable solution for people trading paper over long distances. Soon, courts gave the tech a crucial blessing by certifying that a facsimile of a signature was legally valid. By 1990, faxes were the way to take care of everything, from securing a mortgage to ordering a ham on rye.
The fax's real rival today is the PDF—essentially the same idea, but with far more complex hardware. But even with the prevalence of email, the number of people who can send and receive faxes is still increasing. According to market research firm Gartner, sales of stand-alone fax machines may have plummeted, but sales of multifunction printers—which also copy, scan, and, yes, fax—increased 340 percent from 2001 to 2007.
Although the fax function of millions of those machines is all but ignored, it can be a lifesaver in an emergency. Say you break down on some lonesome road in Pennsyltucky and call your insurance company for roadside assistance. Progressive will probably fax an authorization to the tow company—not drop Joe the Wrecker an IM. Why not just email him? They might not have his address, and he might not be able—or inclined—to open a PDF. But he almost certainly has a fax number, it's probably listed, and his machine can receive a transmission from any source—a brand-new multitasking office bot or a 25-year-old thermal-paper fountain. This universal utility is the technology's competitive edge. Faxing is easy. "It's a self-contained appliance, and that's a lesson to us as information technologists," says Ken Anderson of market research firm Burton Group. In other words, it's still the most elegant solution.
Who hasn't put a perfectly good fax machine on the curb? In those hasty moments of purging, you think, "I don't need this dinosaur. Who faxes anymore?" Hope it wasn't a really nice one you junked, because someday you'll wish you had it back. The facsimile isn't going anywhere.
Patented in 1843 and mainstreamed sometime between the 8-track and the CD, the technology is like a B-movie zombie that keeps lurching forward—clumsily, relentlessly—long after it should be in the ground.
Fax machines are everywhere: doctors' offices, delicatessens, brokerage firms, even souvenir shops in the developing world (for verifying tourists' credit cards).
The device's particular skill is well known: It makes a replica of a document appear in another location in seconds. When machines dropped in price in the late '80s, their closest competitor was hand delivery—not a tenable solution for people trading paper over long distances. Soon, courts gave the tech a crucial blessing by certifying that a facsimile of a signature was legally valid. By 1990, faxes were the way to take care of everything, from securing a mortgage to ordering a ham on rye.
The fax's real rival today is the PDF—essentially the same idea, but with far more complex hardware. But even with the prevalence of email, the number of people who can send and receive faxes is still increasing. According to market research firm Gartner, sales of stand-alone fax machines may have plummeted, but sales of multifunction printers—which also copy, scan, and, yes, fax—increased 340 percent from 2001 to 2007.
Although the fax function of millions of those machines is all but ignored, it can be a lifesaver in an emergency. Say you break down on some lonesome road in Pennsyltucky and call your insurance company for roadside assistance. Progressive will probably fax an authorization to the tow company—not drop Joe the Wrecker an IM. Why not just email him? They might not have his address, and he might not be able—or inclined—to open a PDF. But he almost certainly has a fax number, it's probably listed, and his machine can receive a transmission from any source—a brand-new multitasking office bot or a 25-year-old thermal-paper fountain. This universal utility is the technology's competitive edge. Faxing is easy. "It's a self-contained appliance, and that's a lesson to us as information technologists," says Ken Anderson of market research firm Burton Group. In other words, it's still the most elegant solution.
India - Cabinet Committee to decide on spectrum fees
CCEA to decide 3G spectrum pricing
The inter-ministerial panel on 3G spectrum pricing is divided on a finance ministry proposal to double the reserve price to Rs 4,040 crore (Rs 40.4 billion), forcing department of telecommunication to take the matter to the Cabinet Committee on Economic Affairs.
According to sources, the Department of Industrial Policy and Promotion and Ministry of IT have supported the reserve price of Rs 2,020 crore (Rs 20.2 billion) as was originally recommended by DoT.
Last week, the finance ministry had asked the DoT to double the reserve price for pan-India 3G spectrum.
In a note sent to telecom secretary Siddartha Behura, finance ministry had said, "The reserve price may be increased from Rs 2,020 crore to Rs 4,040 crore for a pan-India allocation of two blocks of five MHz of 3G spectrum."
Recently, DoT had issued revised schedule for auctioning the 3G spectrum to January 30. As most of the domestic players were getting ready to participate in the bidding process, the inter-ministerial differences now could delay the process, sources said.
Asked whether DoT may extend the auction date further, sources said it would depend on the CCEA's decision. In case the reserve price is finalised by the Cabinet by next week, the government would go ahead with the schedule.
Sources in the DoT said that the note for the CCEA would be finalised in a day or two incorporating the views given by all the ministries and is hoping to take up the matter in the meeting next week.
Asked whether DoT has rejected finance ministry's suggestion of doubling the reserve price, sources said there was no question of rejecting or accepting the view as CCEA would be taking the final decision.
Similarly, on the reserve price for spectrum for wireless broadband services (known as WiMAX) also the CCEA would decide on the prices.
DoT is also likely to present the availability of spectrum for 3G service for all the circles to the CCEA so that a rational decision could be taken on the number of slots to be allocated.
DoT was of the opinion to allow maximum four operators in every circle in the first phase which was objected to by the finance ministry.
The inter-ministerial panel on 3G spectrum pricing is divided on a finance ministry proposal to double the reserve price to Rs 4,040 crore (Rs 40.4 billion), forcing department of telecommunication to take the matter to the Cabinet Committee on Economic Affairs.
According to sources, the Department of Industrial Policy and Promotion and Ministry of IT have supported the reserve price of Rs 2,020 crore (Rs 20.2 billion) as was originally recommended by DoT.
Last week, the finance ministry had asked the DoT to double the reserve price for pan-India 3G spectrum.
In a note sent to telecom secretary Siddartha Behura, finance ministry had said, "The reserve price may be increased from Rs 2,020 crore to Rs 4,040 crore for a pan-India allocation of two blocks of five MHz of 3G spectrum."
