carrier

"American Idol" generates 78 million SMS messages

Sue Marek — Fri, 23 May 2008 10:24:25 -0400

AT&T is touting its text messaging traffic surge generated by "American Idol" fans who used their cell phones to vote for their pick. This season's show generated more than 78 million text messages for AT&T, which is the exclusive sponsor of the show. During the previous season, the show generated 64.5 million text messages. The carrier added new elements to this year's contest by using text messaging to inform the final three contestants of the Producer's Choice selection via their Apple iPhones.

Not to be outdone by its competitor, Verizon Wireless decided to promote its text messaging volumes today. The carrier announced that it delivered 58 billion text messages during the first quarter of 2008.

For more:
- see this release
- see this Verizon statement

Related stories:
AT&T tunes up for another season of Idol. See this AT&T story.
American Idol sets SMS record. See this AT&T story.

Sprint's iPhone killer to debut June 20

Sue Marek — Fri, 23 May 2008 10:02:09 -0400

The rumors are true. Sprint confirmed that it will debut the Samsung Instinct on June 20. The phone, which has been pegged as the carrier's answer to the iPhone, is expected to cost between $200 and $300 and will be available initially to Sprint's "Simply Everything" rate plan customers.

The EV-DO Rev. A phone features a camera, video camera, music player and a turn-by-turn navigation. It comes with a touchscreen and has Web browsing capabilities. Click here to check out pictures of the Instinct.

For more:
-See this story

Related stories:
Sprint's iPhone-killer: Hardly a killer Instinct? See this Instinct editor's corner.
Sprint Wireless Toolkit 3.3 debuts. See this Samsung Instinct piece.

Some AT&T laptop customers get free WiFi

Sue Marek — Thu, 22 May 2008 11:55:05 -0400

AT&T LaptopConnect customers that are on the operator's $59.99 per month or higher data plans will now get access to more than 17,000 WiFi hot spots for free. The carrier announced that LaptopConnect customers will automatically receive a pop-up message alerting them to WiFi availability when they are in range of an AT&T hotspot. Subscribers just have to download the latest version of the AT&T Communications manager software to their laptop to start getting the alerts.

When customers are not in a hot spot area, they will continue to connect via the AT&T HSPA and EDGE network.

For more:
- See this press release

Related stories:
Starbucks ditches T-Mobile's WiFi for AT&T's. See this AT&T story.
AT&T's HSUPA deployment is nearly complete. See this AT&T story.

Alltel joins AT&T, Verizon Wireless with LTE roadmap

Brian Dolan — Fri, 16 May 2008 11:47:35 -0400

During its first quarter conference call with investors, Alltel announced that it was committed to evolving its network to LTE over the next five years. The move makes Alltel the second biggest CDMA carrier in the U.S., after Verizon Wireless, to commit to the LTE standard, even though LTE was originally on the GSM evolution path.

"We do currently plan to move towards LTE in the three-to-five year timeframe vs. WiMAX, but we're still early in that," President and CEO Scott Ford said during the call.

Alltel's COO Jeff Fox, however, noted that the carrier won't be talking seriously about LTE this year. "We are working through our planning phase and will be talking to our board about all that over the next two quarters," Fox said. "Certainly there's no money for 4G evolution anytime in our near-term plans, and so I think from a cash-flow perspective you should not expect to see us talking about 4G anytime at least in 2008."

For more on Alltel's LTE choice:
- read this RCR article

Leap adds 230,000 net subs

Fri, 09 May 2008 06:59:57 -0400

After a one day delay for the results, Leap Wireless reported a net loss of $18.1 million for its first quarter, which is less than the $24.2 million loss it posted in the year ago period. Leap's sales, however, rose 19 percent to $468.4 million, up from $393.4 million. Service revenues also rose to $398.9 million from $321.6 million, but equipment revenue dropped to $69.4 million from $71.7 million. The carrier added 230,000 net new subscribers during the quarter.

