Business News Holding

Tag: market-data

  • Smartphone Ownership Now "Mandatory", Not Techie Toy


    Not owning a smartphone today is the social equivalent to not having email a few years ago – at least in the US.

    That’s the conclusion of a report in the New York Times, which says that having an iPhone, Pre or BlackBerry is pretty much mandatory these days unless you want to ostracise yourself from "society".

    It says the devices are no longer a status symbol or techie toy but have become mandatory equipment for belonging to society.

    David E. Meyer, a professor of psychology at the University of Michigan, told the paper: "The social norm is that you should respond (to an email) within a couple of hours, if not immediately.

    "If you don’t, it is assumed you are out to lunch mentally, out of it socially, or don’t like the person who sent the e-mail."

    The report comes, conveniently, as research shows that 41 per cent of consumers will make a smartphones their next mobile device.

    As a result, smartphone volumes will grow to 38 per cent of all handsets by 2013, representing the largest growth opportunity within mobile devices.

    This makes the smartphone category the most important competitive battleground in wireless today, according to the Yankee Group study.

    It also shows that trends within the smartphone ecosystem are profoundly impacting the power dynamics between original equipment manufacturers (OEMs) and operators.

    Traditionally, operators have had the upper hand when working with device manufacturers to bring a new device to market, but the power dynamics are shifting.

    With more competitive entrants, tighter budgets and increased consumer expectations, OEMs and operators need to work together, on equal ground, to thrive.

    Chris Collins, Yankee Group senior analyst, said the release of the Palm Pre spotlights the changes in the OEM-operator dynamic.

    "Sprint and Palm are two companies desperate for a blockbuster hit," he said. "And as such, they are either the perfect – or worst possible – partners for one another.

    "The fate of both companies relies on the success of their alliance around the Pre."

  • US Transition to Digital TV Alters Viewing Behavior


    This Friday sees US television going 100 per cent digital, a move that has impacted on over a quarter of households which have had to invest in new TV sets and/or services to prepare for the June 12th changeover.

    However, researchers say that the switch to digital has changed traditional viewing habits.

    David Tice, vice president of Knowledge Networks, said its report, How People Use HDTV 2009, will show that one-third of those with high-definition TV reception always check their HD channels first when channel surfing or checking for a program.

    He said the digital transition is bringing more channels – sometimes dozens more – into nearly one-quarter of US TV households.

    This is vastly expanding the numbers of programs and advertisements they can be exposed to.

    "And our research has shown that having high-definition TV (HDTV) reception changes viewing behavior, prompting many people to check HD channels first when they sit down to watch TV," he said.

    "The result is that the digital transition as a whole seems destined to alter long-standing TV behaviors in many US homes."

    The report will also indicate that those with HDTV reception are more selective about what they watch and more likely to plan viewing in advance. KN will be releasing the new HDTV report in July.

    A separate report from Knowledge Networks has found that 26 per cent of US homes invested in new TV sets and/or services in the past year to prepare for the June 12th changeover.

    The data, collected from February to April this year, shows that among TV households:

    • 18 per cent said they had bought a digital converter to adapt a standard definition set to receive digital signals
    • 8 per cent bought a digital or HDTV set specifically in preparation for the transition
    • 5 per cent started a new subscription to a pay television service such as cable or satellite TV, also specifically in anticipation of the switch to digital

    (There is some overlap among the above groups; the net value is 26 per cent)

    Awareness of the transition has increased to 91 per cent of all TV homes, up from 85 per cent in 2008 and 45 per cent in 2007. All subgroups – whether by householder age, race, ethnicity, or reception type – report awareness over 90 per cent.

    Among the 18 per cent of TV homes that bought a digital converter, most (80 per cent) utilized the government coupon program. In homes that still have only broadcast reception, three times as many (53 per cent) report they bought a digital converter in the past year, and 93 per cent of those used the coupon program.

