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.
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.
DELL is showing off ”enterprise class” security for small to medium businesses with the launch of a SuperMassive 9800 next-generation firewall, which it claims will protect against high-profile bugs such as Shellshock and Heartbleed.
Touted as the most powerful in the fresh 9000 line-up, and sounding a little like a gang of rappers, the SuperMassive 9800 offers services such as advanced Deep Packet Inspection with speeds up to 20Gbps, and Dell’s patented Reassembly-Free Deep Packet Inspection (RFDPI) single-pass threat prevention engine.
RFDPI scans multiple application types and protocols to spot internal and external attacks and application vulnerabilities, Dell said, making it better at detecting attacks.
The SuperMassive 9800 is also bundled with Dell’s Global Management System 8.0, a tool designed to manage systems and offer real-time event monitoring, analytics and reporting from a single centralised dashboard.
Dell claims that this makes it easier to meet compliance regulations while managing and monitoring network security processes.
The firm claimed that the SuperMassive 9800 provides 97.9 percent “security effectiveness” and helps to protect customers from Shellshock and Heartbleed-level vulnerabilities.
“The recent disclosures of the ShellShock and HeartBleed industry-wide vulnerabilities demonstrate that organisations are literally a few well-formed packets away from infrastructure disaster, proving the need for instant and automated security scaled to meet the needs of the network,” said executive director of Dell Security, Patrick Sweeney.
“The SuperMassive 9800 provides that level of instant security on a flexible, feature-rich platform.”
Shellshock was uncovered in September, and some experts claim that it could be more serious than the Heartbleed SSL bug uncovered in April.
The Bash bug, as implied by its name, is a vulnerability that allows unscrupulous users to take control of Bourne Again Shell (Bash), the software used to control the Unix command prompt on some Unix-like systems.
Researchers at FireEye and Trend Micro warned later in September that hackers were still mounting cyber attacks across the globe thanks to exploits of Bash bug vulnerabilities, made worse by an unsuccessful patch.
The anonymous user, who claims to have hacked close to 7 million accounts, is calling for Bitcoin donations to fund the operation.
“We will keep releasing more to the public as donations come in, show your support,” the anonymous Pastebin user said on the site.
Dropbox, however, said it has not been hacked.
“These usernames and passwords were unfortunately stolen from other services and used in attempts to log in to Dropbox accounts. We’d previously detected these attacks and the vast majority of the passwords posted have been expired for some time now. All other remaining passwords have been expired as well,” a Dropbox spokesman said in an email to Reuters.
Dropbox is a Silicon Valley startup that has proved a hit with consumers and boasts more than 200 million users six years after it was started. It has undergone tremendous growth amid the meteoric rise of cloud, which is expected to continue booming alongside mobile computing.
NSA whistleblower Edward Snowden last week advised those concerned about their privacy to “get rid of Dropbox” and cease using Facebook and Google.
The smartphone is a variant of the Xperia Z3, which was announced at the IFA trade show in Berlin last month. The smartphone will be sold for US$199 through Verizon with a two-year mobile contract, the companies said.
The Z3V smartphone has a 5.2-inch screen and looks and feels just like the Z3, but there are subtle differences. The Z3V has wireless charging and offers a longer battery life of two hours. The Z3 has one-and-a-half hours of battery life.
The Z3V also lets users play PlayStation 4 games remotely on their phones with the Remote Play feature.
The Z3V has the same 20.7-megapixel rear camera as the Z3, but advanced software to shoot and edit pictures.
Other features include a Qualcomm Snapdragon 801 processor, a 1920 x 1080 pixel resolution screen and a 2.2-megapixel front camera. It runs on the Android 4.4 OS, code-named KitKat. The smartphone is also waterproof.
The Xperia Z3V is the effective successor to the Z2, which shipped just six months ago, and has received good reviews. But PC Advisor says that the hardware in the Z3 is similar to that of its predecessor, so there’s no major reason to upgrade.
Sony’s U.S. mobile business has struggled. But the company is committed to that market, said Kunimasa Suzuki, president and CEO of Sony Mobile Communications, at the event. The Z3V is central to the company’s plans for the market, which also include bringing all of gaming, movie, music and device assets together.
