DigiTimes is reporting that orders for CDMA iPhone 4 units assembled by Pegatron have been cut in half — with only 5 million devices being manufactured in the initial 2011 order, down from 10 million units. Pegatron just this week reported a net loss of $19 million for the first quarter of 2011, which is a historical low. Over 3 million CDMA iPhone 4 handsets have been manufactured and shipped, and it looks like Apple is comfortable with selling around 1 million CDMA iPhones a quarter — until the much-rumored dual CDMA/GSM iPhone 5 is available in September. More →
According to Peter Kafka over at All Things D, Apple’s presumed cloud-based music service will not be all that dissimilar from Amazon’s. The report details that Apple, like Amazon, will allow iTunes users to store newly purchased tracks and already-owned digital music in an online locker. Unlike Amazon, however, the Cupertino company is looking for deals with major record labels.“They’ve been very aggressive and thoughtful about it,” said an industry executive speaking with Kafka. “It feels like they want to go pretty soon.” The report also notes that the industry buy-in and licensing will allow Apple to store a single, master copy of a digital music file on its services and share that file with authorized users — making the company’s storage schema much more streamlined. Amazon’s Cloud Drive implementation is based on its S3 storage service and functions more like a cloud-based hard drive — every time a user buys a track it’s uploaded to that specific users online locker. “Sources tell me that Apple has already procured deals from at least two of the big four labels (Universal Music Group, Warner Music Group, Sony and EMI) within the last two months,” writes Kafka. “One source tells me Apple content boss Eddy Cue will be in New York tomorrow to try to finalize remaining deals.” Apple has some experience with cloud-based services as it has offered its MobileMe service — formerly iTools and .Mac — since early 2000.
UPDATE: CNET is now reporting that Apple and Warner Music Group reached a deal this afternoon: “Apple has an agreement with Warner Music Group to offer the record label’s tracks on iTunes’ upcoming cloud-music service.” More →
Greenpeace recently released a report titled How dirty is your data: A look at the energy choices that power cloud computing, which graded Amazon, Akamai, Apple, Facebook, Google, HP, IBM, Microsoft, Twitter, and Yahoo across three “green” categories: transparency, infrastructure siting, and mitigating strategy. While Greenpeace offered some praise to the Cupertino-based company for improving transparency and its efforts to move towards cleaner energy, it failed Apple in the “infrastructure siting,” category for choosing to build its new $1 billion iDataCenter — which requires enough energy to power 80,000 U.S. homes – in North Carolina.
“Apple’s decision to locate its iDataCenter in North Carolina, which has an electrical grid among the dirtiest in the country (61% coal, 31% nuclear) indicates a lack of a corporate commitment to clean energy supply for its cloud operations. The fact that the alternative location for Apple’s iDataCenter was Virginia, where electricity also comes from very dirty sources, is an indication that, in addition to tax incentives, access to inexpensive energy, regardless of its source, is a key driver in Apple’s site selection.”
Hit the jump for more, as well as the official report card. More →
According to a report filed by Reuters, Apple will edge out Google in the race to provide users with a cloud music service. “Apple’s plans will allow iTunes customers to store their songs on a remote server, and then access them from wherever they have an Internet connection,” writes Reuters, citing two people familiar with Apple’s plans. The article goes on to cite a source familiar with Google’s cloud music plans, simply saying that the venture has stalled. “Apple has not told its music partners of when it intends to introduce its music locker,” the report continues. It has been widely rumored that Apple’s new North Carolina data center will be the bit-locker and heart of this new music venture. Apple declined Reuters request for comment. More →
Can’t say we all didn’t see this one coming. According to a new report from the Internet Advertising Bureau (IAB), annual revenue for Internet advertising surpassed newspaper ad revenues for the first time in 2010. The IAB said the record breaking $26 billion in ad revenue last year was up 15% from the $22.66 billion reported in 2009. Search remains the biggest category in online ads and represented 45% of all revenues during the fourth quarter of 2010, but the IAB says display/banner ads are growing the fastest. Retail outlets were the biggest spenders during 2010, followed by telecom services, banks, and auto manufacturers. More →
