Phone Bulletin

Samsung is the latest competitor to step up, sword in hand, to try and slay the mighty Apple. The battlefield is mobile phones and the division lines are as fierce as ever, with the two companies known to be bitter rivals. According to the recent reports of most analysts, Samsung has won the latest battle. In 2011, Samsung shipped over 300 million mobile phones, which is more than Apple in overall sales, though the iPhone still continues to sell more than any individual Samsung device. In overall revenue, Samsung has surpassed Apple, a development that has stunned many in the electronics sector.

Analysts have pointed to the Samsung Galaxy S2 as Apple’s major worry. The S and S2 combined sold more than 10 million units this year. Overall the South Korean electronics company sold 27.8 million handheld devices in the third quarter, compared to Apple’s 17.1. Nokia wound up in third place. How has Samsung creeped up on the mobile giant, whose vaunted iOS has captured the imagination and love of the smartphone world for the last many years? Here are the two major reasons why:

1) Samsung offers a price-variety in its lineup of devices, giving it good sales figures across multiple markets. Whereas Apple is pretty much limited to the iPhone 4 and 4S, $100 and $200 respectively, Samsung has carved a respectable name for itself in several price ranges. Not only does it offer the best alternative to the iPhone in the higher-end market, it offers several excellent devices for purchase in the low-end camp. This bodes well during the holiday season and a tough economic stretch in which consumers are looking for deals where they can find them.

2) Apple devotees are waiting until they can switch to the 4S. Many iPhone users will be upgrading eventually but are waiting for a good deal or company discount. This leaves sales slumping, even during the holiday season. Apple also points to security leaks in the release of the 4S as a reason why users have been a bit slower to make upgrades to their handsets.

Samsung’s next release will see the Galaxy Nexus running off the Android 4.0 Ice Cream Sandwich operating system. Samsung’s partnership with Google has been a major boon for the company, allowing them to brandish a security lock feature that uses the camera’s facial recognition software to unlock the phone. Analysts also claim Samsung’s success testified to the versatility of the Android operating system.

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Phone Wars Heat Up As Holiday Season Approaches

For over a year now, Apple has been engaged in an all-out legal war with its Android competitors. According to Apple, most Android phones have taken numerous features stolen from the iPhone, an act that amounts to patent infringement and should be cause for these competitors to have their products banned. The company has filed lawsuits based on these allegations in courts and agencies around the world. It has battled Samsung in European, Asia, and – most recently – American courtrooms, where judged have repeatedly ruled that Samsung’s products were not illegally stolen. They have, however, forced Samsung to change certain features on its phones in order to avoid court injunctions. The most recent chapter in the battle was decided this past week, when a judge in San Francisco refused to block the sale of the Samsung Galaxy II in the United States.

Although Apple has failed thus far to truly harm its competitors through litigation, that may change this week with a ruling expected from the International Trade Commission (ITC) regarding four alleged patent infringements in HTC phones. Taiwan-based HTC is one of the world’s strongest and fastest-growing smartphone manufactures, with $5 billion in sales in the U.S. in the past year. But Apple claims that this success is based largely on stolen ideas. Specifically, the company believes that HTC has infringed on four Apple patents. While the average smartphone uses thousands of patents, Apple’s claims may severely curtail HTC sales if affirmed in a court of law.

The ITC has been reviewing the Apple-HTC case since the spring. Initially, a staff ruling found that Apple’s patents were not violated by HTC. An agency judge then rejected that position, ruling that two of those patents – one for telephone number detection and another for data transmission – had indeed been infringed upon. A commission is expected to announce the ITC’s final verdict this week.

The ITC is charged with both upholding patent laws and protecting the public interest. While the Smoot-Hawley Tariff allows the agency to fully and immediately ban HTC imports – effectively removing millions of phones from the shelf just before the holiday season – it is more likely that such a measure will not be taken, at least as far as HTC’s 4G phones are concerned. HTC comprises over half of the American market for 4G phones, meaning that the public interest would likely be curtailed if half of these devices were no longer available.

Regardless of the verdict, the ruling stands to have a considerable impact on Apple’s and HTC’s holiday season. It is expected to come later this week, and a ban could theoretically be immediately instituted. Stay tuned.