    The number of sets per home relying on regular broadcast reception averaged 0.48 in the new survey; this is almost two-thirds less compared with KN’s spring 2006 survey, when the average was 1.32.

    The report said that between their awareness of the transition and evidence of adaptation to this new broadcast standard, it is clear Americans have received the message about the transition loud and clear.

  • VoIP Equipment Sales Plummet, IMS Revenues Grow


    VoIP equipment purchases are decreasing at the expense of spending on the deployment of IMS (IP multimedia subsystem) technology, according to Infonetics Research.

    Worldwide sales of IMS equipment, including HSS (home subscriber servers), CSCF servers, and voice application servers, are forecast to jump 74 per cent in 2009 over 2008.

    However, worldwide VoIP revenue in Q1 totaled USD $600.4 million, down 33 per cent from the first quarter of 2008 – the sharpest quarterly decline ever.

    Diane Myers, directing analyst, Service Provider VoIP and IMS at Infonetics Research, said no product segment or region was immune to declines in the service provider VoIP equipment market.

    Diane Myers, Infonetics Research

    Most large Tier 1 service providers are coming to the end of major VoIP projects and most ILECs and PTTs have put PSTN migration plans on hold.

    She said the service provider VoIP equipment market had a "rough" first quarter, declining 29 per cent sequentially in worldwide revenue. "The market pause for VoIP equipment is being exacerbated by the global economic downturn as service providers put VoIP equipment purchases on hold," she said.

    "We are beginning to see a noticeable shift in spending from stand-alone VoIP networks to IMS deployments."

    Myers said that while the core IMS equipment segments, CSCF and HSS, are still small compared to the service provider VoIP market, deployments remain strong in EMEA and Asia Pacific.

    Infonetics’ IMS Deployment Tracker shows Ericsson, Alcatel-Lucent, Nokia Siemens, and Huawei leading the way with core IMS equipment.

    "The core IMS equipment market had an impressive quarter with $63.7 million in revenue," she added.

  • SabSe Acquires Jaxtr, VoIP Consolidation Begins?


    SabSe Technologies has acquired jaxtr, a social communications company offering a free VoIP service.

    The value-added application provider aims to sell its apps to Jaxtr’s large active user base of around 10 million users.

    Cofounded by HotMail co-founder Sabeer Bhatia and entrepreneur Yogesh Patel, SabSe wants to add additional functionality to its core small business offerings following the purchase of Jaxtr.

    The terms of the deal were not released but Jaxtr is venture-backed and has raised more than USD $20 million dollars in funding.

    Jaxtr’s acquisition follows that of NewStep Networks by the Canada-based hosted VoIP software applications provider Natural Convergence on Monday – signalling a possible shake-out in the VoIP sector.

  • Disk Storage System Sales Badly Impacted By Economy


    Worldwide external disk storage systems factory revenues fell 13.6 per cent year-on-year to USD $4.2 billion in the first quarter of 2009 (1Q09), according to IDC.

    For the quarter, the total disk storage systems market declined to USD $5.6 billion in revenues, an 18.2 per cent decline from the prior year’s first quarter.

    Steve Scully, research manager, Enterprise Storage at IDC, said the results were driven by continued weakness in server systems sales.

    He said total disk storage systems capacity shipped reached 2,146 petabytes, growing 14.8 per cent year over year.

    "The disk storage system vendors are really seeing the impact of the global economic downturn in the first quarter revenues," he said.

    "However, while total revenues declined year over year, the overall storage capacity shipped continued to grow.

    "These contrasting results are due to a combination of currency implications, lower overall sales, shifts in product mix, and aggressive pricing actions."

    Liz Conner, research analyst, Storage Systems, said that although the economic crisis was fully realized by the enterprise storage systems market in the first quarter of 2009, the quarter wasn’t without its bright spots.

    "Entry-level price bands ($0K – $14.99K) showed 9.9 per cent year-over-year growth and the midrange price band ($15K – $49.99K) was flat year over year," she said.