Recently, DoT had issued revised schedule for auctioning the 3G spectrum to January 30. As most of the domestic players were getting ready to participate in the bidding process, the inter-ministerial differences now could delay the process, sources said.
Asked whether DoT may extend the auction date further, sources said it would depend on the CCEA's decision. In case the reserve price is finalised by the Cabinet by next week, the government would go ahead with the schedule.
Sources in the DoT said that the note for the CCEA would be finalised in a day or two incorporating the views given by all the ministries and is hoping to take up the matter in the meeting next week.
Asked whether DoT has rejected finance ministry's suggestion of doubling the reserve price, sources said there was no question of rejecting or accepting the view as CCEA would be taking the final decision.
Similarly, on the reserve price for spectrum for wireless broadband services (known as WiMAX) also the CCEA would decide on the prices.
DoT is also likely to present the availability of spectrum for 3G service for all the circles to the CCEA so that a rational decision could be taken on the number of slots to be allocated.
DoT was of the opinion to allow maximum four operators in every circle in the first phase which was objected to by the finance ministry.
Portugal - financial credits for NGN investments
Portuguese Government Approves 800-mil.-Euro Credit Line for NGNs
Portugal's operators are set to invest one billion euro (US$1.36 billion) in next-generation networks (NGNs) in 2009, as the government announces 800-million-euro worth of credit.
Significance - The government has stated that it sees the development of NGNs as an urgent matter, as they will support employment and the boost the competitiveness of the Portuguese economy.
Implications - Although the terms of the credit line have not been disclosed, they are likely to be highly favourable to the operators, and represent a timely cash injection. As the global economic crisis bites, operator spending is reined in and private investment sources dry up.
Outlook - The Portuguese government had set a goal of 50% home broadband penetration by 2010, and this latest investment should allow the operators to significantly surpass this target.
Portugal's government has announced an 800-million-euro credit line for the roll-out of next-generation broadband networks in the country. Prime Minister Jose Socrates announced the funding, saying he hoped the country's main telecoms operators would invest one billion euro to build NGNs during 2009. The credit line forms part of an agreement between the government and the operators Portugal Telecom, Zon Multimedia, Sonaecom, and ONI on the roll-out of fibre networks, and is the first step in a 2.18-billion-euro plan announced in December 2008 to boost the country's economy. Prime Minister Socrates said the credit line would pave the way for improvements in high-speed internet, television and voice services, adding: "This is the launch of the first measure of the stimulus plan to combat the economic crisis."
Outlook and Implications
Development Through Fibre: Portugal's PM said he hoped the investment would allow up to 1.5 million homes and businesses to be connected to the new fibre networks. He added that the government has no preference regarding how the networks are rolled out by the operators, leaving them to reach a decision among themselves on whether single or multiple networks are constructed. Although the terms of the credit line have not been disclosed, they are likely to be highly favourable to the operators, and may represent a timely cash injection—as the global economic crisis bites, operator spending in reined in and private investment sources dry up. Portugal's broadband market has showed strong growth, not least due to widespread cable and DSL networks. ADSL2+ services are also available from alternative operators such as Vodafone and cable data speeds at up to 100mbps were trialled in 2007. The Portuguese government had set a goal of 50% home broadband penetration by 2010, and this latest investment should allow the operators to significantly surpass this target.
A Timely Economic Boost: The credit line forms part of a government recovery plan, which hopes to kick-start the Portuguese economy, which, according to the Bank of Portugal, went into recession at the end of last year and is expected to shrink 0.8% during 2009. The government has stated it sees the development of NGNs as an urgent matter, as it will support employment and the boost the competitiveness of the Portuguese economy. The country's wireless sector continues to show healthy growth, and the injection of this amount of cash into the fixed-line industry can only be a good thing for Portugal's telecoms industry.
A Further Lift for Portugal Telecom: The Portuguese telecoms regulator Anacom has recently shown willingness to ease regulation on Portugal Telecom (PT), with the lifting of pricing restrictions on the former incumbent's broadband services, a move which is largely seen as an effort to encourage further investment from PT in NGN roll-out. Stagnant growth in the company's home markets and a rising burden of debt have been offset by strong revenue growth at its Brazilian unit Vivo and its Africatel investment, and the stimulus of PT's home broadband market means that this investment is likely to stand the company in good stead in weathering the continuing economic storm.
Vodafone Conspicuous by Absence: U.K.-based operator Vodafone has not been listed in the companies participating in the agreement, raising some eyebrows given its ambitious plans for expansion into Portugal's fixed-line sector. However, Public Works Minister Mario Lino has stated that Vodafone did not participate, having requested more time to conduct further market studies, but may do so in the future—leaving the gate open for the operator to join the party at a later date.
Portugal's operators are set to invest one billion euro (US$1.36 billion) in next-generation networks (NGNs) in 2009, as the government announces 800-million-euro worth of credit.
Significance - The government has stated that it sees the development of NGNs as an urgent matter, as they will support employment and the boost the competitiveness of the Portuguese economy.
Implications - Although the terms of the credit line have not been disclosed, they are likely to be highly favourable to the operators, and represent a timely cash injection. As the global economic crisis bites, operator spending is reined in and private investment sources dry up.
Outlook - The Portuguese government had set a goal of 50% home broadband penetration by 2010, and this latest investment should allow the operators to significantly surpass this target.
Portugal's government has announced an 800-million-euro credit line for the roll-out of next-generation broadband networks in the country. Prime Minister Jose Socrates announced the funding, saying he hoped the country's main telecoms operators would invest one billion euro to build NGNs during 2009. The credit line forms part of an agreement between the government and the operators Portugal Telecom, Zon Multimedia, Sonaecom, and ONI on the roll-out of fibre networks, and is the first step in a 2.18-billion-euro plan announced in December 2008 to boost the country's economy. Prime Minister Socrates said the credit line would pave the way for improvements in high-speed internet, television and voice services, adding: "This is the launch of the first measure of the stimulus plan to combat the economic crisis."
