Tag: Nokia Page 12 of 15

The State of Play…

This week (nearly everyone) trecked out to San Francisco for the Game Developers Conference (no, not me), and we therefore could hear and read a lot about where gaming, specifically also mobile gaming, is these days. So what is the state of play? Varied, it seems:

On-deck/off-deck was addressed: Kristian Segerstrale, formerly of Macrospace/Glu, now fresh start-up entrepreneur with his Playfish offering described the current landscape rather neatly: “Competitive development, Ogopolistic publishers, but monopolistic retail.” (This was – unsurprisingly – seconded by Nokia‘s multimedia guru, Anssi Vanjoki). Segerstrale damned the economics of the space with carriers syphoning off 30-40% for billing when the same can be had for a few points from Google check-out, Paypal, etc. He went on to predict that it will be the carriers’ doom to stick to that model and painted a bright future. I quite agree with him on this, mainly for two reasons: 1) the move into flat-rate data plans for mobiles; these will take away the fear of people browsing outside the constraints of the carrier that they will face huge bills, and – to some extents connected to the first point – 2) the fall of the walled gardens. This will mean that a whole new playing field is opening: consumers will no longer be constrained to buy games (and, for that matter, any other content) on their carrier deck where choice has been limited and innovation not always prevailing but anywhere on the whole wide web.

Such a development would arguably also clean up with another of these quirky carrier specifics, namely content discovery. On one of GDC’s panel discussions it was noted that, “[w]hen shopping on the deck, it is easy to know what an application does based on its name. However games are much harder to sell based on a 17-character title. There is no description and no ability to preview a game (such as viewing a trailer) before downloading. In the discussion, the example of Amazon was used to describe the kind of preview and recommendation system that needs to develop for mobile games.” True enough…

On the market as a whole, others, namely some of the money-men, were less buoyant: Mitch Lasky, formerly of Jamdat, now a VC with Benchmark Capital, warned that finding an exit in the next 2 years would be tough as the industry was “in the midst of a multi-year transition”, whatever that is supposed to mean. He is of course right in that the sector is consolidating, and 2007 was a tough year for most in the mobile game space (more on that below).

And then came the mobile gaming heavyweights from Gameloft and claimed that there had not been a Christmas in 2007. How’s that for a bleak outlook? The mighty Frenchmen’ President & CEO, Michel Guillemot compared that to a transition (is this a theme?) between console platforms: before the new one is really in, no one will buy a game anymore. Now, with all due respect, I do not believe that the slump of the mobile games market that many seemed to have been experiencing is hardware-driven. I would rather blame it on the choking hold the severely flawed business model in the space (see above) and actually increasing scarcity of deck space due to carriers reducing the number of slots available.

This last bit specifically was stoically conceded by Glu’s Jill Braff: she said one had to understand the way carriers operate (and, yes, from their perspective I think I do) and then “work in the system”. That might all be fine and dandy for the few who manage to place it. It does not, however, grow the market, educate consumers (and retailers) or gets games to that next level. I mean, on 5-8% take-up on downloadable mobile games, you are talking about a niche. Shouldn’t Ms Brasff rather be pondering on how to break that mold and make mobile gaming a true mass market phenomenon? Getting your head down, sighing and “work in the system” might not actually be an approach that helps that.

The gordian knot will only be cut if the distribution funnel opens up: this does not necessarily mean that carriers will lose the war but they will have to change their approach — eventually. Just imagine an ISP trying to dictate what game you’d be allowed to access. There used to be one, you say? True enough: the old AOL model. And where are they now when it comes to access? The iron curtain fell, the walled gardens on the Internet fell, and they will fall on mobile, too.

Linux Mobile on track

After delays on the part of the much awaited Android (see my original take on that here), one of the “other” Linux Mobile initiatives, namely the LiMo Foundation announced the release of its first version (“R1”) on schedule for March. The beta version of the respective APIs is available on their website immediately. They also said there would be sneak previews of all the good things at next week’s Mobile World Congress in Barcelona, and I will be sure to check it out!

The LiMo Foundation, which is backed by an impressive number of industry heavyweights (quite a few of which are also members of the Open Handset Alliance, the maker of Android), seems to be moving swiftly ahead, and their platform is, in their own words, basically the following:

“The LiMo Platform—leveraging standards and open-source projects—is a modular, plug-in-based, hardware-independent architecture built around an open operating system, with a secure run-time environment for support of downloaded applications. Linux was selected as the core technology for the LiMo Platform for its acceptability by the whole mobile industry, its rich functionality and scalability, its record of success in embedded systems and mobile phones and its potential to easily “cross-platformize” with other product categories.” Middleware components for the platform can apparently be implemented in either C or C++ programming languages.

