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NEC conducts trial of LTE with Telefonica

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NEC announced today that it has successfully carried out LTE laboratory trials with Telefonica, one of Europe's largest telecom carriers with operations in more than 20 countries worldwide.

The trial took place between February and March 2010, at Telefonica de Argentina, member of the Telefonica group. NEC provided Telefonica de Argentina labs with a total LTE network system that consisted of core network systems and wireless base stations. Approximately 100 test items requested by Telefonica were achieved while under a 20MHz bandwidth, including a maximum throughput of 145Mbps while connecting with a simulator device. The trials are also said to have achieved a maximum throughput of 95Mbps using an actual LTE terminal.

As a result of the trials, NEC is also planning to participate in future Telefonica field trials, and NEC says it is aiming to increase performance and enhance the functionality of LTE systems that support next generation communications systems.

Shopping by mobile creates $8bn opportunity for mobile advertising and coupons, claims report

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A new report from Juniper Research has found that the mobile marketing and retail sector (comprising mobile advertising, coupons and smart posters) will exceed $8 billion by 2012 globally.

The ‘Mobile Marketing and Retail Strategies' report found that Retailers were already starting to exploit the mobile channel through advertising campaigns on the handset and by issuing money-off coupons. The market for these two activities alone is forecast grow by half in the next two years.

According to report co-author Howard Wilcox, "Our research and interviews showed that location aware technologies will play a key part. Companies like Google and IBM are seeking to exploit the knowledge of where users are located to enable retailers to offer in store shoppers a rich set of capabilities such as personalised special offers. As a result we're forecasting the mobile coupons market to double to exceed $4 billion in 2012. "

At a recent mobile industry event, CTIA Wireless 2010, more than 20 percent of the show's attendees were said to come from the retail space, showing that retailers were beginning to latch on to the potential of the mobile channel.

Whilst the mobile advertising and mobile coupons markets will reach similar sizes, Juniper believes that smart posters (which users can tap to obtain product information) will remain a niche sector within the overall market until NFC (Near Field Communications) capable devices are more widely used.

The report also warns however that failure to use targeted, location based advertising, particularly SMS advertising, may cause mobile users to regard such advertising as little better than spam.  The report recommends that brands and retailers should consider geotagging their products and locations.

Further findings include:

  • Western Europe forecast to nearly treble in size between 2010 and 2014
  • Brands, retailers and merchants should use clever, engaging apps, which can be far more effective

Nexus One launches on Vodafone UK

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From today, Vodafone UK customers can order the Nexus One, the new 'superphone' from Google. Vodafone is the first European mobile operator to offer Nexus One.

Customers who pre-order online will be the first to get a Nexus One for free on a £35 monthly price plan (24 month), on April 30. The Nexus One will also be available via Vodafone stores and telesales, with Vodafone providing direct support to customers with the superphone when they need it.

Nexus One will be available on a range of Vodafone price plans, on both 18 and 24 month contracts.  Price plans start from £25 a month on a 24 month contract.

Vodafone UK customers with the Nexus One can use up to 1GB of mobile data as part of their price plan as well as take advantage of unlimited access to Wi-Fi in the home and free, publicly available services throughout the country.  Customers using Wi-Fi can also use an additional 1GB of data at premium BT Openzone hotspots throughout the UK.

Mass market mobile broadband now a reality, says GSA

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The Global mobile Suppliers Association (GSA) has released a new set of reports which are said confirm the march of mobile broadband into the global mainstream.

The path to mobile broadband began with 3G/WCDMA, which is now commercially available on 347 networks in 144 countries. Its first evolution, High Speed Packet Access (HSPA), boosts capacity and user data speeds. HSPA has now been deployed and commercially launched on 341 networks, i.e. by over 98% of WCDMA operators.

The GSA says 2,349 HSPA user devices have been launched by more than 230 suppliers, with 610 devices announced in the last 6 months alone. In the notebooks and netbooks segment, 432 products are equipped with HSPA embedded as standard or optional, and 10 HSPA-enabled e-book readers are launched. There are now almost 1,000 models of HSPA-enabled phones on the market, with smartphones being the key growth segment. Excluding notebooks and e-book readers, the number of HSPA devices which incorporate WiFi has increased 44% since October 2009, and the number with navigation functionality grew by a similar amount.