Outlook and Implications
Development Through Fibre: Portugal's PM said he hoped the investment would allow up to 1.5 million homes and businesses to be connected to the new fibre networks. He added that the government has no preference regarding how the networks are rolled out by the operators, leaving them to reach a decision among themselves on whether single or multiple networks are constructed. Although the terms of the credit line have not been disclosed, they are likely to be highly favourable to the operators, and may represent a timely cash injection—as the global economic crisis bites, operator spending in reined in and private investment sources dry up. Portugal's broadband market has showed strong growth, not least due to widespread cable and DSL networks. ADSL2+ services are also available from alternative operators such as Vodafone and cable data speeds at up to 100mbps were trialled in 2007. The Portuguese government had set a goal of 50% home broadband penetration by 2010, and this latest investment should allow the operators to significantly surpass this target.
A Timely Economic Boost: The credit line forms part of a government recovery plan, which hopes to kick-start the Portuguese economy, which, according to the Bank of Portugal, went into recession at the end of last year and is expected to shrink 0.8% during 2009. The government has stated it sees the development of NGNs as an urgent matter, as it will support employment and the boost the competitiveness of the Portuguese economy. The country's wireless sector continues to show healthy growth, and the injection of this amount of cash into the fixed-line industry can only be a good thing for Portugal's telecoms industry.
A Further Lift for Portugal Telecom: The Portuguese telecoms regulator Anacom has recently shown willingness to ease regulation on Portugal Telecom (PT), with the lifting of pricing restrictions on the former incumbent's broadband services, a move which is largely seen as an effort to encourage further investment from PT in NGN roll-out. Stagnant growth in the company's home markets and a rising burden of debt have been offset by strong revenue growth at its Brazilian unit Vivo and its Africatel investment, and the stimulus of PT's home broadband market means that this investment is likely to stand the company in good stead in weathering the continuing economic storm.
Vodafone Conspicuous by Absence: U.K.-based operator Vodafone has not been listed in the companies participating in the agreement, raising some eyebrows given its ambitious plans for expansion into Portugal's fixed-line sector. However, Public Works Minister Mario Lino has stated that Vodafone did not participate, having requested more time to conduct further market studies, but may do so in the future—leaving the gate open for the operator to join the party at a later date.
Thursday, January 08, 2009
USA - IT jobs and economic stimulus package
Nearly 1 Million Jobs Could Be Created By IT Stimulus, Study Says
See also ITIF study
Network World — An information technology think tank is urging Congress to devote $30 billion toward the IT industry, saying such a move will create or retain nearly 1 million jobs, more than half of them at small businesses.
"Although projects to improve the country's traditional physical infrastructure (e.g., roads, bridges, sewer systems) are necessary and important, investments in certain parts of our national information technology (IT) infrastructure—America's digital infrastructure—will have a greater positive impact on jobs, productivity, and innovation," ITIF president and report lead author Robert Atkinson writes.
Pumping $30 billion into American's IT infrastructure this year would create 949,000 jobs, 525,000 of which would be in businesses with fewer than 500 employees, ITIF says. The report's proposed spending would be divided evenly in three areas: broadband networks, health IT and a smart power grid.
"Investments in IT infrastructure should not be minimized out of concern that the projects will take too long to begin to have an immediate impact on the U.S. economy," Atkinson writes. "If the stimulus measures are designed properly, they can quickly spur a large number of investments—from deploying more and faster broadband networks to switching to electronic health records (EHRs) to rolling out advanced energy metering technologies (smart meters)—that are 'shovel-ready.'"
ITIF used a liberal definition of jobs created by IT investments in its report. In addition to jobs created directly by new spending, there would also be jobs created in businesses that supply materials necessary materials for infrastructure upgrades—such as circuit boards for routers.
The report also counts some jobs having nothing to do with IT, such as those in the restaurant and retail industries, because these jobs would theoretically be created when newly employed IT workers start spending their paychecks. Much of the job creation would also come in the form of the "network effect," in which investments in a sector like health IT spur developments of new products and services.
See also ITIF study
Network World — An information technology think tank is urging Congress to devote $30 billion toward the IT industry, saying such a move will create or retain nearly 1 million jobs, more than half of them at small businesses.
"Although projects to improve the country's traditional physical infrastructure (e.g., roads, bridges, sewer systems) are necessary and important, investments in certain parts of our national information technology (IT) infrastructure—America's digital infrastructure—will have a greater positive impact on jobs, productivity, and innovation," ITIF president and report lead author Robert Atkinson writes.
Pumping $30 billion into American's IT infrastructure this year would create 949,000 jobs, 525,000 of which would be in businesses with fewer than 500 employees, ITIF says. The report's proposed spending would be divided evenly in three areas: broadband networks, health IT and a smart power grid.
"Investments in IT infrastructure should not be minimized out of concern that the projects will take too long to begin to have an immediate impact on the U.S. economy," Atkinson writes. "If the stimulus measures are designed properly, they can quickly spur a large number of investments—from deploying more and faster broadband networks to switching to electronic health records (EHRs) to rolling out advanced energy metering technologies (smart meters)—that are 'shovel-ready.'"
ITIF used a liberal definition of jobs created by IT investments in its report. In addition to jobs created directly by new spending, there would also be jobs created in businesses that supply materials necessary materials for infrastructure upgrades—such as circuit boards for routers.
The report also counts some jobs having nothing to do with IT, such as those in the restaurant and retail industries, because these jobs would theoretically be created when newly employed IT workers start spending their paychecks. Much of the job creation would also come in the form of the "network effect," in which investments in a sector like health IT spur developments of new products and services.
