AllThingsD » cellular

Former Nokia Workers Aim to Make Android Seaworthy With Rugged New Phone

Ina Fried — Wed, 15 May 2013 12:00:27 +0000

After seeing his third smartphone die during a three-month sailing trip in 2010, Heikki Sarajarvi decided that there had to be a better approach.

“I was so fed up,” Sarajarvi said. “I can’t be the only one who is destroying these smartphones doing completely normal things.”

He talked to other sailors and found that they were having similar issues. It wasn’t even about getting the phone wet, he said. Salty sea spray alone was ruining the phones.

So the ship builder and onetime Nokia consultant connected with some other workers at the Finnish cellphone company and set up his own company, Adaia. Of the company’s 16 employees, about half are former Nokia workers.

After two years of toiling, the company has a working prototype for its first product — a rugged Android phone with both cellular and satellite connectivity for texting and email — and for summoning help in an emergency.

Adaia’s phone won’t be out until next year, and it probably won’t be cheap. Sarajarvi said it will cost more than a high-end smartphone, but less than the four cellphones he had to buy.

Adaia partnered with BMW Group’s DesignworksUSA on the design, inspired by a topographical map.

“Dualism is the key characteristic of the design,” said Laurenz Schaffer, the president of the BMW Group-owned design firm, which has worked on phones dating back to the Nokia 5100 series. “It had to support an extreme, active lifestyle in the outdoors, as well as be appropriate to use in an executive meeting.”

Meet Zact, a Shareable Cellphone Service That Changes on the Fly

Ina Fried — Mon, 13 May 2013 12:00:47 +0000

The major carriers have taken baby steps in giving users more control over their data plan. With AT&T and Verizon, for example, users can share a pool of gigabytes across multiple devices.

But imagine a world where you can buy a few hours worth of streaming audio or add unlimited email but only a modest amount of data for other purposes.

That’s just the kind of world being created by a Marc Andreessen-backed startup called ItsOn. The company’s main business plan is selling systems to carriers that would let them offer these kinds of services.

However, to get that business off the ground, ItsOn felt like it needed to create its own service. So on Monday the company is announcing Zact, a consumer cellphone service designed to be cheaper and far more flexible than others on the market.

“We need to do a service and become our own customers to show what’s possible,” ItsOn CEO Greg Raleigh said in an interview.

Whether you want to give your kid more texts, boost your data plan or drop your ex from the account, all these kinds of options can be changed from the phone and on the fly. Want to buy just an hour of video or a month’s worth of email? You can do that, as well.

And if the plan you pick is more than you need, Zact will refund the difference between that plan and the least expensive one that would have matched your usage.

“There’s a way to give people exactly what they want and make a profit,” Raleigh said. Although Zact customers have to pay full price for their phone, they can still save thousands over a two-year contract, Raleigh said.

Another feature is controls that let parents choose not only how much voice, data and texts to give their kids, but also when they can use their device and which apps can run at which times.

Preorders for the service will start on Monday, with devices shipping to consumers by June. Though ItsOn created the service that enabled the flexibility, the underlying network for Zact is Sprint, with ItsOn buying capacity on a wholesale basis.

One big downside initially is Zact’s very limited device portfolio — and that’s putting it mildly. Zact initially only works with two Android phones, the $199 LG Optimus Elite and the $399 LG Viper 4G LTE.

Over time, Zact plans to add phone models as well as tablets and other devices.

But the goal is also to show carriers what’s possible using its service, so that eventually ItsOn can be used by the major operators. And the message is resonating, Raleigh said.

“You see it in their eyes,” he said. “They say, ‘We can be popular.’”

AT&T on T-Mobile's New Rate Plans: "Whatever"

Ina Fried — Tue, 26 Mar 2013 17:35:36 +0000

T-Mobile spent much of its press conference on Tuesday attacking traditional carrier economics and bashing as misleading the pricing of its rivals.

The company reserved its most pointed attacks for AT&T, which not too long ago it had hoped to merge with.

T-Mobile CEO John Legere said that the so-called “subsidized” phones from rivals actually add up to hundreds more in costs over a typical two-year contract.

“This is the biggest crock of shit I’ve ever heard in my entire life,” Legere said.

AT&T, meanwhile, shrugged off the attacks.

“Whatever,” an AT&T representative told AllThingsD. (AT&T did attack T-Mobile in a recent series of ads.)

Sprint, for its part, said it offers a range of contract and no-contract options through its Sprint-branded service as well as prepaid brands Boost and Virgin Mobile.

“Sprint gives its customers the best of both worlds with Truly Unlimited 4G LTE data on smartphones and the best value for customers with a savings of $110 over T-Mobile when comparing the total cost of ownership over two years for the 16 GB version of the Samsung Galaxy S III,” Sprint said. “In addition, true no-term contract options are available with Virgin Mobile, Boost Mobile and Sprint As You Go.”

Verizon touted both its plans and the breadth of its LTE network, which is available in areas covering 273 million people.

“Verizon Wireless customers have for years enjoyed the ability to purchase a phone at full retail price on month to month contract,” it said in a statement. “Phones on our website are offered at full retail price as well as the discounted price to give customers a choice in how they purchase their mobile devices.”

AT&T Reverses Course, Allowing FaceTime Over Cellular For More Customers

Ina Fried — Thu, 08 Nov 2012 20:28:06 +0000

Amid mounting criticism, AT&T said Thursday that it will allow more customers to use FaceTime over its cellular network.

Initially, the company had restricted use to those customers on one of its shared data plans — a decision that triggered upset from some interest groups and customers. Under the move announced Thursday, iPhone 5 and LTE-equipped iPad customers on any of AT&T’s metered data plans will also be able to use the video chat service, though it will take eight to 10 weeks for all such customers to gain access.

Several public interest groups said the move came only after they informed AT&T of their plans to file a complaint with the Federal Communications Commission. Free Press, Public Knowledge and New America Foundation’s Open Technology Institute said they will still file that complaint “if AT&T fails to make FaceTime available to all of its customers in a timely manner.”

“The law is clear,” Free Press Policy Director Matt Wood said in a statement. “AT&T cannot block FaceTime based on claims of potential congestion. There’s nothing even remotely reasonable about that approach. AT&T simply can’t justify blocking an app that competes with its voice and texting services unless customers purchase a more expensive monthly plan that includes an unlimited amount of those very same services. AT&T’s course correction is a move in the right direction, but until the company makes FaceTime available to all of its customers it is still in violation of the FCC’s rules and the broader principles of Net Neutrality.”

