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MWC 2012: Enterprise Mobility – The New Frontier for Network Operators

February 28, 2012 by Jeff Yee

Live from the floor on Mobile World Congress 2012…

We’re well into the swing of things at this year’s Mobile World Congress. But with all the flashy announcements and stunts – from 41MP phones launched to “ice cream sandwiches” being given away at Google’s playground – it’s easy to forget that the focus should really be on the operators. After all, it is the operators that make up the core of the GSMA and have the power to drive real change in the industry. But recently they have been pulled into a bit of a tailspin, caused by a lack of growth in voice revenues and an inability to leverage their position on top of the mobile data value chain.

But there are rumblings of change. Yesterday, one of the biggest talking points at MWC was the launch of the GSMA’s initiative “Joyn,” a rich communications service that offers consumers IM, video calling and the ability to share documents and photos simultaneously with voice calls.  The aim of Joyn is to consolidate the multitude of communication apps and put them back under the control of the mobile network operators. This links to conversations we’ve been having with operators around how many are looking at machine-to-machine (M2M) data like this to drive new revenue growth. But the potential is much bigger: the real potential for operators is setting them up as players in the enterprise mobility space, providing their corporate customers with the production of M2M applications, as well as B2C and B2E apps.

A few operators have already ventured in this direction – we’re currently working with AT&T in the U.S., KT in Asia, and Swisscom in Europe, for example. On the whole though, operators have feared to tread in this space – which is surprising if you look at the latest industry stats. We recently conducted a study with Vanson Bourne which showed that on average CIOs and business unit leaders are planning to invest $926,000 (or £590,000) in employee and consumer-facing mobility projects in the next 12-18 months. That’s more than double the amount enterprises currently have invested in mobile projects ($422k/£269k). Not only this, but Global Industry Analysts Inc. recently predicted the worldwide enterprise mobility market would be worth $173.9 billion by 2017.

You can’t argue with numbers like that. And with the corporate relationships that operators hold, network operators that enable mobility for their enterprise customers through the provision of apps, web-apps, mobile websites and storefronts will not only  be able to open up a highly lucrative new revenue stream, but they will also boost revenues associated with the volume of M2M data traffic.

That’s the new frontier for operators. But despite this, many operators have been unwilling to make a play for the share of the enterprise mobility space, mostly due to the deep bank of investment and resource required. However, some operators are starting to see a new solution to the issue, forming wholesale partnerships with enterprise mobility vendors, and white-labelling those vendors’ solutions for their own corporate customers. For this to work, that partner must be able to provide them with a full end-to-end solution, including the ability to build, integrate, publish, manage and analyze, while providing cross platform device support. And above all, these solutions must meet the strict enterprise SLAs and mobile asset management requirements, have full cloud hosting capabilities and integrate with back and systems.

That’s where the opportunity lies. Those are the kind of conversations we are having here in Barcelona this year. And it is those network operators which take advantage of the opportunity in the short term who will reap the biggest gains in the long term.

 

2012 – Predictions for the New Year

December 19, 2011 by Jeff Yee

Happy Holidays from Antenna Software!

It’s that time of year again, when the leaves have fallen, the air gets crisp and television ads are dominated with toys that every kid will want in their home.  It’s the holidays!  And it’s also the end of the year and a time to reflect on all of the great things that have happened in 2011 and to predict the wonderful things that will come in 2012. This year we’re doing the predictions thing a little bit differently.  We’re going to get thoughts from several different Mobile Masters bloggers and let you vote on whose predictions you think ring the most true, or who just made you laugh out loud.

And I’m the lucky man who gets to go first!

I’ll start by saying, we’re fortunate to be a part of a very exciting wireless industry.  Mobile experienced tremendous growth this past year and we expect even more next year.  Strangely, one of our predictions from last year’s blog-o-tainment was nearly correct.  As predicted, Motorola spun off two units, the mobility arm was purchased, and the RAZR returned to life.  Moto, are you serious?  We were joking when we said we wanted to see the RAZR brought back from the dead.

With no intention of actually repeating last year’s prediction success, here’s a glimpse of some of the possibilities for 2012.  From our family to yours, Happy Holidays!

Top Five 2012 Predictions for the Wireless Industry

#5) iCook – Apple does a major overhaul of iTunes and its focus on content.  The top applications in the store are no longer titles such as “Angry Birds”, “Tetris” and “Bejeweled”.  Under the old Apple, the Jobs mentality was to create an ecosystem of content, employing others to build content for the popular iPhone.  Now, with a Cook at the helm, the application focus does a tremendous shift.  The new popular titles in the store are: “iBaking”, “Grilling Shish-Ka-Pods” and “Cook-ing with Apples”.  Sorry Apple… you did that one to yourself when you hired a CEO with the last name of Cook to manage a company named after a fruit.