Roaming - European Parliament hearing
SMS and Data Roaming Regulation - Hearing in European Parliament
On 23 September 2008, the Commission proposed a new Roaming Regulation that substantially cuts the cost of sending text messages and using mobile data services abroad in the EU. It also extends the duration of the current Regulation of voice roaming charges from 2010 to 2013. The Council adopted a general approach on this proposal on 27 November 2008, endorsing all elements of the Commission proposal. It is now for the European Parliament to take a position on this important consumer issue. A hearing on this issue will take place on Thursday 8 January (9.00-12.30 - EP Brussels, room JAN 2Q2). The hearing comprises two panels, examining forms of price regulation for retail and wholesale, and the challenges ahead for both network operators and regulators, and the entire session will be webstreamed on the European Parliament's website. Commissioner Vivane Reding will offer her views on the subject, as well as industry stakeholders.
On 23 September 2008, the Commission proposed a new Roaming Regulation that substantially cuts the cost of sending text messages and using mobile data services abroad in the EU. It also extends the duration of the current Regulation of voice roaming charges from 2010 to 2013. The Council adopted a general approach on this proposal on 27 November 2008, endorsing all elements of the Commission proposal. It is now for the European Parliament to take a position on this important consumer issue. A hearing on this issue will take place on Thursday 8 January (9.00-12.30 - EP Brussels, room JAN 2Q2). The hearing comprises two panels, examining forms of price regulation for retail and wholesale, and the challenges ahead for both network operators and regulators, and the entire session will be webstreamed on the European Parliament's website. Commissioner Vivane Reding will offer her views on the subject, as well as industry stakeholders.
Japan - possible reduction in mobile charges
Japan may promote lower mobile phone fees
Japan's government will seek to introduce new guidelines on mobile phone connection fees as early as 2010, which may lower rates for consumers, the Asahi newspaper reported on Thursday.
Current law does not specify a pricing model for connection fees, which carriers pay each other, and such fees are about 35 yen per three minutes, a major reason why domestic mobile phone fees are high, it said.
NTT DoCoMo Inc, KDDI Corp and Softbank Corp are Japan's main mobile phone carriers.
"In theory, operators' incomes and payments both shrink if connection fees are reduced, so there should be little impact on their earnings," Daiwa Institute of Research analyst Naoto Osugi said. "But if users' fees ended up being lowered because of that, then it can be negative for the carriers."
Yuji Kosugi, an official at the communications ministry, told Reuters the government plans to gather opinions on how to improve the nation's mobile phone system, but it has not decided to reduce connection fees.
The Asahi said connection fees for mobile phones are more than seven times those of fixed-line phones and that the ministry plans to set up a standard pricing model and ask mobile phone operators to follow it.
NTT DoCoMo shares ended 0.7 percent higher, KDDI fell 0.5 percent and Softbank lost 2.9 percent in a broader market down Nikkei average was down 3.9 percent.
Japan's government will seek to introduce new guidelines on mobile phone connection fees as early as 2010, which may lower rates for consumers, the Asahi newspaper reported on Thursday.
Current law does not specify a pricing model for connection fees, which carriers pay each other, and such fees are about 35 yen per three minutes, a major reason why domestic mobile phone fees are high, it said.
NTT DoCoMo Inc, KDDI Corp and Softbank Corp are Japan's main mobile phone carriers.
"In theory, operators' incomes and payments both shrink if connection fees are reduced, so there should be little impact on their earnings," Daiwa Institute of Research analyst Naoto Osugi said. "But if users' fees ended up being lowered because of that, then it can be negative for the carriers."
Yuji Kosugi, an official at the communications ministry, told Reuters the government plans to gather opinions on how to improve the nation's mobile phone system, but it has not decided to reduce connection fees.
The Asahi said connection fees for mobile phones are more than seven times those of fixed-line phones and that the ministry plans to set up a standard pricing model and ask mobile phone operators to follow it.
NTT DoCoMo shares ended 0.7 percent higher, KDDI fell 0.5 percent and Softbank lost 2.9 percent in a broader market down Nikkei average was down 3.9 percent.
Nokia - WiMAX
Nokia stops production of only WiMax device
The world's top mobile phone maker Nokia said on Thursday it had ended production of its only mobile device using the U.S.-centered WiMax technology, another blow for the struggling wireless technology.
WiMax has been competing for the status of next generation mobile technology, but has largely lost the battle to Long-Term Evolution (LTE).
"We have ramped down the N810 WiMax Edition tablet. It has reached the end of its lifecycle," said a Nokia spokesman. Nokia unveiled the model only nine months ago, while usually even the most trendy models have a shelf life of well over a year.
Canada's Nortel Networks Corp has said LTE will be the most likely upgrade path for about 80 percent of the world's existing mobile phone providers, with others going for WiMax.
Nokia did not rule out introducing further WiMax phones in the future.
"We will continue to follow the technology and its evolution," the spokesman said.
The world's top mobile phone maker Nokia said on Thursday it had ended production of its only mobile device using the U.S.-centered WiMax technology, another blow for the struggling wireless technology.
WiMax has been competing for the status of next generation mobile technology, but has largely lost the battle to Long-Term Evolution (LTE).
"We have ramped down the N810 WiMax Edition tablet. It has reached the end of its lifecycle," said a Nokia spokesman. Nokia unveiled the model only nine months ago, while usually even the most trendy models have a shelf life of well over a year.
Canada's Nortel Networks Corp has said LTE will be the most likely upgrade path for about 80 percent of the world's existing mobile phone providers, with others going for WiMax.
Nokia did not rule out introducing further WiMax phones in the future.
"We will continue to follow the technology and its evolution," the spokesman said.
Mobile - Cisco Webex for iPhone
Cisco brings WebEx to iPhone
Free app lets iPhone users enter meetings without WebEx subscription
On Tuesday, Cisco introduced a free application, available from Apple's App Store, that lets iPhone users participate in WebEx virtual meetings. They can participate in the audio portion of the meetings; use text chat; and see presentations, applications, and PC desktops that are shown as part of a meeting, according to the company.
The application, which Cisco had hinted at last year, is the company's latest move to make multimedia content and collaboration accessible anywhere. Cisco has gone in a few years from simply making the networks that connect PCs and servers to supplying platforms that individuals actually use on those networks. The high-definition TelePresence Meeting system is the flagship of Cisco's collaboration lineup, while its WebEx and MeetingPlace acquisitions have brought an online conferencing service and LAN-based meeting capability, respectively.