AT&T defended its approach, saying it wanted a way to assess the network impact before making it available to all customers.

“We decided to take this cautious approach for important reasons,” it said in a blog post. “AT&T has by far more iPhones on our network than any other carrier. We’re proud of this fact and the confidence our customers have in us. But it also means that when Apple rolls out new services or changes, as it did in iOS 6, it can have a much greater, and more immediate, impact on AT&T’s network than is the case with carriers who have far fewer iPhone users.”

Customers on unlimited plans or with older iPhones still aren’t being promised access, though AT&T said it “will continue to gather and assess the network data on this issue over the next few months and anticipate that we will be able to expand the availability of FaceTime to our customers on other billing plans in the near future.”

AT&T Tops Earnings Expectations on 4.7 Million iPhone Sales, Strong Pickup for Shared Data Plans

Ina Fried — Wed, 24 Oct 2012 14:04:05 +0000

AT&T on Wednesday reported better-than-expected earnings on revenue of $31.5 billion.

The telecommunications giant also said it sold 4.7 million iPhones in the quarter, and signed up two million customers for its new shared data plans in just five weeks. The company said it added 678,000 net wireless customers in the quarter, including 151,000 contract customers.

AT&T said its iPhone sales were hampered by inventory constraints, noting that “the vast majority” of iPhone sales in the quarter went to existing customers looking to upgrade. On a conference call with investors, the company said it activated twice as many iPhone 5s as its nearest competitor.

Overall, the company sold 6.1 million smartphones, with a total of 44.5 million such devices now on its network. That’s up eight million from a year ago, and 1.4 million from the prior quarter.

For Better or Worse, Emirates Passengers Can Now Yammer on Their Cellphones in Flight

Ina Fried — Mon, 08 Oct 2012 18:26:21 +0000

Dubai-based Emirates said Monday that it will start letting passengers on its A380 aircraft talk using their cellphones while in flight.

The service works with standard phones in conjunction with OnAir, the company that provides Wi-Fi service for Emirates’ aircraft.

The only major limitation is that, per Federal Aviation Administration rules, the phones can’t be used over the U.S., so the service shuts down within 250 miles of the States.

Emirates has been tech-heavy for awhile now, equipping its Airbus fleet with phones and fax machines back in the 1990s, and offering in-seat email and text messaging to all passengers since 2006.

The first call using the new system was made on Oct. 2 and was placed to China, Emirates said.

Emirates is naturally touting the convenience and technological breakthrough of the service, though surveys have shown that passengers’ opinions appear mixed on having the ability to make cellphone calls in flight.

“Beginning in 1993 with first passenger satellite phone service to last year with our A380 Wi-Fi system, Emirates has always taken the approach that providing the latest in inflight service and connectivity is a key part of our passengers’ journey,” airline VP Patrick Brannelly said in a statement. “Emirates continues to invest in the most innovative technology possible and promises to keep pushing the boundaries of the inflight innovation for the benefit of our passengers.”

Whether customers see the service as a benefit probably depends on whether they are one of the executives yammering on a cellphone, or one of the people sitting next to said executive.

Confirmed: T-Mobile USA, MetroPCS to Combine in Cash and Stock Deal

Ina Fried — Wed, 03 Oct 2012 12:56:39 +0000

T-Mobile parent Deutsche Telekom said Wednesday that it has reached a deal to combine its U.S. wireless operations with MetroPCS.

Under the terms of the deal, MetroPCS shareholders will get $1.5 billion in cash and a 26 percent stake in the combined company, while Deutsche Telekom will own the remaining 74 percent.

The deal requires regulatory approval as well as a nod from MetroPCS shareholders, and is expected to close in the first half of 2013.

“We are committed to creating a sustainable and financially viable national challenger in the U.S., and we believe this combination helps us deliver on that commitment,” Deutsche Telekom CEO René Obermann said in a statement.

Although the deal would help strengthen T-Mobile’s business, the combined company will still lag far behind market leaders AT&T and Verizon Wireless in terms of spectrum holdings and number of subscribers.

Additionally, the two companies have considerably different business strategies and underlying technologies, issues that could complicate integration.

T-Mobile discussed the deal further on a conference call. Here’s a recap of that call..

Carrier Start-Up Ting Will Soon Let You Use Your Old Sprint Phone

Ina Fried — Thu, 23 Aug 2012 11:00:32 +0000

A whole new crop of start-up cellphone companies are making a similar pitch to would-be customers — namely, that they can deliver lower monthly bills.

However, companies like Ting and Republic Wireless, like the prepaid carrier brands, generally have a similar catch: One typically has to buy a new phone at full price before the savings start.

Ting, though, says it will soon be able to offer a way around that. Starting sometime in the fourth quarter of the year, Ting plans to let its customers use any Sprint phone along with its low-cost service. Customers will pay the same rate as those who buy new phones, with Ting’s pitch being that its customers pay only for the texts, voice and data they use.

Being able to support older phones should allow even more savings, CEO Elliot Noss told AllThingsD.

There are a lot of phones out there that are being passed down or sold cheaply that were high-end models just a couple of years ago.

“There’s incredible value there,” Noss said. “$50 or $100 gets what two years ago was a top-of-the-line phone,” Noss said.

Ting, which is owned by Canadian Internet service wholesaler Tucows, hasn’t said how many customers the service has. However, Noss acknowledged that it is not yet enough to be material to the publicly traded company, which has annual revenue of about $100 million.

“Things have been very good for us,” Noss said, noting that the customers the company does have produce $100 to $150 per year in profits, while still saving them money compared to what they would have spent on a traditional cellphone plan. “We’re very pleased.”

Noss said he is pleased to see the innovation coming not just from his company, but also from Sprint and the other start-up carriers.

“We certainly see our competition as AT&T and Verizon,” he said, noting there are 300 million U.S. cellular subscribers, and only a tiny fraction of those are on nontraditional carriers. “We think we all can learn from each other.”

As for being able to accept the used Sprint phones, Noss said he sees an even bigger opportunity down the road. Eventually, he said, he expects Sprint to find a way to allow former Verizon phones onto its network.

