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  • Motorola Mobility Announces Q4 and Full-Year 2010 Financial Results

    Motorola Mobility reported net revenues of $3.4 billion in the fourth quarter of 2010, up 21 percent from the fourth quarter of 2009. The GAAP earnings in the fourth quarter of 2010 were $80 million (.27 per share), compared to a loss of $204 million (.69 per share) in the fourth quarter of 2009

    On a non-GAAP basis, earnings in the fourth quarter of 2010 were $108 million (.37 per share) compared to a loss of $70 million (.24 per share) in the fourth quarter of 2009.

    For the full year, 2010 net revenues were $11.5 billion, up 4 percent compared to 2009. For the full year, the GAAP loss was reduced to .29 per share from a loss of $4.56 per share in 2009. On a non-GAAP basis, the loss was reduced to .28 per share from a loss of $2.95 per share in 2009.

    Motorola also announced thet the company generated positive operating cash flow of $225 million and $606 million in the quarter and full year, respectively. As planned, subsequent to the end of the quarter, the company received $3.2 billion in cash related to its separation from Motorola, Inc.

    "The improvement in our financial results last year, including profitability in the fourth quarter, is indicative of the progress we have made in delivering innovative smartphones and improving the Mobile Devices business," said Sanjay Jha, chairman and chief executive officer of Motorola Mobility.

    "Our Home business performed well and remains a premier provider of digital set-tops and end-to-end video solutions. With the global opportunities ahead, along with our diversified portfolio, our brand, and our people, we are well positioned to grow, and further improve our financial results in 2011," he added.

    Operating Results

    According to the report, Mobile Devices segment net revenues in the fourth quarter were $2.4 billion, up 33 percent compared with the year-ago quarter. For the full year 2010, net revenues were $7.8 billion, an increase of 9 percent compared to 2009.

    Motorola shipped 4.9 million and 13.7 million smartphones in the quarter and full year, respectively, compared to 2.0 million in the fourth quarter and full year 2009. The company shipped total handsets (including smartphones) of 11.3 million and 37.3 million in the quarter and full year 2010, respectively.

    The Company’s outlook for the first quarter of 2011 is the following:

    * Consolidated operating earnings in a range around breakeven
    * Non-operating costs of approximately $10 million
    * Income tax provision of approximately $25 million
    * Net loss of $26 million to $62 million
    * Net loss per share of .09 to .21
    * Basic shares outstanding of approximately 294 million shares
    * Excludes charges associated with items of the variety typically highlighted by the Company in its quarterly earnings results, stock-based compensation expense and intangible assets amortization expense.

  • Bandwidth.com Enters Into a Groundbreaking Agreement with Verizon

    Bandwidth.com, a privately held telecommunications company, announced that it has signed a commercial deal with the Verizon wireline companies under which the parties agree to terminate each other’s VoIP traffic at a rate of $0.0007 per minute.

    According to Bandwidth.com, the agreed upon rate, which applies to traffic that originates from or terminates to a VoIP end user, provides the companies with cost certainty for the traffic they exchange.

    "For too long, uncertainty over what charges apply to VoIP traffic has served as a wall to the innovations customers want and the lower prices they need," said John Murdock, President of Bandwidth.com.

    "We are delighted to be working with Verizon in reaching a commercial deal that hopefully will serve as a path for the industry and service providers to move forward and better serve customers," he added.

    According to Murdock, this agreement demonstrates how VoIP and other innovative services can flourish through private agreements.

    We know from our experience first hand how such services can spur economic growth and workplace productivity, while lowering costs and generating job growth," Murdock noted.

  • IPsmarx Releases New Line of VoIP Mobile Dialers for iPhone, Android, and Windows Mobile

    IPsmarx announced the release of Breeze, their new line of VoIP Mobile Dialers that can be used with smartphones, such as the iPhone, Windows Mobile, and Android devices.

    By implementing IPsmarx Breeze, VoIP service providers can offer their own branded VoIP application that will enable their end users to make and receive calls using Wi-Fi or 3G on their smart phones.

    According to press release, with Breeze, end users "enjoy the convenience of using their smart phones’ existing contact list and advanced features like Call Forwarding, Call Waiting, Music on Hold, and Call Transfer, while making cost saving calls using the internet."