    This supported IDC’s belief that storage products are still in demand, according to Conner, adding that customer spending was trending towards more modular, price point options.

    "In addition, the high-end price band ($300K-499.99K) saw a 14.5 per cent year-over-year growth as vendors discounted their very high-end products, shifting the ASV’s into lower price bands in order to meet the demand for high-end storage while accounting for reduced IT budgets," she said.

    EMC maintained its lead in the external disk storage systems market with 20.7 per cent revenue share in the first quarter, followed by HP and IBM in a statistical tie for the second position with 11.5 per cent and 11.3 per cent revenue share, respectively.

    Dell and Hitachi finished the quarter in a statistical tie for fourth place with 9.8 per cent and 9.4 per cent revenue share respectively.

    The total network disk storage market (NAS Combined with Open SAN) had year-over-year growth of minus 12.5 per cent in the first quarter with more than USD $3.1 billion in revenues.

    EMC continues to maintain its leadership in the total network storage market with 26.0 per cent revenue share, followed by NetApp with 12.0 per cent revenue share.

    In the Open SAN market, which declined 14.3 per cent year over year, EMC lead with 21.9 per cent revenue share.

    The NAS market declined 6.7 per cent year over year, led by EMC with 39.0 per cent revenue share and followed by NetApp with 28.7 per cent share.

    The iSCSI SAN market continued to show strong momentum, posting 40.5 per cent revenue growth compared to the prior year’s quarter.

    Dell led the market with 36.4 per cent revenue share, followed by EMC with 15.8 per cent.

    Natalya Yezhkova, research manager, IDC Storage Systems, said price sensitivity was a big factor in the healthy growth of iSCSI SAN.

    He said that was the only installation environment segment that ended the quarter in positive territory.

    "While still a relatively small segment of the market, iSCSI SAN is the bright spot for end users and for vendors, as it helps end users to deploy network storage, often with enterprise-class functionality, at a lower price point than traditional FC SAN, and, thus, creates more selling opportunities for vendors," he said.

  • NetApp Awaits EMC Response to Data Domain Bid


    The bidding war for Data Domain stepped up this week after NetApp raised the stakes with rival EMC by making a new cash and stock offer of USD $1.9 billion.

    It came two days after EMC’s offer of USD $30 per share in a deal worth about USD $1.8 billion – around 20 per cent over the original USD $1.5 billion offered LINK last month by NetApp.

    Data Domain, a market leader in data deduplication technology, manufactures a series of storage appliances that tightly integrates its dedupe technology with dedicated storage capacity.

    It also offers software for data replication and virtual tape libraries.

    Both EMC and NetApp currently offer data dedupe technology.

    The increased offer from NetApp means that, if accepted, its offer would use up almost all it’s US cash balance of USD $1.26 billion.

    However, EMC is widely expected to counter with an all-cash offer.

  • Fine Point Acquires VoIP Gateway Seller Sonic


    Fine Point Technologies has agreed to buy the German software and systems integration service provider Sonic Telecom.

    Sonic has been an authorized reseller of Fine Point’s device management technologies since 2005 – but also selling VoIP gateway systems and services.

    Fine Point says the deal will broaden its reach in European markets and offers it the potential to sell its software solutions to more communications providers.

    The NYC-based company will retain Sonic’s engineering and sales staff who are already knowledgeable in selling and supporting Fine Point’s products.

    Fine Point will also maintain Sonic’s existing facility in Germany, and rename the entity Fine Point Technologies, Inc.

    Financial terms for the transaction were not disclosed.

  • Growth in HDTVs Driving Demand for HD STBs


    Shipments of set-top boxes are expected to peak this year, at least in mature markets, and then commence a gradual decline.

    However the rolling series of analog TV shutoffs in countries around the world, combined with the strong uptake of HDTV sets, mean that HD STBs will form a growing fraction of the total market, according to ABI Research.

    HD STBs are expected to account for about 30 per cent of all STB shipments as soon as 2010.