#4) DeviceOS – After Steve Ballmer finally recognizes that the majority of his employees at Microsoft are using iPhones, he concedes defeat.  At one of his infamous pep rallies at an employee meeting, he screams the new motto, “If you can’t beat ‘em, join ‘em!” Microsoft approaches Apple and seals a deal to license iOS, under the condition that they rebrand it.  Of course, the typical Microsoft touch is put on the operating system to ensure backwards compatibility with old phone and PC hardware, spending billions of dollars to effectively support the one guy in Halifax, Nova Scotia who wants to run iOS on a 1987 IBM PS/2.  Microsoft’s marketing team changes the “i” in iOS to “D”, for Device.  No one realizes the new acronym until after it ships – DOS.  Oh no!  DOS is back and it runs on a 1987 IBM PC!

#3) China T-Mobile – AT&T’s failed merger with T-Mobile leaves Deutsche Telekom with $4 billion in cash and spectrum, but it lacks a strategy for the future.  After a board meeting in Germany, Deutsche Telekom has the answer.  $4B per year in failed mergers!  The world’s largest carrier, China Mobile, is eager to expand beyond China into the United States.  So, Deutsche Telekom sells off T-Mobile to China Mobile, with another $4B in fees if the merger fails.  Then, secret lobbyists for Deutsche Telekom work their contacts in Congress to veto the transaction, spreading fears of Chinese spying via U.S. telecom networks.  The plan nearly succeeds before China threatens to dump their massive U.S. bond holdings onto the market, sparking widespread inflation fears.  Congress surrenders and allows the transaction to proceed.  China T-Mobile is formed.

#2 – The Gates of RIM – Blackberry’s smartphone market share continues to decline.  RIM acknowledges that its co-CEO arrangement of Balsillie and Lazaridis is not working.  The problem?  They need more CEOs to handle the load.  Two is not enough.  So they add a third CEO, bringing Bill Gates out of retirement.  Gates has spent most of his time on his charitable foundation, but after looking at RIM, he concludes that it fits his charitable requirements – thousands of Canadians are at risk of starvation if RIM collapses.  Gates, now at the helm with two other CEOs, concludes that licensing iOS from Apple is the best direction for RIM.  The problem is that Ballmer has beaten him to Apple and has already licensed iOS.  Gates has to settle for acquiring the Windows Phone assets from Microsoft, who is no longer using it.  Bill Gates is once again in charge of Windows.

#1 – Newt 5 – Newt Gingrich is losing his momentum in the race for the U.S. presidency in 2012.  November is quickly approaching, but his ratings in the polls have taken a hit.  He decides to switch his political platform to HTML 5, believing that it will solve all the world’s problems.  “Newt, how will you fix the economy?” “HTML 5,” is his answer.  “Newt, how will you combat global warming?”  “HMTL5” is his answer, once again.  The Newt 5 strategy fails.  While the strategy might have worked in 2011, HTML5 is so yesteryear of an answer by 2012.  To the dismay of the W3C, all vendors in the mobile industry have already begun work on the new answer to solve the world’s issues – HTML6.  All vendors except one.  The lone exception is Kony Solutions, who is still trying to figure out HTML5.


Mobile Web: History of the Mobile Internet, Part 6

October 17, 2011 by Jeff Yee

This six-part blog series retraces the evolution of the mobile Internet in an attempt to understand its complicated history. Part 1 touches on the history of the PC Internet. Part 2 covers AT&T Pocketnet, the First Mobile Internet Phone. Part 3 is about NTTDOCOMO’s i-mode. Part 4 discusses the growth of the mobile Internet in the early 2000s . And Part 5 brought us the phenomenon of Apple and its influence on the industry.

THE STATE OF THE MOBILE INTERNET TODAY

Determining the state of the mobile Internet as it exists today is a difficult task. The challenge is – which day? In a dynamically changing industry, technological advances are a common occurrence every day. The answer to the question is different depending on the day. This is the challenge with developing for the mobile Internet. With change being constant, where should developers focus their time and attention? Which technologies are worth the investment – the ones that will have a future?

In this six-part blog series, we reviewed the early stages of the mobile Internet and noted the introduction of the iPhone as the inflection point, based on wireless carrier data traffic. A look at the Evolution of Mobile Web-Related Markup Languages, found on Wikipedia, describes in visual format the challenge that developers have faced. The chart, found below, describes the many languages that were created to solve the mobile Web problem, sometimes branching off from a predecessor with improvements.  Some of these languages are still in use today; others have been dropped by the vendors that once promoted them.

The chart on Wikipedia has been updated through 2007, coincidentally the year the iPhone was introduced. Unfortunately, it’s out of date and missing the latest HTML5 movement. So let’s take a stab at completing this chart for Wikipedia. Will it look like the following, where the world finds its harmony and lives happily ever after?