For the uplink, the number of HSUPA devices has exploded by 77% since October 2009 with 609 products now launched. 100 HSUPA networks have commercially launched in 53 countries.

Further improvements in data speed, capacity and performance come with Evolved HSPA, i.e. HSPA+. In a global industry survey organized in 2009 by GSA, most respondents believed that HSPA+ mobile broadband technology would enter the mainstream during 2010. The new reports confirm that this expectation is rapidly becoming reality. 103 operators in 51 countries have committed to HSPA+ network deployments.  52 HSPA+ systems are now in commercial service in 32 countries. Most support a peak downlink data speed of 21 Mbps, with 6 networks supporting 28 Mbps or higher. A further 51 HSPA+ networks are in deployment or planned. GSA expects that 90 HSPA+ systems will be in commercial service by end 2010.

Device capabilities have improved to support the rapidly evolving networks. Excluding notebooks and e-book readers, more than 1,000 devices support peak downlink data speeds of 7.2 Mbps or higher. Forty two HSPA+ devices have been announced by 11 suppliers.

HSPA+ itself has a strong evolution path, says the GSA. Several networks will support 42 Mbps peak downlink capabilities this year. This is achieved by combining 64QAM modulation and doubling the bandwidth, i.e. by deploying dual carriers (2 x 5 MHz = 10 MHz). These systems are called DC-HSPA, and this capability was introduced in the 3GPP Release 8 standard. The specifications also enable 42 Mbps to be achieved by combining 2 x 2 MIMO technology and 64 QAM modulation in a single 5 MHz carrier. The uplink can be doubled to 11.5 Mbps peak by using 16QAM modulation instead of QPSK. Release 9 (which is being standardized now) will combine multicarrier and MIMO technologies in 10 MHz carrier bandwidth to deliver 84 Mbps peak on the downlink. Using multicarrier on the uplink can double the peak rate to 23 Mbps. Further steps beyond that are envisaged in standardization beyond Release 9.

GSA also confirms the rapidly expanding eco-system for deploying HSPA systems in lower (below 1 GHz) spectrum. For example, there are now 321 HSPA devices (UMTS900) to support the wave of operators now deploying or planning networks in 900 MHz spectrum, which is being liberalized in many markets including throughout Europe to enable mobile broadband services to be deployed alongside GSM voice services.

LTE is the main direction for the industry. There are now 64 firm LTE network commitments in 31 countries, with a further 24 technology trials underway around the globe. GSA anticipates that the number of commercial LTE networks will increase steadily to reach 22 networks launched by the end of 2010, says GSA.

Mobile TeleSystems signs with Nokia Siemens Networks

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Mobile TeleSystems (MTS) has become the first Russian operator to outsource its network operations, in a deal with Nokia Siemens Networks. The company is aimimg to reduce its overall costs while increasing organizational flexibility, transparency and the predictability of its operational expenses. With this managed services agreement, MTS will be able to simplify its overall network operations model, which is especially important with the rollout of 3G services for millions of subscribers in Russia's central region.

Mobile TeleSystems will outsource the daily operation and maintenance of its entire mobile network across Central Russia to Nokia Siemens Networks as part of a five-year managed services deal. Under the terms of the contract, MTS will transfer around 250 employees to Nokia Siemens Networks.

"Entering into a managed service agreement with Nokia Siemens Networks will allow MTS to substantially optimize network operations and increase efficiency while keeping service experience high for our customer base", commented Aleksander Popovsky, director of MTS Russia. "While managed services projects have already proved their efficiency worldwide, in Russia the experience of such project implementation will be unique and innovative. That is why we'll attentively follow up the progress in its development under local conditions. In the future this will allow us to make the decision on introducing this approach to other regions."

"Our managed services offering enables our customers to simplify their operations and focus on their core business while they delegate daily operations to us," commented Ashish Chowdhary, head of Global Services at Nokia Siemens Networks. "We are especially excited about this deal since it not only confirms our services leadership in the region, but is another example of the growing trend among major mobile and fixed operators to explore this dynamic outsourcing model."