Now Cisco is bringing the hottest smartphone on the market into the picture, embracing a product that has taken off as a consumer rather than an enterprise device. Consumer devices and services have a powerful influence on enterprises' technology directions, according to Cisco CEO John Chambers. In fact, the company is expected to use this week's Consumer Electronics Show in Las Vegas to unveil a set of home electronics products.
Users of the iPhone don't need to have a WebEx subscription to participate in meetings with the new application. With the software installed, they can join a meeting by clicking on a link in an e-mailed invitation or by choosing a meeting listed within the application. The WebEx system will then call the iPhone, and the user can join in by picking up the call.
Simultaneous voice and data meetings will work on Wi-Fi or 3G mobile data networks, according to Cisco. On the slower GSM/EDGE networks used by first-generation iPhones, it can handle voice or data, but not both at once. The software can deliver the audio portion of a meeting using regular voice service from a carrier or the VoIP capabilities of WebEx or MeetingPlace.
A future version of the application, coming in the second quarter, will provide the same capabilities for meetings on MeetingPlace. When users come into the office, the new version will let them shift from the iPhone to a PC and a desktop Cisco Unified IP Phone and keep participating in the meeting. When they leave, they can shift back to the iPhone.
Free app lets iPhone users enter meetings without WebEx subscription
On Tuesday, Cisco introduced a free application, available from Apple's App Store, that lets iPhone users participate in WebEx virtual meetings. They can participate in the audio portion of the meetings; use text chat; and see presentations, applications, and PC desktops that are shown as part of a meeting, according to the company.
The application, which Cisco had hinted at last year, is the company's latest move to make multimedia content and collaboration accessible anywhere. Cisco has gone in a few years from simply making the networks that connect PCs and servers to supplying platforms that individuals actually use on those networks. The high-definition TelePresence Meeting system is the flagship of Cisco's collaboration lineup, while its WebEx and MeetingPlace acquisitions have brought an online conferencing service and LAN-based meeting capability, respectively.
Now Cisco is bringing the hottest smartphone on the market into the picture, embracing a product that has taken off as a consumer rather than an enterprise device. Consumer devices and services have a powerful influence on enterprises' technology directions, according to Cisco CEO John Chambers. In fact, the company is expected to use this week's Consumer Electronics Show in Las Vegas to unveil a set of home electronics products.
Users of the iPhone don't need to have a WebEx subscription to participate in meetings with the new application. With the software installed, they can join a meeting by clicking on a link in an e-mailed invitation or by choosing a meeting listed within the application. The WebEx system will then call the iPhone, and the user can join in by picking up the call.
Simultaneous voice and data meetings will work on Wi-Fi or 3G mobile data networks, according to Cisco. On the slower GSM/EDGE networks used by first-generation iPhones, it can handle voice or data, but not both at once. The software can deliver the audio portion of a meeting using regular voice service from a carrier or the VoIP capabilities of WebEx or MeetingPlace.
A future version of the application, coming in the second quarter, will provide the same capabilities for meetings on MeetingPlace. When users come into the office, the new version will let them shift from the iPhone to a PC and a desktop Cisco Unified IP Phone and keep participating in the meeting. When they leave, they can shift back to the iPhone.
Germany - consolidation
German Telcos Predict Mergers and Stronger Cooperation in 2009—Report
Citing observers within the industry, Frankfurther Allgemeine Zeitung reports that the German telecoms sector expects mergers and stronger cooperation between the companies from this year. In particular, the pundits predict increasing collaboration between alternative fixed-line operators—but also between the alternatives and incumbent Deutsche Telekom—and mergers including telcos and cable network operators. As a timely example, the newspaper names the five alternative IPSs—Hansenet, Telefónica O2, EWE TEL, Versatel, and QSC—which are going to meet on 22 January for discussions on partnerships regarding broadband roll-outs.
Significance: The views reflect two ongoing trends on the German broadband space—market consolidation and deployment cooperation. The former process has been somewhat held back by certain impacts of financial crisis, particularly firms' limited access to credit and shrunken share prices, but there will nevertheless be further integration in the course of 2009, with especially cable operators, of which networks start to be up to date in terms of broadband capability, increasing their importance. As for the cooperative aspects, the alternative telcos are willing to expand the coverage of their own infrastructures and see partnerships with rivals as a substantial means for making this more cost efficient; Deutsche Telekom, for its part, has also indicated that it would be ready for further collaboration, particularly when it comes to expanding VDSL networks.
Citing observers within the industry, Frankfurther Allgemeine Zeitung reports that the German telecoms sector expects mergers and stronger cooperation between the companies from this year. In particular, the pundits predict increasing collaboration between alternative fixed-line operators—but also between the alternatives and incumbent Deutsche Telekom—and mergers including telcos and cable network operators. As a timely example, the newspaper names the five alternative IPSs—Hansenet, Telefónica O2, EWE TEL, Versatel, and QSC—which are going to meet on 22 January for discussions on partnerships regarding broadband roll-outs.
Significance: The views reflect two ongoing trends on the German broadband space—market consolidation and deployment cooperation. The former process has been somewhat held back by certain impacts of financial crisis, particularly firms' limited access to credit and shrunken share prices, but there will nevertheless be further integration in the course of 2009, with especially cable operators, of which networks start to be up to date in terms of broadband capability, increasing their importance. As for the cooperative aspects, the alternative telcos are willing to expand the coverage of their own infrastructures and see partnerships with rivals as a substantial means for making this more cost efficient; Deutsche Telekom, for its part, has also indicated that it would be ready for further collaboration, particularly when it comes to expanding VDSL networks.
VoIP - emergency calls
TIA Releases Wireless VoIP Emergency Specs
The Telecommunications Industry Association (TIA) is offering a series of technical specifications for emergency calls made using Voice over IP (VoIP) over wireless broadband.
