NEWS February2008

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January’s ten most viewed picoChip unveils articles on TD-SCDMA Yahoo makes mobile move UK-based chip shop, picoChip, has the third 3G standard, is to launch in the Nokia slashes 2,300 jobs, closes unveiled a femtocell reference design Olympic cities this summer. German factory supporting China’s homegrown TD- Stuart Carlaw, research director for SCDMA standard. ABI Research, said, “ help Hackers get Google’s Android to run The PC8808 TD-SCDMA femtocell carriers solve problems of both coverage on hardware reference design supports HSDPA and and capacity which are applicable to all looks to ultra mobile future can integrate both Node B and protocol standards, including TD-SCDMA. Given stack, integrating back into the core how good coverage already is in China for Sprint to launch WiMAX end-April network using a number of different mobile services, consumers will expect Jobs catches Air at Macworld; updates iPhone architectures including SIP, UMA or Iu, excellent indoor services too: something the company said. that is particularly important for data, iRiver preparing to intro media phone Yang Hua, secretary general of which is already in high use in the region. TD-SCDMA Industry Alliance, said, “For both these reasons, I’d expect wheels out own wireless transfer tech “Femtocells are an important part of the TD-SCDMA femtocells to be later in Android debuts on HTC device TD-SCDMA ecosystem, and an essential deployment, but to ramp as fast if not part of operator strategy, particularly as faster than those for WCDMA. picoChip is Nokia faces backlash over German we evolve to TD-SCDMA LTE. picoChip’s the leading provider of femtocell chips, plant closure achievement significantly pushes the TD- and once more demonstrates this To stay up to date with the latest news, SCDMA industry forward.” position of leadership with its software- register at www.telecoms.com picoChip itself expects TD-SCDMA, as defined architecture.”

Oi looking to buy Nokia Siemens wins $1bn Brasil Telecom Saudi Arabian contract

Brazilian carrier Tele have been intensified Middle East and Africa Norte Leste Participacoes, in the last hours, but no and was recently awarded which operates under the document of whatever the third mobile telecoms Oi brand, is in discussions nature has been licence for Saudi Arabia. to acquire fixed line rival executed so far.” Late last year, a group of Brasil Telecom. The move could have mobile operators announced Local media have valued a knock on effect on the a substantial investment the deal at around $2.7bn. long running speculation drive in the continent’s “Regarding possible that Portugal Telecom sub-Saharan region. Carriers investments in other is seeking to offload including MTN, Orange, fixed and mobile telecom its 50 per cent share in and Zain are to companies, specifically Brazilian operator Vivo. plough more than $580bn in relation to Brasil It is believed that into the region over the next Telecom Participacoes, Portugal Telecom The year started brightly and 3G mobile network, five years in a bid to extend we inform that we are intends to substitute for Nokia, as the Finnish including core and radio mobile coverage to more currently engaged its half of Vivo for vendor signed a $1bn networks, operations and than 90 per cent of the area’s in conversations another investment in contract to deliver kit and business support systems, population. The project will with its controlling the Brazilian telecoms services to Saudi Arabian applications and managed focus on pushing 2.5 and shareholders,” read a market where cellular operator Zain. services to Zain. 3G services into the region, statement from Oi. penetration is 61.7 Nokia Siemens Networks Zain, formerly known as boosting internet access as “Such conversations per cent. said it has been tapped to the MTC Group, has services well as voice and messaging supply a full turnkey 2G in 22 countries across the coverage.



06,08,10,12,14_MC147.indd 6 29/1/08 17:17:15 NEWS February2008

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Reding turns attention Sprint cuts to SMS, data roaming 4,000 staff

