After several years of accelerated growth, the U.S. market is feeling the effects of market saturation and smartphone ownership that’s lasting longer than once expected, Ramon Llamas, an analyst IDC, said in an updated forecast.
IDC’s five-year forecast issued for October significantly undercuts its April forecast, dropping expectations for U.S. smartphone and feature phone shipments by manufacturers to retailers. IDC now expects 1.7 million fewer phones shipped in 2104 than it had expected in April; it predicts 174 million phones will ship this year, with that figure declining gradually to 169 million in 2018.
Smartphone shipments alone will grow just slightly through 2018 in the U.S., but about 5% less than earlier expected, rising from 150 million in 2014 to 160.5 million in 2018. Feature phones shipments have dropped off faster than earlier expected.
Llamas said the signs of decline started in late 2011, prompting carriers in the past year to try to get customers to replace phones more often with easy trade-in plans and relaxed contracts.
It’s too soon to say what effect the early trade-in plans will have on the market, Llamas said. The life of an average smartphone still lasts about two years, but that could be changing.
Paying on installment plans “could really change the market,” Llamas said in an interview. “But if people pay off their devices and then realize they don’t have to pay the carrier as much [at the end of the payoff period] and only pay for wireless service, they might just hold onto their phones. I think people will hold onto their phones as long as they can after they are paid off. If this plays out and they hold on and don’t update, we’ll see flattening of sales volumes year after year, or even declines, all in the name of saving money.”
Realizing what’s happening in the U.S. and among other major economies, both Apple and Samsung have concentrated heavily on selling their new smartphones in China and other areas where smartphone sales are still strong.
November Xbox One update, explaining that it will throw a bucketful of new features into the console.
The firm polishes the console experience on a monthly basis and this month sees it swathe the device in tweaks and social networking positives.
Whether you use the console to browse the internet, talk to people, do social networking, watch television, or even play games, you will see some sort of improvement, according to spokeschap Major Nelson.
“We’re bringing you new and exciting ways to watch TV and interact with the Xbox Live gaming community in this month’s Xbox One system update preview. Today, we will begin rolling out a ton of new features to members of the Xbox One preview programme,” said Nelson in a blog that also introduces an excited video walkthrough.
Cosmetic features include the ability to change the background on your Xbox One, and even use achievements from games in your wallpaper.
Braggish players will be able to add their best clips to their profile page and generally swagger around the place, while people who like to crow on a range of platforms will be able to tweet clips from games.
Users can also share their location in their biography pages, and through the Smartglass app can see when anyone has checked out their profile.
Smartglass users can also check out their friends’ activities on the Xbox One, and can line up downloads of content, for example the free titles provided to Gold level subscribers.
The Xbox One store has been improved and Microsoft said that this would make it “easier to find and download apps for your Xbox One”.
The November update is out will be out, unsurprisingly, next month.
The WiGig standard has been around since 2009, but we haven’t really seen it hitting that many retail devices. Back at IDF 2014, Intel demonstrated WiGig 802.11ad video, peripherals, 4K video transfer and it promised that Skylake based laptops will come out of the box with the technology.
WiGig will let you transfer up to 7Gbpps of audio, video or data via 2.4, 5 or 6GHz bands and is as fast as eight-antenna 802.11ac and nearly 50 times faster than highest 802.11n rate. It is backward compatible with WiFi standards, but due to its high frequency it is limited to short distances, usually up to 10 meters, cannot really penetrate walls but it can propagate by reflecting off of walls, ceilings or objects using beam forming.
Now Qualcomm showcased this technology for the first time and promised it inside Snapdragon 810 based devices. Qualcomm demonstrated peer-to-peer connection and transfer of 4K video between two 20nm Snapdragon 810 based tablets. One of the tablets was the sync side and it was connected directly to a 4K TV and it was clear that you could play a content from one tablet and sync it to the second one.
WiGig’s 7Gbps translates to 875MB per second in the best case scenario. The Qualcomm demo shows a Plutonium MSM8994 based tablet hitting up to 187MB a second (1.5 Gbit per second) available for data transfer, with 4K multi-device streaming on the side. WiGig can possibly get to external storage, enabling faster NAS systems, future peripherals such as keyboard and mouse and on a longer run it can completely eliminate the necessity for docking stations. It will take some time but this is the grand idea.
It remains to be seen when we will be able to buy first Snapdragon 810 device with 802.11ad WiGig abilities. Qualcomm mentioned 2015 a number of times, but there’s nothing more specific than that. A potential problem for this standard might be the speed of flash storage that is used in tablets and phones today. According to Androbench, the HTC One M8 can sequentially read 92.29 MB/s, sequentially write only 17 MB/s, while Nvidia’s Shield tablet can sequentially read 67.75 MB/s, and write only 14.09 MB/s.