Budget Android handsets are poised to takeoff in 2011, a new report from Digitimes suggests. The firm states that it expects 20 million to 25 million entry-level Android handsets – defined as devices priced below $150 – will be sold globally in 2011. That figure is up from the 2.5 million to 3 million that were sold in 2010. Digitimes suggests that chips designed in China and Taiwan will drive white box OEMs to create budget-conscious handsets that will be attractive in emerging markets. An estimated 10 million to 13 million of those handsets are expected to be sold in China alone. Digitimes is known for having a mixed track record, but we do know that Android handsets — such as LG’s Optimus — were priced in the $100 range on many U.S. carriers. Similarly, last night Boost Mobile announced its new $179.99 Samsung Galaxy Prevail handset, which will be an attractive option for prepaid buyers. More →
According to Bloomberg’s Dina Bass, Microsoft will discontinue selling its Zune music player sometime this year. Launched in 2006, the Zune was Microsoft’s response to Apple’s iPod music player and offered us our first look at the Metro UI — the user interface now present on Windows Phone devices. According to Bass, the company will refocus its efforts on the Zune software; working to improve its functionality and usefulness on devices running Microsoft’s new mobile operating system. Microsoft declined to directly comment on the device’s future. “We have nothing to announce about another Zune device,” said a company spokesperson. “Our long-term strategy focuses on the strength of the entire Zune ecosystem across Microsoft platforms.” Zune hardware — the Zune HD — was last refreshed in September of 2009. More →
Have you ever wondered which ethnicity purchases the most smartphones (by percentage) in the U.S.? And of those devices purchased what operating system is most popular within each race? No? Us either. But that hasn’t stopped the folks at Nielsen from posing the question. The analytics company has gone ahead and compared the smartphone preferences and penetration rates in Hispanics, Whites, African Americans, and Asian/Pacific Islanders from Q4 of 2009 to Q4 of 2010. How did these four ethnicities report? According to Nielsen, smartphones have the most penetration amongst Hispanics and Asian/Pacific Islanders; each having a 45% penetration rate. African Americans showed a 33% penetration rate in Q4 in 2010 and Whites had 27%. What else is notable? Both Hispanics and Whites are fairly evenly split in their preference for iOS, Android, and BlackBerry — iOS has a very modest 2 point lead. African Americans favor BlackBerry OS and Android, while Asian/Pacific Islanders heavily favored Apple’s iOS and were evenly split when it came time to choose between Android and BlackBerry. Hit the read link to check out the full report from Nielsen. More →
ComputerWorld has published a study that sheds some light on which manufacturer and wireless carrier in the U.S. provide Android users with operating system updates in the most timely fashion. Data was collected on handsets released by AT&T, Sprint, T-Mobile, and Verizon from 2009 through 2010. The report examines how many phones were upgraded to Froyo (Android 2.2), how many days it took to receive this upgrade, and what percentage devices are still waiting. The study indicates that HTC has delivered the most Android 2.2 updates to its handsets (50%) while Motorola updates its devices the fastest (54.5 days after 2.2 announcement). In terms of carriers, Verizon took the top spot — taking just 58 days on average to push out 2.2 updates — and was followed by Sprint, T-Mobile, and AT&T respectively. The report notes, “Between June and December, AT&T failed to upgrade a single one of its nine Android phones.” Ouch. What do you think? Any surprises here? More →
Reuters is reporting that the world’s largest OEM handset manufacturer Nokia has delayed the release of its E7 handset until early 2011. A Nokia spokesperson said that the move was to “ensure the best possible user experience” on the device. The E7 is a peta-band WCDMA handset that also has a quad-band GSM radio, 4-inch polarized AMOLED display, Wi-Fi b/g/n, Bluetooth 3.0, GPS, 16 GB of mass storage, 8 megapixel camera with 720p video recording and dual-LED flash, HMDI connector, and 1200 mAh battery.
2010 has been a tough year for Nokia smartphone releases. Hopefully, the company will come out swinging in 2011. More →
Reuters is reporting that AOL, Inc. is contemplating a breakup through “a complicated series of transactions” that could end in a merger with search giant Yahoo!. The publication is citing “sources close to the plans” and adds that “the latest discussions derive from plans contemplated in 2008 and 2009 before Time Warner spun off AOL to Time Warner shareholders.” Both AOL and Yahoo! declined to comment on the report when contacted by Reuters; AOL’s stock price rose slightly on the news. More →
According to recent survey, New Yorkers literally don’t have time to talk on their cell phones. In terms of rank, New York is #15 in the nation for total number of calls, yet almost dead last in terms of actual call durations. If you’re from New York, you’re probably shaking your head in agreement as we’re most likely to take a call while doing seven hundred other things; say what we have to say, and jump off. What state would you guess holds the title for most prolific cellphone users? That would be Georgia. Because everyone is friendly in Georgia. Some more quick data from the study: teens send almost 3,000 text messages a month, and women talk on the phone 22% more than men. Though I doubt anyone is surprised by those last figures… More →