Blackberry Loss Shrinks

BlackBerry Ltd reported a smaller quarterly loss on Friday and is showing encouraging signals about its endangered smartphone business as well as its software and services sales, spurring a more than 4 percent jump in its shares.

The Canadian company, a smartphone pioneer pushed to the margins by Apple’s iPhone and devices running Google’s Android software, is now focusing more on software and services than on hardware as it works through a long turnaround.

On the services front, the company reported a huge number of conversions in its second quarter to its heavily promoted new device management platform. But BlackBerry’s hardware unit also offered hopeful news, posting an adjusted profit for the first time in five quarters, helped by lower manufacturing costs and strong demand for its low-end Z3 handsets in emerging markets.

“This is the first time in a long time that we have actually made money on hardware,” Chief Executive John Chen told reporters, while hinting at plans to unveil new phones at Mobile World Congress in Barcelona in 2015. “We think we can continue on that track, so hardware is no longer going to be a drag to the margin and the earnings.”

The Waterloo, Ontario-based company’s revenue in North America rose from the previous quarter, but sales slipped elsewhere. Its total revenue was down more than 40 percent from a year earlier.

“They’re taking all the right steps, which is great. It’s encouraging to see,” said BGC Partners analyst Colin Gillis. “Now we’ve got to see what Chen can do about the revenue decline.”

BlackBerry shares were up 5.2 percent at C$11.45 on the Toronto Stock Exchange and up 4.6 percent at $10.26 on Nasdaq.

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Will HP Dump Snapfish?

Hewlett-Packard Co is taking a look at putting its web-based photo sharing service Snapfish on the block, and has held discussions with multiple private equity and industry buyers, a person with knowledge of the situation said.

Snapfish, which HP bought for more than $300 million in 2005 and currently sits within its printing and personal systems group, is considered non-core for the company, the person said, asking not to be named because the matter is not public.

A spokesman for HP declined to comment.

Last year, HP replaced the printing and personal business’ long-time head Todd Bradley with former Lenovo executive Dion Weisler. Bradley has since left the technology company, to join Tibco Software Inc as its president.

Some of the parties that have been eyeing Snapfish have also expressed interest in buying another online photo-sharing services provider, Shutterfly Inc, the person said.

Shutterfly hired Frank Quattrone’s Qatalyst Partners over the summer to find a buyer, and is expected wrap up its process in the next several weeks, people familiar with the matter have said previously.

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WD’s My Passport Goes Wireless

Western Digital has announced the latest addition to its My Passport series of portable external hard drives.

The My Passport Wireless, as the name suggests, is WD’s entry in the current crop of WiFi Direct attached storage devices.

Available in capacities of 500GB, 1TB and 2TB, the My Passport Wireless drive can sit directly on a WiFi network or act as a pass-through device, linking up to eight devices regardless of type and operating system.

One touch syncing with Dropbox, Onedrive and Google Drive allows users to keep local copies of files without clogging up their computer hard drives.

With an optimal battery life of eight hours and standby life of 20 hours on a single charge, My Passport Wireless is capable of streaming HD video to multiple screens, and connects with wireless cameras via FTP for simultaneous backup during photo sessions.

An external SD card slot is also included for devices that do not have a direct connection, or if you need a little extra boost in storage space.

WD’s My Cloud app, which also powers its My Cloud range of NAS devices, has been given a facelift to include access to the My Passport wireless. New features include an embedded music and video player, and remote configuration of drive settings.

The 500GB model will retail at $150.00, with the 1TB and 2TB editions priced at $200.00 and $250.00, respectively.

As part of the launch of the My Passport Wireless, WD also introduced two new limited edition wired My Passport devices to commemorate ten years of the range. The My Passport Ultra Metal Edition and My Passport Ultra Anniversary Editions were described by Scott Vouri, WD VP of Consumer Marketing as “a souvenir of ten years of a classic device”.

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Is Windows ‘Threshold’ Enroute?

Microsoft will unveil a preview of “Threshold,” the current code name for Windows 8′s successor, as soon as next month, according to an online report on Monday.

ZDNet’s Mary Jo Foley, citing unnamed sources, said that Microsoft will deliver a “technical preview” of Threshold late in September or early in October. Previously, Foley had reported that Microsoft would offer a preview of some kind this fall.

Threshold may be officially named “Windows 9″ by Microsoft — the company has said nothing about either the code name or labeled the next iteration of its desktop and tablet OS — although there are arguments for dumping a numerical title because of the possible association with Windows 8, which has widely been pegged as a failure.

“Technical Preview” is a moniker that Microsoft has used in the past for its Office suite. For both Office 2013 and Office 2010, Microsoft used the term to describe an invitation-only sneak peek. Both application suites were later released as public betas prior to their official launch.

Windows, however, has used a different nomenclature. For 2012′s Windows 8, Microsoft called the early looks ”Developer Preview,””Consumer Preview” and “Release Preview,” all open to everyone. The first was analogous to an alpha, the second to a beta, and the third to a done-but-not-approved release candidate.