TIA’s specs, designated “TIA-1133 All-IP Network Emergency Call Support - Stage 1 Requirements,” are “intended to develop the generic emergency call system capability in an All-IP Network that can be used to support the ‘Emergency Call’ in accordance with any regional regulatory requirements,” TIA says.
The group adds, “The introduction of VoIP in High Rate Packet Data (HRPD) wireless local area network (WLAN) and other air interfaces necessitated and emphasized the importance of adding support for emergency calls in these communications platforms.” It also notes it has written TIA-1133 in such a way that it has the flexibility to accommodate differing demands that might be made by various regulatory authorities, explaining, “this specification is intended to provide a general functionality with the flexibility needed to support variances in regional regulatory requirements.”
One of the keys to the new spec is giving emergency calls priority over other traffic on the broadband network. “Emergency services may require priority treatment, such as providing a high-quality bearer path regardless of subscription,” TIA notes. The full list of system requirements outlined in TIA-1133 includes emergency call establishment, emergency call routing, callback, geographical location of caller, emergency call continuity, call detail record and interactions with other wireless services.
The TIA also is considering extending the scope of its new standard to include support for additional media during an emergency call, including text messaging, and sending and receiving pictures and video signals as well as support for improved voice quality enabled by means of a wideband codec over VoIP.
The Telecommunications Industry Association (TIA) is offering a series of technical specifications for emergency calls made using Voice over IP (VoIP) over wireless broadband.
TIA’s specs, designated “TIA-1133 All-IP Network Emergency Call Support - Stage 1 Requirements,” are “intended to develop the generic emergency call system capability in an All-IP Network that can be used to support the ‘Emergency Call’ in accordance with any regional regulatory requirements,” TIA says.
The group adds, “The introduction of VoIP in High Rate Packet Data (HRPD) wireless local area network (WLAN) and other air interfaces necessitated and emphasized the importance of adding support for emergency calls in these communications platforms.” It also notes it has written TIA-1133 in such a way that it has the flexibility to accommodate differing demands that might be made by various regulatory authorities, explaining, “this specification is intended to provide a general functionality with the flexibility needed to support variances in regional regulatory requirements.”
One of the keys to the new spec is giving emergency calls priority over other traffic on the broadband network. “Emergency services may require priority treatment, such as providing a high-quality bearer path regardless of subscription,” TIA notes. The full list of system requirements outlined in TIA-1133 includes emergency call establishment, emergency call routing, callback, geographical location of caller, emergency call continuity, call detail record and interactions with other wireless services.
The TIA also is considering extending the scope of its new standard to include support for additional media during an emergency call, including text messaging, and sending and receiving pictures and video signals as well as support for improved voice quality enabled by means of a wideband codec over VoIP.
Green - overstated and confusing claims
Companies are overstating green claims, consumers say
Sixty-five percent of consumers think some companies overstate their green credentials to sell more products, according to research presented by industry organization Consumer Electronics Association (CEA) at the International Consumer Electronics Show on Tuesday.
Almost 40% are also confused by green claims made by consumer electronics companies, according to Steve Koenig, director of analysis at CEA.
"So, in addition to confusion we have a lot of skepticism; in fact a healthy dose of it," he said.
Most consumers want to know the specific attributes that make a product green. "They want to know what it is in the box or in the product that's going to make it green," Koenig said.
Companies shouldn’t be allowed to get away with just saying that they are green, but instead explain what that actually means, he said.
The top three attributes consumers associate with green products is that they are recyclable, energy efficient and made with recycled materials.
There are also rewards to be had for companies that can explain how and why their products are green. "Interestingly enough, green features are trumping brand," Koenig said.
That means a brand that consumers are unfamiliar with, but has good green credentials, could beat out a well-known company that consumers know isn't as environmentally friendly.
Some 45% of women and 34% of men say that a company’s reputation and philosophy regarding the environment affects their decision to try its products for the first time, and a similar percentage of consumers say the same regarding their willingness to continue using a company’s products, according to the CEA.
But other attributes -- such as price, features and warranty -- are still significantly more important than environmentally friendly attributes.
Also, a little more than half of consumers surveyed are willing to pay a premium for green products, just like they are willing to pay more for hybrid vehicles and organic produce, according to Koenig.
Around 20% of the survey participants said they're willing to pay up to 15% more for an environmentally friendly product.
"The take-away here is that green is increasingly important to consumers and they're willing to pay for it," Koenig said.
Sixty-five percent of consumers think some companies overstate their green credentials to sell more products, according to research presented by industry organization Consumer Electronics Association (CEA) at the International Consumer Electronics Show on Tuesday.
Almost 40% are also confused by green claims made by consumer electronics companies, according to Steve Koenig, director of analysis at CEA.
"So, in addition to confusion we have a lot of skepticism; in fact a healthy dose of it," he said.
Most consumers want to know the specific attributes that make a product green. "They want to know what it is in the box or in the product that's going to make it green," Koenig said.
Companies shouldn’t be allowed to get away with just saying that they are green, but instead explain what that actually means, he said.
The top three attributes consumers associate with green products is that they are recyclable, energy efficient and made with recycled materials.
There are also rewards to be had for companies that can explain how and why their products are green. "Interestingly enough, green features are trumping brand," Koenig said.
That means a brand that consumers are unfamiliar with, but has good green credentials, could beat out a well-known company that consumers know isn't as environmentally friendly.
Some 45% of women and 34% of men say that a company’s reputation and philosophy regarding the environment affects their decision to try its products for the first time, and a similar percentage of consumers say the same regarding their willingness to continue using a company’s products, according to the CEA.
But other attributes -- such as price, features and warranty -- are still significantly more important than environmentally friendly attributes.
Also, a little more than half of consumers surveyed are willing to pay a premium for green products, just like they are willing to pay more for hybrid vehicles and organic produce, according to Koenig.
Around 20% of the survey participants said they're willing to pay up to 15% more for an environmentally friendly product.