For more on Leap's Q1:
- read this AP article

Verizon Wireless: 'Course will abide by the rules

Fri, 09 May 2008 06:59:55 -0400

After Google filed a petition with the FCC to insist that the regulator put in place stricter terms for Verizon Wireless' C Block 700 MHz spectrum, which requires open access for devices and applications, Verizon Wireless claimed the petition had "no legal basis." The carrier plans to file its own petition with the FCC soon, but noted that "it's really no surprise that despite not winning spectrum, [Google] continue[s] to try to change the rules and further their own business interests through the regulatory process." The carrier said it knew the rules before it took part in the auction and "of course" they will abide by them, but if it doesn't the carrier points out that "Google or anybody else..." can use "legitimate and expedited ways to address that."

For more on Verizon's response:
- read this article from Verizon's policy blog

Virgin Mobile USA: Poor earnings economy's fault

Tue, 06 May 2008 06:59:56 -0400

Virgin Mobile USA weathered a difficult first quarter as net service revenue declined 5.8 percent year-on-year to $303.8 million, because of a downturn in the economy, the MVNO said. The decline was also partly due to Virgin Mobile's decision in the fourth quarter of 2007 "not to invest in temporary, aggressive handset pricing engaged in by certain competitors," according to the carrier's press release. Despite the downturn, Virgin expects to produce growth in profitability during 2008.

Net income: Virgin Mobile posted $4.7 million in net income, down from $19.2 million this time last year. The MVNO blamed lower top up streams related to the decline in consumer spending.

New subscribers: The MVNO added 795,575 gross new subscribers, down from 881,756 in the first quarter of last year. Virgin now has 5.1 million total subscribers.

Churn: Average monthly churn, or customer turnover was 5.1 percent, as expected.

ARPU: Average revenue per user for Q1 came in at $19.93, down from 2007's first quarter ARPU of $22.41.

For more:
- read this release on Virgin Mobile USA's Q1 2008 results

Sprint appoints Brust as CFO

Fri, 02 May 2008 06:59:58 -0400

Sprint Nextel has tapped former chief financial officer of Eastman Kodak, Robert Brust as its new CFO. Brust also previously served as a finance executive at Unisys and General Electric. Sprint's interim CFO William Arendt will stay on as controller, according to the carrier. Sprint CEO Dan Hesse said his executive shuffling is not yet over. Hesse recently named Steven Elfman as president of network operations.

For more on the appointment:
- read this Sprint CFO release

Report: T-Mobile rolling out 3G in NYC in May

Wed, 30 Apr 2008 06:59:58 -0400

According to a report from TmoNews.com, which claims it received a leaked memo from T-Mobile USA, the carrier is launching its 3G network in New York City tomorrow. The memo promises T-Mobile subscribers great call quality and more network availability but makes no mention of advanced features, applications or services. The carrier aims to roll 3G out in at least 20 markets by the end of the year. Some of the cities include: Los Angeles, Detroit, San Diego, Austin, Las Vegas, Minneapolis and Miami.

A T-Mobile USA spokesperson would not comment on the rumored report but did disclose that the carrier would be announcing its 3G plans within a week. He also reminded us that the carrier would be announcing its quarterly earnings next Thursday. Hint, hint.

For more on T-Mobile USA's 3G plans:
- check out this report over at Engadget

Orange: Texting is for old people

Tue, 29 Apr 2008 06:59:54 -0400

Recent research conducted by TNS and sponsored by U.K. carrier Orange indicates that mobile users who adopt mobile instant messaging services subsequently reduce their use of SMS. Orange noted that older people still use text messaging even once they begin to use mobile IM. According to the report 38 out of every 100 messages (which include email, texts and picture messages) sent by users with no access to mobile IM are text messages. When those users gain access to mobile IM the figure drops to 23 text messages out of 100 messages.

For more on the study:
- read this article from Textually.org

Report: AT&T to offer $100 femtocells

Fri, 25 Apr 2008 06:59:56 -0400

According to a report from ThinkPanmure, AT&T has inked a $500 million deal with ip.access for 7 million femtocells, which it plans to sell to its subscribers for about $100. While AT&T would not comment directly on the reports, a spokesperson did note that the carrier plans to conduct a femtocell trial later this year. Femtocells are similar to WiFi routers in that they make use of a users high speed data connection at home, but differ in that they make use of carrier's licensed spectrum. Sprint has already launched a femtocell from Samsung that it calls the Airave. The unit costs about $50 and requires a monthly fee. The ThinkPanmure report predicts that GSM carriers will rollout femtocells next year.