What seems noteworthy is that the good folks at the foundation seem to have managed to leverage the substantial resource of its members. Its chairman praised “the transparent, balanced and harmonious contribution process […].”

Just before Christmas, the third consortium, LiPS, had announced that its first release was now complete.

However, it would appear of not so much being a race of who is first but of who manages to deploy on most devices. Given the membership of the three consortia comprises most of the big players (with the notable absence of Nokia although its recently acquired Trolltech is a member of the LiMo Foundation; read the excellent analysis on that deal here), one might ask if would not be perhaps the best idea to merge the whole thing, and deploy one common platform. Wouldn’t that have real impact?

Yahoo follows suit: presents development platform for mobile

After all the buzz in the back-end of last year over the Google-led Open Handset Alliance and their Android OS, Yahoo! has now presented its own view on how to reduce the complexity within the mobile landscape by announcing a development platform for “mobile internet applications”.

It is, alas, not the full bag of tricks: Unlike Android, which is of course basically an OS, the Yahoo! scheme only foresees tools to allow the creation of widgets to run under the company’s Yahoo! Go mobile service or in any mobile web browser. This means that “mobile internet applications” in Yahoo speak do not include “classic” mobile applications (developed in J2ME, BREW, Symbian, etc, and then downloaded to a user’s phone), and the latter will not benefit from the initiative.

The question (and this may well be one of the big ones for 2008) is therefore if the (short) age of downloadable applications is already dawning. Because, unlike the Internet, mobile is a cluttered space with a gazillion operating systems and middleware layers on even more different devices competing for market share. Ease to port applications at least across handsets and ideally also across operating systems is therefore the crucial factor. Only if downloadable applications (including indeed a software package like Yahoo! Go) really are displaced by the mobile internet proper would this change.

Commentators note that Yahoo! Go is not normally available on handsets as most tier-1 operators will (and apparently each and every US carrier currently does) simply remove pre-installed applications prior to delivery to customers. However, this does not seem to matter too much as far as the new initiative is concerned as it is said to run on every browser, too. It may take away from discovery and therefore usage so this is where it appears to chip away on the benefits: Whilst the Yahoo! move would seem the much less complex initiative compared to Google’s attempts to take on the OS heavyweights, it comes at the cost of lower usability for users and also less actual benefit for developers: why would you develop for that platform if visibility, discovery, usage and therefore commercial reward are foggy at best?

I’m not convinced (yet).

GPS Most Wanted

The Global Positioning System (better known by its acronym GPS) sees a meteoric rise to popularity on mobile phones. According to a survey 24% of all Americans want GPS as a feature on their next phone, and they seem to be served: nearly every large OEM offers the feature in their higher-end models already and others rack up to get there (Nokia N95, HTC Touch, Blackberry 8800, to name a few). And – no buzz without the iPhone these days – there is rumour that one of the GPS leaders, TomTom, is developing the respective module for the iPhone.

As the feature shows appeal to a very wide demographic, this might become a feature like the camera today: initially dissed (“who needs a camera in his phone?”), camera phones are the overwhelming standard today and are putting ever-increasing pressure on digital cameras (well, OK, probably not the high-end SLR but otherwise).

This is not entirely surprising: one does not normally turn to one’s phone when feeling the urge for a movie but it provides true value-add when you walk through the streets of an unknown city (or unknown district of your home town) looking for the right street, and you can actually turn to your phone’s GPS function.

GPS of course provides a completely new take to the holy grail of mobile services, namely LBS (or: location-based services), too. I prefer the term location-aware as such offerings need not necessarily be “based” on this. Way beyond simple “sat nav”, everything from dining out, clubbing, flirting, and generally looking for like-minded people in a given environment would be greatly enhanced by such features. Not to mention marketeers of retailers and consumer brands who are surely already drooling on the thought of what they could do when they could lure consumers into their shops with tailor-made offers just when they walk past their shops. ZagMe was a bit too early for this, it seems but then this was pre-GPS. Brave new world?

Circular Entertainment is with you — or not…

What’s mobile in the following? Well, Nokia is involved and it is a development that would surely affect the mobile screen! A survey commissioned by Nokia found that, by 2012, one quarter of all media will be created and consumed from within a circle of peers rather than from traditional media. The ongoing rise of social media then, which the survey dubs “circular entertainment”.

In the course of the study consumers from 17 countries were interviewed about their digital behaviors and lifestyles signposting emerging entertainment trends. Combining views from “industry leading figures” with Nokia’s own research from the 900m people that use their phones , Nokia apparently “constructed a global picture of what it believes entertainment will look like over the next five years.” Bless them…

Nokia’s VP multimedia Mark Selby said that “[t]he trends we are seeing show us that people will have a genuine desire not only to create and share their own content, but also to remix it, mash it up and pass it on within their peer groups – a form of collaborative social media.” So the NY Times‘ executive editor, Bill Keller, was right when he suspected that the “media tsunami” that is aggregated and re-purposed content today is threatening the place of traditional media.