“remain high with a draw fi rm conclusions at US carrier Sprint is to cut of Sprint’s Xohm business very diverse pattern this stage,” said Reding. 4,000 jobs as fi nancial unit, also revealed that the across Member States.” “However, on the basis of pressure and subscriber company would be making The Commissioner the fi gures in the report, losses continued through its wireless broadband said that a decision I remain concerned about the fourth quarter of 2007. network available on a would be made by the prices for SMS and data The headcount daily, weekly or monthly end of this year on roaming services. We reduction is expected to be subscription basis. whether the charges will watch developments completed in the fi rst half A soft launch of the Xohm- for these services also very closely and respond of the year and will include branded mobile internet need to be regulated. appropriately by the end management and non- service is already underway Viviane Reding Perhaps in of 2008.” management positions. with Sprint employees in anticipation of The ERG Report covers Sprint aims to save Chicago, Baltimore and It looks like EU Telecoms regulation, Spanish carrier the six months from April around $700m-$800m per Washington, DC. Commissioner Viviane Reding Telefonica, which owns the to September 2007 and year by the end of 2008 “Sprint is delivering on is turning her regulatory eye O2 group of companies, includes data from 150 because of the cuts. its Open Internet vision with onto SMS and data roaming proposed to cut the cost of mobile providers in all The company is also exciting and differentiated services, following the mobile data services when Member States. But while planning to close more WiMAX services,” said fi rst benchmark report on roaming by as much as 40 the Commission welcomes than 4,000 third party West. “The new service international roaming by the per cent. the fact that operators have distribution points and agreements and device European Regulators’ Group. Consumers in , the not tried to compensate for to close approximately commitments will help The report confi rms UK, , the Czech the effects of the Roaming 125, or eight per cent, of Xohm subscribers access, that implementation of the Republic will benefi t from a Regulation by increasing its company-owned retail enjoy, store and secure roaming regulations has range of new data roaming prices for non-regulated spots. personal digital and user- generally gone smoothly and tariffs aimed at those roaming calls, the authority In mid-January Sprint generated content while consumers are paying less travelling within Europe expressed concern that reported a net gain of experiencing new device for calls made and received ahead of the summer holiday customers are being 500,000 subscribers innovation.” overseas. season in July. charged on a per minute through wholesale channels, Customer management However, Reding said that “This initial ERG report basis instead of for the growth of 256,000 Boost and billing systems fi rm the report also highlights published today confi rms actual time of the call. Unlimited users and Amdocs has been awarded that prices for SMS and data the general trend towards This is an element that net additions of 20,000 a multi-year agreement roaming services, which lower roaming prices but will also be considered for subscribers within affi liate for software and services are currently not regulated, it would be premature to regulation by year end. channels. But these gains in support of the launch were decimated by net Xohm. While US storage losses of 683,000 postpaid fi rm SwapDrive is providing subscribers and 202,000 a hosted storage offering prepaid users. for Xohm subscribers to DoCoMo disbands At the end of 2007, secure, organise, manage Sprint served a total and access all their user- WiMAX partnership subscriber base of 53.8 generated digital content million subscribers including though the Xohm portal Following its failure to with DoCoMo last summer, licences to rival operator 40.8 million postpaid, 4.1 from any device with a secure a chunk of WiMAX for the purpose of securing KDDI and PHS operator million prepaid, 500,000 supported browser. spectrum in December, a licence to provide Willcom, rendering the Boost Unlimited, 7.7 million Gadget makers OQO and leading Japanese carrier broadband wireless services DoCoMo partnership no wholesale and 850,000 ASUSTek are set to produce NTT DoCoMo has dissolved based on mobile longer relevant. subscribers through a line of WiMAX-embedded its wireless broadband WiMAX technology. KDDI and WIllcom affi liates. devices for availability partnership with ACCA But ’s Ministry are set to launch WiMAX Despite the cuts, the during 2008, while Zyxel Wireless. of Internal Affairs services in 2009 and may carrier says it is on track to will release a WiMAX modem Network technology fi rm and Communications also lease out spectrum to launch WiMAX services to subscriber device for mobile ACCA had entered into a granted the two available other parties interested in consumers and businesses internet data and voice strategic partnership broadband wireless service offering WiMAX services. at the end of April. services, which will launch Barry West, president with the service.