NeoMedia boss says future still bright

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“Inconceivable” that investor will withdraw just as market accelerates

2D barcode company NeoMedia is currently only funded until the end of April, with no guarantee of future funds, but it faces a bright future as the 2D barcode market is set for major growth, according to CEO Iain McCready.

McCready said that investor Yorkville Advisors (YA) has until now provided funding on a “month by month” basis, but further funding has not yet materialised. So far YA has invested $50 million in NeoMedia since 2006. Earlier this year YA was given a 52% voting share in the company, as part of a deal which saw it provide a further $2.5 million in funds to the company.

NeoMedia struck license deals in 2009 with Mobile Tag, BEMS, Scanbuy and NeuStar, and in 2010 with Mobiento and MORE Mobile Relations, two Swedish companies. It also has an agreement to load NeoMedia’s reader in Sony Ericsson phones.

Yet despite these developments, a recent filing by NeoMedia to the SEC warned about the company’s ability to continue as a going concern.

The March 10k filing said:
The items discussed above raise substantial doubts about our ability to continue as a going concern.
We do not have any commitments to receive capital, and we need to raise additional funds in order to continue our operations.
We currently do not have sufficient cash to sustain us for the next twelve months.
Should YA Global choose not to provide us with continued capital financing, as they have in the past, or if we do not find alternative sources of financing to fund our operations, or if we are unable to generate significant product revenues, we only have sufficient funds to sustain our current operations through approximately April 30, 2010.

Not much, apart from the announcement of the Swedish deal, appears to have changed since then, despite evidence of the general market moving towards greater usage of 2D barcodes.

But McCready insisted that it would be “inconceivable” that after its $50 million investment to date, Yorkville would cease to invest just as NeoMedia sees “tremendous acceleration in the marketplace” and “as it stands so close to its goals“.

“Like so many Investors Yorkville had to face the challenges of the last years’ financial melt-down, but they have weathered that storm and continued to support NeoMedia,” McCready said. “If you look at any of our filings for the last few years you will see exactly the same language, including the going concern statements.”

McCready added that although the company lost $67.4 million in 2009, and $8.0 million in 2008, “the vast majority of the losses are non-cash charges resulting from ultra-complex and volatile derivative accounting issues”.

The SEC filing made on 26 March 2010 said that the company had an accumulated deficit of $277.0 million and a working capital deficit of $124.6 million as of December 31, 2009. It valued its assets at just under $9.5 million and its liabilities at $125.5 million.

In a briefing with Mobile Europe, McCready said that he believed that the market was looking positive. The licensing deals and the handset deal with Sony Ericsson are evidence that there is movement in the mobile 2D bardcode space, he said. The BEMS deal means the reader will be on all Telefonica phones in 13 Latin American countries. And Sony Ericsson has committed to pre-installing the application on some of its phones. App stores also offer a further opportunity – for example, NeoMedia is a top five download on Sony Ericsson’s application store, McCready said.

One major frustration for McCready has been with mobile operators. In November 2008 McCready held out great hope for the mobile operator market, telling Mobile Europe that operators had 2D barcode implementation high up their “to-do lists”. McCready agreed that two years ago mobile operators were a key target for NeoMedia, but “not any more.” Even though NeoMedia has offered operators a free platform, he said, with a revenue share deal for any earnings, they still haven’t had any takers. “I just don’t think they get it,” he said. “They are in major danger of Facebook, Google and GS1 eating their lunch.”

There is a possibility that may change through NeoMedia’s licensing deal with NeuStar, under which NeuStar aims to sublicense NeoMedia’s technology to operators and other partners. NeuStar launched a mobile barcode clearing house concept at Mobile World Congress this year.

Other companies too have said that the market is picking up. “In recent months, Panorama, la Repubblica and Wired have run 2D barcode campaigns in Italy and we have been seeing, through the i-nigma platform, thousands of daily scans from these campaigns already,” Ofer Lev, VP Products and Marketing, 3GVision, said.

3G Vision recently signed a deal with partnership with Vidiemme Consulting, a digital web marketing company in Italy.

