The company released Rooms on Thursday, its answer to the craze around posting and sharing anonymously. People can use any name they want and don’t need a Facebook account. The app contains rooms geared around various topics, all of which require an invite link to enter. Providing an email address is optional, for the purposes of having accessed rooms restored if the user deletes the app.
The app is only available on iOS. Plans for other platforms like Android or Windows Phone were not disclosed.
The app is not just about anonymity. With it, Facebook hopes to provide a discussion board-type platform where users can chat about shared interests outside of their usual social circles. It’s a concept that has been super popular since, oh, the web’s been around.
“One of the magical things about the early days of the web was connecting to people who you would never encounter otherwise in your daily life,” Facebook said in a statement Thursday.
“From unique obsessions and unconventional hobbies, to personal finance and health-related issues — you can celebrate the sides of yourself that you don’t always show to your friends,” the company said.
But the app’s ability to succeed likely depends on the number and diversity of rooms created by its users, and whether the app’s focus on visuals and photos appeals to them. There’s also no desktop version.
The app was developed as part of Facebook’s Creative Labs project, which has also released stand-alone apps like Slingshot and Paper.
Facebook stresses that Rooms will let users create a unique identity separate from their Facebook account. Your name can be “Wonder Woman” in the app, Facebook said.
I tried out the app, and was even able to use “Mark Zuckerberg” as my name. (A short “hello” post of mine then immediately generated several “high fives.”)
Facebook, however, may share information about Room users within the companies and services operated by Facebook, which would include Facebook itself and other apps like Instagram and WhatsApp, according to the Rooms terms of service.
Pandora Media Inc, owners of the leading Internet radio service, reported a lower-than-expected increase in listeners in the third quarter, sending the company’s shares down 6 percent in extended trading on Thursday.
Pandora said it had 76.5 million active listeners as of Sept. 30, an increase of 5.2 percent from a year earlier.
Analysts, on average, had expected 76.7 million, according to market research firm StreetAccount.
Total listener hours rose to 4.99 billion from 3.99 billion, but again fell short of the average estimate of 5.02 billion.
Pandora’s profit and revenue both beat market expectations, however, as more people listened to streamed music on their mobile phones.
Mobile revenue increased 52 percent to $188 million, while local advertising revenue rose 118 percent to $41.8 million.
Despite its huge user base, Pandora faces stiff competition from Spotify, Apple Inc’s Beats online streaming service, Google Inc, and Amazon.com Inc in the fast-growing music streaming business.
Market research firm Gartner surveyed 4,300 U.S. consumers in June who work at large companies (with more than 1,000 employees) and found 40% used personally owned smartphones, tablets, laptops or desktops as a primary or supplemental business device.
That 40% might not be unusual, but more surprisingly, Gartner found that 45% of workers not required to use a personal device for work were doing so without their employer’s knowledge.
“Almost half [are using their device] without their employer’s awareness,” said Gartner analyst Amanda Sabia in an interview.
“Are those without employer’s awareness violating a rule? That would depend on the employer,” Sabia added. “The point is that some CIOs are underestimating [the number of] employees using their devices and should be prepared for this.”
The Gartner survey found the most popular personally owned device used for work was a desktop computer, at 42%, closely followed by a smartphone, at 40%, a laptop, at 36%, and a tablet, at 26%.
“The lines between work and play are becoming more and more blurred as employees choose to use their own device for work purposes whether sanctioned by an employer or not,” Sabia said. “Devices once bought for personal use are increasingly used for work.”
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.
The company is expected to make more job cuts this month, including from other locations in the U.S., further lowering the ranks of its 33,000-person work force. Since January, the company has cut its ranks by about 5,000, from 38,000.
The latest headquarters cuts were in IT and portfolio management and Sprint’s network, technology and product areas, according to a statement by spokesperson Roni Singleton. Some employees will work their last day on Nov. 7 and others will finish Nov. 14.
“Sprint is focused on competing aggressively in the marketplace,” Singleton said. “We want our customers to pay less for a better value on a new networks. As part of this plan, we have to more closely align our cost structure with that of our competitors.”
CEO Marcelo Claure signaled there would be job cuts in August shortly after taking on his new role. Claure also inaugurated a round of pricing reductions.
Even so, analysts expect the company to lose more subscribers and fall into fourth place among the nation’s top carriers, behind T-Mobile.
An earnings call is expected in late October, although the date hasn’t been scheduled, Singleton said.