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06,08,10,12,14_MC147.indd 8 29/1/08 17:17:18 NEWS february2008

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Orange UK hires three more Virgin execs

Mobile employees. the firm’s merger with NTL Andrew Ralston, last year. Prior to joining former customer relations Virgin, he was deputy director at Virgin is to commercial director of BT join Orange as chief Cellnet—the former brand operations officer. Ex- of O2’s UK operation. Virgin Mobile operations Alexander reports director Gerry McQuade directly to , will move to Orange as head of mobile operations chief development officer, for Europe and the while Steven Day, Virgin’s Middle East at France Andrew Ralston Steven Day Gerry McQuade former head of corporate Telecom. It is believed affairs, will become that Swantee has been Tom Alexander, the former colleagues to help executive of Orange at the Orange’s chief of staff and reviewing all divisions of founder and former head turn France Telecom’s UK start of this year, is to be communications. the company, and there of Virgin Mobile, who business around. joined by Andrew Ralston, Alexander was the have been suggestions joined Orange in October, Alexander, who Gerry McQuade and launch CEO of Virgin that the UK arm has been has hired three of his officially became chief Steven Day, all ex-Virgin Mobile and stayed until underperforming.

Music rental market to 700MHz set to outpace ownership model raise billions announced its less than two million in 2007 to Auction 73, the 700MHz for more competition in the Comes With Music platform, nearly 480 million in 2012. spectrum sale, which kicked broadband space. that enables consumers to “India and China represent off in the US in January, raked It is understood that at buy a Nokia device with a year a tremendous opportunity for in over $2.8bn in bids within least one bid has also come of unlimited access to millions the mobile music industry,” the first two rounds. in for the nationwide 10MHz of tracks. And Omnifone said Holden. “Both have The much sought after D-block of spectrum, which launched its subscription- experienced quite remarkable C-block of spectrum drew an is listed as significant item based MusicStation platform. levels of ringtone and ring- offer of $1.24bn, although the for the auction, but also has Windsor Holden “Music rental services such back tone adoption, and as FCC has not revealed details the most aggressive build as those offered by Omnifone more full-track services are of any of the bidders. out requirements of all the The market for are incredibly ‘sticky’, in that deployed, then it is likely A total of 266 companies blocks. The winner of the subscription-based music once consumers have taken that the mobile handset will entered the auction, which is D-block is required to build rental services is estimated the time and effort to build up become the most popular expected to last for around a out a nationwide public safety to reach $3.3bn by 2012, an extensive playlist, they will personal music player in these month and has a total reserve network, which can also eclipsing the market for be increasingly reluctant to and other emerging markets.” of $10.4bn. be shared with commercial paid-for original recordings, unsubscribe from that service Total revenues from original Among those companies carriers. according to industry analyst and from the operator, thereby recordings delivered to the expected to be spending big Frontline Wireless, which Juniper Research. providing a significant boost handset—on both a paid for and bucks are Google Airwaves, had on its board former FCC Juniper said that mobile to ARPU levels,” said Juniper rental basis—are estimated to , AT&T, MetroPCS, chairman Reed Hundt, and subscriptions which offer analyst Windsor Holden. increase from $960m in 2007 Qualcomm, and was seen as the frontrunner unlimited music downloads However, the analyst to $6.1bn in 2012. investment company Vulcan for the public safety block, on a rental basis are expected also expects that as 3G Interestingly, the analyst Spectrum. shut up shop a couple of weeks to surge in popularity over services are rolled out in firm also predicts that the Google has said that it ago. The development raise the next few years, and emerging markets, then full global market for end-user is prepared to spend up to concerns about whether any will provide the majority of track download sales will generated mobile music $4.6bn to secure itself a chunk other company would bid for mobile revenues derived from mushroom, with the volume of revenues will rise from of the spectrum. The web giant the D-block, but those fears original recordings. downloads in the Indian sub- $8.9bn in 2007 to nearly is one of the biggest backers seem to have been allayed for Late last year, Nokia continent alone rising from $17.6bn in 2012. of open access and is calling the time being at least.