“I think for both Sprint and for Ting, this is really just the warm-up,” Noss said.

Time to Consider Prepaid Mobile?

Lauren Goode — Mon, 06 Aug 2012 13:00:23 +0000

When people in the U.S. hear the term “prepaid mobile,” they might think of cheap phones with limited service options for people with bad credit.

But that’s slowly changing. While some wireless companies say the bulk of their prepaid customers are still low-income consumers looking for a value plan, an increasing number of customers who would normally qualify for phone contracts are now considering no-commitment plans.

This week, I’ll answer some common questions about prepaid mobile, based on my research of nine U.S. brands. While you won’t be able to get a fancy smartphone at a low price, and most plans still aren’t catering to heavy data users, there are some good reasons to reconsider prepaid.

Who Offers What

The “big four” — AT&T, Sprint, T-Mobile and Verizon Wireless — all offer prepaid phones and services. Sprint offers prepaid through three brands: Boost Mobile, Virgin Mobile and Assurance, a government-subsidized program that provides free phones and plans for customers in dire financial situations.

Other well-known U.S. prepaid carriers include U.S. Cellular, MetroPCS and Leap Wireless’s Cricket.

[ See post to watch video ]

Monthly prepaid plans range from $25 to $80 a month. Cricket, for example, offers 300 voice minutes and unlimited text and mobile Web (which is different from data) for $35 a month. Boost is known for its $50 unlimited plan with “shrinkage” — which means that for every six nonconsecutive, on-time payments, a customer’s bill can be reduced by $5. At Verizon Wireless, $80 will get you unlimited voice and text and one gigabyte of data, with each additional megabyte of data costing five cents.

Generally, you can’t roll over unused minutes from month to month.

Data service is available through prepaid plans. But beware: Some carriers boast “unlimited data” offerings, and in some cases, this is just for feature phones, while data services for smartphones require additional plans. Also, the carriers may reduce your data speeds when your usage increases significantly.

Many wireless carriers now offer access to 4G networks with prepaid plans. But as with contract plans, it depends on whether the device you’re using is 4G compatible — and what type of 4G network your carrier has. AllThingsD’s Walt Mossberg offers a good explainer of 4G here.

Getting Equipped

In most cases, you’ll pay full price for the phone. The carriers and their retail partners offer deals and promotions from time to time, but since you’re not committing to a contract, the phone isn’t subsidized. Phones can range from $20 on the low end to $650 for something like the iPhone.

Speaking of the iPhone: It’s now available with prepaid plans. Cricket made waves a couple months ago when it began to offer a 16GB iPhone 4S for $500 and an 8GB iPhone 4 for $400 with its $55 monthly plan. Sprint’s Virgin Mobile also sells the iPhone without a contract. The 16GB iPhone 4S will run you $650, and the 8GB iPhone 4 costs $550, while plans range from $30 to $50 a month.

You can also purchase or activate an iPhone that is GSM-compatible (GSM stands for Global System for Mobile Communications, a specific type of digital cellular network) through AT&T’s GoPhone plans, but AT&T doesn’t offer data plans with this, so you’ll have to use Wi-Fi to browse the Web on this plan. Verizon currently does not offer the iPhone with a prepaid plan.

As for newer Android smartphones, AT&T offers the Samsung Galaxy S III without a contract, for $550. To name a few others: U.S. Cellular offers the Samsung Galaxy S II for $400. MetroPCS offers the Samsung Galaxy S Lightray 4G for $450. Boost Mobile offers the HTC Evo Design 4G for $299, while Virgin Mobile sells the HTC Evo 4G for $300. In many cases, customers must go with higher monthly plans or choose ones that include data in order to get these smartphones.

For Windows Phone 7 fans, T-Mobile sells the Nokia Lumia 710 for $300 without a contract.

You won’t have much luck using your unlocked phone with a prepaid plan. The carriers are getting zero commitment from you to begin with, so a lot of them won’t accept unlocked phones these days. Also, your phone may be technically incompatible with the wireless network.

T-Mobile, however, allows a user to bring in any unlocked, GSM-compatible phone to use with its prepaid plans. AT&T says customers can come in with a GSM-compatible Android device and it can be activated, though again, compatibility varies by phone type and some smartphones may be connected to Wi-Fi only.

Payment Explained

None of the carriers I spoke with require credit checks for someone to get started on a prepaid device. To qualify for Sprint’s Assurance program, however, potential customers must prove they are in need of the financial assistance (most people already getting government assistance will be eligible).

There are several ways prepaid customers can replenish their phones. They can buy a new prepaid card, which looks like a gift card, at wireless and electronics stores, pharmacies and big-box retailers like Walmart and Target; they can refill at prepaid-branded kiosks and pay up online; they can also call their provider’s customer service line directly from the phone.

While most carriers don’t charge any kind of activation fees for prepaid plans, it’s good to ask before you buy. U.S. Cellular, for example, charges an activation free (between $20 and $50) for customers who opt in to cheaper prepaid plans, though the company says it will often waive that. Be sure to check the fine print on international calls and roaming charges, as well.

Also, just because you’re going prepaid doesn’t mean you’re exempt from taxes that are normally affixed to your phone bill. Some carriers, like MetroPCS and AT&T, bundle most of these fees into monthly plans. In other cases, there will be an extra cost. It’s not uncommon to have an e911 fee — a monthly charge for Enhanced 911, which funds computer upgrades for public-safety communications — applied to your bill. Also, you’ll pay the standard point-of-sale tax on a prepaid card if you buy it in a retail store or pharmacy. For example, my $30 Boost Mobile card actually cost me $32.66.

Playing the Number Game

Most companies offer a grace period, usually between 30 and 90 days, in which your prepaid phone number can stay inactive. But then your number gets thrown into the wireless purgatory known as the “cooling pool,” and shortly thereafter it will be reissued to another customer.

The one exception I found was through Sprint’s Boost and Virgin Mobile brands, which allow those serving in the military to keep their numbers for up to two years without having to replenish or keep their account active.

The Power of the Unlicensed Economy

Richard Thanki — Tue, 10 Jul 2012 18:22:37 +0000

In 1985, the Federal Communications Commission permitted, for the first time, low-powered wireless communications equipment to be used without the need for a license. The prospects for this experiment were not entirely promising. The bands of radio spectrum assigned for unlicensed use were full of powerful and polluting industrial uses and were thus widely considered “junk spectrum,” unsuitable for communications.