    “The Pre-paid Press estimates mobile smart phone traffic to increase by 700% over the next five years and according to latest statistics published on itmag.com, the mobile VoIP market will be worth US $32.3 billion by 2013 and when 2019 rolls around, half of all mobile calls will be made over all-IP Networks,” said Andrea Lopez, Senior Tech Sales Representative for IPsmarx.

    “Consumers and businesses are changing the way they communicate and service providers have to stay ahead of this trend by offering VoIP on smart phones,” she added.

    Because IPsmarx maintains an in-house development team, they are committed to updating the Breeze application as smart phones and their operating systems evolve.

    “This furthers our mission to enable our VoIP Service Provider clients to stay ahead of VoIP trends and offer competitive features to differentiate their service in the constantly evolving VoIP marketplace,” said Arash Vahidnia, IPsmarx CEO,

    “By implementing Breeze, we expect to see our existing clients greatly expand their businesses. Service Providers who have not migrated to IPsmarx yet have the opportunity to use IPsmarx Breeze with their existing Softswitch or IP-PBX platform without having to invest in a new softswitch."

    Combined with the IPsmarx Multi-Tenant IP-PBX System, Breeze is a superior mobile VoIP application for enterprises as it can be used as an extension in the PBX system.

    Breeze also supports VoIP Tunneling Technology and if integrated with IPsmarx Tunneling server, it can work from blocked areas or from behind firewalls for both incoming and outgoing calls.

  • Apple Reports Record Holiday Quarter Revenue

    Apple announced financial results for its fiscal 2011 first quarter ended December 25, 2010. Record Mac, iPhone, iPad sales have driven highest revenue and earnings ever: the company posted record revenue of $26.74 billion and record net quarterly profit of $6 billion ($6.43 per diluted share).

    These results compare to revenue of $15.68 billion and net quarterly profit of $3.38 billion ($3.67 per diluted share) in the year-ago quarter. Gross margin was 38.5 percent compared to 40.9 percent in the year-ago quarter. International sales accounted for 62 percent of the quarter’s revenue.

    During the quarter Apple sold:

    • 4.13 million Macs  (23% unit increase over the year-ago quarter);
    • 16.24 million iPhones (86% unit growth);
    • 19.45 million iPods (7% unit decline);
    • 7.33 million iPads.

    “We had a phenomenal holiday quarter with record Mac, iPhone and iPad sales,” said Steve Jobs, Apple’s CEO.

    “We are firing on all cylinders and we’ve got some exciting things in the pipeline for this year including iPhone 4 on Verizon which customers can’t wait to get their hands on,” he added.

    Peter Oppenheimer, Apple’s CFO, said: “We couldn’t be happier with the performance of our business, generating $9.8 billion in cash flow from operations during the December quarter. Looking ahead to the second fiscal quarter of 2011, we expect revenue of about $22 billion and we expect diluted earnings per share of about $4.90.”

  • Mobile VoIP Gateway Revenues to Soar Past $6 Billion in 2015

    VoIP, the technology that has revolutionized voice services over the past several years and has brought calling costs down for residential and business customers alike, is spreading from the fixed-line world to the mobile world. Usage is on the rise creating significant opportunity for mobile VoIP gateway equipment suppliers as expenditures in this space are expected to soar beyond the $6 billion mark in 2015, says In-Stat.

    "Mobile VoIP has only recently begun being implemented in the business environment," says Amy Cravens, Market Analyst.

    "One of the key benefits of mobile VoIP for enterprises is extending desk phone functionality to mobile devices. Business-oriented solutions will essentially enable the users’ cellphones to become an extension of their desk phones and will deliver, in addition to voice, a unified communications experience, including email, IM, and collaboration," she daid.

    Business mobile VoIP users will increase tenfold over the next five years. According to the report, mobile operators are currently a barrier to adoption but could become a significant driver of adoption over the next several years.

    The research also finds that business mobile VoIP is based on IP PBX and hosted PBX solutions and that growth in IP PBX mobile VoIP usage will largely be driven by mid-sized and enterprise businesses.

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  • Android Overtakes iOS in Latest Mobile Mix Report

    According to Millennial Media’s Mobile Mix Index, for the first time Android surpassed iOS as the largest smartphone operating system on Millennial Media’s network last month, with an 8% month-over-month increase and 46% of the impression share. iOS represented 32% of the impression share.

    In 2011, Millennial Media anticipates that we’ll continue to see increased platform diversity with not only Android, but RIM and Windows Phone 7 applying pressure on iOS.