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06,08,10,12,14_MC147.indd 10 29/1/08 17:17:21 NEWS february2008

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Telefonica raises interest in China

basic telecoms service Speculation is rife that a was part of the country’s merged Unicom CDMA and Blog commitment to the World Netcom network will roll Trade Organisation, but also out CDMA2000, while China comes ahead of an expected Telecom will launch WCDMA watch change in the Chinese or TD-SCDMA using Unicom’s telecoms landscape this year. GSM network. “Once again we see a The Chinese government Leading carrier China big vendor heralding an is planning to shake up Mobile is widely expected ‘open’ mobile platform, the local telecoms market to commercially introduce which is in fact propri- etary technology that as part of the licensing of the homegrown Chinese- does not support 3G in country. One of the air-interface TD-SCDMA, but standards such as push Spanish carrier Telefonica China—one of the world’s most likely scenarios would analysts are not ruling out the IMAP and SyncML...” has raised its holding in fastest growing mobile see second placed mobile possibility that Chinese fixed line operator, markets—ahead of the operator, China Unicom, will also pursue WCDMA. Carsten Brinkschulte, China Netcom, from five per allocation of 3G licences in split up and sold to fixed-line However, it is likely that on Yahoo’s mobile cent to 7.22 per cent, at a the country. giants China Telecom and the allocation of 3G licences aspirations cost of €309m. In December the Chinese China Netcom. in China, whenever that Reports suggest that in the government lifted geographic Unicom’s operates a GSM happens, will be the only “If you go to Sprint’s future, Telefonica intends to restrictions on foreign and CDMA network and has thing to put an end to the career website, and raise its stake to 10 per cent investment and increased the dedicated engineering teams rumours, as it will likely be search for xohm, it or more. ceiling on asset ownership by for each. So a separation the catalyst for restructuring. doesn’t appear that they A number of overseas overseas companies from 35 of operations could make The Beijing Olympics in are hiring the amount of carriers, Telefonica and per cent to 49 per cent. it easier for Unicom to find August of 2008 are seen to employees they would included, are The opening up of China’s strategic investors for each be an attractive event to need to do anything but taking a strong interest in domestic and international of the businesses. launch 3G services around. trial ‘soft’ launch in small parts of these cities...”

Rudy McGrudy, on Sprint’s plans to launch Bharti Airtel snags NSN IVR WiMAX in April Nokia Siemens Networks has The platforms are HP Engine. It will be ready Nokia Siemens Networks as “The text was “Merry won a pan-India contract Open Call Management commercially by April 2008 our partner in this programme Chrisma”. The mes- from Bharti Airtel for the Platform, Video Gateway, and is expected to scale up to is based on their project sage should have read deployment of an interactive Televoting Application and one billion minutes of usage delivery record,” said Manoj “Merry Christmas” but voice response (IVR) ASR/TTS (Automatic Speech per month in three years. Kohli, president and CEO, there was a bug in the platform. Recognition / Text-to-Speech) “Our decision to select Bharti Airtel Limited. encoding mechanism in the SMSC...”

Chris Horn, on the 25th birthday of the SMS T-Mobile UK gives away wifi access

“Yahoo’s Beta needs UK mobile operator laptops over 3G HSDPA access to wifi costs from population coverage for major repairs. Google, T-Mobile UK has bundled and wifi. £5 for 60 minutes, £10 per 3G services across the however, has by far unlimited wifi access in T-Mobile UK has around month for subscription or country. advanced into mobile with its Web‘n’Walk Plus 1,000 wifi hotspots in the £20 per month for those The operators claim the applications and even the and Max plans. UK in locations like without a T-Mobile phone. deal is the world’s largest Beta products are usually Starting at £12.50 per Starbucks coffee shops, In December, 3 UK and known active 3G network better than Yahoo final month, when connecting airports, main line train T-Mobile said they have sharing agreement and products...” with a Flext mobile stations and service signed an agreement will give both carriers an Asaad Alnajjar, on test- contract, the service stations. to combine their 3G improvement to urban in ing Google and Yahoo’s gives users access to Without T-Mobile’s access networks leading building coverage over the mobile web service the internet using their Web‘n’Walk price plan, to almost complete next two years.