The chaps from the Future Laboratory, who conducted the survey, went even further: “Key to this evolution is consumers’ basic human desire to compare and contrast, create and communicate. We believe the next episode promises to deliver the democracy politics can only dream of.” So Bush and Putin aren’t all that scary after all? Phew!

I have some doubts if the survey really captures the mainstream, or otherwise society is further than I would have thought. These are the numbers they posted (based on the 9,000 consumers they surveyed):

  • 23% buy movies in digital format
  • 35% buy music on MP3 files
  • 25% buy music on mobile devices
  • 39% watch TV on the internet
  • 23% watch TV on mobile devices
  • 46% regularly use IM, 37% on a mobile device
  • 29% regularly blog
  • 28% regularly access social networking sites
  • 22% connect using technologies such as Skype
  • 17% take part in Multiplayer Online Role Playing Games
  • 17% upload to the internet from a mobile device

A simple test: if the above was representative, then a cool 1.1 billion (!) people regularly upload to the Internet from a mobile device and we would have more than 1.8 billion regular bloggers and mobile TV is a massive reality with 1.5 billion consumers using it (that would be 55% of all mobile users today). Hmmm. Hey guys, where are you???

It goes on: as part of the research Nokia says it has identified four key driving trends, which are – apparently – Immersive Living, Geek Culture, G Tech and Localism. What? You don’t know what G Tech is? Yes, it is derived from the coveted G Spot and here’s what it is (according to Nokia): “G Tech is an existing social force in Asia that will change the way entertainment will look. Forget pink and sparkly, it is about the feminization of technology that is currently underway. Entertainment will be more collaborative, democratic, emotional and customized – all of which are ‘female’ traits.” Localism of course is the intrinsic interest in the locale (which is easy when you live, as I do, in the town of Ian Curtis, the unforgotten lead of Joy Division but what do you do when you live on Exit 7 of the Interstate 40 West in Oklahoma?).

With all due respect to Nokia, a company I really and truly greatly respect: this looks both a bit airy-fairy to me and bears succinct resemblance to a result-driven PR release. Or am I wrong in suspecting that Nokia has a certain vested interest in pushing location-sensitive content and information? What was the price of Navteq again? $8.1bn? Ah, I see…

Vodafone Germany envious of T-Mobile's iPhone deal?

German news reports say that Vodafone Germany has sued T-Mobile over its exclusive iPhone arrangement with Apple. Vodafone challenges the “combo” of iPhone and a 2-year-contract and asserts that this might be contrary to fair competition laws. Vodafone Germany’s chief describes the iPhone as the “fall of man”, which is pretty funny, come to think of it. The manager says they would fear that the likes of Nokia and Motorola would follow the example and do the same, which would heavily distort the market. Hmm. Who had this thing with its logos on handsets again? Who was the only carrier distributing Sharp handsets? Ah… Given Vodafone’s approach with the rather successful Sharp GX series, which was exclusively (sic!) available to, yes, Vodafone customers, the suit does not feel entirely sincere. One might plead that Vodafone fails on the “clean-hands” doctrine (which, alas, is unknown to German law).

This is of course also noteworthy as Vodafone Global CEO Arun Sarin went on record saying that the iPhone makes for a “pretty poor experience” (unless you are in a WiFi area) and all.

Why then do they insist this is such a bad thing? Do we take it as a sign that the lost iPhone deal might after all have a certain sting to the mighty carrier? This is in spite of it still possibly proving to have been the right decision, with Apple’s share in user fees and all. It may well all come down to branding: Vodafone is thought to have spent hundreds of millions on trying to build its Vodafone Live! brand, which it all but abandoned recently. It was the first big carrier to partner with Nokia on the latter’s Ovi initiative (see here), which in itself may be seen as an admission of failure of its own service.

Whilst I understand Vodafone’s move from the view of the German lawyer I (also) am, the overall approach has something of a child envious of another one’s toy.

UPDATE: Further reports shed more light onto this. T-Mobile may be forced to sell unlocked phones and also give up the 2-year tie-in, i.e. offer consumers to buy the iPhone without a contract. This would be a major blow to the Apple business model and one that might force others to open up, too: MoCoNews reports that French laws have similar provisions.

Most importantly perhaps, European laws on the freedom of goods and services would prevent anyone stopping grey imports into other EU member states where Apple struck other exclusivity deals (e.g. with O2 in the UK), which might become a real threat to Apple’s business model altogether.

Page 12 of 15

Powered by WordPress & Theme by Anders Norén