However, the potential rewards offered by this new, unlicensed spectrum were also great: Citizens and businesses might have the freedom to deploy their own wireless networks without the need for costly and bureaucratic spectrum licences, encouraging a deluge of technological and business model innovation, transforming this onetime “junk spectrum” into the most economically productive radio spectrum in the world, and becoming home to an incredible diversity of coexisting uses. Unsurprisingly, the unlicensed bands have been adopted worldwide.

These rewards became a reality and now the power of this unlicensed economy is clearly reflected in the present-day Internet and its future trajectory.

Talking advantage of the freedom offered by unlicensed spectrum access, one quarter of the world’s households and tens of millions of businesses have deployed Wi-Fi networks to deliver broadband Internet access. The scale of this deployment is almost incredible. The combined capacity of the world’s Wi-Fi access points is at least 30 times greater than that of all cellular data networks. Wi-Fi carries substantially more traffic from PCs and laptops than wired connections and more traffic from smartphones and tablets than 3G or 4G networks. The economic gain is commensurately large. Wi-Fi enhances the annual economic value of fixed broadband connections by up to $99 billion. In the absence of Wi-Fi, cellular operators would need to construct up to 450,000 new radio base stations to serve increased smartphone data traffic. This could cost $93 billion — subjecting smartphone and tablet users to significantly higher network charges or greatly diminished service. In addition, unlicensed spectrum has allowed entrepreneurs to roll out broadband Internet services in areas of the world where there is no other provision. Four million people in the U.S. are served by rural wireless Internet providers and, globally, many tens of millions more are connected to the Internet in this way.

Technologies that use the unlicensed spectrum are enabling the next great evolutionary step for the Internet: The rapid rise of machine-to-machine communications. Widely embedded wireless connectivity and intelligence is enabling many new applications, from wireless networks used to detect forest fires to pacemakers able to report health data to doctors. The number of intelligent connected devices is growing quickly, and is likely to exceed 100 billion by 2020, potentially generating an economic contribution of more than $1.4 trillion per year — five times greater than the Internet today. Technologies using unlicensed spectrum are set to provide 95 percent to 97 percent of these connections, as unlicensed technologies are cost-effective, power-efficient and provide users fine-grained control over the networks and infrastructure they deploy.

Unlicensed spectrum is also important in ensuring that our networks are adaptable to change and resilient to attack. As business and home users deploy their own unlicensed networks, our infrastructure becomes less vulnerable to the outage of any one network. In the aftermath of a natural disaster or violent attack, when fixed and mobile networks have failed, off-the-shelf home and office Wi-Fi access points can be stitched together to create broadband networks. This approach has been used in a number of instances, from the aftermath of the Haiti earthquake to areas affected by the Indian Ocean tsunami.

New unlicensed allocations, such as the TV white-space spectrum will allow the creation of broadband links that span hundreds of metres and lower-speed machine-to-machine links that span many kilometres. White spaces will also provide a substantial boost to adaptability by enabling the rapid creation of near-ubiquitous networks in the case of disaster. Major white-space technology trials are investigating precisely these disaster-recovery capabilities.

The power of the unlicensed economy derives ultimately from freedom: The freedom of innovators to bring their products to market and the freedom of businesses and individuals to build infrastructure to solve the issues they face, without requiring the permission of spectrum licence-holders. By coordinating users through technical rules built into equipment, some of the unlicensed bands achieve unparalleled spectral efficiency, far in excess of any licensed bands. The FCC’s experiment appears to have succeeded; the tiny fraction of the spectrum devoted to unlicensed usage is already delivering substantial economic benefits. In fact, there are strong grounds to extend the unlicensed experiment into new bands, providing even greater scope for innovation, value creation and more efficient use of spectrum.

Richard Thanki is currently completing a doctorate at the Institute of Complex Systems Simulation at the University of Southampton, and was formerly a senior associate economist at Ofcom, the U.K. telecommunications regulator. He is the author of two major studies exploring the economics of the unlicensed economy.

Yep, the Wireless Industry Actually Lost Contract Customers Last Quarter

Ina Fried — Mon, 14 May 2012 12:30:37 +0000

iStockphoto | italianestro

The analysts thought this might happen — and it did. The titans of the U.S. cellular industry managed to see their total number of on-contract customers drop last quarter.

Typically, the major carriers, including AT&T, Verizon, Sprint and T-Mobile, see some shift in their share but manage to post a cumulative gain in so-called postpaid customers.

This quarter, though, gains at Verizon and AT&T weren’t enough to offset the steep losses at T-Mobile, Sprint and other carriers. T-Mobile alone lost half a million contract customers in the January-to-March quarter, while Sprint lost 192,000 contract customers.

The Associated Press did the math and calculated a drop in the industry of 52,000 contract subscribers at the top seven carriers. That contrasts with the prepaid industry (both from the Big Four carriers and smaller players such as MetroPCS, Cricket and TracFone), which saw gains of two million customers in the quarter.

As brokerage Jefferies & Company noted ahead of the earnings report season, the cellphone industry tends to face a tough few months after the initial bump that follows the introduction of a new iPhone.

(Image courtesy of iStockphoto | italianestro)

Carly Dumps Her Pink Dresses, as T-Mobile Aims for an Image Makeover

Ina Fried — Mon, 16 Apr 2012 03:05:37 +0000

T-Mobile’s Carly is trading in her pink dresses for leather and a Ducati motorcycle.

In new commercials debuting later on, the carrier’s spokeswoman throws her trademark dress on the ground and takes to the open road with the tagline “No More Mr. Nice Girl.”

Likewise, the No. 4 U.S. carrier is looking to change its image. T-Mobile has been losing customers and has seen its effort to sell itself to AT&T fall short. With no similar deal on the horizon — and no iPhone on its shelves — T-Mobile is working on its Plan B.

The company plans a broader effort to re-brand itself for the second half of the year.

“We’re working toward a brand refresh later in the year,” T-Mobile senior VP Peter DeLuca said in an interview. “We really can’t wait until the end of the year to make some noise in the market.”