    Michael Inouye, ABI Research industry analyst, said this will be accompanied by a progressive movement from MPEG-2 to MPEG-4 for content delivery.

    He said a growing affinity for HD boxes over SD is closely related to MPEG-4.

    "As more HDTVs find their way into homes, the demand for HD content grows in kind," he said.

    "Anticipating this demand, some countries and operators have elected to support the more efficient standard up front or to begin deployments of upgraded CPE."

    Inouye said the price points of boxes are converging.

    So much so that he said MPEG-4 and in some cases HD are getting sufficiently inexpensive that some operators will be providing them to their customers by default.

    While some STB vendors feel that demand for standard models will be around for a long time, reports from infrastructure vendors suggest a push towards MPEG-4 encoders, according to Inouye.

    So he said vendors will have to support MPEG-4.

    In markets primarily served by digital terrestrial broadcasts where most sales of STBs are retail, especially those with a large MPEG-2 installed base, this means that vendors will have to encourage consumers to switch by reducing the prices of upgraded boxes.

  • Online Video Viewing Rates "Grossly Overstated"


    The amount of time US viewers spend watching online video and mobile video is growing rapidly – but still accounts for a small fraction of total video content viewing.

    That’s the conclusion of a study into how people spend their time consuming media, including live TV programming, time-shifted television, DVDs, video games.

    Another key finding was that households buying a new HDTV viewed more live TV – up to double – initially, but that over time, this increased usage began to subside.

    Jim Spaeth, of Sequent Partners, which collaborated with Ball State University’s Center for Media Design on the Video Consumer Mapping Study on behalf of the Nielsen-funded Council for Research Excellence, said the results showed that the amount of time Americans spend watching online video is vastly overstated.

    He told MediaPost that the new findings indicate that even the relatively small amount of time Americans spend watching online video has been, on average, grossly overstated by conventional forms of media research and audience measurement.

    "This may be the first study to document the dramatic overstatement of online video and mobile video," he said.

    The project, which cost USD $3.5 million to field, directly observed how people spent their day using media.

    Conversely, Spaeth said traditional TV viewing has been "pretty drastically under-reported" by research that asks people how they consume video.

  • Sipgate Launches VoIP Assault on US Landline Market


    Sipgate has launched a free VoIP service in the US aimed at capturing a share of the 100 million users that make up the landline market.

    Called sipgate one, the new internet-based service uses a VoIP phone – or softphone – and offers a fully-featured service.

    The package provides a free telephone number, no set-up costs and no monthly charges or minimums.Users can also make free calls to other Sipgate users.

    Sipgate says it only charges USD $1.9 cents per minute for calls made or received from wireline or mobile phones – which it says is cheaper than Skype’s rate.

    Thilo Salmon, CEO of Sipgate, said that other features offered include click-to-dial, flexible call routing, and an online voicemail interface.

    Based in San Francisco, Sipgate is a well-established in Europe where it has been operating its "network agnostic" phone service since 2004.

    "There is simply no barrier to people disconnecting their old phone lines anymore," he said.

    "Phone and cable companies have long been pushing voice plans in the region of USD $25 to $40 per month – which end up being as much as $60 or more with extra charges – and that’s just ridiculous.

    "Even with calls to other landlines and mobile phones, most users will spend less than $5 a month using sipgate one.

    "And for those people only receiving incoming calls on their VoIP phone, the service is completely free."

    Sipgate also announced plans to roll out a multi-user edition of the service, which will target small businesses also seeking to drop expensive landline offerings.

    Other features include:

    • Need to write down a number while driving? Record any phone conversation by pressing *6
    • Want to customize your voicemail? Upload an mp3
    • Want your calls to follow you? Have your home, office and mobile phone ring in parallel
    • Left your mobile phone at home? Simply go online and divert calls to your office line
    • Want to talk to friends in an ad-hoc conference? Bridge them with the touch of a button
    • Missed calls while on a flight? A list is waiting for you in your email