Windows 7, however, had used the more traditional “Beta” to describe the first public preview in early 2009. The previous fall, when Microsoft unveiled Windows 7, the firm had seeded an invite-only “pre-alpha” version, also dubbed a Developer Preview, of the OS to programmers and some influential bloggers.

Within hours, the Windows 7 Developer Preview leaked to file-sharing websites. Microsoft may have changed its practices for Windows 8, letting anyone download the first preview, because of the inevitably of leaks.

In an update to her blog of earlier today, Foley added that the “Technical Preview” nameplate notwithstanding, Microsoft would allow anyone to download Threshold/Windows 9 when it becomes available in the next few weeks.

If Microsoft does ship a preview soon and sets its sights on a second-quarter 2015 final release, it will have significantly accelerated the tempo from past practice. With Windows 7 and Windows 8, Microsoft offered its first previews 12 and 13 months, respectively, and the public beta 8 or 9 months, before launching the operating system.

Eight or nine months from September would be May or June 2015; that, however, assumes that the Technical Preview is of beta quality. The name itself hints at something less.

Microsoft appears eager to put Windows 8 behind it. It has stopped beating the drum about the OS and recently announced that it would not issue any additional major updates. Instead, the firm said last week, it will include improvements or new features in small packets using the same Windows Update mechanism that regularly serves security patches.

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Amazon Goes 3D

Amazon.com Inc will offer 3D printing services that allow customers to customize and build earrings, bobble head toys and other items from third-party vendors using a new personalization option on its website.

Most of the more than 200 items available on the company’s new 3D printed products store, which was rolled out on Monday, can be customized using a new feature that allows users to rotate and change the item they are viewing.

Before it is printed by one of Amazon’s sellers, users can customize a product like as a bobble head figure by changing its skin and eye color, hair style and outfit, Amazon said.

“The customization is something we’re keenly interested in,” said Petra Schindler-Carter, director for Amazon marketplace sales, speaking in an interview. “We’ll always look for new applications for that.”

Amazon, which has more than 240 million users, has expanded its marketplaces division to include new areas such as fine art and wine. It is part of Amazon’s larger investment into new areas like mobile services and original content that led to its larger-than-expected second-quarter loss last week.

The new printing option taps into a broader “Maker movement” among tech entrepreneurs in northern California, and to some extent Europe, that is focused on customizing 3D objects rather than development software or mobile applications.

3D printers have gained in popularity on Amazon Supply, a wholesale site for businesses. That interest led Amazon to offer customers an 3D print option, Schindler-Carter said.

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Verizon Wins Top Honors

RootMetrics awarded Verizon Wireless its seal of approval in its latest biannual ranking of wireless network performance in cities across the U.S.

Verizon ranked first or was tied for first in 115 of 125 cities for overall network performance during the first half of 2014, leading all three other national carriers — AT&T, Sprint and T-Mobile.

Sprint didn’t finish first in any of the cities, while Verizon tied with either AT&T or T-Mobile, or both, in 56. That meant that AT&T was the only first place finisher in 59 cities, including major cities such as Cincinnati, Colorado Springs, Colo., Daytona Beach, Fla., Detroit, Los Angeles, Miami, Minneapolis, Nashville, Salt Lake City, San Antonio and Seattle.

RootMetrics found that Verizon finished first in 23 of 50 airport network evaluations for the first half of the year and tied for first in seven out of 50 airports. Verizon won or tied at four major airports: Atlanta, Chicago, Los Angeles and Denver.

Verizon has its 4G LTE network in 500 U.S. cities, providing access to 97% of the U.S. population. RootMetrics used devices capable of connecting to Verizon’s XLTE network, now operating in 300 cities.

XLTE uses AWS spectrum.

RootMetrics is an independent research company that uses testers driving in cars and in stationary locations, both indoors and outdoors, to conduct thousands of tests in each city to evaluate reliability and speed of connections and call, data and text performance. The company uses unmodified smartphones purchased off-the-shelf from operator stores.

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Google, Dropbox Team Up

Google, Dropbox and a few other high-tech firms have devised a new way to help protect themselves against patent trolls.

Patent trolls, or “non-practicing entities,” are companies that buy up old patents and try to monetize them by accusing others of infringement. They usually request a one-off licensing fee to end a lawsuit, something many companies reluctantly pay because it’s cheaper than defending the claim.

The practice has become a significant problem in the high-tech field, in part because of the complex nature of modern software and hardware.

In an attempt to stop it, six high-tech companies have banded together to launch the License on Transfer Network, or LOT Network.

Members of Lotnet retain full ownership and licensing rights of their patents, but they agree to provide each other with a royalty-free license should any of the patents ever be sold.

That means if Dropbox, for instance, sells a patent on data storage to a third party, Google and the other members will first receive a license to the technology. That should insulate them from any lawsuits brought by the patent’s new owner.

