Handango CEO Joins FLO TV as President

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It looks like Qualcomm is shaking things up at its FLO TV mobile TV subsidiary. Former Handango CEO Bill Stone will become FLO TV’s new president, replacing Gina Lombardi, who ran the show for the last three years, according to Silicon Alley Insider.

Mobile TV has been a tough nut to crack, to put it mildly: just 2.1 percent of consumers in the U.S. watched programmed television on their cell phones, according to recent comScore M:Metrics data. MediaFLO’s broadcast mobile TV technology looks great on cell phones—essentially, it’s just like terrestrial televsion, instead of the “one-to-many” streamed services that bog down even 3G cellular data networks. But although FLO TV has yet to release subscriber numbers, it’s a given that they’re very low—few handsets come with the built-in tuners necessary to receive MediaFLO broadcasts, even more than a year after the service was switched on in the U.S.

My money is still on advertiser-supported, free mobile TV. Most customers simply don’t like the idea of paying $15 per month extra for on-the-go television—especially on top of existing voice and data plans, which aren’t cheap to begin with.

Ericsson to Cut 5,000 Jobs

Sony_Ericsson_Xperia_X1.jpgEricsson has announced that it will trim 5,000 jobs as part of continued efforts to streamline operations amid uncertainty in the world economy, according to the Associated Press. The move comes as the company reports strong global handset sales but weakened profits, even as Sony Ericsson (Ericsson’s handset unit) continues to lack a robust U.S. lineup.

Some analysts believe that 2009 could be a deciding year for the struggling handset maker, particularly with regard to the smartphone market. “The expectation of a sales slowdown in 2009 for Sony Ericsson in the European and Japanese markets means the company needs to build presence in markets such as North America where market share has historically been limited,” said Gartner research director Carolina Milanesi in a statement. “We believe that 2009 will be a deciding year for Sony Ericsson as it battles between profitability and market share growth.”

Last week, a 35-year-old man in Sweden was arrested after stealing a batch of prototype phones from Sony Ericsson’s Lund offices.

Study: Consumers Fear Cell Phone Upgrades

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A new study by Mformation Technologies Inc. confirms what we all already knew: upgrading your cell phone is a royal pain.

The report said that as many as 78 percent of consumers would upgrade their handsets more regularly if the setup process was “less painful,” according to Ars Technica. In addition, 88 percent of customers avoid trying out new cell phone features (like Web browsing and e-mail) because the setup procedures are too difficult, and almost two-thirds of respondents “stopped using mobile applications because they cannot solve problems with them.”

The research firm compiled the study from data gathered from 4,000 U.S. and U.K. cell phone customers. “According to the study, consumers feel that setting up a new mobile phone and getting confident in using it should take no longer than 15 minutes,” the report said. Instead, it usually takes about an hour, and most customers (78 percent) fear losing photos and address book data in the process.

Nokia to Expand Digital Music Service

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Nokia plans to expand Comes With Music, its UK-based unlimited music service, in both Australia and Singapore later this quarter, and is eyeing further expansion in Europe and the United States, according to Reuters. That indicates that the world’s top handset maker may release more cell phones compatible with the service in the U.S. like the Nokia 5800 XpressMusic.

“The next two countries which we are going to roll out in the next 10 weeks are going to be in Asia, in Australia and Singapore,” Tero Ojanpera, the head of entertainment and communities at Nokia, said at the MidemNet annual digital music gathering in Cannes. “We’ll be launching there in the first quarter of 2009, in February and March.”

Ojanpera said that the hold-up, as usual, is securing rights to the music in each of the territories; the laws differ from country to country with regard to both the recording side and the publishing side of the music business, according to the report. So far, Comes With Music appears to be a well-executed idea that lets Nokia handset owners download as much music as they want over a 12-month period, and then keep it afterward for free.

Cell Phone Spending Exceeds Landline Spending: Report

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For the first time, spending on cell phone services has exceeded spending on residential landline services in the U.S., according to new data from the government’s Bureau of Labor Statistics.

The data shows that the amount of spending on cell phone services actually crossed the line back in 2007. From 2001 to 2007, cellular phone expenditures increased rapidly, from $210 “per consumer unit” to $608 in 2007, an increase of almost 200 percent. Meanwhile, residential phone service expenditures per consumer unit fell from $686 to $482 over the same time period, a decrease of 30 percent.

