Video game maker Nintendo Co Ltd will develop a device to monitor a user’s fatigue and map their sleep, Chief Executive Satoru Iwata said on Thursday, the first offering from the company’s newly created healthcare division.
The device will be co-created with U.S. firm ResMed Inc, which currently makes products to treat sleep disorders, and will be available in the financial year ending March 2016.
“By using our know-how in gaming… to analyse sleep and fatigue, we can create something fun,” Iwata said.
Nintendo, better known for its Mario video game franchise and Wii and Wii U consoles, has said it expects its healthcare division to turn a profit in 2015/2016. The company already offers fitness games on its Wii console, played with a motion sensor controller.
According to an image Iwata shared at a media conference, the device will be about the size of a hand and can be placed on a user’s bedside table. It will use microwave transmission sensors to track sleep, with the data collected used to help users cultivate healthy sleeping habits.
Iwata refused to discuss the company’s sales expectations for the new device beyond saying that it may be offered via a subscription service rather than a one-off purchase.
“We only start something new if we think we will be able to create a big market, but as I’m not able to discuss pricing plans and other details today I don’t think there’s much point in giving a figure for our projected scale,” he said.
The device was launched a day after Nintendo reported an unexpected quarterly profit, after hit games gave a boost to sales of its Wii U console.
China’s Xiaomi Inc has nudged it’s way into being the world’s third-largest smartphone vendor just three years after first hitting the market, trailing only Samsung Electronics Co Ltd and Apple Inc, according to a new industry study.
Strategy Analytics said Xiaomi accounted for 6 percent of all 320 million smartphones shipped during July-September. Samsung made up 25 percent, down from 35 percent a year earlier due to rising competition from several directions.
Apple’s share also fell slightly to 12 percent.
“Xiaomi was the star performer,” Strategy Analytics Executive Director Neil Mawston said in a statement.
“Samsung continues to face tough competition from Apple at the higher-end of the smartphone market, from Xiaomi and Huawei in the middle-tiers, and from Lenovo and others at the entry-level.”
Xiaomi has been the top seller in its home market of China and recently entered India, where it sells phones exclusively through e-commerce site Flipkart.
Vice President Hugo Barra told Reuters in Bangalore last month that the company aimed to sell 100,000 phones a week in India in October when the country celebrates Diwali.
WD announced that it will begin shipping larger capacity drives in its surveillance series.
The WD Purple range, launched in February, will now include a 6TB version designed for use in video surveillance environments.
WD Purple drives are capable of recording in groups of eight hard drives, monitoring a total of 32 high-definition camera feeds.
“Video surveillance has long been a pioneering Internet of Things application,” said Matt Rutledge, senior vice president and general manager of WD’s Storage Technology group.
“Driven by machine-to-machine interaction between high-resolution, high bit-rate video cameras and high-capacity surveillance video recorders, IoT brings access and big data analytics to improve users’ security. WD Purple 6TB drives enable innovation in this fast growing market.”
As well as the storage credentials, the firmware of the drives contains a few surprises. Allframe reduces video frame loss, improves playback and increases the number of drives supported. This is coupled with regular firmware updates that improve the quality and reliability of the playback.
Intelliseek analyses its environment to optimise searching speeds for the temperature, system resource workload and power consumption in a given situation, while reducing noise and vibration.
The 6TB version is shipping now at $300. It joins the existing range with capacities from 1TB to 5TB.
WD has had a busy year across its consumer and enterprise ranges, releasing the WD Red and WD Red Pro, the WD Ae range for cold storage, featuring incremental disc sizes, and most recently its first wireless addition to the decade-old My Passport range for consumers.
Nvidia Tegra TK1 is being shunned by major phone designers as if it were suffering from ebola, our industry sources have confirmed.
It looks like that 2013 is the year of Qualcomm and that every significant design win has Qualcomm processor inside.
Mediatek is trying the Tegra TK1with the entry level phones but they still have to prove themselves in the mainstream and high end phones that the European or USA phone market craves. They could get there in time, but didn’t manage it in 2013.
Tegra TK1 32-bit quad core managed a few design wins but none of them were in phones. Nvidia is using the chip for its own Jetson TK1 development board that gathered some nice revenues. There was also the Shield tablet, which was not eaten by Hydra, the Acer Chromebook 13, HP Chromebook 14, Lenovo ThinkVision 28 and the XiaoMi MiPad.
