- IN THIS ISSUE:
- * Amazon.com Available via SprintPCS
- * Freeserve Gets Access to BT Cellnet’s Customers - Why Not We?
- * Happened at Technology Outlook Conference
- * Innovative Business Models
We know, Ericsson signed a deal with Microsoft. It will help Microsoft survive a few years longer. Basically I think the deal will be very beneficial for Ericsson. Due to a MISE meeting in Stockholm, I missed the most important conference in SFO this year - Technology Outlook on Pervasive Computing. There Philip Kahn of Motorola had spoken in favor of a business model whereby handhelds will be subsidized by major brands. I completely agree. Below you will find my almost complete sweep through the presenting companies at the event - it took a whole Sunday but it was fun!
AMAZON.COM AVAILABLE VIA SPRINT PCS
It look like Sprint PCS will be the first US operator heading for a success. Last week it added Amazon.com shopping service in its mobile Internet service. This means the service is available and I tried it with my Sprint/Neopoint phone. It is very easy to like the service: with Amazon’s 1-click shopping feature all I need to do is navigate, the actual shopping takes one click. Then I have 90 minutes to add another purchase in the same shipping or cancel the order via web phone, normal phone or on the web with a PC. This thing could be big but there are two inhibitors: 1) the fairly good Neopoint 1000 phone costs $399 to buy and on top of the $9.99 monthly wireless web service I have to pay for the airtime which easily adds up to big money at 30 cents a minute. Both the terminal cost and the airtime cost will certainly be partly absorbed by the retailers if and when this takes off. http://www.wired.com/news/business/0,1367,32979,00.html
Freeserve GETS ACCESS TO BT Cellnet’S CUSTOMERS… WHY NOT WE?
Freeserve PLC, the upstart ISP that leapt to the lead in Internet subscribers by offering the first no-cost Internet access in the UK, announced last week it will connect with BT Cellnet in a partnership to provide wireless Internet services. The announcement was a surprise considering BT Cellnet’s relation to BT, which owns its own group of Internet services, including an ISP, content and shopping services, and a PKI business.
While few details were revealed, the two companies said they plan to offer an evolving package of services, starting with e-mail notification for Freeserve customers using BT Cellnet’s Genie mobile Internet service. Next steps include the ability to send short messaging via a Freeserve portal, and stock trading, sports, entertainment, and travel information in spring 2000.
Both partners in this deal bring something to the table the other party needs: Freeserve boasts 1.5 million account holders, more than half of which it says hold mobile phones, and BT Cellnet itself has 6.5 million mobile phone users on its rolls, as well as more than 300,000 ISP customers. Blending these user bases brings benefits to both Freeserve, which ties itself to a strong mobile phone carrier while positioning itself to exclude BT’s ISP properties from deals with Genie, and BT Cellnet, which gains some of the appeal of being attached to Europe’s best-known ISP. Though this deal is reportedly not exclusive, Freeserve will also get access to a choice segment of BT Cellnet customers, thus enriching its own user base.
HAPPENED AT TECHNOLOGY OUTLOOK CONFERENCE
Technology Outlook 99 was a conference I missed due to an internal meeting in Stockholm. Their focus was on pervasive computing and close to 100 startups were presenting to a VC audience. Here are some of the best (to me) new opportunities judging by their website.