For more on the report:
- read this RCR article

Cellular South will pay customers to switch carriers

Tue, 22 Apr 2008 06:59:56 -0400

-For more ETF news click here-

Tier 3 operator Cellular South isn't going to let a little thing like early termination fees get in the way of luring new customers to its network. The Tier 3 operator announced yesterday that it will make it easier for customers to switch service providers by giving qualified customers a credit of up to $200 on their accounts to offset the early termination fees imposed by their former wireless carrier.

According to a study by IPSOS North America, out of 1000 adults surveyed, 47 percent would consider switching service if termination fees were eliminated.

For more:
- see this press release

Related stories:
Ontela, Cellular South partner for Pic Sender. Read more on Cellular South
Debate grows over 700MHz auction. See this Cellular South story
Small operator death knell. See this Cellular South story

Verizon Wireless to launch 3G PTT

Wed, 16 Apr 2008 06:59:58 -0400

Verizon Wireless is planning to launch a new, faster version of their push-to-talk service over its 3G network this summer, according to a report in the Wall Street Journal that cites the carrier's director of business marketing, Michael Willsey. The carrier has offered PTT for almost five years.

The news follows MetroPCS' launch of a PTT service that allows users to connect to subscribers on any network if they use a specific MetroPCS PTT phone. The service turns the phone of the user on the receiving end into a temporary walkie-talkie.

According to Gartner, there are 26 million subscribers to the most popular version of PTT, iDEN. Sprint Nextel counts 19 million of those subs as its own.

For more on the PTT trend:
- read this article about Verizon Wireless' 3G PTT

Valista enables off-deck content for U.S. Cellular

Jason Ankeny — Wed, 02 Apr 2008 19:36:20 -0400

Digital commerce software and managed services provider Valista announced its Operator Payment Service will enable off-deck premium content transactions for U.S. Cellular. According to Valista, the service connects U.S. Cellular with both external aggregators and content providers, promising the carrier's subscribers will enjoy expanded access to mobile content and active participation in interactive services like text voting. The Operator Payments Service will also provide support for post-purchase operations like refunds and credits, allowing for end-to-end visibility of transactions and increasing the percentage of successful purchases while reducing service costs via authentication and authorization, subscription license and refund management and automated contract mediation.

China to begin home-grown 3G technology trial

Fri, 28 Mar 2008 07:59:54 -0400

China Mobile announce plans to commence commercial trials of China's 3G technology TD-SCDMA (Time Division Synchronous Code Division Multiple Access) on April 1. The carrier plans to set-up the commercial trials in eight cities across the country: including Beijing, Shanghai and Guangzhou. Five of the soon-to-be 3G-enabled cities are hosting events for the Olympics this summer. The carrier plans to give 20,000 users handsets worth between $300 and $400 each and a data card free of charge. The initial handsets that will be used in the trial were made by China's Lenovo, Hisense, ZTE and New Postcom as well as South Korea's Samsung and LG.

For more on the trials:
- read this article from Xinua

Nortel inks a deal with U.S. Cellular

Tue, 25 Mar 2008 07:59:54 -0400

U.S. Cellular has inked a five-year deal with Nortel for network expansion, which builds on an existing deal between the vendor and the CDMA carrier. Under the deal, U.S. Cellular will purchase Nortel's CDMA switching, base stations, and software to address its technology needs and to support the delivery of mobile wireless services. Emergency technical support, spares management, software patch management, performance monitoring and other services from Nortel's Global Services portfolio are also included in the agreement.

For more on the deal:
- read this press release

Auction over: Time for Leap-MetroPCS to merge?

Thu, 20 Mar 2008 07:59:58 -0400

Now that the 700 MHz auction is over Leap Wireless and MetroPCS can resume talks about a merger since the FCC's anti-collusion rules are no longer in effect. During the bidding process for the wireless spectrum, participants were not allowed to discuss business propositions or spectrum strategy. Analysts expect the companies to begin talks and eventually work out a deal, according to a report from the AP. FierceWireless predicted at the beginning of the year that the two carriers would renew talks after the auction, too.

MetroPCS placed an unsolicited buyout bid on Leap Wireless last year, but Leap rejected the bid. MetroPCS offered $5.5 billion in stock plus $2 billion in acquired debt for Leap. As the carrier mulled the unsolicited bid, its executives and board members got antsy: First, Leap's CFO Amin Khalifa left the flat-rate carrier. Then, James Dondero, a Leap board member and president of Highland Capital Management resigned effective immediately.

