Hackers Attempt To Access AT&T Mobile

AT&T Inc, the No. 2 U.S. wireless carrier, said it is investigating an “organized and systemic attempt” to access mobile customers’ information but that it did not believe any accounts were breached.

The company, which had 100 million subscribers at the end of the third quarter, said it is advising less than 1 percent of its wireless customers that there was an attempt to obtain information about their accounts.

It said that the parties involved appeared to have used “auto script” technology to see if AT&T telephone numbers were linked to online AT&T accounts.

Spokesman Mark Siegel said AT&T’s “investigation is ongoing to determine the source or intent of the attempt to gather this information.”

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at&t iPhone 4S Has Fastest Speeds

A study measuring the performance of the iPhone 4S on the three major U.S. wireless carriers found AT&T to be the best in Web browsing and data downloads and uploads when compared to Apple’s latest smartphone on either the Verizon Wireless or Sprint networks.

iPhone newcomer Sprint was found to be superior with its iPhone 4S for network voice quality on the uplink (when the user is speaking), but Sprint was also about five times slower in Web browsing and data downloads than AT&T, according to the study released Friday by Metrico Wireless, a mobile performance measurement company. Verizon finished in the middle on those data tests, but trailed the other two carriers in voice quality.

Metrico measured five performance factors shortly after the iPhone 4S was launched on all three carriers in October: whether calls could be connected and held; voice quality; data performance; Web browsing by page load speeds and video performance.

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Google, which last week created a bit of chaos with the launch of a Gmail application for Apple iOS devices, has decided to put out discontinue its Gmail application for the BlackBerry.

As of Nov. 22, Google will no longer offer technical support to users of the application, nor will it allow people to download it anymore, the company wrote in a blog post.

However, people will be able to continue using it, although Google will put its development efforts on the version of the application for mobile browsers, available at gmail.com.

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Judge Oks Sprint’s Lawsuit Against AT&T

A judge in the U.S. on Wednesday gave the go ahead to parts of C Spire Wireless and Sprint Nextel’s lawsuits against AT&T’s proposed US$39 billion acquisition of T-Mobile USA.

AT&T and T-Mobile had moved for dismissal of the lawsuits arguing that the complaints by Sprint and C Spire, formerly Cellular South, failed to adequately substantiate that the merger would cause them “antitrust injury”.

The decision by District Judge Ellen Segal Huvelle of the United States District Court for the District of Columbia could complicate AT&T’s defense of the deal which has been already opposed by the U.S. government.

The U.S. Department of Justice filed a lawsuit in August to block AT&T from acquiring T-Mobile, saying that the deal would significantly reduce competition, increase prices and stifle innovation. Seven state attorneys general have joined the lawsuit. That case goes on trial in February before Judge Huvelle.

Where private plaintiffs have successfully pleaded antitrust injury, the fact that they are defendants’ competitors is no bar, Judge Huvelle said before allowing Sprint and C Spire to proceed with their claim that the merger would make it difficult for them to acquire wireless devices. The companies had claimed that after the merger AT&T and Verizon would be in a better position to get exclusive handset deals, while foreclosing their access to the most innovative handsets and raise their costs.

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RIM’s Troubles May Not Be Over

Law firms in the United States and Canada are considering possible consumer lawsuits against Research In Motion Ltd for last week’s BlackBerry outages, which for three days crippled email and messaging for tens of millions of users around the world.

Consumer lawyers say they are investigating whether customers have common claims against the BlackBerry manufacturer and might be able to band together in a single lawsuit.

While the outage did not rise to the level of seriousness comparable to a dangerous medication or tainted food, it inconvenienced and angered customers. Frustrated BlackBerry users, turning to blogs, message boards, Twitter and Facebook, complained about losing important emails and missing meetings last week.

Law firms are considering breach-of-contract or consumer-fraud claims, attorneys said.

A breach-of-contract claim could argue the company failed in its obligations to provide service and could include carriers for BlackBerry service as additional defendants, said attorneys exploring litigation against RIM.

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Sprint Finally Gets The iPhone

Sprint Nextel confirmed that it will offer the next version of Apple Inc’s iPhone, ending months of speculation about whether it would become the third U.S. carrier to sell the popular device.

But the No. 3 U.S. mobile provider would not say whether its iPhone would come with a flat-fee service for unlimited data use – an offering analysts see as Sprint’s only hope for making its iPhone more competitive than rivals.