And the company is hoping Carly’s new image will help do that. T-Mobile is also launching a new Android phone — the HTC One S — later this week at an event in New York. An ad highlighting that device will be among the new Carly spots.

Parent company Deutsche Telekom has vowed to invest $4 billion in the operation it once hoped to shed, following its rivals with a next-generation LTE network. Until that gets rolling next year, though, T-Mobile will continue to pitch its current 4G network, which is based on HSPA+, a souped-up version of the technology that powers 3G.

T-Mobile is also planning a $200 million incremental boost to its advertising spending. The new ad campaign will debut on television, DeLuca said. However, T-Mobile is also spending a lot of its dollars in other areas, including pre-roll ads on Hulu and takeover ads on YouTube.

Part of the marketing will also include a “test drive” Web site, where T-Mobile hopes to show its devices can be faster than rival devices, such as the iPhone.

“We really want to set the record straight and say to the consumer they really should be taking a second look at T-Mobile,” DeLuca said.

In addition to remaking its image, T-Mobile is also looking to cut costs, announcing plans to slash call-center jobs and acknowledging it is considering selling its U.S. cell towers.

Jamming Annoying Cellphone Talkers, Though Appealing, Remains Illegal

Ina Fried — Tue, 06 Mar 2012 23:50:04 +0000

If you have ever been on a bus or train with someone loudly yammering on their cellphone, the appeal of a device that could block their signal is undeniable.

Well, the Federal Communications Commission would like to take this opportunity to remind you that such products remain illegal, regardless of their obvious appeal.

“In recent days, there have been various press reports about commuters using cellphone jammers to create a ‘quiet zone’ on buses or trains,” Enforcement Bureau Chief Michele Ellison said in a statement. “We caution consumers that it is against the law to use a cell or GPS jammer or any other type of device that blocks, jams, or interferes with authorized communications, as well as to import, advertise, sell, or ship such a device.”

The agency said it has undertaken 20 enforcement actions against online retailers in 12 states for illegally marketing such jamming devices.

“The FCC Enforcement Bureau has a zero tolerance policy in this area and will take aggressive action against violators,” Ellison said.

If only there were a zero-tolerance policy against loudly sharing embarrassing personal details with an entire bus.

Barcelona Subway Strike Averted on Eve of Mobile World Congress

Ina Fried — Sat, 25 Feb 2012 15:25:59 +0000

It looks like a logistical nightmare at the world’s largest cellphone event has been avoided.

The GSMA, which puts on Mobile World Congress, announced on Saturday that its worst fear has been avoided — a threatened subway strike has been averted. The move comes just hours before the start of the Barcelona event, which runs Monday through Thursday.

“The metro workers from TMB have announced that they have reached agreement with the government and have voted overwhelmingly not to strike,” the association said in a statement. “The metro system will operate as normal during the GSMA Mobile World Congress.”

There is still the possibility of a bus strike, the GSMA noted, and unfortunately, the city’s many pickpockets are unlikely to be on strike. However, now the attendees can all focus on the main point of the show — complaining about cell signals and Wi-Fi.

AllThingsD is on the ground and set to have tons of coverage, starting with the many press conferences on Sunday.

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T-Mobile USA Reports Huge Customer Defections, Says It Will Launch LTE in 2013

Ina Fried — Thu, 23 Feb 2012 06:56:15 +0000

Deutsche Telekom said on Thursday that T-Mobile USA will launch high-speed LTE service sometime next year, but noted that the most recent quarter was a brutal one for its U.S. mobile business.

“For T-Mobile USA, the past year was characterized by significant challenges, particularly in the fourth quarter, following the market launch of the new Apple iPhone model by the three major national competitors in October,” T-Mobile said. In the fourth quarter alone, T-Mobile USA lost 802,000 contract customers.

Revenue dropped 3.3 percent, to $20.6 billion.

The company is the last major U.S. carrier to announce LTE plans, and it has been questioned whether it would be able to amass enough spectrum to offer the service.

T-Mobile said it will use a combination of spectrum acquired from AT&T, a further $1.4 billion in additional investment, and “refarmed frequencies” to launch LTE service. It also plans to continue its “challenger” brand strategy and more agressively pursue business customers.

T-Mobile’s future has been very much in question ever since its deal to be purchased by AT&T fell apart last year.

At January’s Consumer Electronics Show, T-Mobile had promised it was back as an independent force, but was vague on new details of what its strategy would be. At the time, T-Mobile USA CEO Philip Humm noted that there was no second AT&T deal out there to easily unload the company.

That said, Deutsche Telekom did get some hefty concessions from AT&T when the deal collapsed, including billions in cash, roaming agreements and wireless spectrum.

Humm promised more details on a revised strategy would be coming shortly.

Sprint Cuts a Small Number of Jobs as Part of Reorganization

Ina Fried — Fri, 17 Feb 2012 19:05:48 +0000

Wireless carrier Sprint Nextel is cutting a small number of jobs as part of a reorganization that began with an executive shuffle last month.

Sprint CEO Dan Hesse

As part of that move, Sprint combined its business and consumer units. Also, as a result, the company said four top executives were leaving the company.

The company confirmed on Friday that the reorganization will result in deeper job cuts, though it did not give an exact number.

“The latest job reductions are a further extension of this consolidation,” Sprint spokesman Scott Sloat said in an email. “Sprint’s workforce is approximately 40,000 employees and we do not expect this to change significantly with this reorganization. Sprint continues to hire new employees into positions that support our corporate strategy.”

The job cuts were reported earlier by cellular industry publication Fierce Wireless. Fierce Wireless pegged the number of job cuts at fewer than 100 positions.

Verizon Kills Planned $2 Convenience Charge Following Uproar

Lauren Goode and Ina Fried — Fri, 30 Dec 2011 20:46:51 +0000

After enduring 24 hours of criticism and threats of an inquiry from the Federal Communications Commission, Verizon Wireless said on Friday that it would drop plans to charge some customers $2 a month for paying their bills online or by phone.

The company said the move was made in response to the uproar.

“At Verizon, we take great care to listen to our customers,” CEO Dan Mead said in a statement. “Based on their input, we believe the best path forward is to encourage customers to take advantage of the best and most efficient options, eliminating the need to institute the fee at this time.”

The announcement comes one day after Verizon said it would be adding the fee for customers who make a single bill payment by telephone, and for some who pay online via the Verizon Web site.