The performance gets even less impressive with smaller files, but with numbers we are getting from latest 2014 devices, the flash has to increase speed up to 10 times in order to be ready to write files at 150MB. For theoretical maximum of ridiculously fast 875 MB/s we need about 50 times faster memory that the 14-17MB/s write speed available in the current generation of high end mobile devices.
Amazon, which had been in discussions with Simon & Schuster since July over pricing, confirmed the deal first reported by the Business Insider news blog that the two had reached an agreement.
Amazon had been locked in a months-long standoff with publisher Hachette Book Group, the fourth-largest U.S. book publisher owned by France’s Lagardere, over digital book pricing. That has led to numerous issues for authors.
Industry experts had expected other publishers eventually to be drawn into negotiations as well, as the Internet retailer tries to set new benchmarks for the e-book market.
Negotiations with Simon & Schuster took about three weeks and closed two months before Amazon’s contract expired, according to Business Insider.
Simon & Schuster made its original offer and an agreement was reached after a few changes by Amazon, the source told Business Insider.
Google didn’t elaborate on the price increase after announcing the Nexus 6, but several analysts said Google may be intending to push the Nexus as a premium brand that can compete with the iPhone 6 and other high-end phones.
Google originally developed Android to be inclusive and global, and indeed, it is the world’s largest OS by far. The company developed the Nexus line in 2010 to show Android phone manufacturers, and the public, how a pure Android phone could look and feel without the added features and bloatware installed by phone makers.
Meanwhile, the four national carriers are expected to sell the Nexus 6 with a subsidized price of as low as $200 with a two-year contract, and separate pricing for installment plans. AT&T will be a Nexus provider for the first time, and Verizon Wireless will carry the phone despite a spotty history with the Nexus line.
Such a carrier push to sell Nexus 6 phones with a subsidy seems to indicate that Google is intent on spreading wider adoption of its pure Nexus line that it so far hasn’t achieved. Google has long described Android as an operating system for all, but Google also wants to promote a more refined Android device, which it is trying to do with its Nexus line.
The $649 Nexus 6, which will run Android 5.0 Lollipop with support for 64-bit architecture, is a better phone than the $349 Nexus 5 that runs Android 4.4 KitKat. Nexus 6 also starts with 32 GB storage, double the capacity of its predecessor the Nexus 5. (A 64 GB Nexus 6 will run $699 unlocked on Google Play.)
But all the enhancements in the new Nexus 6, including its 5.96-in. Quad HD display and Snapdragon 805 quad-core processor, still don’t fully account for the 86% increase in starting price for the unlocked model, analysts said.
Sundar Pichai, senior vice president of Android at Google, noted in a blog post that wireless carriers will offer the Nexus 6 on monthly contracts or installment plans. A number of industry sources predicted the two-year contract price will start at $200, a common industry price for high-end smartphones, including the new iPhone 6.
The four major carriers, Google and Motorola, which is the Nexus 6 manufacturer, all refused to discuss the prices that carriers will charge. They also would not disclose the November release date.
Twitter Inc will allow users to play podcasts, music and other audio clips direct from their timelines, or message feeds, by using a new feature designed in partnership with Berlin-based audio-streaming service SoundCloud.
The online messaging service introduced what it dubbed “Audio Card,” through which users can listen to a variety of content whilst browsing their timelines.
For starters, Twitter has promised audio from SoundCloud’s partners, which include such diverse sources as NASA, the Washington Post, CNN, David Guetta, Coldplay and Warner Music.
But it’s trying to snag more content partners in future, Twitter said in a recent blog posting.
Twitter didn’t say how Audio Card might evolve, except to stress that it offers musicians a chance to post exclusive clips.
“Many more musical artists and creators will be able to share exclusive, in-the-moment audio to millions of listeners on Twitter,” the company added.
Twitter’s new feature comes after rivals from Apple Inc to Google Inc have jumped into the business of music-streaming, considered the fastest-growing segment of a music market dominated by iTunes.
Twitter had reportedly been in discussions to acquire audio-sharing website SoundCloud, which has been called the Youtube of music, as far back as June.
The firm claims that its IBM Internet of Things Foundation service “makes it possible for a developer to quickly and easily extend an internet-connected device such as a sensor or controller into the [IBM Bluemix] cloud”, and then “build an application [for] the device to collect the data and send real-time insights back to the developer’s business”.