For more on the potential deal:
- read this article from the AP
- check out the backstory to the deal here

China Mobile subscribers up 23 percent

Wed, 19 Mar 2008 07:59:54 -0400

China Mobile beat analyst expectations by increasing its net profit 32 percent, thanks to some 68 million new subscribers added during 2007. Net profit grew to about $12.32 billion for the year. Subscribers totaled 369.34 million at the end of 2007, up from 301.23 million at the end of 2006.

"The continued rapid growth in China's economy, rising consumer purchasing power and the development of the rural economy is driving tremendous demand for communication and information services," said China Mobile chairman and CEO Wang Jianzhou.

For more on China Mobile's growth:
- read this article from the WSJ (sub. req.)

Related Articles:
China Mobile in talks for iPhone deal Article
400K unlocked iPhones on China Mobile's network Article

Exec Pay: Who makes what in wireless?

Wed, 12 Mar 2008 07:59:59 -0400

Exec Pay: Who makes what in wireless?

Few issues stoke the ire of workers like executive pay. The average CEO of Standard & Poor's 500 company list made $15.06 million in 2006, which is the most recent year for executive compensation figures. The ten U.S.-based, public wireless company CEOs whose pay we tracked averaged about $18.34 million in 2006. Only half of them are on Standard & Poor's 500 list.Ã‚Â

Because every company has their own nuanced approach to executive compensation, we tried to make it easy and follow the new 2006 rule that the SEC requires public companies to disclose total compensation, which includes salary, bonus and "other" compensation. The "other" compensation category includes vested restricted stock grants and "stock gains," the value realized from exercising stock options during the past fiscal year.

Just today AT&T announced its executive compensation figures for 2007. Chairman, president and CEO Randall Stephenson, who took over from Ed Whitacre Jr., received total compensation of close toÃ‚Â $22 million. President and CEO of AT&T Mobility Stanley Sigman received compensation of $36.9 million, before he retired at year-end. Ralph de la Vega, who took over for Sigman, received $12.4 million in 2007.

Whether it was because of retirement or a forced resignation, some of the CEOs in our top ten list--Sprint Nextel's Gary Forsee, Motorola's Ed Zander and AT&T's Ed Whitacre Jr.--are no longer at their posts. Take a look back at what these executives and their still-gainfully-employed colleagues made back in 2006. How much does it cost to retain a wireless leader? Here are ten answers that brought varying degrees of success. Click here to see the start of the report, or select a name below. -Brian

Ed Whitacre Jr., AT&T CEO

Paul Jacobs, Qualcomm CEO

Ivan Seidenberg, Verizon CEO

Gary Forsee, Sprint Nextel CEO

Scott Ford, Alltel CEO

Ed Zander, Motorola CEO

Mike Zafirovski, Nortel Networks CEO

Michael Gallagher, FiberTower CEO

Doug Hutcheson, Leap Wireless CEO

Steven Dussek, Dobson CEO

Sprint: Unlimited plan won't tax network capacity

Wed, 12 Mar 2008 07:59:58 -0400

Speaking at a Bear Stearns media conference this morning in Florida, Sprint's Chief Network Officer Kathy Walker said that the firm's new Simply Everything plan that offers unlimited voice and data for $99 per month will not impact network capacity. She said that last year the company tested unlimited plans in some markets and looked at the network utilization and found they didn't need additional capacity. "Inside my network I worry less about total utilization of a customer and more about when they use it and where they use it," Walker told investors.

She also said that the Simply Everything plan is geared toward smart phone users. Where the company has seen the biggest growth in data is with subscribers who use data cards. For those that sign up for the Simply Everything plan and use smart phones, the company doesn't expect to see as much growth in data usage as they do with the data card users, she said.

Regarding Sprint's long-awaited QChat service, a push-to-talk offering over Sprint's EVDO Rev. A network, Walker said that it will probably debut in second quarter rather than first quarter. She said the company is making sure that QChat performs at the same level as iDEN Direct Connect. -Sue

Related stories:
"Simply Everything" is no Digital One Rate Opinion
Hesse: Sprint's issues more difficult than expected Story