InfoMove.com is a location-based car information portal. The company is based in Seattle, headed by an ex-McCaw executive and with Naveen Jain, the founder of InfoSpace.com, sitting on the Advisory Board. Mark my words, this is a clear winner… 4th Peripheral has software that connects mobile phones Internet and data warehouse content in real time through a proprietary voice agent… Actioneer “smart portal service” is a bit similar to LiveMind, it offers a convenient search interface to preferred web properties. A clear opportunity for mobile e-commerce… Airflash and Sonera will be announcing a live mobile e-commerce service in the UK early 2000. Who will be the operator?… Audesi Technologies is selling a Java-based application development environment for appliances, working with Motorola. They claim to cut TTM considerably. Who will do mobile phones for Disney and Virgin - we or them?… Since we are coming up with an MP3 accessory for mobile phones, maybe we could work with Audible for spoken audio and deliver it to mobile phones, just like Motorola does? It would be natural also from the point of view that Microsoft in an investor in Audible… AvantGO has joined WAP Forum and announced a content transformation engine from HTML to WML. They are also working with the Ericsson GPRS people in Menlo Park… RespondTV has a targeted advertising solution and outsourcing service for WebTV and other interactive TV platforms. Our Internet Advertiser and cable modem people should take notes… Ecutel was founded by two DoD people who seem to have a pretty serious take on Mobile IP… ePhones is another mobile phone webshop. Nokia phones with Disney face plates seem to be a bestseller… Everypath.com is another web content translation technology for non-PC devices, founders are primary from the Silicon Valley Indian community, Sabeer Bhatia, the founder of Hotmail is investing… Geoworks announced a content alliance with Nokia in November and even the stock of this ‘mobile Internet looser’ has surged from $3 to $12 during the last two months. Now their new MobileAttitude portal site seems to have a strong focus on mobile permission marketing. Could this be something?… Maybe I have already written about Unimobile instant messaging platform, they have a strong wireless play and a very advanced user interface. Some Motorola affiliation here, too… GWcom, Inc. is launching byair.com, a wireless web portal. They have a strong focus on the Chinese market and an existing relationship with Ericsson. Strangely though, we have not invested in them… Internet Appliance Network is a full-service house enabling private label online services, including design of Internet appliances. With their partnership with Virgin, this is perhaps the hottest Internet company in New York right now… iReady.com has an Internet-on-a-chip solution together with a iReady.net, a global Internet services provider and device specific portal. This Silicon Valley company has a half-Japanese management and partnerships with Sharp and Seiko… Mobilesys is selling an enterprise mobile information server solution… @Motion is one of the best wireless portal companies. Their corporate philosophy makes sense and they even partner with AirFlash. A company to consider when we need to do something significant in this space… And as I have said before, the myAladdin portal from NeoPoint has all the right partners, does Ericsson have anything as impressive? Hardly… In the mobile Internet industry Siemens seems to be the company who does all the right investments, first Phone.com and now PacketVideo… Pixo and AU-System join forces to develop application for future WAP and GPRS phones. Quite rightly the two companies are preparing for a time where strong consumer brands demand devices manufactured to their specifications… In the MP3 space Rioport.com has signed a deal with Microsoft and Intertrust for secure music delivery to Internet appliances. Ericsson is launching an MP3 player, do we also have a business model for it?… - (To view the embedded hyperlinks, view this section online at http://webacademy.ericsson.se.)
INNOVATIVE BUSINESS MODELS
Internet Appliance Network - Helping Brands Own the Web. http://www.internetappliance.net/
InfoMove - ValueWeb of the World on Wheels. http://www.infomove.com/compOverView.htm
QUICK TAKES - Barpoint.com launched a barcode portal. This will be a big hit in wireless retailing… Wirelessgames.com from the UK is developing games for mobile phones. Now beta-testing. Digital Bridges from Scotland is another one. Most of the people at Ericsson who develop games are British. It must be something in the climate… @motion.com launched an instant messaging solution for mobile phones, looks like the most advanced so far… Media3K will be launching a collaborative media broadcasting service in March 2000, roll your own streaming media ‘morning call’ for $1 per hour… - (To view the embedded hyperlinks, view this section online at http://webacademy.ericsson.se.)
- SELECTED THOUGHTFUL READING - How can a donation portal increase the trustworthiness of charitable activity? Go and visit igive.com for a full disclosure of to whom they give your money… - (go to http://webacademy.ericsson.se for links to stories)
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This is a weekly newsletter describing the non-confidential part of my work during the past week and how I see market evolution affecting Ericsson (as interpreted my me in my role working for LME/DMA in San Francisco as a business developer with a focus on Internet applications and enablers). The report will be published every Monday. For subscriptions go to http://webacademy.ericsson.se/elists.