Besides Google and Dropbox, the launch members include SAP, Canon, Asana and Newegg. They hope the agreement will reduce the nuisance of patent trolling.

“The LOT Network is a sort of arms control for the patent world,” said Allen Lo, deputy general counsel for patents at Google, in a statement. “By working together, we can cut down on patent litigation, allowing us to focus instead on building great products.”

The group is offering membership to other technology companies.

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eBay Expands Mobile Shopping

Braintree, the payments gateway owned by eBay Inc, is working on removing a hurdle for e-commerce companies by making it easier for customers to directly pay for products on their smart phones.

The company rolled out a set of tools for software developers on Wednesday that allows businesses to deduct payments directly from a customer’s PayPal account.

The developer kit is the first big push from Braintree since it was bought by eBay for $800 million last year to help PayPal, eBay’s payments division, expand its presence on mobile devices.

Eliminating the need for mobile shoppers to type in their credit card details on their phones should help boost sales, Braintree Chief Executive Bill Ready said in an interview.

This is especially critical as consumers spend more time on their smartphones, a trend that is forcing developers to design a “fundamentally different computing experience” for the smaller screen, Ready added.

Braintree processes payments for businesses including car service Uber and online home-rental marketplace Airbnb.

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BlackBerry And Amazon Team Up

BlackBerry Ltd has agreed to a licensing deal with Amazon.com Inc that will let the Canadian smartphone maker offer some 240,000 Android applications from Amazon’s app store on its lineup of BlackBerry 10 devices this fall.

The move allows the Waterloo, Ontario-based company to add a vast array of consumer-focused apps to its devices, while at the same time directing its own efforts toward developing enterprise and productivity applications.

Customers who own smartphones powered by its BlackBerry 10 operating system will now be able to access popular Android apps such as Groupon, Netflix, Pinterest, Minecraft and Candy Crush Saga on their BlackBerry devices this fall. Google Inc makes Android, the mobile operating system used in more than a billion phones and tablets.

The apps will become available after the Canadian smartphone maker rolls out the upgraded BlackBerry 10.3 operating system, the company said.

The move is the latest by the smartphone pioneer to streamline its focus as it attempts to reinvent itself under new Chief Executive Officer John Chen as BlackBerry phones have lost ground to Apple Inc’s iPhone and Samsung Electronics Co Ltd’s Galaxy devices.

Analysts saw the move as a step in the right direction, but are not sure whether it will help turn the tide for BlackBerry.

“While this will widen the BB10 app ecosystem, the consumer

smartphone environment still remains challenging,” Wells Fargo analyst Maynard Um said in a note to clients.

Um views the announcement as a positive for BlackBerry, but said “whether it stems consumer churn remains to be seen.”

Chen wants to remain a competitor in the smartphone segment, but is focused on making BlackBerry a dominant force in machine-to-machine communications. The company’s QNX software already is a mainstay in the automotive industry, powering electronic and other systems in a wide range of cars.

BlackBerry already works with hundreds of large enterprise clients, including corporations and government agencies, to manage and secure mobile devices on their internal networks.

Chen intends to build on those ties and BlackBerry’s security credentials to let these enterprise clients build and customize in-house corporate and productivity applications for their employees.

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Cisco To Launch Smart City

Officials from networking giant Cisco Systems and Kansas City, Mo., have signed a letter of intent to build out a new network for smart city services.

Elements of the project call for designing mobile apps for citizen access, digital interactive kiosks, smart street lights and video surveillance in an area called the city’s innovation district.

The project is designed to complement the city’s build out of a two-mile downtown streetcar path, Cisco said in a statement.

Kansas City, Mo. and its neighbor, Kansas City, Kans., are already getting plenty of outside attention from tech giant Google, which picked the area for its first deployment of Google Fiber, an initiative to install fiber optic cable there and in other cities.

Google won’t say how many households are connected to Google Fiber in the area, but it has already installed 6,000 miles of fiber optic cable. Meanwhile, cable provider Time Warner has provisioned 11,000 Wi-Fi hotspots for its Internet customers to use from mobile devices in various Kansas City area locales, including the popular eight-block restaurant and bar district on the edge of downtown called the Power & Light District.

While some citizen groups have been concerned that Google Fiber isn’t reaching enough low-income families in the area with gigabit fiber, there’s a general recognition by city officials that people of all income levels use smartphones and other wireless devices fairly widely. That can only help the Cisco initiative with Kansas City for wireless services.

Kansas City, Mo. Mayor Sly James said the initiative with Cisco promises to connect city services and information with visitors and residents “like never before.”

Third-party app developers will also have an opportunity to build unique and innovative apps for public use.

Cisco will use its Smart+Connected Communities reference architectures to evaluate the initiative and will work with the city and a business consultancy called Think Big Partners to manage a “living lab” incubator for the tech startup community.

Wim Elfrink, Cisco’s executive vice president of industry solutions, credited city leaders with leading the “charge on innovation in the Midwest.”

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