The Z3V was one of many product availability announcements made at the press conference. Verizon will sell Sony’s Smartwatch 3 starting later this month, though no price was announced.
The Smartwatch 3 was also announced at IFA. It will run on Google’s Android Wear OS and offer two days of battery life, said Jeff Dietel, vice president of marketing at Verizon Wireless.
The country’s third-largest carrier has confirmed that it will end its WiMax service on Nov. 6, 2015. It had disclosed in a Securities and Exchange Commission filing last year that WiMax would shut down by the end of 2015.
Sprint deployed what was then a newly emerging technology in 2008, attempting to jump past its competitors with a mobile data network that would be faster than its own 3G CDMA system and those operated by the other big national carriers. WiMax launched first in Baltimore in September 2008 with advertised download speeds ranging from 2Mbps (bits per second) to 4Mbps.
The network ultimately was built and operated by Clearwire, another early WiMax adherent that owned spectrum licenses in the same band as Sprint, around 2.5GHz. Sprint bought its WiMax capacity wholesale from Clearwire before selling it to its 4G subscribers. The two carriers had a tumultuous relationship until Sprint acquired Clearwire as part of its takeover by Softbank in 2013.
WiMax predated LTE and may have helped to spur on the development of that standard, which became the 4G system for carriers that had embraced the GSM family of technologies. But as early as 2010, both Sprint and Clearwire were signaling that they would give in to LTE’s broader global backing and follow what was already expected to be the more high-volume technology.
The November date was first reported by AndroidCentral, based on a leaked newsletter that discussed a letter to be sent a year in advance to all corporate WiMax customers. The newsletter also said other WiMax customers would be informed six months in advance and that there would be comparable devices at low or no cost to replace WiMax equipment. Sprint had laid out the possibility of free LTE replacement phones in its terms of service last year.
The move by Groupe BPCE, France’s second largest bank by customers, coincides with Twitter’s own foray into the world of online payments as the social network seeks new sources of revenue beyond advertising.
Twitter is racing other tech giants Apple and Facebook to get a foothold in new payment services for mobile phones or apps. They are collaborating and, in some cases, competing with banks and credit card issuers that have run the business for decades.
The bank said last month it was prepared to offer simple person-to-person money transfers via Twitter to French consumers, regardless of what bank they use, and without requiring the sender know the recipient’s banking details.
“(S-Money) offers Twitter users in France a new way to send each other money, irrespective of their bank and without having to enter the beneficiary’s bank details, with a simple tweet,” Nicolas Chatillon, chief executive of S-Money, BPCE’s mobile payments unit, said in the statement.
Payment by tweets will be managed via the bank’s S-Money service, which allows money transfers via text message and relies on the credit-card industry’s data security standards.
BPCE and Twitter declined to provide further details ahead of a news conference in Paris later today to unveil the service.
Last month, Twitter started trials of its own new service, dubbed “Twitter Buy”, to allow consumers to find and buy products on its social network.
The service embeds a “Twitter Buy” button inside tweets posted by more than two dozen stores, music artists and non-profits. Burberry, Home Depot, and musicians such as Pharrell and Megadeth are among the early vendors.
Twitter’s role to date has been to connect customers rather than processing payments or checking their identities.
Chief Executive Mark Zuckerberg, who is visiting India to participate in an event to boost Internet usage, refused to say much more, but it does indicate that the company has not worked out a cunning plan yet.
Facebook’s final WhatsApp acquisition price tag has risen an additional $3 billion to roughly $22 billion because of the increased value of Facebook’s stock in recent months. This means that Zuckerberg is under pressure to make a bob or two from the deal.
WhatsApp works across different types of phones, across borders, and without advertising. The app only charges a 99 cent annual subscription fee, which is waived for the first year.
A team of researchers from the Georgia Institute of Technology developed speech-to-text software for Google’s wearable technology. Using Glass and an Android-based smartphone, the app converts speech to text and displays it on the Glass heads-up display.
