Google/Motorola deal now awaits Chinese Approval

While it looks like a certainty that the Google/Motorola $12.5 billion deal is going through after getting approval from the appropriate regulatory bodies in both the United States and Europe there is still one major hurdle to overcome.

The wildcard is China, which is also taking a look at the deal and wants to have its say in the matter, and when the world’s largest market wants a say it will get one. The Anti-Monopoly Bureau, part of the Chinese Commerce Ministry is examining the deal; a move that it says is just a routine procedure in all acquisitions, according to Reuters.

The issues they are examining are pretty much the same as in the US and the EU; the deal gives Google a huge number of patents in the mobile phone space and the company already has a popular phone operating system in Android and the capabilities to build smartphones.

Google said that it submitted filings on the deal last September and that China has until March 20th to approve the deal or move to another stage of investigation. Everyone is seeking to ensure that with this wealth of resources Google does not seek to price out rivals or even close the door to competitors that have invested in its OS, leaving them out in the cold.

That issue was recently raised by Meg Whitman, Hewlett-Packard’s CEO, who said that there is a possibility that Android will become a close source OS, moving away from its current position. Of course it should be noted that she was also then touting HP’s WebOS as a viable alternative if this should happen.

Chinese officials said that they doubted that their regulatory bodies would find any more issues that their counterparts elsewhere on the globe. However China has had issues with Google in the past and so there could be bad blood between the two.

Motorola/Google Deal Gets OK-With a Warning

The deal gets approval but EU said it is watching

As expected both the EU and the United States Department of Justice have given Google’s $12.5 billion purchase of Motorola Mobility the go-ahead. At the same time the US approved the purchase of Nortel wireless patents by an Apple-Microsoft led consortium.

From the outside it looks like this sets up a battle royal in the patent space as both now are armed with a host of additional patents and the players on both sides have shown a very ready willingness to go to court to enforce them.

Apple has been strongly going after a number of Android smartphone developers, in particular Samsung, HTC and Motorola. Motorola has been returning fire at Apple, with Google’s approval, while https://www.microsoft.com/Presspass/press/2012/jan12/01-12LGPR.mspx has been quietly but efficiently getting developers’ to pay it for select patents.

However hopefully we will not see a yearlong battle in this space, something that could temporarily blunt the strong growth of smartphones and tablets. No one wants what happened in the last years of dial up modems when conflicting technologies made for incompatibility.

According to a careful analysis of the agreements published in Foss Patents, Florian Mueller said that the approvals are not without caveats. The EU said specifically that it will be looking at future and past enforcement of patents by Google and that it is ready, willing, and able to step in if it believes they are being abused.

He said that the end result of these deals will be business as usual, which currently means a series of lawsuits working their way through court. At the same time he notes that just because no action has been taken to date does not mean that none is forthcoming.

From the European Commission’s press release announcing approval is this important paragraph. “Today’s decision does not mean that the merger clearance blesses all actions by Motorola in the past or all future action by Google with regard to the use of these standard essential patents. Our decision today is without prejudice to the legality under EU antitrust law of Motorola’s past and Google’s future actions. However, the question whether Motorola’s or Google’s conduct is compliant with EU antitrust law cannot be dealt with in the context of the merger procedure.”

So while it may be business as usual in the short run, the court cases could result in the addition of another player, and one that has a lot more clout than any of the individual players involved, or all of the players for that matter.

Mobile Sports Report TechWatch: Mobile World Congress is Coming!

LG is touting a new phone that it will debut at the Mobile World Congress as a “revolutionary smartphone.” According to Pocketnow there should be some very interesting features in the phone starting with the LG X3 which will be its flagship Android smartphone.

Another offering expected at the show from LG is the LG CX2, a follow-up product to its Optimus 3D. This phone is expected to feature a 1.2GHz dual-core CPU, NOVA autostereoscopic display for glasses-free 3D, 8GB storage standard as well as Wi-Fi and Bluetooth capabilities.

Acer preps CloudMobile for show
Acer is showing its CloudMobile smartphone in advance of the MWC trade show in Barcelona at the end of the month. The company is being very clever in its leak, giving base information but not enough details so that when it officially shows the phone for the first time the public will not already know the details, according to Pocket-lint.

What is expected is a smartphone that features a 4.3-inch HD display, Dolby sound and will be running Android 4.0 when it ships in the second half of this year. A key attribute of the phone will be the integration with AcerCloud technology that offers, among other things, unlimited web-based storage.

The Motorola/Google deal expected to get EU approval

Following on last week’s rumors that the $12.5B acquisition of Motorola Mobility by Google was going to get the thumbs up from the U.S. Justice Department comes word that it is expected to get the OK from EU authorities as well.

According to sources the deal should go through with little or no alterations despite the fact that there were a number of objections filed, including one by a US-based consumer protection group.