IBM promotes its Bluemix cloud services as an open standards cloud platform for building, managing and running all types of applications for the web, mobile, big data and smart devices.
Big Blue says its Internet of Things Foundation service “delivers rapid access to, and provides valuable insights from, IoT device data coming from billions of internet-connected sensors and controllers”.
The firm cited IDC estimates that there are already nine billion IoT devices in the world, and that there will be as many as 28 billion IoT devices by 2020.
IBM foresees that by providing IoT devices connectivity in cloud services, “equipment and asset manufacturers can use IoT to provide remote service and monitoring to residential and commercial customers, oil and gas companies can remotely monitor and provide predictive maintenance to critical equipment, and logistics companies can track and monitor the condition of goods in transit”, as just some of the industrial, consumer services and financial applications of IoT-enabled systems.
“Think of the IoT Foundation as an extremely fast on-ramp to the cloud for the millions of intelligent IoT devices that are now being shipped, and the billions already internet connected,” said IBM Internet of Things VP John R. Thompson.
IBM said it plans to enlist partners for its IoT efforts, which it expects will include ARM, B&B Electronics, Elecsys, Intel, Multi-Tech Systems and Texas Instruments. Along with these partners, it plans to develop a set of certified instructions, or “recipes” for connecting IoT devices, sensors and gateways.
IBM Bluemix cloud services are already available for developers worldwide, and the IBM Internet of Things Foundation will be available from 21 October. You will need an IBM account to participate, of course.
The credit-card company showed a prototype of the card in London on Friday along with Zwipe, the Norwegian company that developed the fingerprint recognition technology.
The contactless payment card has an integrated fingerprint sensor and a secure data store for the cardholder’s biometric data, which is held only on the card and not in an external database, the companies said.
The card also has an EMV chip, used in European payment cards instead of a magnetic stripe to increase payment security, and a MasterCard application to allow contactless payments.
The prototype shown Friday is thicker than regular payment cards to accommodate a battery. Zwipe said it plans to eliminate the battery by harvesting energy from contactless payment terminals and is working on a new model for release in 2015 that will be as thin as standard cards.
Thanks to its fingerprint authentication, the Zwipe card has no limit on contactless payments, said a company spokesman. Other contactless cards can only be used for payments of around €20 or €25, and some must be placed in a reader and a PIN entered once the transaction reaches a certain threshold.
Norwegian bank Sparebanken DIN has already tested the Zwipe card, and plans to offer biometric authentication and contactless communication for all its cards, the bank has said.
MasterCard wants cardholders to be able to identify themselves without having to use passwords or PINs. Biometric authentication can help with that, but achieving simplicity of use in a secure way is a challenge, it said.
The latest version of the cloud computing stack contains 342 new features, 3,219 bug fixes, almost 500,000 lines of modified documentation and a new Architecture Design Guide.
1,419 unique contributors including representatives from 133 companies made it all happen over six months.
Last month it was revealed that HP had overtaken Red Hat in terms of overall contributions to Juno, and is closing in on Red Hat’s overall lead.
However, Red Hat has shifted focus more towards the cloud market in recent strategy announcements, so that lead could widen again.
The new version adds storage policies, data processing provisioning for Hadoop and Spark and takes the initial steps towards being a platform for Network Function Virtualisation (NFV) in a future release, meaning that it would be capable of managing a number of functions currently fulfilled by expensive software.
Other new features include Nova Compute, a rescue mode improvement with the option to boot from alternative images via locally attached disks, update scheduling and internationalisation updates.
For networking, the Neutron module includes IPv6 and third-party driver testing, plug-ins, and migration support from Nova to Neutron.
The Keystone identity service allows users to share credentials for private and public OpenStack clouds.
The Heat engine, which manages orchestration, includes advanced rollback options in the event of failed deployment and the option for administrators to delegate creation of resources to non-admins.
The Horizon Dashboard now offers Hadoop deployment in a few clicks, enabling rapidly scalable data processing with custom parameters.
Finally, the Trove database allows users to manage relational database servcies in the OpenStack environment.
Of course, OpenStack waits for no-one. With this release safely out, work now begins on the next version, codenamed Kilo, which is due in April 2015.
U.S. Federal Communications Commissioner Jessica Rosenworcel, on Friday, stated that U.S. regulators will look “to infinity and beyond” to harness new technology that can help build a new generation of mobile wireless connections.
The FCC on Friday voted unanimously to open a so-called “notice of inquiry” into what it and the industry can do to turn a new swath of very high-frequency airwaves, previously deemed unusable for mobile networks, into mobile-friendly frequencies.