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06,08,10,12,14_MC147.indd 12 29/1/08 17:17:22 NEWS February2008

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New Sprint boss India takes Soma to shakes up management realise WiMAX dream

and CEO of Sprint at the terms of subscriber growth, start of this year, replacing following the 2005 merger of Gary Forsee, who stepped Sprint and Nextel. down in October. William Arendt, currently Now chief fi nancial offi cer senior vice president and Paul Saleh, who had been controller of Sprint, will acting as CEO since Forsee’s serve as acting CFO, while departure, will leave the John Garcia, currently Dan Hesse company, accompanied by senior vice president for chief marketing offi cer, Tim product development and The newly installed chief Kelly, and Mark Angelino, management, will serve as executive at US carrier president of sales and acting marketing offi cer. State-owned Indian operator area reaching more than 200 Sprint Nextel appears keen distribution. Paget Alves, Sprint’s Bharat Sanchar Nigam, Ltd million people over the next to put his own stamp on the The management shake regional president for sales (BSNL) has signed up US WiMAX three years. company. Dan Hesse, the up comes in the wake of and distribution, will serve kit vendor Soma Networks to “India has an immense former head of Sprint’s fi xed shareholder discord as Sprint as acting president for sales deploy what it claims is the need for connectivity across line spin off, Embarq, took fails to keep up with rivals and all will report directly largest WiMAX network in India. a varied and wide-ranging over the reins as president Verizon Wireless and AT&T in to Hesse. The 802.16e-2005 mobile demographic population,” said WiMAX network will be rolled Kuldeep Goyal, chairman and out across three circles, managing director of BSNL. Gujarat, Maharashtra and “After testing, we found Soma Wateen’s WiMAX winner Goa, and Andhra Pradesh Networks’ solution qualifi ed to and will provide broadband meet the requirements of our Motorola has announced businesses and Pakistan’s has given us the opportunity data and voice services to an Vision 2010 mandate.” a contract with Wateen largest enterprises access to be the fi rst to offer Telecom-Pakistan for the to wireless services, from WiMAX 802.16e-based supply of 198,000 end-user basic telephony and fast broadband voice and data WiMAX customer premises internet access to high- services in Pakistan,” said DoCoMo working on equipment (CPE) devices for end data services such as Tariq Malik, chief executive both indoor and outdoor use. virtual private networks offi cer, Wateen Telecom. Complementing Wateen (VPN) for banks and other Wateen Telecom- Android handset Telecom’s nationwide organizations. Pakistan anticipates WiMAX network which is “Motorola’s capabilities a rapid demand for Leading Japanese mobile The two companies intend built using Motorola’s mobile to deliver WiMAX 802.16e residential connections for carrier NTT DoCoMo has to making Google services 802.16e WiMAX and IMS solutions and CPEs ahead of its Motorola-based WiMAX revealed that it is working easier to access through i- solutions, the CPE units will the industry and our early broadband services during with Google on Android- mode handsets, and DoCoMo provide consumers, small adoption of this technology its fi rst year of operation. based handsets for the is to pre-load Google Maps Japanese market. onto upcoming handsets. At a press conference in Google Search will also Tokyo, the Japanese giant be embedded within the Record breaker Zain announced a partnership i-mode search application agreement with the web fi rm with search results Middle Eastern carrier Zain 2007, an increase of 32 per million Iraqna customers, to deliver search services, accompanied by key word has announced that in the cent compared to 2006. acquired on December 31st, mobile advertising and based advertisements using fi scal year 2007 it recorded The consolidated EBITDA 2007), an increase of 56 per potential i-mode applications Google’s AdWords platform. the highest ever net profi ts increased by 25 per cent cent on 2006. to DoCoMo’s customers. The i-mode service in the history of Kuwait’s compared to last year MTC made the headlines There was also a fairly will also get an overhaul private sector history. and reached $2.56bn (KD last year when it paid $6.1bn guarded revelation that to better feature Gmail, The operator, formerly 725.34 million). for the third licence in the two fi rms studying YouTube and Picasa, with known as MTC, recorded Active Customers grew Saudi Arabia. The bid was a the possibility of bringing Google set to appear as the consolidated revenues of impressively and reached world record-breaking bid Android-based handsets to default start-page on the full $5.91bn (KD1.677bn) for 42.4 million (inclusive of three represented $225 per person. the Japanese market. browser.

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06,08,10,12,14_MC147.indd 14 29/1/08 17:17:23