Earlier today, the Federal Communications Commission had said it was concerned about the carrier’s planned fee.

“On behalf of American consumers, we’re concerned about Verizon’s actions and are looking into the matter,” an FCC representative told AllThingsD.

Republic Wireless Decides to Put the Unlimited Back in Unlimited

Ina Fried — Tue, 27 Dec 2011 15:00:29 +0000

Upstart phone-service provider Republic Wireless earned praise for its plans to offer $19-a-month unlimited calling. But the carrier also got dinged hard for saying that those who used its unlimited cellular plan too heavily might get booted off the service.

Republic’s thesis is that with Wi-Fi networks so plentiful, most people only occasionally need cellular networks, and can do most of their calling, texting and surfing over Wi-Fi. The carrier’s initial service plan promised unlimited calling and data use, but said that it was encouraging customers to use Wi-Fi for most of their needs and that those who exceeded certain usage could find themselves looking elsewhere for service.

Republic still wants its users to rely on Wi-Fi, but it is no longer threatening to cut them off if they use cellular networks too much.

“From today, republic wireless is all-in,” the company said in a blog post last week. “We’re eliminating all usage thresholds, and with them the concern some of you have expressed about losing your membership for maintaining too large a cellular footprint.”

Even with the move, Republic Wireless still probably isn’t for everyone. It offers a single basic Android phone, and users must pay for that phone upfront. The phone uses custom software on top of Android to route things over Wi-Fi whenever possible, and uses Sprint’s 3G network when cellular service is needed.

Republic also notes that the service remains in beta, promising that the service will remain unlimited during the beta phase.

“Everyone who has purchased or purchases a phone during beta will be guaranteed the opportunity to enjoy unlimited service, without fear of cancellation, until the end of beta,” Republic said. “We won’t end beta until we either achieve economic sustainability or become convinced that doing so is impossible. In the event that we end beta with a decision to abandon or change our unlimited offering, we’ll give you the option of canceling for a full refund for your device at that time.”

Republic will keep — at least for now — a tool that shows users how much of their data and voice use is on Wi-Fi versus cellular, relative to how others are using their devices. It also plans to keep a clause that could remove users for “unacceptable use” beyond what is appropriate for a personal smartphone, though it says it may revise its language on that term, as well.

Year of the Talking Phone and a Cloud That Got Hot

Walter S. Mossberg — Thu, 22 Dec 2011 02:04:22 +0000

While other industries struggled, consumer technology seemed to march ahead as always in 2011, with important new products and services continuing to roll out. Sure, some tech companies, like BlackBerry maker Research In Motion, suffered reverses. And some products, like Hewlett-Packard’s TouchPad, flopped. But many shone.

[ See post to watch video ]

So here is a look at a few of the biggest tech products of the past year, with some analysis of what they signified and what issues they raise for 2012. As with all my columns, this one is focused only on products and services provided to consumers. Also, as usual, this column isn’t meant to offer investment advice or to evaluate the management skills or financial condition of companies.

The iDevices

Siri, right, the voice-controlled artificial-intelligence system, made the iPhone 4S stand out even though it looked like its predecessor.

Even in a year when its iconic leader, Steve Jobs, resigned as CEO and then passed away, Apple kept going from success to success. In March, it introduced the iPad 2, a thinner, lighter, faster version of its groundbreaking tablet and sold tens of millions of them. In October, it brought out the iPhone 4S, which proved popular even though it looked identical to the prior model. One reason: The phone introduced a voice-controlled artificial-intelligence system called Siri that answers questions and performs tasks without requiring typing or searching. Siri, while still rudimentary, could herald a revolution in practical artificial intelligence for consumers.

The lesson here is that Apple is driving the industry toward simpler, more reliable digital experiences tied into ecosystems of content and cloud services. It is expected to bring out radically new iPhones and iPads in 2012. But can it fend off challenges from popular, rapidly improving rivals using Google’s Android operating system? And, in the absence of Mr. Jobs, can it keep churning out game-changing hits?

With its ultralow price and Amazon connection, the Kindle Fire may be the first tablet to gain significant traction against the iPad.

The Kindle Fire

Despite some initial software flaws and its chunky, plain hardware, the diminutive Fire appeared to be the first color tablet to gain significant traction against the iPad. The biggest reasons are its ultralow $199 price and its tie-in to Amazon’s huge content library. But the Fire may have started a trend that could be a problem for Google: It demotes the Android operating system to an under-the-covers piece of plumbing, ignoring Google’s user interface and apps marketplace.

In 2012, Amazon is expected to bring out a larger, possibly sleeker Fire, and, if it continues to prove popular, it could attract larger numbers of apps designed for the Fire and sold only through Amazon. But despite its success with simple e-readers, Amazon has little experience as a maker of general-purpose computing devices, and it will have to be nimble and creative to keep up with Apple and more-traditional Android rivals.

LTE

Though several cellular technologies claim the moniker “4G” to indicate fast data speeds and greater capacity, only one, LTE (Long Term Evolution), delivers true broadband speeds consistently. This past year, it finally spread significantly in the U.S., both in terms of geography and in the number of devices supporting it. The LTE leader by far is Verizon Wireless and it has the potential to make the wireless Web, and wireless streaming of video, the equal of their wired counterparts. AT&T is racing to catch up and Sprint, which uses a different 4G system, says it will join the LTE parade.

But at this stage, LTE still consumes too much battery power. And LTE networks, if they become the norm, could get overwhelmed. To fend off this prospect, the biggest carriers in 2011 began charging more for greater data usage, a move that could curb the spread of innovative services that rely on large data downloads, such as video streaming and sharing of music and high-resolution photos.

More companies took advantage of cloud computing, with Google introducing the Chromebook, which relies almost entirely on the cloud.

The Cloud

Many players began offering consumers the opportunity to both store their data on, and run apps from, remote servers on the Internet, a system called cloud computing. Google even introduced a new kind of laptop, the Chromebook, that has almost no internal storage and relies almost entirely on the cloud. An example of a cloud service: music “lockers” that store all your songs on multiple devices. Cloud services are sure to expand in 2012, but questions remain on their reliability, security and privacy. And while most now cost little or nothing, these offerings could become another monthly fee burden for consumers.

