AT&T Gets GM

AT&T Monday said it will provide LTE wireless services to most General Motors automobiles starting in 2014 in the U.S. and Canada.

A multi-year agreement between AT&T and GM subsidiary OnStar calls for vehicles to continue getting OnStar’s safety and security services while adding information and entertainment services for backseat drivers, AT&T said.

Millions of vehicles will be affected, as AT&T rolls out LTE to reach 300 million people in the U.S. by the end of 2014.

The AT&T-GM announcement is part of an explosion in the number of devices connected to the Internet, many of them wirelessly, in what some have termed the “Internet of Things.”

“The is a big announcement for connected devices,” Glenn Lurie, president of emerging enterprises and partnerships at AT&T, said in an interview at Mobile World Congress here.

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Apple Squashes Rumors

Apple will not develop a new, inexpensive iPhone just for the sake of offering a cheaper alternative, Apple CEO Tim Cook said in a speech on Tuesday.

The company’s focus is on creating great products, and it will not make a smartphone that does not past the quality test, Cook said during a webcast from the Goldman Sachs Technology and Internet conference, which is being held in San Francisco.

“There are other companies that do that, that’s not who we are,” Cook said. “Our North Star is great products.”

Instead, the company is now dropping prices on the older iPhone models. That has been successful, and the demand for iPhone 4 models in December was greater than supply, Cook said.

“It surprised us as to the level of demand we have for it,” Cook said.

Lowering the price on older models is just one of the approaches Apple is taking to reach out to price-sensitive buyers. It’s not easy to balance quality and price, and that’s when innovation comes into play and new products could be created to meet consumer demand, Cook said.

“Sometimes you can take the issue … and you can solve it in different ways,” Cook said.

For example, the first iPod that shipped in 2001 was priced at $399, and now users can buy an iPod Shuffle for $49. There was also a big demand in the past to drop the price of Macs to under $500, and Apple tried and couldn’t do it, so it created the iPad tablet.

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Blackberry Makes A Comeback

Research In Motion has hinted that it will unveil two new handsets early next month to accompany the release of its BlackBerry 10 operating system.

RIM is expected to unveil the phones at an event in New York City on Wednesday and will begin promoting BlackBerry 10 to consumers the following Sunday, Feb. 3, when it will air a TV commercial during the Super Bowl.

The sporting event attracts one of the largest TV audiences of the year in America, and companies pay millions of dollars for a 30-second advertising spot, underscoring how important it is for RIM that its new BlackBerry platform will be a hit. The same commercial will also air in Canada, RIM’s home country.

In announcing its publicity plans Friday, RIM also hinted at when the phones will be available to consumers. It said the TV spot “kicks off a week of worldwide launch activity for RIM’s BlackBerry 10 platform, along with the first two devices to run on the new platform.”

If the commercial marks the start of a weeklong buildup to the launch, that would put the North American release of the phones at roughly the start of the second week in February.

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Is Apple Hiding Billions?

According to Apple’s Q4 corporate filings, the company channeled $11 billion into tax havens in a single quarter. The Sunday Times claims the company is sheltering a total of $94 billion in tax havens. However, Apple’s activities are completely legal and the IRS can’t do anything about it.

But Apple’s tax avoidance strategy is not limited to the US. The company is avoided an estimated £550 million in tax in Britain back in 2011. A different analysis suggests a £550 million tax bill. Let’s not forget Kate Middleton is about to have a baby, and babies tend to cost money, so shame on you Apple.

American politicians, from both sides of the political spectrum, like to have their photos taken next to anything Apple.  The company is often viewed as an American success story, as it managed to reinvent itself and come back from the brink to become the world’s second most valuable company.

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Ericcson Transfers Patents

Ericsson has agreed to transfer 1,922 patents and 263 patent applications to Unwired Planet in exchange for a share in ongoing revenue that they will generate.

The transfer includes 753 U.S. patents related to 2G, 3G and LTE technologies, Unwired Planet said Thursday. Four months ago, the company owned just 200 U.S. and foreign patents, and around 75 pending patent applications.

“Our patent portfolio now extends to all layers of the telecom handset and infrastructure stack,” said Unwired Planet’s CEO Mike Mulica during a conference call. The patents cover application stores, location-based services, mobile search and mobile advertising as well as network protocols, antennas and many more topics, Mulica said.

The portfolio will continue to grow, as Ericsson has also committed to transfer a further 100 patents each year from 2014 through 2018.

Mulica said the company wants everyone who uses the patented technologies to pay a license fee. “We will use litigation when necessary,” he said.

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Broadcom Goes UltraHD

As TV manufacturers show off UltraHD TVs at CES, communications chip maker Broadcom is introducing the guts of future gateways that will be able to deliver video for those sets into viewers’ homes.

Broadcom’s BCM7445 silicon platform, announced just hours before the show opened on Tuesday morning, will be able to process incoming video from cable, carrier and satellite services that has four times the resolution of typical 1080p video offered today, according to the company.