The XiaoMi tablet seems to be selling like hotcakes, although, since most of the sales are in China, the word hot cakes should probably be steamed pork buns. The XiaoMi tablet almost resembles Nexus 9 specification, if you look at it in the right light, but sells for half of its price. The Tegra TK1 64 bit, aka Denver, won a design award with the HTC Nexus 9 and this looks like it will sell in buckets. Nvidia also has Google Project Tango tablet, but this won’t sell in any serious numbers as this is more of a developer’s toy rather than a retail product.
However by the end of October 2014 there was no a single phone design win with Tegra K1 32-bit or 64-bit. Nvidia Tegra 4i Gray chip was greeted with a loud sounding yawn when it showed in a Wiko Wax , Blackphone and LG G2 mini LTE for the South American market. None of them was really a huge seller for Nvidia.
The 64 bit Tegra K1 might get some attention but it looks like that phones based on 64 bit Tegra K1 Denver might not show up until early 2015 at the earliest. Meanwhile the Snapdragon 810, Qualcomm’s 64-bit high chip will appear at the Mobile World Congress phone by that time. People are already claiming that the Snapdragon 810 is inside of Samsung Galaxy S6 and we would be surprised if it was not in the LG G3 successor (LG G4) or HTC M8 successor which will probably be dubbed the HTC One M9.
This doesn’t leave Nvidia much space for success in phones but then again Tegra is selling in cars, developers’ boards (such as Jetson Dev Kit), Chromebook and the occasional tablet.
No-one can win in all markets and it seems that Tegra powered Chromebooks perform quite well and that Nvidia is top choice for most car manufactures. However the phone market that might be too hot for Nvidia Tegra TK1 32-bit to handle. We will see if Denver, the 64-bit Tegra K1 or its successor can change things in 2015.
Amazon is persisting in buying content to round out its service, with designs to take on Netflix Inc and other online digital media services. But that increasing spending has helped keep the company in the red, inviting criticism from investors.
Audible, the audiobooks service it bought in 2008 for $300 million, is picking up the 10-person company for an undisclosed sum. Audible founder and Chief Executive Donald Katz said in a statement on Monday the company had been attracted by Rooftop’s content as well as its pool of comic talent.
Rooftop records comedians at clubs across the country and licenses the digital rights to thousands of hours of comedy, which is broadcast either live or later on demand. The company’s media partners include Apple Inc and Yahoo, and it also works with streaming services such as Sirius XM, Spotify and Pandora.
Its content now becomes part of Audible, itself a fast-growing seller of online audiobooks, and vastly increases Rooftop’s audience, said Rooftop Chief Executive Officer Will Rogers.
Amazon is expected to continue acquiring digital content at a rapid clip. In past years, it began investing heavily to branch out from its online retail roots, delving into Hollywood-style content production as well as developing a line of tablets, smartphones and set-top boxes to accelerate the sale of digital content.
For the three months ending Sept. 30, Microsoft recorded $908 million in revenue for the Surface tablet line, an increase of 127% over the same quarter in 2013. The nearly one billion in revenue was a one-quarter record for the Surface, and beat the combined revenue of the previous two quarters.
Using information in Microsoft’s filing with the U.S. Securities and Exchange Commission (SEC), as well as data from earlier quarters, Computerworld calculated the quarter’s cost of that revenue at $786 million, leaving a gross margin of $122 million. Cost of revenue is the cost to make and sell a product, but excludes expenses such as advertising and R&D.
Microsoft said that the Surface line posted a positive gross margin — implying that outside estimates of prior losses were correct — but did not disclose a dollar figure.
According to Computerworld‘s estimate, the margin was small, about 13.4%. That’s more than the average for a Windows personal computer, but less than half or a third of the margins on tablets like Apple’s iPad.
It was even smaller by the figuring of Jan Dawson, principal analyst at Jackdaw Research, who has also used Microsoft’s SEC filings to estimate the Surface’s cost of revenue. He pegged the September quarter’s cost of revenue at $825 million, the gross margin at $83 million, and the margin rate at just 9.1%.
“That’s a gross margin … which is not earth-shattering and in fact about half the gross margin of the phone business at Microsoft. But it’s progress,” Dawson wrote on his blog, where he published his analysis of Surface’s financial performance.