Shopping on Your Smartphone This Holiday Season

Over the past century and a half, major technological advancements have spurred the rise of consumerism and repeatedly changed the nature of shopping. In the late 1800s, the rise of streetcar lines led to the birth of the department store, which allowed retailers to create a new culture of shopping while offering economies of scale that made price accessible to the middle classes. In the early 1900s, the growth of the catalog allowed people across the country to see, desire, and purchase a distant product, thereby turning merchandise into a national business. And, more recently, shopping centers, outlet malls, and, of course, the internet have continually influenced America’s relationship with retail.

This holiday season, a new such technology stands to enter the mainstream: shopping apps for tablets and smartphones. While these apps have existed in years past, the increased prevalence of smartphones and a greater push on the part of retailers in the past year has led to a situation where, for the first time ever, a holiday shopper can use apps for much of their research. Unlike on a website, where the fun of shopping is often replaced with grids that show pictures of items based on their department, applications strive to provide a more realistic shopping experience. Users can “walk” among items, see what they look like together, create collages, and zoom in on images. They also can flip through virtual catalogs where every picture can link to more information – and more pictures – about a given item.

So how is this technological change going to alter the shopping experience? While it’s too early to say with certainty, here are a few guesses:

-Fewer traditional catalogs. Some retailers have already said they planned to do away with paper catalogs in favor of the digital version, delivered via app.

-24 hour retailers. While consumers have had the ability for years now to shop online at 3am, websites offer few features besides an ability to make a purchase, an action which can be processed electronically and completed the following morning. With some retail apps including interactive, real-time assistance, however, it is only a matter of time before someone offers this feature around the clock.

-Personalization. A couple retailers are already planning to create virtual catalogs that show customers only products in which they might be interested. This move will certainly be welcome by many and criticized by privacy activists. It remains to be seen how gift-buying trends will be incorporated into this personalization.

-Younger demographics. With younger people the ones more often using smartphones and apps, it would come as little surprise if major retailers started catering to them more as sales go increasingly high-tech and virtual.

These are just a few predictions for how shopping applications may influence the industry. So when you hit the mall next month and struggle to navigate among the crowds, just remember: the shopping mall owes its existence to technology and, although this remains to be seen, may owe its downfall to it, too.

In the smartphone world there are a myriad number of indicators that tell us which mobile provider or manufacturer is superior. We can look at the data for phones shipped, devices sold, market share, earnings, and profits. We can compare size, revenues, and cultural power in our bid to find the most successful company in the industry.

Recently, a new indicator of success has emerged: applications. All smartphone, regardless of the manufacturer and operating system, come with access to a unique library of apps. These apps can not only demonstrate the strength of a product, but they can also forecast future changes and growth by telling us where the money is being sent. If large companies are having apps developed more for one operating system over another, or if most enterprising software engineers are focusing their efforts likewise, then this says some about relative product strengths.

Recently, the app battle has been playing out between the two dominant players in the market: Google’s Android and Apple’s iPhone. The numbers suggest that, even though the Android has surpassed the iPhone when it comes to market share, Apple’s product still reigns supreme, at least as far as the app indicator goes. Since the launch of Apple’s App store, the iPhone has had app sales and download numbers that far surpass Android. Even though Apple is more discerning when accepting apps to its store, it wins by tremendous margins in every key category – average price, total number of apps downloaded, and total revenue from apps sold.

Coming in at third in the application battle is the Windows Phone, which has seen its sale, creation, and downloads of apps skyrocket in recent months. Microsoft estimates that the Windows Phone Marketplace will surpass 50,000 apps by January after hitting 40,000 only this month.

The growth stands as a testament to the current successes – and future potential – of the Windows Phone operating system. It has surpassed RIM’s BlackBerry OS, it has entered into a partnership with Nokia after the latter abandoned its Symbian operating system, and it recently unveiled the “Mango” update that has been well-received by critics.

But, despite all these successes, the growth in its app marketplace truly reflects the Windows Phone’s arrival as a major and lasting player in the industry. The growing number of apps means, after all, that developers are increasingly being drawn to the system – and that they believe it has a long term future. Furthermore, of course, the marketplace wouldn’t be gaining apps this quickly if the device wasn’t enjoying strong sales.

Evaluating mobile companies based on the number of apps they offer can surely overlook many other important indicators. Regardless, when it comes to the Windows Phone, it’s hard to interpret the growth in apps as anything besides a positive and noteworthy trend.

Samsung Passes Apple as Top Smartphone Seller

Quarterly figures released this week have revealed some interesting – although not altogether surprising – news: according to Samsung and to market analysts, the phone company shipped more smartphones than Apple this past quarter. Samsung shipped 27.8 million smartphones during this time, which equates with 23.8 percent of the market, compared to Apple’s 17.1 million shipments for 14.6 percent of the market.