Like the eye-catching but expensive TVs on the show floor in Las Vegas, the BCM7445 is just one of the first of many steps to consumers watching UltraHD shows at home. New content, displays and delivery technologies will all be required for the new resolution, which is also known as 4K.

Broadcom expects its chip to be in volume production by the middle of next year, in time for mainstream UltraHD TVs that will probably hit the market for the late 2014 holiday season, said Joe Del Rio, associate product line manager at Broadcom. However, service providers, which will probably be the distributors of most of the gateways built with the BCM7445, may take longer to start sending UltraHD video to their subscribers, Del Rio said.

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AP Goes With Twitter

The Associated Press began using its official Twitter account as an advertising platform on Monday, as the news organization looks for new ways to generate revenue.

Samsung Electronics Co Ltd was the first sponsor on the @ap account for breaking news, which is followed by 1.5 million Twitter users. The South Korean electronics maker’s initial “SPONSORED TWEET” promoted its events at the 2013 Consumer Electronics Show in Las Vegas this week.

AP did not disclose financial details of the arrangement.

Twitter, which sells ads directly to make money from the social media’s monthly base of 200 million users, will not receive any proceeds from the AP-Samsung deal.

The AP called the initiative part of a new business strategy and stressed that sponsored tweets will clearly be labeled to differentiate them from news tweets.

The ads provide AP a new income source as news organizations from newspapers to television face severe revenue declines in the face of high production costs.

While the AP was founded in 1846 by U.S. newspapers as a breaking news conduit, only 22 percent of its revenue comes from member fees. Photo licensing, advertising on its news application AP Mobile and YouTube channel are other revenue streams.

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Is NFC Catching On?

Near Field Communication (NFC) is steadily gaining adoption in the U.S. for sharing data and music among smartphones, but the technology faces years of slow growth as a replacement for physical wallets.

NFC will take a minimum of three more years to grab hold as a technology that enables so-called mobile wallets as a replacement for credit cards and cash in the U.S., according to a consensus of five analysts. And by “grab hold,” these analysts mean being used by only 10% of mobile phone users to make digital purchases.

Gartner analyst Avivah Litan predicts that NFC payments will hit the 10% threshold in 2015, compared to the process of SMS (texting) payments that is expected to represent 50% of mobile payment volume globally in that same year. “We’re still on the edge when it comes to NFC innovation,” Litan says. “It will take a decade before it’s mainstream across the globe.”

Dozens of new smartphones that run Android, BlackBerry and Windows, and that include an NFC chip, launched last year. But Apple notably did not put NFC in its new iPhone 5 when the phone launched in September. That move “surely had a significant detrimental impact on industry adoption of NFC,” Litan says, given Apple’s influence in the mobile market.

Apple justified the move by saying that consumers already could use its Passbook app, which shows barcodes on the display, instead of NFC. The barcodes contain information that can be scanned by optical readers to let users board planes and redeem movie tickets — tasks that Apple notes are “the kinds of things consumers need today.”

Some have criticized Apple for omitting NFC from the iPhone 5, which has led to a widespread reassessment of NFC’s immediate future, especially in the U.S.

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Was The Prize Stock For 2012?

If you wanted to know the IT company which was a rotten investment this year, you might be thinking Facebook, HP or RIM.

However according to Business Insider is starting to look like the so-called industry leader, Apple might have caused its investors the biggest headaches. More money has been lost in the past three months in Apple stock than has ever been lost in the tech disasters known as Hewlett-Packard and Research In Motion combined.

HP’s stock price peaked above $50 a few years ago, and now it’s trading at $14 and RIM peaked above $140 a few years ago, and it’s trading for $11. However Jobs Mob’s share price peaked above $700 three months ago and is now trading just above $500. This means that on a percentage basis, therefore, Apple’s stock is down much less than either Hewlett-Packard RIM but has cost shareholders a lot more money.

When HP investors have lost about $100 billion since the 2000 peak and RIM has lost $65 billion since the 2000 peak. Apple has cost its shareholders value in three months. What is more amusing is that about four months ago, I was lectured by an Apple fanboy who told me that the company is going to be worth a trillion dollars by the end of the year and he just invested more than $100,000 in the company. Looks like he would have been better off putting it on a horse.

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Toyota Goes Wireless Charging

Toyota is taking the smartphone boom quite seriously and the car-maker hopes to offer the first wireless charging systems in select models as early as next year.

Toyota’s wireless system will be compatible with the Qi standard and it will be introduced in the new Avalon sedan next year. Of course, it will be optional and it will be part of Toyota’s $1,950 “technology package” which includes other geeky goodies as well.

According to the BBC, Chrysler is also planning to offer a similar system in the Dodge Dart. Other car-makers will no doubt offer wireless charging functionality sooner rather than later.

The number of Qi compatible phones is limited for the time being. Just 34 phones support it, including the Lumia 920, Nexus 4 and HTC Windows Phone 8X. However, some very popular devices like Apple’s iPhone and Sammy’s Galaxy S series phones don’t support wireless charging just yet.

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