"The take-away here is that green is increasingly important to consumers and they're willing to pay for it," Koenig said.
China - 3G
China issues 3G mobile phone licenses
China assigned third-generation mobile phone licenses Wednesday to three carriers in a long-awaited step that is expected to prompt $41 billion in spending on new equipment.
Licenses were granted to China Mobile Ltd., China Unicom Ltd. and China Telecom Corp., the Ministry of Indutry and Information Technology said. Third-generation, or 3G, technology supports Web surfing, wireless video and other services and the start of service is expected to spur new revenue growth.
China has 650 million mobile phone accounts, according to industry minister Li Zhiyong.
Companies have not said when commercial service will begin.
The awarding of licenses was delayed while China's government developed its own technology to compete with two global 3G standards.
The Chinese-developed standard, TD-SCDMA, was assigned to China Mobile, the world's biggest phone carrier by subscribers, the ministry said. That appeared to be an effort to make sure the new system has the financial and technical backing to succeed.
The two global standards, WCDMA and CDMA-2000, were assigned to China Unicom and China Telecom, respectively, the ministry said.
Chinese carriers are expected to spend 280 billion yuan ($41 billion) on new equipment, Li said in December.
Such sales will be important to global suppliers Motorola Inc., Alcatel-Lucent SA, Nokia-Siemens Networks and Ericsson AB as demand elsewhere slumps. But they face competition from fledgling Chinese producers.
China assigned third-generation mobile phone licenses Wednesday to three carriers in a long-awaited step that is expected to prompt $41 billion in spending on new equipment.
Licenses were granted to China Mobile Ltd., China Unicom Ltd. and China Telecom Corp., the Ministry of Indutry and Information Technology said. Third-generation, or 3G, technology supports Web surfing, wireless video and other services and the start of service is expected to spur new revenue growth.
China has 650 million mobile phone accounts, according to industry minister Li Zhiyong.
Companies have not said when commercial service will begin.
The awarding of licenses was delayed while China's government developed its own technology to compete with two global 3G standards.
The Chinese-developed standard, TD-SCDMA, was assigned to China Mobile, the world's biggest phone carrier by subscribers, the ministry said. That appeared to be an effort to make sure the new system has the financial and technical backing to succeed.
The two global standards, WCDMA and CDMA-2000, were assigned to China Unicom and China Telecom, respectively, the ministry said.
Chinese carriers are expected to spend 280 billion yuan ($41 billion) on new equipment, Li said in December.
Such sales will be important to global suppliers Motorola Inc., Alcatel-Lucent SA, Nokia-Siemens Networks and Ericsson AB as demand elsewhere slumps. But they face competition from fledgling Chinese producers.
Recession - IT spending recovery forecast
IT Spending Recovery a Year Away
This recession won't be a repeat of the dot-com crash years, according to one industry watcher.
IT managers, take heart. Recovering from the current recession won't be as bad as surviving the dot-com crash of 2001. For those who can remember further back, the economic rebound will be more like the recession that hit in 1990.
That's primarily because today's recession, which according to official estimates began in December 2007, should be over by year's end -- and frugal spending strategies already in place will make it more bearable, according to a report released today by Computer Economics.
"IT managers have been somewhat conservative in spending [compared to the dot-com bubble] and that has put them in a better position today," Frank Scavo, president of the Irvine, California-based research organization, told InternetNews.com.
Computer Economics' "IT Spending in Recessions: 2009-2010 Forecast" study surveyed 200 IT executives in companies with over $50 million in revenue. The firm has conducted surveys of IT spending and staffing trends since 1990.
The findings come as organizations continue cost-cutting measures and staff reductions begun in 2007 to cope with an increasingly challenging economic climate. A November ChangeWave research report noted IT spending projections for the last quarter of 2007 were the worst since 2001.
The goal, Scavo said, is to get through the next 12 months.
"If the pattern of recovery holds true today, we should see a modest increase in IT equipment and software investment in 2010," said Scavo, who noted that the current recession is tied to financial sector and credit lending issues, just like the 1990 economic event.
What won't happen, however, is the tech boom that came after the 1990 recession, thanks to the Internet gold rush and Y2K concerns that pushed spending growth into double digits.
But the lack of another such boom may be a very good thing, given the fallout that later followed and actually played a part into making the 2001 "dot-com crash" so tough for the industry.
According to Scavo, the 2001 recession was tougher on IT vendors due to overspending on equipment and software in the latter part of 1990s. The collapse of the Internet bubble and dot-com crash then dumped a great deal of IT equipment, especially communications gear, into the secondary market.
Going forward, the 2010 forecast for the IT equipment and software segments shows between 5 percent and 10 percent growth.
Tech capital budgets will reflect a rebound of 4 percent to 5 percent -- similar to rates in 2006 and 2007, Scavo said.
A higher rebound in capital spending could happen with continued low interest rates and stronger credit lines, according to the report.
In terms of operational budgets, the research firm expects that 60 percent to 65 percent of IT organizations will increase budgets in 2010, with an average growth of 2 percent to 3 percent in 2010.
This recession won't be a repeat of the dot-com crash years, according to one industry watcher.
IT managers, take heart. Recovering from the current recession won't be as bad as surviving the dot-com crash of 2001. For those who can remember further back, the economic rebound will be more like the recession that hit in 1990.
That's primarily because today's recession, which according to official estimates began in December 2007, should be over by year's end -- and frugal spending strategies already in place will make it more bearable, according to a report released today by Computer Economics.
"IT managers have been somewhat conservative in spending [compared to the dot-com bubble] and that has put them in a better position today," Frank Scavo, president of the Irvine, California-based research organization, told InternetNews.com.
Computer Economics' "IT Spending in Recessions: 2009-2010 Forecast" study surveyed 200 IT executives in companies with over $50 million in revenue. The firm has conducted surveys of IT spending and staffing trends since 1990.