Android became easier to use with the release of the Ice Cream Sandwich version, used in the Samsung Galaxy Nexus.

The Android Army

In 2011, Android overtook Apple’s iPhone and iPad operating system, called iOS, in users. Though no single Android device is as popular as the iPhone or iPad, Android is now the collective leader, with hundreds of devices using it. Samsung, in particular, had success with its Android-based Galaxy devices. And a new version, called Ice Cream Sandwich, continued Android’s steady improvement by making it easier to use. However, Google may be losing control of Android, as hardware makers and cellular carriers redefine it to suit their own needs, and fail to offer consumers updates in a timely fashion. Except for the Kindle Fire, the operating system hasn’t caught on in tablets.

Windows

Microsoft has been way behind in the new areas of super-smartphones and tablets. In 2011, the software giant began to try to reverse that situation. It introduced the first competitive version of its sleek, sophisticated Windows Phone software, called Mango, though so far without much uptake by consumers. And it previewed a bold new version of main Windows, called Windows 8, with a multitouch interface that, unlike Apple’s approach, is a single operating system meant for both PCs and tablets. It will start shipping in 2012.

Following in the Apple MacBook Air’s footsteps, a crop of thin and speedy ultrabooks, such as the Toshiba Portege Z835, pictured, became the new standard for laptops, with Windows PC makers coming up with their own versions of the machines.

Still, Windows Phone must somehow attract many more users. And Windows 8 is a gamble, because it includes two interfaces: the new tabletlike face and the old, familiar Windows look, which could confuse consumers.

Ultrabooks

In 2011, Apple’s MacBook Air, previously a niche product, became the new standard for laptops—thin, light, speedy, with long battery life and solid-state memory for storage instead of a hard disk. Now, Windows PC makers are following suit with similar machines called Ultrabooks.

Ultrabooks may recharge the Windows laptop scene in 2012. However, they will have to become less costly—they now hover at around $1,000—and their solid-state drives don’t offer the capacity of hard disks at an affordable price.

The Lenovo IdeaPad U300

Television

The reinvention of television picked up steam in 2011, albeit in a small way. Despite some miscues, Netflix streaming of TV shows to many devices grew in popularity. Set-top boxes that bring Internet video to TVs, like the Roku box and Apple TV, got better and more popular, though Google’s competing effort was a dud. Microsoft’s Xbox is set to compete strongly, using its Kinect add-on to find and play media apps with gestures and voice commands.

The big test may come in 2012, when Apple is believed to plan to ship a whole new type of Internet-connected TV, which the company hasn’t confirmed. A big obstacle: Cable and media companies will have a huge say in this potential revolution, and the current system serves them well.

So, 2011 was an exciting year in consumer technology. I can’t wait for 2012.

Email Walt at mossberg@wsj.com.

Cox Giving Up Completely on Wireless Business

Ina Fried — Wed, 16 Nov 2011 21:07:00 +0000

Cox Communications, which in May stopped operating its own cellular networks, said this week that it plans to completely exit the cellphone business.

The cable company said that it will stop selling cellular service as of today and will discontinue service to current customers as of March, though it promised to help them transition to other providers. Cox has been reselling 3G service from Sprint to customers in about half of its service areas.

Existing customers will get a $150 credit on their bill for each line of wireless service and keep their phone as well as any deals they had for bundling their phone and cable services.

“Cox is working to make this transition as seamless and easy as possible for our customers,” Executive VP Len Barlik said in a statement.

In making the decision, Cox cited several reasons, including the rapid shift to 4G and its inability to land “iconic devices.”

Republic Wireless Explains its Intriguing -- Yet Controversial -- Hybrid Calling Plans

Ina Fried — Fri, 11 Nov 2011 12:00:20 +0000

One of the more unusual ideas in wireless phones hit the market this week.

An unheard of division of a little-known company is offering a $19-per-month plan that claims to deliver unlimited calling, texting and Web. Of course, there is a catch.

Republic Wireless isn’t looking to deliver pure cellular service. Instead, the company wants to deliver most of its service over Wi-Fi, using cellular more as a backup for when Wi-Fi isn’t available. Customers who buy in can stick with the company for the long term, while those who gobble up too much cellular data or wireless minutes will be asked to find another carrier.

“The fact is most of us are around Wi-Fi most of the time,” Republic Wireless general manager Brian Dally said in an interview. And while there is software out there today that allows people to shift their calling and texting away from the traditional cellular network, such services often require users to juggle multiple apps and phone numbers. Plus, they still have to pay at least a basic cellular voice bill along with a data plan.

Republic has changed that by building Wi-Fi calling and texting directly into its devices. When possible, calls are routed over Wi-Fi. The company is starting out with a single model, an LG Optimus that will sell for $199, including the first month of service.

Users are expected to take advantage of Wi-Fi whenever they can, but whenever they aren’t in range the phone has unlimited use of Sprint’s 3G cellular network.

“We call it hybrid calling,” Dally said.

David Morken, the CEO of Republic parent company Bandwidth.com, acknowledges the company is taking a risk. Morken thinks he can make a go of this business, but agrees it is hard to know how customers will use the service.

“There is a certain degree of uncertainty and unknown and we are relatively comfortable with that,” Morken said. “There’s no question this is uncharted territory.”

Not everyone likes the idea, or how it is being pitched.

“Am I the only one who finds Republic Wireless’s ‘unlimited’ $19 wireless claim to be ludicrous and patronizing,” Technologizer editor Harry McCracken wrote on Twitter on Tuesday night. “They’re treating me like a patsy even before they have my money. Sorry, no sale.”

It is certainly true that Republic is stretching the term unlimited, though they are hardly the first to do so (I’m looking at you, T-Mobile).

And the $19 price they are touting is lower than even the skimpiest of traditional cellular plans for voice, let alone voice and data.

Leap Wireless Taking Cricket Nationwide With Best Buy, Other Retailers

Ina Fried — Thu, 22 Sep 2011 05:07:47 +0000

Regional low-cost wireless service provider Leap Wireless is going national.

The company, which sells prepaid phones and service under the Cricket brand, said on Wednesday night that it will soon start selling a variety of phones across the country via Best Buy and other retailers. Among the products it will sell are phones with the company’s unique Muve Music service.

Enabling the expansion is a deal that Leap has with Sprint, allowing it to sell Cricket even in cities where it doesn’t have its own services available.