 

 

 

 

 

 

 

Reduce your roaming revenue losses

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Roaming assurance product launch from Tektronix

Network intelligence company Tektronix has launched a roaming assurance tool designed to enable operators to make sure they aren’t losing roaming revenues because of network or service performance issues.

Keith Cobler, Marketing Manager at Tektronix, said that the company has applied its network intelligence tools – probes, correlation software and analysis – to the mobile roaming area to create its Roaming and Interconnect Assurance (RIA) system.

The business case Cobler makes for the RIA is that with roaming revenues under threat from legislation, and the complexity of services and level of service use increasing, operators need tools that enable them to monitor and manage service levels for elements in both the home and visited network.

Tektronix’s system is designed to sit on the interfaces between the IP, SS7 and GRX (GPRS Exchange) carriers and home network elements such as the GMSC, GGSN and HLR. Cobler said that that allowed monitoring of both the home and the visited network – as performance could be affected by events on either network, or with the interconnect carrier.

Tektronix has developed “dozens” of use cases, according to Cobler. One that Mobile Europe saw was to use network information to ensure that roaming was being optimally routed. Tektronix’s system allows information to be presented in terms of billable minutes, availability as well as accessibility. In this way carriers can work out which roaming partner would be the highest generator of revenues – and strategically re-route roaming traffic.

Another use case is to analyse the reasons for poor service performance when data performance could be affected by performance in multiple domains. The Roaming and Interconnect Assurance product can be used to assess KIPs for SLAs across these domains. Cobler said the service can also prevent revenue leakage by identifying specific roaming and interconnect issues.

Tektronix’s tool, which is GRQ compliant, is one of a number of approaches to roaming assurance. You can register for a free webinar on these issues here, hosted by Keith Dyer, editor of Mobile Europe.

Research predicts 894 million mobile banking users by 2015

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According to a new research report by Berg Insight, the worldwide number of users of mobile banking and related services is forecasted to grow from 55 million users in 2009 at a compound annual growth rate (CAGR) of 59.2 percent to reach 894 million users in 2015.

Over the past year many of the leading players in both the telecom industry and the financial sector have intensified their efforts to bring financial services to the world's unbanked population, says Berg, and Asia-Pacific is expected to become the most important regional market, accounting for more than half of the total user base. Mobile banking is also anticipated to play a key role in bringing financial services to people in the Middle East and Africa. In Europe and North America, the technology will mainly serve as an extension of existing online banks as mobile handsets become more widely used for Internet access, the reseach states. By 2015, Berg Insight forecasts that mobile banking will attract 115 million users in Europe and 86 million users in North America.

"The global number of mobile banking users more than doubled between 2008 and 2009, and is expected to almost double again in 2010. Mobile handsets are in an excellent position to become the primary digital channel for providers of banking and related financial services on emerging markets," said Marcus Persson, Telecom Analyst, Berg Insight. "People who sign up for their first mobile subscription today will likely open their first bank account in the coming years and thus join the modern financial system. Mobile operators can play a vital role in this development and will have the opportunity to take an active part in the creation of some of tomorrow's most important financial institutions based in Asia and Africa."

In addition to traditional retail banking, the report also identifies international money transfer as an important revenue source for mobile industry players. Berg Insight forecasts that 3-15 percent of the international money transfers currently handled by various formal or informal agent networks will be carried out using a mobile handset by 2015, generating US$ 1.2-6.2 billion in service revenues.

Vodafone launches mobile recording service

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Vodafone Global Enterprise, the Vodafone business providing managed communication solutions and services to multinational enterprise customers, has announced the launch of a new service to enable regulated financial firms to record all incoming and outgoing mobile calls and texts, as new regulations on compliance loom.

The solution will significantly enhance governance, business continuity and risk management processes. The launch comes as the Financial Services Authority (FSA) in the UK reviews the need to record mobile phone calls and texts made by employees of regulated companies from business devices to improve governance procedures.

The solution – Vodafone Mobile Recording – enables regulated companies to record and archive mobile conversations, voicemails and text messages to protect against losses from disputes, support mobile working practices, and deliver improved compliance and risk management capabilities. It will be made available across Europe.