    “This prediction once again stresses the importance of advertising and developing across platforms,” said Mack McKelvey, Senior Vice President of Marketing at Millennial Media.

    Here are a few additional highlights from the December issue:
    • Samsung maintained the number two position in the Top 15 Manufacturers for the third consecutive month. The Samsung Code entered the Top 30 Mobile Devices for the first time in December and is the only Windows OS device in the Top 30 Mobile Device Ranking.

    • HTC claimed the number three position in the Top 15 Manufacturers – with a 9% growth month-over-month. There is a direct correlation with this increase and HTC having the highest number of devices (nine) in our Top 30 Mobile Device Ranking, including the debut of four new devices on our network: HTC Nexus One (Passion), HTC Evo, HTC Droid Incredible, and the HTC Desire.

    • Travel and Vacation app impressions doubled quarter-over-quarter. Apps in this category have evolved to bring online capabilities to the mobile platform (e.g., reservations, check-in, boarding passes, travel updates, etc.). The double digit quarterly growth shows that mobile consumers found value in staying connected through their mobile devices as they traveled this holiday season.

    • Music and Entertainment apps maintained the number three position quarter-over-quarter with 22% of the impression share. Television apps are the fastest growing sub-category with 259% growth in impression share quarter-over-quarter.

    • Touch Screen devices grew 10% month-over-month, with approximately 57% share of impressions in the December Device Input Mix. This growth can be attributed to the increased penetration of Smartphones with this input method.

    Related news
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  • Verizon and Apple Team Up to Deliver iPhone 4 on Verizon

    Verizon Wireless and Apple have just announced that the iPhone 4 will be available on the Verizon network beginning on Thursday, February 10. Verizon customers will be given the opportunity to pre-order CDMA iPhone 4 online on February 3, ahead of general availability.

    The companies have signed a multi-year but non-exclusive deal. The device will be selling at standar $199 for the 16GB and $299 for 32GB. iPhone 4 on Verizon will include new Personal Hotspot capabilities allowing customers to use iPhone 4 to connect up to five Wi-Fi enabled devices. The phone works on Verizon 3G (EV-DO) only – 4G data or GSM roaming will not be available.

    “We are pleased to introduce millions of wireless users to the industry leading iPhone 4 on the nation’s most reliable network,” said Lowell McAdam, president and chief operating officer of Verizon.

    “This is an important step for the industry as two great companies join forces to give wireless customers one of the most important technological additions to the mobile landscape this century,” he added.

    Tim Cook, Apple’s chief operating officer said: “Verizon Wireless customers have told us they can’t wait to get their hands on iPhone 4, and we think they are going to love it. We have enormous respect for the company Verizon has built and the loyalty they have earned from their customers.”

    iPhone 4 features a 5 megapixel camera with LED flash, HD video recording, Apple’s A4 chip, a 3-axis gyro and a glass and stainless steel design. iPhone 4 also comes with iOS 4, which includes multitasking, folders, Game Center, AirPlay and AirPrint wireless printing.

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  • Amazon Opens Android Application Store to Developers

    US-based online retailer Amazon has opened its mobile application store to submissions from developers. The Amazon "Appstore" is due to launch in the US during 2011 and will be available for Android devices that run versions 1.6 of the operating system and above.

    Developers will be able to set a list price for their applications for which they will receive the industry standard 70 per cent share of revenues. Amazon, however, reserves the right to discount applications and will guarantee to give developers at least 20 per cent of the list price.

    Amazon will take a more hands-on role with its store than Google, with a stricter approval process than for the official Android Market; a move which will likely see Amazon’s store focus on high quality premium applications. Unlike the official Android Market, which comes preinstalled on all Google-approved devices, users will have to download the Amazon Appstore.

    According to iSuppli, Amazon’s control over pricing may see developers receive lower revenues per download than from other stores. However, the retailer’s ability to offer scale, its wealth of customer data and track record in online retailing will guarantee developers’ interest.

    "Developers’ major issues with Android Market include the poor opportunity for monetisation due to the plethora of free, low quality applications and consumers’ reluctance to use Google Checkout as a billing platform. The Amazon Appstore offers a solution to both these issues. Amazon has credit card/bank details from all its customers and offers a trusted billing platform. Its stricter approval process will ensure higher quality content and its wealth of customer data and expertise in providing customer recommendations will also improve app discoverability and monetisation," said iSuppli analysts Jack Kent.