“This is a significant milestone in the plans we announced last year to create a new, hybrid wholesale and facilities-based model that is unique in the wireless industry,” Leap CEO Doug Hutcheson said in a statement. “We are excited to bring Cricket’s innovative wireless products to a large group of consumers who until now have not been able to take advantage of the tremendous value these products provide.”

Best Buy will start selling devices beginning Sept. 25, with other retailers following over the next two months including select Wal-mart stores, Dollar General stores as well as HSN.

In conjunction with the expansion, Cricket is adding some new phones to its lineup, including the Score, an Android phone from China’s ZTE and, later this year, a Muve-compatible feature phone called the Chorus.

Cellphone Networks Largely Weather Irene, But Storm Issues Could Linger

Ina Fried — Mon, 29 Aug 2011 19:43:55 +0000

While Hurricane Irene has moved on, its impact on cellular networks continues to be felt in some places.

The huge storm affected a wide swath of the East Coast, but storm-related outages were more isolated. Many of the outages were tied to power loss, while there was also direct weather damage and other issues.

“We are very pleased with how our network has performed given the size of Hurricane Irene,” AT&T spokesman Mark Siegel said in a statement. “We are seeing some impact from loss of commercial power and equipment damage, but technicians are now in the field assessing damage and beginning the restoration process.”

Verizon Wireless offered a similar take.

“Many of our cell sites in communities that have lost commercial power are still serving customers thanks to our backup emergency batteries and generators,” a representative said in a statement. “As commercial power is restored, we are returning more and more cell sites to normal operations. We also have been providing customers and the general public with free charging and domestic calling stations in some communities impacted by the storm and its aftermath.”

Generators helped keep cell service up even where power was lost. T-Mobile, for example, said it had brought in dozens. However, those generators have a limited amount of power, so new outages could crop up in some cases.

Sprint, like all of the other carriers, is working on both assessing the damage and getting things back to normal.

“While there are impediments due to excessive flooding, and downed trees and power lines, Sprint technicians have been working aggressively since Sunday to restore service to the impacted sites by refueling generators, clearing debris and making repairs,” the company said.

Colleague Arik Hessedahl and I discussed the issue on the Digits show earlier on Monday.

[ See post to watch video ]

Apple, Android Owners Diverge on Wi-Fi Usage -- But Why?

John Paczkowski — Thu, 23 Jun 2011 14:05:30 +0000

A new point of differentiation between iOS and Android users: People who own iOS devices tend to use Wi-Fi a hell of a lot more than Android users do.

This news comes from comScore’s new Device Essentials service, which looks at mobile usage worldwide. ComScore says that iPhones and iPads spent far more time connected to Wi-Fi networks than their Android-based rivals. In the United States, 47.5 percent of iPhone data traffic occurred over Wi-Fi networks. For Android phones it was less than half that: 21.7 percent.

In other words, iPhone users consume almost half of their content via Wi-Fi, and Android users consume more than three-quarters of theirs over cellular networks. In tablets, the difference is even more pronounced: 91.9 percent of iPad data traffic occurred over Wi-Fi networks compared to 65.2 percent for Android tablets.

Why the huge difference in network usage patterns? For tablets, the explanation is simple. The iPad is by far the dominant tablet worldwide, generating about 89 percent of tablet traffic in the 13 countries comScore surveyed (97.1 percent in the U.S.!). And tablet usage tends to be an in-home activity.

And for smartphones? It could be that iPhones are more proactive than Android devices in acquiring Wi-Fi signals and pushing their users onto Wi-Fi connections when they are available. It could be that technologies like Apple TV and AirPlay encourage heavier reliance on Wi-Fi among iOS device users. I imagine the prevalence of iPhones on AT&T and that carrier’s tiered data plans likely have something to do with it as well. Beyond that, I’m not sure. And, to be honest, these are just theories. If you’ve got ideas of your own, sound off in the comments.

It's a So-Lo-Mo World, After All

Kara Swisher — Wed, 15 Jun 2011 00:41:08 +0000

Let it be said: For a digital information junkie such as myself, traveling abroad without any cellular or consistent Internet connection on my spanking new white Apple iPhone is agonizing.

To explain: I switched from AT&T to Verizon recently, in order to actually be able to make voice calls with regularity in San Francisco.

Unfortunately, Verizon does not go international. And, although I am carrying another local feature phone for calls, I am without the rich multimedia mobile experience that I usually get day to day at home.

Worse still, an “unlocked” iPhone only went on sale in the U.S. — which would allow me to use a SIM card bought in Europe –Tuesday, after I left.

Poor little me, I suppose, and there is certainly no need to cry any big, fat digital tears on my behalf.

Still, without the constant certainty of a Wi-Fi connection as I move around, it’s disconcerting for someone whose life has been jacked into the matrix 24-7-365 for far too long to be without consistent digital interconnections.

More to the point — as I watch endless legions of Europeans, who seem even more entranced by and stranded on their individual smartphone islands than in the U.S., obsessively checking out their devices every second — the concept of being completely out of touch with the pulse of the world while in the world is an odd one.

Or, at least the Twitter-fied world, in which I get short bursts of all kinds of information all the time. It takes the lack to understand what it means to be always checking in.

This is a big dose of the obvious, of course, but it was brought home to me in a can’t-miss piece in The Daily, published yesterday by the iPad news service and available here.

Titled “Speed Journalism,” it’s a succinct but important discussion on the push and pull between the ephemera of information we are increasingly getting from real-time Internet sources such as Twitter and the need for longer and more reflective pieces.

Wrote Trevor Butterworth: “The question is whether technology is diminishing our appetite or capacity for this kind of storytelling.”

This is not a new revelation, of course, but it bears repeating and considering again and again as we increasingly use these myriad social-local-mobile — so-lo-mo — devices.

And, as this so-lo-mo way of the encountering the world grows, it creates deep expectations of ever more detailed and immediate information about the world around you that is mostly immediately consumable and highly useful.

Whether this is a good thing or a bad one, I cannot tell yet, except to say that the last time I was here in Copenhagen, I was just 18 years old and I mostly wandered around in circles with an outdated guide book and without a clue.

As it turns out, without my super-duper-smart mobile phone being super-duper smart, very little seems to have changed.