“This system allows wearers like me to focus on the speaker’s lips and facial gestures,” said Jim Foley, a professor at Georgia Tech, in a statement. “If hard-of-hearing people understand the speech, the conversation can continue immediately without waiting for the caption. However, if I miss a word, I can glance at the transcription, get the word or two I need and get back into the conversation.”
According to Georgia Tech, the system works by having a hard-of-hearing person wear Glass while the person he’s trying to converse with speaks directly into the smartphone. The speech is converted to text, sent to Glass and displayed on its heads-up display.
“Glass has its own microphone, but it’s designed for the wearer,” said Thad Starner, a Georgia Tech professor and a technical lead for Glass. “The mobile phone puts a microphone directly next to the speaker’s mouth, reducing background noise and helping to eliminate errors.”
The app, called Captioning on Glass, is free and is available at MyGlass.
Google has been focused on expanding its app ecosystem for Glass, adding apps for Facebook, Twitter and CNN.
Google is still working to move Glass from prototype to an official product.
Google offered the eyewear for general sale in May, although Glass still is in beta testing. The company is looking for early adopters, also known as Explorers, while engineers continue to work on the hardware and software, and third parties add to the selection of apps.
Earlier this year, Google executives said they expected Glass to be released later in 2014. However, during the company’s annual developer conference, they stopped estimating release dates and said Glass will be released when it’s ready.
Around 45 percent of Android mobile devices have a browser that is vulnerable to two serious security issues, but some countries have a considerably larger percentage of affected users than others, according to data from mobile security firm Lookout.
The two security issues were uncovered over the past month by a security researcher named Rafay Baloch and were described as a privacy disaster by other researchers. They allow an attacker to bypass a core security boundary, called the same-origin policy (SOP), that exists in all browsers.
The SOP prevents scripts from one domain from interacting with data from a different domain. For example, scripts running on a page hosted on domain A should not be able to interact with content loaded on the same page from domain B.
Without that restriction, attackers could create pages that load Facebook, Gmail or some other sensitive sites in an invisible iframe and then trick users into visiting those pages in order to hijack their sessions and read their emails or send Facebook messages, for example.
The SOP bypass vulnerabilities found by Baloch affect Android versions older than 4.4, which according to data from Google are installed on 75 percent of all Android devices that actively visit the Google Play Store. Android 4.4 is not vulnerable because it uses Google Chrome as the default browser instead of the older Android Open Source Project (AOSP) browser.
Google has released patches for the two vulnerabilities through AOSP, which serves as the base for the customized Android firmware installed on devices by manufacturers. The task now falls on device vendors to import those patches and release firmware updates to end users.
However, history has shown that the availability of Android firmware updates varies greatly among manufacturers, different devices from the same manufacturer and even among countries, as local carriers also play a role in the distribution of over-the-air updates.
Kaspersky has revealed that it is working with Interpol in attempting to foil a gang of cash machine (ATM) hackers who have found a way to make it spit out its contents without even using a card.
The hack is incredibly carefully thought out. Hackers gain access to cash machines, through mole employees or perhaps cleaners, and add the malicious code, named Tyupkin by Kaspersky. The cash machine continues to function as normal.
The malware is triggered only at set times – Sunday and Monday nights – thus avoiding being accidentally triggered by a member of the public.
At that time, the mule is sent to the machine and types in a series of digits unique to that raid based on an algorithm known to the gang.
He then makes a second call to the gang who generate the second half of the code from their end, thus ensuring that the mule isn’t tempted to swan off with the dough.
At that point, it’s Winsday. The machine will display how much is in each cash compartment and willingly spits it out to the waiting mule who goes back to distribute the swag.
“Offenders are constantly identifying new ways to evolve their methodologies to commit crimes, and it is essential that we keep law enforcement in our member countries involved and informed about current trends and modus operandi,” said Sanjay Virmani, director of the Interpol Digital Crime Centre.
“We strongly advise banks to review the physical security of their ATMs and network infrastructure and consider investing in quality security solutions,” added Vicente Diaz, principal security researcher at Kaspersky Lab’s Global Research and Analysis Team, who, coincidentally, knows a company that can offer those solutions. Fancy.