Can Google Wallet be picked?
Unfortunately the answer looks to be yes. While hacking the wallet is not easy it can be done according to researchers, who have outlined how to do it for those so inclined. What is frightening is that simultaneously with the researchers posting their findings another blog reported a much easier manner to get access.

The part that should make users nervous is that to hack the wallet might not require extra software, root access, or pretty much any deep-seated hacking skills. Head over to Cnet to see why you might need to be more than a tad concerned.
The Patent Wars

Apple tries new angle in latest suit
Apple has filed a lawsuit seeking to prevent Motorola Mobility from asserting patents against Apple in a lawsuit being heard in Germany. Apple claims that Motorola’s efforts violate its patent licensing agreement with Qualcomm.

The gist of the suit, reported by Reuters, is that Apple believes that as a Qualcomm customer it is a beneficiary of the third party agreement between Motorola and Qualcomm and that under that agreement Motorola cannot assert these patents against Apple.

Apple vs Samsung-The latest Round

Apple continues to go after Samsung and has now filed another injunction to halt sales of a Samsung product. The latest product to be targeted by Apple is Samsung’s Galaxy Nexus smartphone, as reported by PC Advisor.

In the suit, which was filed in U.S. District Court for the Northern District of California, Apple is seeking a preliminary injunction that bans the sales of the phone in the US while its case that Samsung is violating four of Apple’s patents is heading through the court system.

Apple claims that “”The smartphone market is at a critical juncture, as the overwhelming majority of consumers move to smartphones, and the consumers’ long-term preferences and purchases may be determined to a great extent by the operating system on their first smartphone.”

This and that

Electronista is reporting that a leaked presentation from USA Todaybreaks down mobile downloads by platform and that iPad users dominate at a 7x rate over Android and other users. Apple’s download lead in smartphones is significantly smaller.

Kindle Fire to burn larger?
A report is now coming out that says to expect a 9-inch Kindle Fire by mid-year, a move that could drive sales from an estimated 12.7 million in 2012 to 14.9 million, according to the analyst.

Samsung and Apple own smartphone profits
Wealth management firm Canaccord Genuity has reported that between Apple and Samsung they garner 95% of all of the profits in the smartphone space with Apple owning a lion’s share of 80%.

New iPad in first week of March
A variety of sources have narrowed down the release date for the forthcoming Apple iPad 3 to the first week in March — we will see I guess.

The Air Force about to make one tablet maker very happy
US Air Force’s Air Mobility Command is planning on purchasing somewhere between 63 and 18,000 tablets of as of now unknown manufacturing origins. They are seeking to replace the pilot and navigator bags that can weigh as much as 40 pounds. Currently it looks as if the iPad 2 is in the lead for the deal.

Friday Grab Bag: Microsoft talks Windows 8 Tablet

The top Windows exec at Microsoft, Steve Sinofsky, has published a huge blog entry that details Microsoft’s plans for Windows 8 on low-powered platforms driven by processors built around the ARM processor technology.

Since that is the primary chip technology driving most tablets, this blog entry shows how the company sees the space and what it believes it can bring to the market that its rivals cannot, or are not doing well.

A few of the key talking points are that versions of Windows for ARM platforms will carry a Windows for ARM branding; there will be a special version of Office for this platform and there will be a major effort to have the hardware and software tightly integrated, much like Apple does with the various iOS products.

Phoenix Suns latest to grab tablets as in-game tool
If you happen to watch closely the next time you are viewing a Phoenix Suns game expect to see branded products from Samsung and Verizon Wireless on the sidelines in place of the old school chalkboards.

The team has signed a deal that will provide the players, scouts and coaches with Samsung Galaxy 10.1 Tab tablets and Verizon 4G wireless service. The team plans to use them for a winde variety of tasks including in-game play calling by head coach Alvin Gentry.

While the NFL and Major League Baseball have been very aggressive in developing and deploying tablets as part of a training regime the NBA has lagged behind. This is probably going to be watched very closely and probably imitated by a number of other teams in the off season.

Asus admits bug in Transformer Prime
Asus has released a firmware update that will fix the random boot problem that has plagued some but not all owners of its Eee Pad Transformer Prime Tablets. The move comes after a flow of negative comments on line and at least one retailer, UK’s Clove to cease selling the product.

The tablet has had several flaws since it was debuted last year including simple lack of product available and a GPS accuracy issue. In the past the company has denied that there was a reboot issue but has now finally admitted it.

Patent Wars
Apple continues to battle and seems to be losing ground at a slow and steady rate. Its latest setback was a German court ruling that Samsung Galaxy Tab 10.1, called the Galaxy Tab10.1N in the German market does not appear to be a copycat version of the iPad.