Since its October 2012 introduction, Surface has been a money pit for Microsoft, in the hole to the tune of $1.73 billion through its first seven quarters. With the September quarter in the black, those overall losses have been reduced to about $1.6 billion.
Over the last four quarters, Surface also remained in the red, with losses of $325 million on revenue of $2.7 billion. Put another way, for each dollar Microsoft earned on Surface sales, it lost about 12 cents.
The company that owns Chili’s Grill & Bar also said it will complete a tablet ordering system rollout next month at its U.S. restaurants. Applebee’s announced last December that it would deliver tablets to 1,800 restaurants this year.
The pace of self-ordering system deployments appears to be gaining speed. But there’s a political element to this and it’s best to address it quickly.
The move toward more automation comes at the same time pressure to raise minimum wages is growing. A Wall Street Journal editorial this week, “Minimum Wage Backfire,” said that while it may be true for McDonald’s to say that its tech plans will improve customer experience, the move is also “a convenient way…to justify a reduction in the chain’s global workforce.”
The Journal faulted those who believe that raising fast food wages will boost stagnant incomes. “The result of their agitation will be more jobs for machines and fewer for the least skilled workers,” it wrote.
The elimination of jobs because of automation will happen anyway. Gartner says software and robots will replace one third of all workers by 2025, and that includes many high-skilled jobs, too.
Automation is hardly new to retail. Banks rely on ATMs, and grocery stores, including Walmart, have deployed self-service checkouts. But McDonald’s hasn’t changed its basic system of taking orders since its founding in the 1950s, said Darren Tristano, executive vice president of Technomic, a research group focused on the restaurant industry.
The move to kiosk and mobile ordering, said Tristano, is happening because it will improve order accuracy, speed up service and has the potential of reducing labor cost, which can account for about 30% of costs. But automated self-service is a convenience that’s now expected, particularly among younger customers, he said.
“It’s keeping up with the times, and the (McDonald’s) franchises are going to clamor for it,” said Tristano, who said any labor savings is actually at the bottom of the list of reasons restaurants are putting in these self-service systems.
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.”
The update, designated as Build 9860, followed the Oct. 1 release of the preview, which Microsoft has offered businesses and technology enthusiasts to give potential customers a look at the work in progress and collect feedback during development.
The Oct. 1 version of Windows 10 was labeled Build 9841.
“Sometimes [updates] will be more frequent and sometimes there will be longer gaps, but they will always be chock full of changes and improvements, as well as some bugs and things that are not quite done,” wrote Gabe Aul, of Microsoft’s Operating Systems Group on a company blog.
Aul said that Build 9860 had been handed to his group only a week ago, and repeated earlier warnings by other Microsoft managers that the preview remains incomplete and unpolished.
Although rapid iterations are nothing new to preview or beta software, Microsoft plans to accelerate the delivery of updates — ones that will include not only security patches and performance fixes, but also new features — once Windows 10 officially ships in mid-2015.
Updates will ship as often as monthly for consumers, while businesses will be able to choose between that and two additional tempos that Gartner has tagged as “near-consumer speed” and “long-term servicing.” The former will roll up the “consumer-speed” updates every four to six months to versions that fast-acting enterprises will test and deploy, while the latter will remain feature- and UI-static for as long as two to three years, receiving only security updates.
Other analysts have contended that Microsoft is pushing frequent updates to Windows 10 Technical Preview as much to test the process — both the back-end Windows Update service and the Windows 10 clients’ ability to absorb the changes and smoothly install the updates — as for the company’s stated reasons of gathering feedback and offering users an early look.
“Changes in Windows Update were put in place to make this possible,” Wes Miller, an analyst with Directions on Microsoft, said in an interview earlier this month. “The biggest question for Microsoft is how the updating process works with the Technical Preview.”
In the preview, customers have an update frequently choice of only “Fast” or “Slow.”
Build 9860 will be delivered automatically to most PCs running Windows 10 within days, but users can manually initiate the process by going to “PC Settings,” choosing “Update and recovery” and then “Preview builds,” and finally clicking the “Check Now” button.
Aul said that the download would weigh in at between 2GB and 2.7GB, and that the reboot, the reconstruction of the OS’s search index, and the syncing of OneDrive would take “longer than normal” and “some time.”
Microsoft will ship a second consumer-oriented preview in early 2015, but it’s virtually certain that the firm will provide more-or-less-monthly updates to the Technical Preview between now and then.
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.
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.
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.
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.