October 31, 2007

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Today's Top Stories
1. 3 launches flat-rate mobile Skype, Sling, Orb
2. Orange's iPhone launch in jeopardy
3. EU paves the way for in-flight mobile use
4. Ad-based mobile carrier Blyk launches
5. Research: Western European mobile TV to $2.4B by 2012

Also Noted: Spotlight On... Vodafone offers unlimited downloads; Ericsson sued over results; China Netcom pushes into Europe; and much more... 

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1. 3 launches flat-rate mobile Skype, Sling, Orb
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Today is a watershed moment for the 3G market. U.K. carrier 3 launched a flat-rate wireless data package that includes services from Skype, eBay, Yahoo, Google, Orb, Sling Media, Nokia, Microsoft and Sony Ericsson. Subscribers to the "X-Series" services will be able to make unlimited calls from their mobile using Skype, watch their home television via their mobile using Sling (if they also buy a SlingBox), access their home PC remotely using Orb and use IM services from Yahoo!, Windows Live Messenger and Google. The offering also marks the first mobile carrier deal for Sling Media. Sony Ericsson's W950i (photo) and Nokia's N73 (photo) are the X-Series handsets. The service drops in the U.K. starting next month, and in 3's other markets sometime next year. No word on the "flat-rate" price yet.

Ovum analyst John Delaney says that everything a traditional carrier fears is included in this package: wireless VoIP, flat-rate data tariffs, IM (as opposed to SMS) and place-shifted TV. Of course, free Skype calls only apply for PCs or other Skype phones. 3's in the position to take these risks, it's not an incumbent with traditional fears, but as noted above, the price will be key, as always.

For all the details on 3's X-Series launch: 
- see this press release


2. Orange's iPhone launch in jeopardy
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Bad blood is simmering between Apple and mobile operator Orange, reportedly jeopardizing the iPhone's anticipated French launch. French newsweekly Challenges reports Orange is objecting to Apple's demands for iPhone commissions, said to total more than one third of each subscription fee--the magazine adds if an agreement is not reached by the middle of next week, Orange may not receive authorization to initiate iPhone sales prior to the holiday season.

This is not the first bump in the road for the Apple/Orange partnership: Apple CEO Steve Jobs was reportedly fuming after Didier Lombard, CEO of Orange parent firm France Telecom, broke ranks to announce its iPhone distribution deal prior to an official statement. Analysts expected Apple to confirm the agreement at its Apple Expo in late September, but no official announcement ever materialized.

Another wrinkle: French law states mobile phone operators must manufacture handsets available for sale without subscriptions, so consumers may purchase devices for use with SIM cards from any carrier they choose. Because Apple demands a share of monthly subscriber tariffs from its operator partners, it is firmly opposed to marketing iPhones without a carrier contract. It is presently unknown how or if the law will impact the iPhone's French debut.

For more on the iPhone's troubled French launch: 
-read this EURSOC article

Related articles: 
Reports say Apple is in iPhone negotiations with Nordic operators 
Apple announces German iPhone deal with T-Mobile  
Read about the deal that landed O2 the iPhone  
Read how Apple's 10 percent tribute alters the carrier/handset maker landscape 
O2 chief says revenue sharing is a deal. Read why in this story


3. EU paves the way for in-flight mobile use
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European regulators are paving the way for in-flight mobile phones. The EU has recommended that member states approve of the new in-flight technology, which already has spectrum reserved for it, according a report from the BBC. Calls made from the air would be more expensive and U.K. regulator Ofcom said it would investigate any evidence of "excessive charges and abuses of competition" if any prices seem unfair. Mobile use is prohibited on planes currently because research has shown that it interferes with navigation bearing displays by up to five degrees.

For more on the EU's stance on in-flight wireless: 
- read this article from the BBC


4. Ad-based mobile carrier Blyk launches
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Former Nokia president Pekka Ala-Pietilä and Contra Group chairman and CEO Antti Öhrling have launched an ad-subsidized MVNO called Blyk. The service has plans to become a "pan-European free mobile operator" offering subscribers free, ad-supported voice and text services. The service is restricted to 16- to 24-year-olds, no one older or younger may sign up for the service, and users who turn 25-years-old need to start paying for the service.

Blyk users agree to receive six text messages a day from the MVNO, in return, they are allotted 217 free text messages and 43 minutes of voice time per month, with the option to pay for more. Data usage is billed at 99 pence/minute.

For more on the MVNO: 
- read this press release


5. Research: Western European mobile TV to $2.4B by 2012
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A report issued by market analysis firm Juniper Research forecasts the number of mobile TV subscribers in Western Europe will pass 20 million by 2011, but added that following the imminent shutdown of BT/Virgin Mobile's DAB-IP service, the U.K. is not expected to relaunch mobile broadcast TV services until 2010 at the very earliest. According to Juniper, Western European mobile TV revenues will grow from just over $150 million in 2007 to nearly $2.4 billion in 2012. Italy will represent the largest market, followed by Germany and France. Given the European Commission's DVB-H mandate, Juniper said it is highly unlikely any future commercial deployments will employ an alternative standard. The report also recommended operators share broadcast network infrastructure, following the lead of Germany, where T-Mobile, O2 and Vodafone are planning to jointly operate a single DVB-H network.

"After the successful launch of DVB-H-based services in Italy, many other Western European countries have either drawn up or are drawing up licensing procedures for mobile broadcast TV services," said report author Dr Windsor Holden. "However, the fact that optimal UHF spectrum will not be made available in the U.K. for several years effectively prevents any medium-term deployment of such services."

For more on Juniper Research's mobile TV forecast: 
- read this release

Related articles: 
France readying DVB-H services for mid-2008 
E.U. pressing for DVB-H standard  
European mandate may propel U.S. DVB-H  
EMBC: No need for mobile TV regulations 
EU: Harmonize mobile TV rules, regulations  


ALSO NOTED

TODAY'S SPOTLIGHT... Vodafone offers unlimited downloads
 Vodafone UK is offering customers unlimited access to over a million tracks from all the major record labels, as well as leading independents, on a range of new handsets for Christmas. Through an exclusive agreement with Omnifone, Vodafone will roll out their MusicStation service, giving customers the ability to download tracks from Universal Music Group, Sony BMG Music Entertainment, EMI Music and Warner Music Group direct to their handsets.

> Ericsson sued on results statements after shares fall. Release 

> China Netcom launches drive into Europe. TD-SCDMA exponent moves to London. Article

> Lebara launches prepaid MVNO in the UK. Article

And Finally... Ireland's AdaptiveMobile has been named as finalist in the GSMA's Mobile Innovation Awards. Release 

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