Apple had won an initial ruling preventing Samsung from selling n the German market last September and the 10.1N is a work around that has been found acceptable by the court, reopening the market to the Apple rival.

Apple has been particularly aggressive pursuing Samsung in both the iPad but also iPhone space claiming that it carefully copied its devices. So far its success has been lackluster in courts but that does not seem to have changed Apple’s determined drive in the patent space.

Google’s bid for Motorola Mobility likely to be approved next week
Multiple sources are reporting that the $12.5 billion purchase of Motorola Mobility by Google will get antitrust approval from the United States Justice Department sometime next week. Among other assets that Google will acquire is a patent portfolio that is 17,000 strong in the mobile phone area.

This patent portfolio is likely to be used for both offensive and defensive purposes by the company. It is aggressively seeking huge payments from Apple over all iPhone and other iOS devices, but will likely also be used to simply be leverage in cross patent licensing agreements.

At the same time the Justice Department is likely to approve of the purchase of Nortel by a consortium of Apple, Microsoft Sony, Research in Motion, EMC, and Ericsson AB. This deal will include 6,000 wireless patents.

Friday Grab Bag: Does Facebook make no Money on Mobile?


Is a patent war in Google’s future?

No not the one with Apple that it appears to be fighting by proxy but rather one where it uses the patents it will acquire in its Motorola Mobility acquisition. The Guardian puts forward a well reasoned piece that strongly suggests that this is the only way that the company can recoup its $12.5bn investment.

The most recent financial statement from Motorola shows that it will have a negative effect on Google’s results, possibly dropping earnings per share by as much as one third. Google has long stated that one of its goals in the purchase will be the patents, and it seems that since it is already using Motorola as a tool in its on going war with Apple over patents, it now will take it to a new level.

But it is also likely that it will be more aggressive in using the patents overall, possibly to exert more control over Android handset makers and their software. The one company that could be harmed by this approach might be Amazon whose Kindle uses a basic version of Android but with all of the other Google features such as Gmail stripped out so that a user would barely know what OS it is running.


Amazon’s Kindle sales triple in last quarter

Amazon’s revenue grew 35% in its just concluded fourth quarter, reaching $17.4 billion and said that the sales of its Kindle eReaders tripled in the quarter that ended Dec. 31, 2011, but did not disclose the exact number sold.

However the sales growth did not meet analysts’ expectations and the company said that net income dropped significantly, down to $177 million, a 57% decline from the same period a year before. Part of the issue was a huge investment into expanding its sales fulfillment centers, a move it said will help grow the business in the long run.

For the current quarter it is predicting sales of between $12 billion to $13.4 billion and that it could post an operating loss of as much as $200 million to a profit of $100 million

Turner Broadcasting System and Intel Capital invest in iStreamPlanet’s Series A
iStreamPlanet has closed its Series A funding round with both Intel Capital and Turner Broadcasting Systems participating in the round. The amount of funding was not disclosed. iStreamPlanet develops automated video workflow technology.

Turner has already worked with iStreamPlanet in the past on a variety of live sports broadcasts going as far back as the 2010 NASCAR Coca Cola 400 at Daytona Speedway. Other events that iStreamPlanet has helped broadcast include the 2010 Vancouver Olympic Games, NBC Sports’ Sunday Night Football and the Championships at Wimbledon, along with the US Open Golf, Notre Dame College Football, Ryder Cup and the Kentucky Derby.

Aside from automated video workflow technology the company also has multi-screen technology as well as cross platform ad insertion capabilities.

Will BCS move games to campuses in 2014?
That is what is being reported as a possibility by Brett McMurphy over at CBSSports. He said that at least on athletic director has proposed moving many Bowl games onto school’s campuses rater than at the neutral sites where they are played today.

The new cycle of BCS begins in 2014 which is the earliest that the change could most likely occur. One of the driving forces behind the idea is the poor attendance that many of these Bowls and would call for on-campus games after the top 16 games are filled. Also under consideration would be requiring a minimum of seven wins to be bowl eligible.

Facebook revenue absent in the mobile space
As Facebook opens its books in advance of its $5 billion IPO a number of interesting facts have emerged about the company. It has obviously seen very strong growth since its inception and now has $3.7 billion in revenue.

Oddly enough none of this revenue, zero, comes from the mobile users of the social media. With 425 million of its 845 million users accessing the site via a mobile device this is astounding. However it shows that there is huge room for revenue growth for the company.

As reported at Forbes, Facebook said that it is devoting substantial resources to expanding its platform in the mobile space and seeks to create engaging mobile products. The company said that it anticipates mobile users’ rate growth to outpace its overall growth rate.

Feds keep pressure on illegal Super Bowl streamers
For the second year in a row the US Government has cracked down on a number of sites that provide sports streaming and has taken control of their domain names. Users heading to those sites will get a redirect notice from the DOJ/ICE.