There are several factors that can explain Samsung’s tremendous current success. First of all, the company has been noted for its quality by consumers and technology experts. With sleek, appealing designs, the most advanced Android features, and a line of brands that appeal to all demographics – whether wealthy, low budget, high tech, or utilitarian – Samsung’s wide appeal and consequent success directly relates back to the quality of its phones.

But Apple’s phones are of no less quality, which brings us to the most probable cause for Samsung’s recent rise: its global penetration. The global smartphone market has grown 44 percent in just one year, meaning that there are 117 units in use worldwide. The biggest growth occurred in regions where Apple’s omnipotence is less guaranteed and in demographics that can’t necessarily afford the most expensive phones on the market. By appealing to these areas and these people, Samsung has positioned itself to take advantage of the current smartphone boom.

The battle between Samsung and Apple for shipment figures is fitting, considering that the two companies have already spent most of the year fighting in court. Most recently, Apple filed a lawsuit claiming that Samsung copied the iPhone and iPad in developing its Galaxy device. Samsung, in turn, has filed counter-lawsuits against Apple, and this legal feud appears to have no end in sight.

That legal feud may be the more substantial one in the first place. After all, alongside the news of Samsung’s quarterly supremacy are warnings from many commentators that this development should be taken with a grain of salt. The most recent quarter did not include Apple’s release of the iPhone 4S, meaning that shipments dropped off because many consumers were waiting for its arrival and that sales should easily pick up in Apple’s next quarterly report. Furthermore, even though Samsung ships more phones, Apple enjoys better margins and better profits.

Ultimately, it appears as though the jury is still out – in both the court and the marketplace. At this point, all we know with certainty is that the competition between Apple and Samsung will likely benefit consumers with some excellent new smartphone options in the year to come.

(photo credit: JD Hancock)

Smartphones have become so prevalent in our society that we don’t even question getting them anymore. We obsess over whether to get an iPhone or an Android, sure. We spend sleepless nights wondering whether we should upgrade to the hot new product or keep the fully functioning one we already have. We buy unlimited data plans and buy the newest mobile apps. But we never question whether we should have a smartphone in the first place.

Of course, for most people, even stopping to think about that question would have no impact on their smartphone-infused world. They use their smartphone on the go, at the office, in the kitchen – of course they need it.

But for others out there, even if they comprise a shrinking minority of the mobile market, that smartphone they own does more harm than good. If you think you may be one of these people, ask yourself the following questions:

Do I Need the Features?

This is certainly a prime question to ask yourself. Think about it: do you find that you use streaming data only because you pay for it, or do you pay for it because you actually need and desire the kind of web access a smartphone provides? Do you live and die by your apps and other advanced features, or do you just use them out of convenience? Ultimately, you want to gauge how attached you are to the perks of a smartphone. Those of us who use phones mainly to text and make calls are good candidates for a downgrade. If the marriage has gone cold, it may be high time to recognize and admit that fact.

Would I Like to be More Cost Conscious?

There’s no question about it: if you own a smartphone, you aren’t taking the most cost-effective approach to your communication technology. With no data plan requirement, lower initial purchase fees, and the option to take advantage of cheap prepaid rates, traditional mobile phones offer plenty of cost benefits over their high-tech brethren. If money is tight, and you’re looking for places to cut back, a glance into your pocket may be a good place to start.

Does the Smartphone Sap My Time?

We like technology when it makes our lives easier or more enjoyable. Smartphones can have both of those effects, but it doesn’t happen for every smartphone owner. On a day to day basis, maybe you spend time on your smartphone that could be better spent relaxing or working out. On a year to year basis, perhaps you exert considerable time and effort dealing with broken phones and upgrading to new ones. With a traditional device you can, in a way, get out of this rat race. These kinds of phones are usually more durable and also more innocuous – a good combination for many of us.

While all kinds of phones have their own benefits and should be judged on their merits and on your individual needs, buying or keeping a smartphone need not be an expectation in today’s world. Ask yourself whether you really need a smartphone. You just might be a member of a shrinking demographic.

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(credit: torugatoru)

With the introduction of the Siri iPhone app earlier this month, smartphone technology took a seemingly small step that will be remembered as a giant leap for humankind. For the first time ever, at least practically, consumers have access to speech-recognizing personal assistant software that can process a seemingly endless series of commands, questions, and even sly pop culture references. We can safely say we’ve arrived into the age of artificial intelligence – at least the most basic form of consumer use for it. But as far as smartphone technology goes – and that technology’s potential – Siri is only the beginning in a list of capabilities that seem straight out of science fiction.