The FCC’s examination would serve as a regulatory backdrop for research into the next generation of wireless technology, sometimes referred to as 5G and which may allow wireless connections to carry a thousand times more traffic.
“Today we’re stepping in front of the power curve,” FCC Chairman Tom Wheeler said on Friday at the meeting.
In question are frequencies above 24 gigahertz (GHz), sometimes called millimeter waves, that have previously been deemed technically unweildy for mobile connections, though have the potential to carry large amounts of data and give the promise of lightning-fast speeds.
Millimeter waves work best over short distances and have required a direct line-of-sight connection to a receiver. They are now largely used for point-to-point microwave connections.
The FCC said it will study what technologies could help get around the technological and practical obstacles and what kind of regulatory regime could help a variety of technologies to flourish on those airwaves, including the potential for services other than mobile.
The U.S. wireless industry continues to work on deploying the 4G connections, though some equipment manufacturers, such as Samsung are already testing data transmission on the higher frequencies.
Gartner and IDC both recently dramatically lowered their tablet shipment and sales estimates for 2014 and coming years, citing primarily the longer-than-expected time customers keep their existing tablets. (That phenomenon is called the “refresh rate.”)
Gartner said it had originally expected 13% tablet sales growth for the year globally; it has now lowered that growth rate to 11%. IDC’s forecast change was even more dire: In June, it predicted shipment growth this year would be 12.1%, but in September it cut that number to 6.5%.
In the U.S., things are worse, because more than half of households have a tablet and may hold onto it for more than three years, well beyond analysts’ earlier expectations.
IDC said in its latest update that tablet growth in the U.S. this year will be just 1.5%, and will slow to 0.4% in 2015. After that, it expects negative growth through 2018. Adding in 2-in-1 devices, such as a Surface Pro with a keyboard, the situation in the U.S. improves, although overall growth for both tablets and 2-in-1′s will still only reach 3.8% in 2014, and just 0.4% by 2018, IDC said.
“Tablet penetration is high in the U.S. — over half of all households have at least one — which leads to slow growth…,” Mikako Kitagawa, an analyst at Gartner, said in an interview. “A smartphone is a must-have item, but a tablet is not. You can do the same things on a laptop as you do with a tablet, and these are all inter-related.”
Tablets are a “nice-to-have and not a must-have, because phones and PCs are enough to get by,” added Carolina Milanesi, chief of research at Kantar Worldpanel.
In a recent Kantar survey of 20,000 potential tablet buyers, only 13% said they definitely or probably would buy a tablet in the next year, while 54% said they would not, Milanesi said. Of those planning not to buy a tablet, 72% said they were happy with their current PC.
At IDC, analyst Tom Mainelli reported that the first half of 2014 saw tablet growth slow to 5.8% (from a growth rate of 88% in the first half of 2013). Mainelli said the meteoric pace of past years has slowed dramatically due to long device refresh cycles and pressure from sales of large phones, including the new iPhone 6 Plus. That phone has a 5.5-in. display, which is close to some smaller tablets with 7-in. displays.
A comprehensive security audit of its ads code was recently completed, but Facebook “would like to encourage additional scrutiny from whitehats to see what we may have missed,” wrote Collin Greene, a security engineer, in a blog post. “Whitehats” refers to ethical security researchers, as opposed to “blackhats” who take advantage of vulnerabilities.
According to bug bounty program guidelines, Facebook pays a minimum of $500 for a valid bug report. Until the end of the year, that has been increased to $1,000.
Greene wrote that the majority of reports it receives concern more common parts of Facebook’s code, but the company would like to encourage interest in ads “to better protect businesses.”
Facebook’s ad tools include the Ads Manager, the ads API (application programming interface) and Analytics, which is also called Insights, Greene wrote. The company also wants close scrutiny of its back-end billing code.
“There is a lot of backend code to correctly target, deliver, bill and measure ads,” Greene wrote. “This code isn’t directly reachable via the website, but of the small number of issues that have been found in these areas, they are relatively high impact.”
Greene wrote that Facebook typically sees bugs such as incorrect permission checks, insufficient rate-limiting, edge-case CSRF (cross-site request forgery) issues and problems with Flash in its ads code.
Juniper Research now estimates smartwatch shipments will hit 100 million by 2019. The firm expects several high-profile products to launch over the next year or so, helping boost mainstream awareness.
However, the figures are anything but encouraging.
The report, titled ‘Smart Watches: Market Dynamics, Vendor Strategies & Scenario Forecasts 2014-2019′, expects growth will decelerate from 2016 onwards. The first batch will ride the hype, but moving forward it won’t do much for mainstream adoption.