Sprint’s more than 5,000 job cuts in 2014 put it behind Cisco, with 6,000 job cuts (8%) announced for the year and Microsoft, with 18,000 job cuts (14%) planned for the year.
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.
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.
TSMC has announced that it will begin volume production of 16nm FinFET products in the second half of 2015, in late Q2 or early Q3.
For consumers, this means products based on TSMC 16nm FinFET silicon should appear in late 2015 and early 2016. The first TSMC 16nm FinFET product was announced a few weeks ago.
TSMC executive CC Wei said sales of 16nm FinFET products should account for 7-9% of the foundry’s total revenue in Q4 2015. The company already has more than 60 clients lined up for the new process and it expects 16nm FinFET to be its fastest growing process ever.
Although TSMC is not talking about the actual clients, we already know the roster looks like the who’s who of tech, with Qualcomm, AMD, Nvidia and Apple on board.
This also means the 20nm node will have a limited shelf life. The first 20nm products are rolling out as we speak, but the transition is slow and if TSMC sticks to its schedule, 20nm will be its top node for roughly a year, giving it much less time on top than earlier 28nm and 40nm nodes.
The road to 10nm
TSMC’s 16nm FinFET, or 16FinFET, is just part of the story. The company hopes to tape out the first 10nm products in 2015, but there is no clear timeframe yet.
Volume production of 10nm products is slated for 2016, most likely late 2016. As transitions speed up, TSMC capex will go up. The company expects to invest more than $10bn in 2015, up from $9.6bn this year.
TSMC expects global smartphone shipments to reach 1.5bn units next year, up 19 percent year-on-year. Needless to say, TSMC silicon will power the majority of them.
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.
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.
Taiwan’s contract chipmaker TSMC surprised Wall Street by doing much better than expected. The outfit made a killing from its smartphone customers to record net profit in the third quarter.
TSMC earned a net profit of (US) $2.51 billion in the July-September period, versus expectations of $2.41 billion analysts expected. It also helped the company notch a 26 percent on-quarter rise in revenue from communication devices, even as computer-related revenue fell 6 percent. TSMC had reported net profit of $1.96 billion in the second quarter and $1.71 billion in the same three months of 2013.
Overall revenue of $6.88 billion in the third quarter also hit a record, eclipsing the $6.02 billion from the previous three months. Apple orders contribute about 6 percent of revenue for TSMC. Other TSMC clients such as Qualcomm and Broadcom supply Apple as well and Yuanta Securities analyst George Chang estimates that such second-hand orders contribute as much as another 15 percent to TSMC sales.
Qualcomm rival MediaTek whose chipsets are popular among low-cost smartphone vendors in emerging markets such as China, also counts TSMC as its main foundry partner.
HANA is short for High Performance Analytical Appliance, and is an in-memory, column-oriented relational database management system.
“SAP HANA converges database and application platform capabilities in-memory to transform transactions, analytics, text analysis, predictive and spatial processing so businesses can operate in real time,” says SAP.
SAP’s partnership with IBM and its SoftLayer cloud services will enable large enterprises that want an alternative to supporting SAP HANA in their own data centres to outsource data centre infrastructure costs.
IBM and SAP jointly-announced: “The SAP HANA Enterprise Cloud offering is now available through IBM’s highly scalable, open and secure cloud.
“SAP HANA Enterprise Cloud will expand to major markets with the addition of the IBM cloud data centres.
“This is expected to enable customers to deploy their SAP software around the globe in a faster and more secure environment that is backed by IBM’s proven cloud capabilities.”
SAP CEO Bill McDermott added: “We look forward to extending one of the longest and most successful partnerships in the IT industry.
“The demand for SAP HANA and the SAP Business Suite on SAP HANA in the cloud is tremendous and this global agreement with IBM heralds a new era of cloud collaboration.
“We anticipate customers will benefit from this collaboration and expansion of SAP HANA Enterprise Cloud.”
IBM CEO and president Ginni Rometty said: “This announcement is a significant milestone in the deployment of enterprise cloud.
“It builds on our two companies’ long history of bringing innovation to business, and extends IBM’s position as the premier global cloud platform.
“Our secure, open, hybrid enterprise cloud platform will enable SAP clients to support new ways to work in an era shaped by big data, mobile and social.”
We reckon that SAP’s partnership with IBM for SAP HANA services is also likely to lead to more opportunities for IBM consulting services to deliver SAP customisation and implementation services to enterprise customers.