Among the recommendations Kaspersky offers is a reminder to switch away from default passwords for systems including the system BIOS for each cash machine.
In June of this year, two Canadian teenagers showed how they had broken into an in-store ATM simply by downloading the instructions from the internet and using unchanged default passwords.
Malware for ATMs first came to the fore in 2008 when two Louisiana criminals reconfigured a cash machine to make it believe that it had smaller denomination bills than it really did.
Toshiba is entering the smart glasses market. The company is introducing a prototype pair of glasses at the Ceatec trade show in Japan this week, and while they might not edge Google Glass out of the market, they should be a bit cheaper.
Called Toshiba Glass, they have a tiny, lightweight projector clipped onto one of the arms near the lens. That projector displays an image that reflects off the inside of the lens to provide an augmented reality-type display.
It’s a similar principle to Google Glass, which also uses a built-in projector. But unlike Google Glass, Toshiba’s glasses don’t have a prism over the lens to reflect the image into the eye.
Instead, with Toshiba’s product, the glasses lens itself comprises a series of narrow, vertical prisms. They’re pretty much invisible when you look straight through the lens, but an image projected from an angle reflects back into the eye.
Toshiba says the glasses weigh 42 grams — about the same as Google Glass, according to this report (Google doesn’t give the weight in its specs). But they’re far less impressive than Google’s product for a few reasons.
One is that Toshiba Glass isn’t wireless — it connects to a smartphone in your pocket in order to work. That’s partly because the battery for the projector would make the glasses too heavy, according to Toshiba — although Google somehow managed it.
The other they’re less impressive is that Toshiba Glass isn’t a full-blown computer. It’s really just a display system that connects to your smartphone.
Still, it might be a lot cheaper than Google Glass, which retails for $1,500.
Toshiba hopes to ship the product next year in Japan and North America, according to a representative at the Ceatec trade show near Tokyo, where Toshiba is showing its glasses for the first time.
It will offer three styles of frame — standard, sporty, and industrial, the last being protective googles like you might wear in a lab.
Mobile metrics firms Mixpanel and Fiksu, which monitor the activity of iPhone owners via the analytics embedded in clients’ apps, have both noted an improvement in the ratio of the iPhone 6 Plus to iPhone 6 smartphones.
As of Sunday, for example, Mixpanel pegged the iPhone 6 at 6.02% of all iPhones, with the iPhone 6 Plus representing 1.34%. The ratio — 4.5:1, or 4.5 iPhone 6 handsets for every one iPhone 6 Plus — was an improvement for the iPhone 6 Plus from the 6.8:1 of two weeks prior.
Fiksu, another mobile app metrics provider, recorded a similar trend.
On Sunday, Fiksu’s ratio was 3.9:1 in favor of the iPhone 6, a stronger showing for the iPhone 6 Plus than two weeks before, when the ratio was 6.5:1.
In other words, about 18% to 20% of all iPhone 6 smartphones monitored by Mixpanel and Fiksu were iPhone 6 Pluses.
Apple still shows a delay between ordering and shipping for both models, but the lag for the iPhone 6 Plus — at “3-4 weeks” on its e-store — remained substantially longer than the iPhone 6 (“7-10 business days”) by a large margin.
But the increasing share of the iPhone 6 Plus in the usage data indicates that, even though it is harder to find than its smaller sibling, customers are acquiring it in larger numbers. That, in turn, hints that sales — or at least usage — of the iPhone 6 Plus are increasing faster than for the iPhone 6.
Most analysts expect the iPhone 6 Plus’s share to jump even more once the 5.5-in. smartphone goes on sale in the People’s Republic of China (PRC) on Oct. 17. Customers in mainland China can pre-order the iPhone 6 and 6 Plus from Apple’s online store starting Friday, Oct. 10.
While the iPhone 6 Plus is out of stock on Apple’s online market, some of the Cupertino, Calif. company’s brick-and-mortar stores have devices to sell, according to iStockNow.com, a website that tracks iPhone retail availability.