However, the forecast also examines the possibility of sustaining 2014-2015 growth in the long term.
If consumers discover a ‘key use case’ or cases for smartwatches, backed by more product releases on the back of higher demand, higher growth could be sustained. In plain English, if people actually find a use for smartwatches, they will see more growth.
Unfortunately the case is hard to make at this point. Smartwatches face a number of hardware limitations and software support is still limited, which means they are not very useful at the moment. Juniper expects more vendors to integrate GPS, NFC and other technologies, but the downside is that smartwatches are not expected to become very cheap. The firm estimates premium branding and high functionality to keep prices at $200+ until the end of the decade.
Europeans not too keen
One possible application that could generate more demand comes in the form of mobile payments. Apple Pay is coming to the Apple Watch, but the service will be limited to the US for quite a while and Apple won’t have an easy time launching it in other markets, where it enjoys a much lower market share.
The problem with mobile digital wallets is that they have not taken off yet. What’s more, new research indicates that Europeans are not sold on the idea of smartwatch wallets.
The survey, carried out by German market research firm GfK, found that just 20 percent of Germans and 27 percent of Britons are interested in contactless payments built into a watch. However, Chinese and American consumers are more open to the idea, with 40 and 54 percent saying they are interested.
Most consumers said they are interested in health applications and many said they would store identification data on their smartwatches.
Qualcomm wants to buy British Bluetooth expert CSR for $2.5 billion. The company is doing rather well in areas like automotive and wearable devices which is exactly where Qualcomm wants to be.
CSR has previously said no to any take-over, but the two had remained in talks to reach a deal, with a deadline imposed by UK regulators. There is a chance alternative bidders may emerge, but they might be put off by the huge amounts of cash that Qualcomm is paying.
Qualcomm Chief Executive Steven Mollenkopf said the addition of CSR would allow it to diversify into the markets for short-range, wireless Bluetooth chips and audio processing used in portable audio, automotive controls and wearable devices.
“Combining CSR’s highly advanced offering of connectivity technologies with a strong track record of success in these areas will unlock new opportunities for growth,” he said.
CSR Chief Executive Joep van Beurden said the two companies were a good combination something analysts appear to agree with. CSR, short for Cambridge Silicon Radio, specializes in connectivity, with its chips used in products such as portable audio speakers and Beats headphones.
It was a pioneer in the market for wireless Bluetooth technology, which is now mushrooming in popularity for use in wireless audio speakers, network-connected appliances in homes and for use in so-called “connected car” features in autos.
Google Inc is gearing up to test new technology that may provide the foundation for a wireless version of its high-speed “Fiber” Internet service, according to telecommunication experts who scrutinized the company’s regulatory filings.
In a public but little-noticed application with the U.S. Federal Communications Commission on Monday, Google asked the agency for permission to conduct tests in California across different wireless spectrums, including a rarely-used millimeter-wave frequency capable of transmitting large amounts of data.
It is unclear from the heavily redacted filing what exactly Google intends to do, but it does signal the Internet giant’s broader ambition of controlling Internet connectivity. The technology it seeks to test could form the basis of a wireless connection that can be broadcast to homes, obviating the need for an actual ground cable or fiber connection, experts say.
By beaming Internet services directly into homes, Google would open a new path now thoroughly dominated by Verizon, AT&T, Comcast and other entrenched cable and broadband providers. It could potentially offer a quicker and cheaper way to deliver high-speed Internet service, a potential threat to the cable-telecoms oligopoly, experts said.
“From a radio standpoint it’s the closest thing to fiber there is,” said Stephen Crowley, a wireless engineer and consultant who monitors FCC filings, noting that millimeter frequencies can transmit data over short distances at speeds of several gigabits per second.
“You could look at it as a possible wireless extension of their Google Fiber wireless network, as a way to more economically serve homes. Put up a pole in a neighborhood, instead of having to run fiber to each home,” said Crowley.
Craig Barratt, the head of the Google Access and Energy division leading the effort to offer high-speed fiber networks in Kansas City and other locations, signed off as the authorized person submitting Google’s FCC application.
The world’s No.1 Internet search engine has expanded into providing consumers with services such as Internet access. The company said it wants to roll out its high-speed Internet service to more than 30 U.S. cities, and in 2013 it struck a deal to provide free wireless Internet access to 7,000 Starbucks cafes across America.
Earlier this year, technology news website The Information reported that Google was exploring ways to offer a full-fledged wireless service, with voice and Internet access, in markets where the company already offers its Fiber service.