For instance, Swiss researchers have recently found a way to monitor the heart through the smartphone. By connecting four non-invasive electrode sensors attached to the body into the headphone jack, smartphones can monitor heart activity and provide an individual with real-time health data. This data can in-turn be sent to the appropriate medical professional if necessary. It’s an astounding piece of technology that only signals the start of what is certain to become a way for virtually anyone to someday have their entire biometrics constantly monitored through a communications device which can alert emergency personnel in the event of injury or illness. Trekkies out there will recognize this as a key component of the uniforms worn by the members of the Starship Enterprise.

On the slightly spookier side of things, a research team at Georgia Tech recently found a way to deduce what someone is typing through the iPhone 4 accelerometer, which measures vibrations in the air and is a component of every smartphone on the market. The remarkable formula they found is 80% accurate, and uses a system of processing two keystrokes at a time to hone in on the particular vibrations given off by certain chains of keys pressed. They say it’s a bit too complex for your average identity thief, but a clever hacker could easily use this system to break into the phone of an employee of a major corporation and record keystrokes, waiting for passwords and other information to be uncovered.

Smartphones are turning more and more into pocket-sized computers. But more than that, they’re encapsulating technological trends that are occurring as we speak. While the first several generations of smartphones were indeed and are indeed mostly inspired by the hardware and software of most personal computers, it’s the mobile devices themselves that are the first in line to receive the latest in technological breakthroughs. But with that role in innovation comes a risk of manipulation, as malicious-minded people will always be eager to take advantage of the latest technology. Even if you aren’t using Siri, always remember to ask the right questions when operating the latest in personal technology.

(credit: Incase)

1984 was the year Apple released the Macintosh and changed personal computing forever. They capitalized on the device’s inaugural year by creating a Hollywood-grade television advertisement inspired by George Orwell’s masterpiece “1984”, in which a woman wearing an Apple logo being chased by the novel’s Thought Police hurls an Olympian hammer into the projection of the propaganda-spouting Big Brother. The commercial’s message was obvious: the personal computer experience was no longer going to be based on the priorities of bottom line-minded manufacturer moguls. Apple was going to offer the public a computer designed to their wants and needs.

Apple Computer has come quite a long way since 1984. Steve Jobs launched it, was fired from it, returned to it, and most recently left again for good. During that time he led the efforts to create such revolutionary products as the iMac G3, iPod, iPhone, and iPad. The company as a collective is responsible for where personal computing technology is today, and nothing reflects that more than the fact that it’s the second most valued company in the world.

That success, per the Jobs playbook, had been at the cost of individual designer freedom and most important of all, absolute secrecy. Seriously, when it came to the next big steps and the next big decisions, Steve Jobs was adamant about Apple’s motives remaining as unknowable as those of a chess grandmaster. It kept them one step ahead of the enemy in every way imaginable. Jobs, the ruthless genius that he was, always knew how important that secrecy was. At the end of the day, the freedom of expression the Apple experience offered to the public was at the expense of the freedom of expression of Apple employees. Nothing they said or did could ever compromise the secrecy of their projects.

So now there’s this lost iPhone 5 prototype left at a Frisco bar. As you know this same exact event happened last year and is being dealt in a similar way: Apple is the primary investigator of the theft. This was highlighted by the San Francisco Police Department’s admission that they never received a report about an iPhone gone missing at that bad. As it turns out the department’s press team wasn’t alerted that the police were “assisting” Apple with the investigation into who took the iPhone prototype.

So Apple, by-way of police assistance, is currently conducting searches in residences they suspect the iPhone 5 may be being held. The evidence linking these locations was both incriminating and Apple’s to have first before the police: in-phone GPS tracking. The phone was not recovered at the location search, however the inhabitant told investigators he was at the bar the iPhone was last seen the night it went missing.

It’s a testament to how much the Steve Jobs way of doing things remains the core of Apple Computer. Essentially, they aren’t messing around with the confidentiality of the latest iPhone release, which may or may not hit shelves next month. It’s classic Jobs in spirit, as he personally called the possessor of last year’s stolen iPhone 4 prototype asking for it to be brought back to Apple headquarters. In the two weeks since he left his post as CEO, Jobs still holds a presence over the company’s actions even if he isn’t there to execute them himself.

Apple continues to represent personal computing freedom. They accomplish this by preserving secrecy through private police action.

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