Although financial companies commonly record calls on fixed lines as part of their regulatory requirements, mobile calls and texts have, until now, been exempt due to the technical complexity involved.

Vodafone Mobile Recording is said to provide a simple and cost effective way of recording relevant conversations, as users simply make or receive calls and send or receive text messages, in the same manner as they do today. The solution routes all inbound and outbound voice calls through the company's existing in-house voice recording platforms, using a client application on the user's handset, supported by resilient servers based on the customer's premises. This enables managers to search both archived fixed and mobile calls on the same system.  In this way, all recorded data is retained by the company within its own secure environment to protect confidentiality as well as employees' privacy.

Additionally, the solution records all text message communications and Vodafone will look to enable the recording of other mobile communication formats as the solution evolves.

"In the finance sector, employees are increasingly using mobile rather than fixed line handsets due to a significant rise in the adoption of flexible working practices. Factors such as the travel disruption caused by the volcanic ash have given this trend added momentum as workers stranded in remote locations seek to work to the same high standards of compliance and governance," said Nick Jeffery, Chief Executive of Vodafone Global Enterprise. "The Vodafone Mobile Recording solution helps financial institutions to meet key compliance and risk management objectives and demonstrates Vodafone Global Enterprise's commitment to innovation in this sector."

The Vodafone Mobile Recording solution is expected to help firms more speedily resolve any disputes arising from transactions performed while using mobile communications, and satisfy demands from regulators who are proposing to bring mobile communications under the same rules as fixed line communications.

The EU's Markets in Financial Instruments Directive (MiFID), which came into effect in November 2007 called for the recording of fixed line calls for regulated firms, in order to help detect and deter market abuse. The UK's FSA has launched a consultation into whether the scope of such recording should be widened to include the recording of mobile phone calls and SMS. The EU is also assessing compliance requirements for regulated companies under its MiFID review.

Nokia Siemens Networks begins production of LTE equipment for 800 MHz spectrum

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Ahead of the digital dividend spectrum auction currently underway in Germany, Nokia Siemens Networks has begun production of its LTE-ready Flexi Multiradio Base Station radio frequency modules for 800 MHz. The 800 MHz frequency band is particularly attractive for deployment in rural areas due to its greater reach, enabling operators to meet their mobile broadband access targets cost efficiently.

"As countries switch from analog to digital TV, they are freeing up spectrum that can be used for mobile networks," said Thorsten Robrecht, head of LTE product management, Nokia Siemens Networks. "Most countries in Europe, and several in the Middle East, Africa and Asia, are evaluating this frequency band for LTE deployments. Recognizing the opportunity that this digital dividend presents for operators, we have stayed on top of this development and have now started producing base stations that operate in the 800 MHz band, with commercial deployments targeted for the second half of 2010."

The longer range of the 800 MHz band allows operators to cover a given area with fewer sites, as compared to higher frequencies. Operators deploying LTE in 800 MHz can easily achieve the same coverage as GSM (900 MHz) networks using their existing base station sites, allowing them to take a big step towards the vision of providing universal broadband.

Seeing its potential to cost-efficiently cover rural areas, as well as improve indoor penetration in towns and cities, industry stakeholders and regulators at the World Radio Conference 2007 agreed to assign the 800 MHz band for mobile broadband communication. Germany is currently in the midst of auctioning the available spectrum to operators, and more countries are expected to follow suit.

Nokia Siemens Networks successfully tested LTE technology for 800 MHz last year at its R&D centers in Ulm, Germany, and Oulu, Finland, using the Flexi Multiradio Base Station.

The Flexi Multiradio Base Station is claimed to be the most compact and energy-efficient LTE base station on the market. Deliveries started in September 2008 and today are used by a majority of Nokia Siemens Networks' WCDMA customers. Its unique design consists of a common system module (which works with all frequency bands) and a radio frequency (RF) module for the particular frequency used in the network. The RF module for the 800 MHz version is now under production, and the Flexi Multiradio Base Station supports GSM/EDGE, WCDMA/HSPA and LTE.

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