The findings come as organizations continue cost-cutting measures and staff reductions begun in 2007 to cope with an increasingly challenging economic climate. A November ChangeWave research report noted IT spending projections for the last quarter of 2007 were the worst since 2001.
The goal, Scavo said, is to get through the next 12 months.
"If the pattern of recovery holds true today, we should see a modest increase in IT equipment and software investment in 2010," said Scavo, who noted that the current recession is tied to financial sector and credit lending issues, just like the 1990 economic event.
What won't happen, however, is the tech boom that came after the 1990 recession, thanks to the Internet gold rush and Y2K concerns that pushed spending growth into double digits.
But the lack of another such boom may be a very good thing, given the fallout that later followed and actually played a part into making the 2001 "dot-com crash" so tough for the industry.
According to Scavo, the 2001 recession was tougher on IT vendors due to overspending on equipment and software in the latter part of 1990s. The collapse of the Internet bubble and dot-com crash then dumped a great deal of IT equipment, especially communications gear, into the secondary market.
Going forward, the 2010 forecast for the IT equipment and software segments shows between 5 percent and 10 percent growth.
Tech capital budgets will reflect a rebound of 4 percent to 5 percent -- similar to rates in 2006 and 2007, Scavo said.
A higher rebound in capital spending could happen with continued low interest rates and stronger credit lines, according to the report.
In terms of operational budgets, the research firm expects that 60 percent to 65 percent of IT organizations will increase budgets in 2010, with an average growth of 2 percent to 3 percent in 2010.
Wednesday, January 07, 2009
IP call centres
IP call centers will do well despite VoIP slowdown
Last year's furious growth will not me matched as companies tighten expenditures
Sales of IP contact centers will grow in 2009, but probably not as dramatically as they did in 2008 due to an expected slowdown in sales of IP telephony gear, according to a new Infonetics report.
The Costs and Impacts of DNS and IP Address Management - read this white paper.
Worldwide, businesses bought $851 million in IP contact center equipment, up 37% from $622 million in 2007, based on the report, Unified Communications and IP Contact Center Market Share and Forecasts. The 2008 numbers are based on actual sales numbers for the first half of the year and projections for the second half, says Matthias Machowinski, the author of the report.
That blistering pace will likely not be matched this year because sales of IP phone equipment will drop off due to the overall economic climate. "We expect companies to scrutinize expenditures a lot in 2009," Machowinski says, with some areas such as networking gear to face less dramatic reductions than IP phone systems.
Within IP telephony, contact centers will do relatively well however for two reasons. First, the transition between TDM phone systems and IP phone systems is still in progress, and will continue. IP contact centers ride that trend, he says.
And second, improved efficiency and capability that IP contact centers can deliver promise a better bottom line for businesses that rely on the centers for sales and customer service, he says. "IP contact centers can drive costs out of customer interactions," by making them quicker and tying up agents for less time per call so they can handle more calls, he says.
Are you ready for event-driven business? - watch this webcast.
"We still expect IP contact center sales to grow," Machowinski says, "But if you go from 37% to 5%, let's say, it could be considered a disappointment."
Avaya leads competitors in both the number of seats sold and in revenues, controlling 40% of the seats and 35% of the revenues, with Cisco and Alcatel-Lucent lagging behind. Cisco, however, is gaining, perhaps as a consequence of its success selling IP PBXs. "[An IP contact center] is a logical follow-up sale to an IP PBX," Machowinski says.
Last year's furious growth will not me matched as companies tighten expenditures
Sales of IP contact centers will grow in 2009, but probably not as dramatically as they did in 2008 due to an expected slowdown in sales of IP telephony gear, according to a new Infonetics report.
The Costs and Impacts of DNS and IP Address Management - read this white paper.
Worldwide, businesses bought $851 million in IP contact center equipment, up 37% from $622 million in 2007, based on the report, Unified Communications and IP Contact Center Market Share and Forecasts. The 2008 numbers are based on actual sales numbers for the first half of the year and projections for the second half, says Matthias Machowinski, the author of the report.
That blistering pace will likely not be matched this year because sales of IP phone equipment will drop off due to the overall economic climate. "We expect companies to scrutinize expenditures a lot in 2009," Machowinski says, with some areas such as networking gear to face less dramatic reductions than IP phone systems.
Within IP telephony, contact centers will do relatively well however for two reasons. First, the transition between TDM phone systems and IP phone systems is still in progress, and will continue. IP contact centers ride that trend, he says.
And second, improved efficiency and capability that IP contact centers can deliver promise a better bottom line for businesses that rely on the centers for sales and customer service, he says. "IP contact centers can drive costs out of customer interactions," by making them quicker and tying up agents for less time per call so they can handle more calls, he says.
Are you ready for event-driven business? - watch this webcast.
"We still expect IP contact center sales to grow," Machowinski says, "But if you go from 37% to 5%, let's say, it could be considered a disappointment."
Avaya leads competitors in both the number of seats sold and in revenues, controlling 40% of the seats and 35% of the revenues, with Cisco and Alcatel-Lucent lagging behind. Cisco, however, is gaining, perhaps as a consequence of its success selling IP PBXs. "[An IP contact center] is a logical follow-up sale to an IP PBX," Machowinski says.
Iraq - Asiacell with 6 million customers
Asiacell subscribers exceed 6 million
Asiacell, the largest private Iraqi company and the first mobile telecommunications company to provide coverage for all of Iraq, has announced that the number of its subscribers has exceeded six million. This number is considered exceptional, the company said, when compared to the number of subscribers of other telecommunication companies in the Middle East, and reflects the efficiency of Asiacell's large-scale operations and its unique coverage capabilities in delivering telecom services to all of Iraq.
Asiacell, the largest private Iraqi company and the first mobile telecommunications company to provide coverage for all of Iraq, has announced that the number of its subscribers has exceeded six million. This number is considered exceptional, the company said, when compared to the number of subscribers of other telecommunication companies in the Middle East, and reflects the efficiency of Asiacell's large-scale operations and its unique coverage capabilities in delivering telecom services to all of Iraq.
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