Do Carriers Want To Abandon Google?

Carrier dissatisfaction with the Android maker Google is growing as more of them look to alternatives to curb what they perceive as the search engine outfit’s inflexibility.

AT&T has publically mentioned it is looking at flogging a smartphone powered by an alternative version of Android. If true, the move is a deliberate slap in the face to Google.

US carriers are a little perturbed about the amount of control has over its products and are looking to rivals such as Cyanogen, which distributes a version of Android that’s only partially controlled by Google.

ZTE had been in discussions to make the device, these people say. But mysteriously its involvement was put in jeopardy when the US government suddenly imposed trade sanctions on the company – of course this is nothing to do with Google.

The big idea is to do something like Amazon and create new flavor of Android based on Google’s source code but controlled entirely by AT&T. It would also give AT&T sole responsibility for maintaining the OS going forward.

It would bugger up Google’s because changes to the Android system might be difficult to incorporate into AT&T’s new version, and some might not make it over at all. However AT&T would be able to integrate phones more deeply into its existing infrastructure and issue updates when it wants.

One likely possibility would be an OS-level integration with AT&T’s DirectTV service which is tricky under Google’s rules. It is not clear if AT&T is serious, or if it is just a move to force Google to pull finger.

Courtesy-Fud

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Is Google Going Wireless?

They already sells phones and tablets, provides a wealth of online services and has been laying high-speed fiber to people’s homes. Now Google is apparently  weighing the possibility of a wireless network service as well.

Google has been in talks with satellite TV provider Dish Network over a possible partnership to build out a wireless service that would rival those from carriers such as AT&T and Sprint, the Wall Street Journal reported late last week.

The talks are at an early stage and could amount to nothing, and Google is just one of many companies Dish is talking to, according to the Journal, which cited anonymous sources. But it raises the prospect that Google might expand its business in a new direction.

Dish has been buying spectrum that could support a wireless service, although it still needs regulatory approval to set one up. In an interview with the Journal Thursday, CEO Charlie Ergen said the partners Dish is talking to include companies that don’t currently have a wireless business.

Google declined to comment on the report, the newspaper said.

Source…

Is Sprint’s Future Questionable?

Sprint Nextel Corp’s shares fell sharply on Thursday as heavy subscriber losses in the second quarter called into question the strategy and outlook of the No. 3 U.S. wireless company.

Sprint had spent heavily to promote its service and better compete against larger carriers Verizon Wireless and AT&T Inc. But that strategy backfired as profit margins eroded and customer losses persisted.

The weak results overshadowed Sprint’s announcement of a $9 billion network contract with start-up LightSquared, and sent the stock tumbling to its lowest point since February before recovering a little to close down 16 percent.

Investors questioned whether Sprint would be able to meet its 2011 targets after such a disappointing showing.

“Their cost of doing business went up dramatically,” said Piper Jaffray analyst Christopher Larsen. “People have less confidence they can meet expectations.”

Sprint’s operating profit margin of 16.3 percent was well below the average Wall Street estimate of around 19 percent as the company had changed its product rebate terms in an effort to combat Verizon Wireless’ sale of the Apple Inc iPhone, and an iPhone discount at AT&T.

But the bet did not pay off as Sprint still saw defections of 101,000 net subscribers — also known as post-paid customers — compared with analysts’ expectation for losses of 15,000.

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T-Mobile Will Offer Unlimited Data Plans

Wireless telecom firm T-Mobile USA said it will begin offering unlimited data service plans, in a move aimed at snagging customers of bigger rivals Verizon Wireless and AT&T Inc which have discontinued offering such plans.

T-mobile, a unit of Deutsche Telekom AG, said the new plans will become available from July 24. The unlimited plans will be available with a two-year agreement for new and existing customers.

Verizon Wireless, the biggest U.S. mobile provider, said earlier in July it will stop offering unlimited data service plans, meaning higher prices for heavy users of services such as mobile Web surfing.

AT&T had stopped offering unlimited data services last year.

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Laptop Users Still Prefer USB Modems

Mobile data users still overwhelmingly prefer USB modems for keeping PCs and other devices connected while on the go, but they may turn more to built-in cellular radios and portable Wi-Fi hotspots over the few years, according to ABI Research.

Despite the growing market for connected tablets and the availability of laptops and netbooks with high-speed cellular modules built in, worldwide shipments of USB modems still surpass embedded 3G and 4G modules by three to one, ABI said in a report Monday. But by 2016, that ratio may change to near an even split, said ABI analyst Jeff Orr.

Mobile operators including AT&T, Verizon Wireless and Clearwire give consumers the option of buying a laptop or netbook with an integrated cellular module. Those computers let subscribers go online almost anywhere without using up a USB port or carrying around a separate piece of hardware that sticks out of the side of the system.

Built-in modems lock buyers into one carrier or network technology for the life of the device, which most consumers and enterprises don’t want, Orr said. They buy USB modems because they can be easily discarded when a better network comes along, he said. Prices are low and often there is no early termination fee for getting out of the carrier data contract.  “That device becomes almost disposable,” he said.

One problem with built-in modems is that wireless technology changes faster than most users want to change computers. For example, the past three years — a typical PC lifetime — have seen the construction of both a WiMax and an LTE network in many cities around the U.S., offering 10 times or more the speed of 3G networks.

The market for embedded modems is still fairly small, according to ABI. In 2010, only about 5% of laptops worldwide shipped with built-in cellular modems, Orr said. Among netbooks, 17% came with modems, but overall shipments were much smaller for netbooks than for laptops. Meanwhile, 40% of tablets came with such modems, but the overall tablet market was smaller still.

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