While selling the device should help Sprint keep subscribers from fleeing to other operators, some analysts worried whether the costs would outweigh the benefits because Apple phones come at a steep premium to other devices.

This is a huge gamble for Sprint and people are justifiably worried that they won’t be able to make any money doing it. It’s not a company that’s in great financial shape right now,” said Stifel Nicolaus analyst Chris King.

Analysts questioned how Sprint will be able to find the money to pay a premium to Apple on top of its obligations to pay back billions of dollars in debt and its plan to spend about $5 billion on an network upgrade in coming years.

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Intel, Samsung Behind New Phone OS

Two Linux software groups have decided to collaborate, they said on Wednesday, to develop a new operating system for cellphones and other devices in partnerships with Intel and Samsung Electronics.

However, analysts said the new Tizen platform is likely to struggle to attract wider developer and manufacturer support to compete with the dozen or so other mobile operating systems in a market dominated by Apple and Google’s Linux-based Android.

Even industry majors Nokia and Hewlett-Packard have canceled their mobile platforms this year.

“The best hope for them is that big operators get worried by Android’s increasing smartphone dominance and decide to consciously switch their allegiances to rival platforms to restrict Google’s huge influence over the mobile market,” said analyst Neil Mawston from Strategy Analytics.

LiMo Foundation and the Linux Foundation said the new Tizen platform is an open-source, standards-based software platform that supports multiple devices including smartphones, tablets, smart TVs, netbooks and in-vehicle ‘infotainment’ systems.

The initial release is planned for the first quarter of 2012, enabling the first devices using Tizen to come to market in mid-2012, the two groups said.

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Verizon Sides With Samsung Not Apple

Verizon Wireless, the biggest U.S. mobile operator, has taken a legal stand against Apple Inc’s request to prohibit the sale of some Samsung Electronics models in the United States.

“The requested injunction of certain Samsung products will harm Verizon Wireless and U.S. consumers,” Verizon said in a court filing dated September 23.

“It also has the possibility of slowing the deployment of next-generation networks — such as Verizon Wireless’s — contrary to the stated goals of the U.S. government,” it said.

Verizon Wireless is a joint venture of Verizon Communications Inc and Vodafone Plc.

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RIM’s Woes Continue

PlayBook shipments dropped in half for Research In Motion during its second quarter, which also saw revenue continue its steep decline.

RIM shipped just 200,000 PlayBooks in the second quarter, down from 500,000 last quarter, when it started offering the tablet device.

Revenue was US$4.2 billion, hitting the low end of the company’s expectation and down 10 percent from the same quarter last year. Analysts polled by Thomson Financial expected $4.47 billion.

RIM’s net income was $329 million, or $0.63 per share. Adjusted net income was $419 million, or $0.80 per share. Analysts were expecting better: Those polled by Thomson predicted $0.87 per share.

RIM shipped 10.6 million smartphones during the second quarter. In June, RIM warned that the second quarter might be weak because of delays in shipping new phones. The delays meant RIM would miss the back-to-school sales period, negatively impacting sales, it said at the time.

Executives who spoke during a conference call to discuss the results put a positive spin on phone sales, however. The company only began launching phones running the new BlackBerry 7 software within the past few weeks, and so far it’s the “largest and most successful launch in our history,” Mike Lazaridis, co-CEO of RIM, said during the call.

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Sprint Sues To Stop AT&T-T-Mobile merger

Sprint on Tuesday announced it has initiated a lawsuit against AT&T and Deutsche Telekom to block the two companies from merging “as a violation of Section 7 of the Clayton Act.” Section 7 of the Clayton Antitrust Act bars any person from acquiring “the whole or any part of the stock or other share capital” that would “substantially … lessen competition, or to tend to create a monopoly.” In its suit, Sprint argues that the proposed merger would violate this act because it would lead to AT&T and Verizon’s controlling 75% of the wireless market while taking in 90% of the profits.

Sprint’s antitrust suit comes less than a week after the U.S. Department of Justice filed an antitrust suit against the merger with the U.S. District Court for the District of Columbia. In its suit, the DOJ similarly argued that the proposed merger would significantly damage competition in the wireless industry, especially since T-Mobile has historically offered low-cost wireless voice and data services for customers. The DOJ also contended that any efficiencies gained by combining AT&T and T-Mobile spectrum would not be enough to offset the damage done to U.S. consumers by further consolidation of the wireless industry.

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