The report comes as consumers continue to slowly move over to cell phone services. Back in September, Nielsen Mobile released data showing that 17 percent of U.S. households get by without a landline these days; the analytics firm predicted at the time that the number would increase to almost 20 percent by the end of 2008.

AMD Sells Handheld Graphics Unit to Qualcomm

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Qualcomm announced that it has bought AMD’s handheld graphics unit for $65 million in cash. As part of the deal, Qualcomm has acquired graphics and multimedia technology assets, intellectual property and resources that were formerly the basis of AMD’s handheld business.

Qualcomm said in a statement that it has offered jobs to current AMD handheld graphics design and development employees; currently they’re working on mobile 2D and 3D graphics, audio/video, display, and architecture design. Both companies have already received regulatory approval for the deal.

Back at CTIA 2007, AMD showed off its then-new Imageon line of mobile graphics chips; the company since had trouble finding a handset maker willing to incorporate them. Last year, AMD first announced that it was considering selling off its handheld graphics unit.

Peek Announces $299.95 One-Day Lifetime Deal

Peek_Lifetime_Deal.jpgRemember the Peek, the dedicated e-mail-only device that costs too much money ($99.95, plus $19.95 per month) given how crappy it is (as I found in our PC Mag review)? The company has now announced that for just one day only—today—customers can buy the device, plus a lifetime subscription, for $299.95.

As Engadget says, it’s likely that this “one-day only” deal will become standard in the future, given that the company has already discounted the device in some stores. One commenter on the forum noted something interesting in the company’s Terms of Service: “We reserve the right to terminate or restrict your use of our Service, without notice, for any or no reason whatsoever.”

That’s probably also true if they go out of business. I hope that doesn’t happen, of course; there’s plenty of room to revise the Peek and make it better. A dedicated, dead-simple e-mail device is a fine idea if executed properly, which the Peek isn’t. For the record, I don’t recommend this new deal either.

LG and SanDisk Working on Yet More DRM

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LG and SanDisk have developed a new content protection system that will let carriers distribute music and other media content onto removable memory cards for cell phones, according to Phone Scoop.

The content would not be playable on cell phones from another carrier’s network, however. “In other words, if content is pushed from T-Mobile, it could be used on other T-Mobile phones, but not phones from AT&T. It works by allowing IP connectivity to the memory card in the handset,” the report said.

So far no carriers have come forward to say they’re going to use the technology. SanDisk has gone to some pretty interesting extremes as of late to promote its flash memory card business, but this one is particularly odd—and the timing is certainly unfortunate.

Microsoft to Reduce Number of Windows Mobile Handsets

Samsung_Epix_WM.jpgMicrosoft is planning a major announcement at the GSMA Mobile World Congress in Barcelona next month; many expect the company to announce the next version of Windows Mobile. Here in the states, Todd Peters, the vice president of marketing for the Windows Mobile division, hinted at CES last week as to what to expect.

According to the New York Times’ Bits blog, Peters said that Microsoft is responding to fierce competition in the phone market by revamping its mobile operating system, and—significantly—by putting it on fewer devices.

Currently, there are well over 100 devices on the market running Windows Mobile. As we’ve noted in many reviews on PCMag.com, Windows Mobile devices tend to lack the tight hardware integration required for a smooth user experience, often requiring more button pushes and deep sea menu diving than competing devices like the BlackBerry Curve, the iPhone, and the T-Mobile G1. Plus, I’ve found in recent reviews that WM-powered devices tend to have sluggish responses and often exhibit bugs (depending on the phone in question), particularly when playing media or taking photos.

FTC Asked to Investigate Cell Phone Privacy

AdMob_iPhone.jpgAre advertisers stepping over the privacy line with cell phones? Two advocacy groups, the Center for Digital Democracy and U.S. Public Interest Research Group, are asking the Federal Trade Commission to investigate whether mobile marketers are violating users’ privacy, according to our news report.

The two groups assert that emerging mobile marketing shops are beginning to employ the same “unfair and deceptive” behavioral targeting strategies as older Web marketers. “Mobile devices, which know our location and other intimate details of our lives, are being turned into portable behavioral tracking and targeting tools that consumers unwittingly take with them wherever they go,” the groups said in the official complaint.

The report said that the groups are asking the FTC to examine how mobile ad companies deploy techniques like behavioral targeting (serving ads to people based on their online activity) and geo-targeting (serving ads based on people’s physical location). The groups are asking for the FTC to require companies to notify users about how their data is used and to ask for consent. The complaint singles out three companies in particular—Bango, MarchEx, and AdMob—but mentions a list of others.