    According to him, as a downloadable store, rather than one that arrives preinstalled on the device, Amazon’s store will struggle in the face of competition from the official Android Market and other embedded application stores run by operators and handset manufacturers. At launch, the store’s availability is limited to the US; a rapid international rollout will be vital for the store to attract wide developer interest.

    Amazon already has a considerable presence on mobile platforms; it offers its Kindle e-book app for Blackberry, Windows Phone 7, iOS and Android devices and has a number of mobile apps that enable users to make purchases from Amazon’s online store directly from the app. It will hope to leverage its existing Android mobile audience to boost the adoption of its own mobile application store.

  • Skype Officially Launched Group Video Calling with New Premium Package

    Today at the Consumer Electronics Show, Skype has officially launched group video calling for consumers and enterprises. Group video calling is available as part of the new Premium package which offers group video calling together with access to live chat customer support as a day pass for $4.99 (€3.49/£2.99) or as a monthly subscription for $8.99 (€5.99/£4.99) per month.

    Skype users who sign up for group video calling in the first month it’s available will receive a 33 percent discount on 3 and 12-month subscriptions. New users receive a 7-day free trial. In addition, consumers who sign up for group video calling will receive a 25 percent discount off an HD webcam.

    Group video calling is also available in the new Business version of Skype, a desktop application for PCs, which gives enterprises the ability to control how Skype is used within the workplace, with the capacity to turn off or configure a variety of Skype settings. According to Skype, with group video calling, enterprises "can easily set up real-time, face-to-face meetings and work in more collaborative and productive ways." For enterprises using Skype Manager who sign up for Group Video Calling, they will receive a 33 percent discount when signing up for a 3 or 12 month subscription. In addition, they will receive a 15 percent discount off of a headset and speakerphone bundle.

    To start a group video call, only one member of the call needs to have activated the seven-day free trial or to have signed up for a day pass or monthly subscription using Skype for Windows 5.1. For all participants to receive video, they need to be on at least the 5.0 version of Mac and windows.

    According to Skype, video calling accounted for approximately 41.5% of all Skype-to-Skype minutes in the second half of 2010.

    Skype also said that video calls between two parties will continue to be offered as a free product.

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  • Google Android Reaches #2 Spot among Smartphone Platforms

    comScore has released data from the comScore MobiLens service, reporting key trends in the U.S. mobile phone industry during the three month average period ending November 2010. After several months of strong growth, Google Android captured the #2 ranking among smartphone platforms with 26.0 percent of U.S. smartphone subscribers.

    The report ranked the leading mobile original equipment manufacturers and smartphone operating system platforms in the U.S. according to their share of current mobile subscribers ages 13 and older, and reviewed the most popular activities and content accessed via the subscriber’s primary mobile phone. The November report found Samsung to be the top handset manufacturer overall with 24.5 percent market share, while RIM led among smartphone platforms with 33.5 percent market share.

    OEM Market Share

    For the three month average period ending in November, 234 million Americans ages 13 and older used mobile devices. Device manufacturer Samsung ranked as the top OEM with 24.5 percent of U.S. mobile subscribers, up 0.9 percentage points from the three month period ending in August. LG ranked second with 20.9 percent share, followed by Motorola (17.0 percent), RIM (8.8 percent) and Nokia (7.2 percent).

    Smartphone Platform Market Share

    According to the report, 61.5 million people in the U.S. owned smartphones during the three months ending in November, up 10 percent from the preceding three-month period, as RIM led with 33.5 percent market share of smartphones. After several months of strong growth, Google Android captured the #2 ranking among smartphone platforms in November with 26.0 percent of U.S. smartphone subscribers. Apple accounted for 25.0 percent of smartphone subscribers (up 0.8 percentage points), followed by Microsoft with 9.0 percent and Palm with 3.9 percent.

    Mobile Content Usage

    comScore finds that in November, 67.1 percent of U.S. mobile subscribers used text messaging on their mobile device, up 0.5 percentage points versus the prior three month period, while browsers were used by 35.3 percent of U.S. mobile subscribers (up 0.8 percentage points). Subscribers who used downloaded applications comprised 33.4 percent of the mobile audience, representing an increase of 1.1 percentage points. Accessing of social networking sites or blogs increased 1.0 percentage points, representing 23.5 percent of mobile subscribers. Playing games attracted 22.6 percent of the mobile audience while listening to music attracted 15.0 percent.

     

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