Among the sites included are Firstrowsports.tv, Firstrowsports.com and Soccertvlive.net. and as reported by Torrent Freak this is the second time around for the Feds to shut down sports streaming sites just prior to the Super Bowl, although some sites are already back up under slightly different incarnations.

The shutdown struck at least 307 domain names and the effort was called ‘Operation Fake Sweep’ with the bulk of the sites charged with selling fake NFL merchandise and only 16 for illegally streaming sports video.

AMD to enter tablet and Ultrabook space
AMD introduced analysts at its annual meeting to its newest processor roadmap that will include a pair of low powered chips that will target the tablet space and showed an Ultrabook design that looks to undercut Intel’s offerings in hat space.

According to EETimes coverage of the event AMD has added Hondo, a 40 nm processor for tablets due this year and plans to follow up with Temash, a 28 nm chip next year. The company has been slow to enter this space but its rivals here are more from ARM-based chips and the OMAP processors from Texas Instruments, Intel has been slow to make headway in this area as well.

AMD showed an Ultrabook that was developed by Taiwanese company Compal using AMD’s Trinity chip in a thin an ultrabook reference design made by Taiwan’s Compal. It said that the computer could have a $599 price tag, possibly starting a price war with developers using Intel’s developers ultrabooks.

Mobile Sports Report TechWatch: Just a Feature or is it Malware?

Symantec is reporting that a bug is starting to infect Android-powered devices that is capable of receiving and executing some commands as well as stealing information from the infected devices.

Called Android.Counterclank the company said that it is a variation of a previous bot like threat called Android.Tonclank and has been grafted onto a range of applications availaboe for Android devices in a package called “apperhand”.

Symantec said that the malicious app is the most widely downloaded infection so far this year. Among the infected apps is Counter Elite Force, Wild Man and Sexy Girls Puzzle. Go here for a complete list.

Or is the Malware threat all hype?
A counterpoint to Symantec’s warning that there is a growing threat from Android.Counterclank comes from Lookout Security, as reported by Computerworld, which takes the position that the technology is simply a version of an ad network.

The company’s researchers do admit that the apps, 13 in all, do alter a browser and enters a bookmark in a user’s device but said that the moves were not malicious and just part of an ad network’s business model.

I have to say that if something I did not know was even present on my device then started altering my settings I would call that malicious. I wonder where this will end up because if it becomes common for apps to include a feature like this I believe that it will have a very detrimental effect on their popularity.

Wi-Fi Only Xyboards ready for the market
The Unwired View had a good catch by noting that Motorola has quietly started taking orders for the Wi-Fi only version of its recently released Xyboard tablets and said that the tablets are expected to ship this week.

There will be a pair of Xyboards available, all without cellular capability and without the co-branding with Verizon that is one the initial models that featured cellular. The models are the Xyboard 10.1 that starts at $499.99 for the 16GB model, the smaller Xyboard 8.2 that starts at $399.99 for the 16GB version.

Did Apple win big in Patent ruling?
Over at the Foss Patent blog the opinion is that a ruling issued by United States Circuit Judge Richard A. Posner could have a huge impact in the ongoing Apple/Android lawsuits in the US and in Apple’s favor.

Judge Posner ruled that agreed with Apple’s interpretation of the term, “realtime API”, in its ‘263 patent and that it appears that Motorola, and by inference all-devices running the Android operating system are infringing on the patent.

However as the blog notes, the ruling on this issue has gone back and forth as it has moved up the legal chain and its next stop is the US Court of Appeals. However the ruling has to boost the confidence of the Apple legal team.

An Open Source Tablet is in the works
iTWire notes that KDE developer Aaron Seigo has announced on his blog the development of an open tablet, one that is operating on free open source code software. It will be on unlocked hardware and have open source content.

The 7-inch tablet will use the KDE developed Plasma Active interface and include a capacitive multi-touch screen and will have a basic configuration that includes a 1GHz ARM processor, a Mali-400 GPU, 512 MB RAM, 4GB internal storage plus an SD card slot. It will feature Wi-Fi connectivity.

Details as to availability and price are expected later in the week. No word if it will play Angry Birds.

ZTE 7-inch tablet details leaked
Slashgear has found that the kindly FCC has revealed details on the forthcoming 7-inch tablet from ZTE. The details on the device, which is listed as ZTE V66 include it running Android 3.0 powered by a 1.2GHz dual core processor.

It will include a 1200 x 800 pixel resolution display. It is expected to be on the Verizon network and will have full 4G LTE support. It looks now that there will be a growing competition in the 7-inch form factor in early 2012 (assuming this comes out in early 2012), and so Barnes & Noble and Google may get a run for their money in the near future.