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Mobile Web: History of the Mobile Internet, Part 5

October 10, 2011 by Jeff Yee

This six-part blog series will retrace the evolution of the mobile Internet in an attempt to understand its complicated history. Part 1 touches on the history of the PC Internet. Part 2 covers AT&T Pocketnet, the First Mobile Internet Phone. Part 3 is about NTTDOCOMO’s i-mode. Part 4 discusses the growth of the mobile Internet in the early 2000s .

APPLE SPARKS THE LONG-AWAITED MOBILE INTERNET

In June 2007, everything changed. Overnight, the world woke up to a new phone that was radically different than its predecessors. It was the Apple iPhone, which will be remembered as the device that finally lived up to the mobile-Internet hype. But it could have been very different. In 2006, AT&T was working on a secret project with Apple, dubbed “Project Fruit.” The project, done in typical Apple secrecy where few people were aware of the project within both companies, was for Apple to become a Mobile Virtual Network Operator, or MNVO. In the middle of the decade, MVNOs were the rage. Although Virgin looked like a successful MVNO, many other notable brands, such as Disney and ESPN, were having a difficult time with their MVNO offerings.  ESPN was shut down that year.  Apple took notice of the MVNO failures and changed its plans. It would not become a virtual operator, piggybacking on someone else’s network, but instead, it would focus on selling devices. Can you imagine how different it would be if Apple was an MVNO? By 2007, Apple stuck to its core business and put its focus on the launch of the iPhone in the U.S., with an exclusive deal with its first carrier, AT&T.

Until the launch of the iPhone, critics stated that the mobile Internet needed faster networks and cheaper data plans to succeed. They claimed that the mobile Internet wouldn’t go mainstream until this happened. Apple’s iPhone proved them wrong. The first iPhone launched using AT&T’s EDGE network (a 2.5G technology), despite the fact that AT&T had already deployed a 3G network. And the phone required a $30 per month unlimited data plan, when other phones on AT&T were only $20 per month for unlimited data (the price of the plan actually increased, not decreased). Therefore, it wasn’t the speed of the network or the price points that had been the problem for slower-than-hoped-for mobile Internet growth before the iPhone, it was that the market lacked a device that had the experience that users expected when they surfed the mobile Internet.

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Mobile Web: History of the Mobile Internet, Part 4

October 3, 2011 by Jeff Yee

This six-part blog series will retrace the evolution of the mobile Internet in an attempt to understand its complicated history. Part 1 touches on the history of the PC Internet. Part 2 covers AT&T Pocketnet, the First Mobile Internet Phone. Part 3 is about NTTDOCOMO’s i-mode.

WAP’S INITIAL HYPE AND GROWTH IN THE EARLY 2000s

While data services were exploding in Japan in the early 2000s, the Western world seemed to declare each year, at various conferences, that, “This will be the year for the mobile Internet.” But despite some success, these prophecies were largely wrong until the latter part of the decade. The decade started with a dot-com bust that took down many of the Internet companies that were declaring wireless to be the new frontier for the Web. And when the dust settled after the bust, the remaining companies that stayed loyal to their beliefs in the mobile version of the World Wide Web, had to wait patiently, for years, until the adoption rate finally lived up to expectation. Mobile Internet adoption did grow during the first part of the decade, but it seemed to always be short of expectations in North America and Europe. 

The successful mobile start-ups during this time were not getting rich on the mobile Internet. They, instead, focused their time and energy on the money-makers at that time: SMS services and digital downloads such as ringtones.

Why did the mobile Internet fail to live up to expectations in the Western world in the early part of the decade? And why was i-mode so successful during this same period?  Around the same time that AT&T launched PocketNet in 1997, the WAP Forum (now Open Mobile Alliance) was formed.  WAP, or the Wireless Application Protocol, was started in June 1997 by founding members Ericsson, Motorola, Nokia and Openwave, formerly Unwired Planet which is the browser AT&T was using for its first PocketNet phone. The WAP Forum was busy creating specifications for the protocol and markup language that would bridge the differences between a mobile network (GSM, TDMA at the time) and the Internet. As a result, carriers utilizing products from these vendors began a shift to WAP and WML (Wireless Markup Language) by the early 2000s. Even early-leader AT&T shifted from the HDML markup language used for PocketNet to WML by 2002. Meanwhile, i-mode was benefiting from a different choice in technologies; a technology that more closely resembled HTML development for the PC.

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Jeff Yee

Jeff Yee

Jeff is the Senior Director of Worldwide Business Development for Antenna. I’ll keep you connected to the latest on the mobile Web. Prior to Antenna, I was the Chief Operating Officer at Treemo, a software provider of mobile social media communities, where I was responsible for business development, product management, engineering and technical operations. I hold a B.S. in mechanical engineering from the University of Hawaii and an M.S. in management from Antioch University. Follow me on Twitter @Jeffsyee

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