Will AT&T buy EchoStar to offer mobile TV services?

While Verizon and AT&T caught our attention in the FCC auction, EchoStar is one company that went unnoticed. It bought 168 E-block licenses at a hefty $711 million. This has created a buzz in the market as a lot of experts think that EchoStar will try to offer mobile TV services more effectively than ever through Sling Media.

It’s a well known fact that SlingPlayer Mobile, introduced by EchoStar, has become quite popular and by acquiring a considerable number of licenses in the E-block spectrum, EchoStar might plan to broadcast its service in a better way.

Now, here’s the scoop. Another hot talk in the market is that EchoStar might not do any such thing, as it might change hands very soon. The buyer? You got it right – AT&T. This is almost a certified rumor which has been going on for ages now, but there is one thing which makes me think it might not be a rumor after all. AT&T has decided to hold off on its mobility services. Now, this sounds too preplanned to be a coincidence. After all, acquiring EchoStar will make AT&T strong in all three sectors – broadband, mobility, and TV.

So, will it happen? Your guess is as good as mine. But one way or the other, we can be sure of one thing. Mobile TV, soon, will have a very big market not just in the U.S., but around the world.

Categories: Cell Phone Advertising, All things mobile phones, Mobile TV.

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What does Verizon’s victory in the auction mean to Vodafone?

The impact of the FCC’s 700 MHz auction is amazing. I mean, who would have ever thought that the results of FCC auction could have an impact on the stockholders of Vodafone? Confused? Read on.

Verizon Wireless, in case you don’t know, is a joint venture between Verizon Communications and Vodafone. Now, as we all know, Verizon has won a major chunk of the wireless spectrum in the recently concluded auction. It paid close to an astronomical $5 billion for the licenses it acquired and it has got reflected in the stock prices of Vodafone.

Investec, a prominent South African bank, has advised its clients to sell Vodafone shares as it predicts its dividend payments to be delayed. Now, I’m not a stock market analyst or something. In fact, I have no idea of anything remotely associated with stock market. Could someone explain this?

Categories: All things mobile phones.

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Is Google the real winner in the FCC auction?

Finally, the most anticipated FCC auction for 700 MHz wireless spectrum is over. Verizon and AT&T have acquired a substantial number of licenses. As I promised in my last post, I have to tell you what this means to Google.

First things first. We all know Google is clever. When people went wild with their speculations about the auction, Eric Schmidt would have probably smirked. The reason being – Google probably never intended to win the auction. In fact, even before the auction, it got what it wanted.

The open access theory was formulated by Google and FCC made it clear that the winner of the spectrum should allow their users to choose any handset they want and run any application they want on their mobile phones. In other words, even if Verizon or any other company wins the auction, they will not be able to make their subscribers use a particular mobile phone with a particular application. This leaves a gap large enough for Google to bring in its Android supported devices. Clever, isn’t it?

As we already discussed, the costs involved in running a network are huge and Google never actually intended to do that. Instead, it will make money, irrespective of who wins the auction, through mobile advertising.

Now, at the end of the auction, Google actually didn’t win any license. But instead, it made Verizon and AT&T pay big bucks for the licenses. Now, Google will be happy to introduce its Android based mobile phones with tons of applications, which people will be happy to use. So, without spending big bucks for licenses in the auction, Google will be able to make money – through advertising.

Now, is that brilliant or what?

Categories: Cell Phone Advertising, Google, All things mobile phones.

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FCC auction for wireless spectrum - More speculations

You might have probably heard about the hugely popular FCC Auction for wireless spectrum, which is undoubtedly one of the most talked about issues for quite some time now. If you haven’t got a clue as to what it is, I’d suggest you to read this piece and then continue with this post.

The news about FCC auction takes a new twist and turn every now and then and it’s nothing short of a Sidney Sheldon novel when it comes to surprises and speculations. First, everyone unanimously suggested that Google will go on to win the auction, no matter how big the prize is. A little while later, when Verizon and AT&T showed great interest in the auction, Verizon was considered the favorite. Considering the rift between Verizon and Google earlier, everyone thought Verizon would be keen to win the auction.

A little while later, there was another conspiracy theory going on – that Google might bid to lose in the auction. The reason stated was that the winner needs to open up his network to his competitors anyway, so Google might lose the auction and still get a piece of the spectrum. Now, it’s another theory. This time, it’s even more surprising.

The costs involved in building a wireless network and operating it will be enormous. In fact, it is said that it would take around $15 billion and three years to build a new network. So, rumor has it that Google might actually take part in the auction to hike the price and would lose voluntarily at the last moment, only to see the winner buy the slice of the spectrum at an enormous price. After some time, when the winning company has piled on a lot of debt, Google might actually hold the upper hand and bargain for whatever it wants.

All I can say is – wow. These speculations would make even the best of novelists ashamed of themselves. Sometimes, truth, as they say, is stranger than fiction. So, let’s keep our eyes wide open and get prepared for the auction.

Categories: Google.

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Google in 2007 - A review

2007 was a great year for websites, newspapers, magazines, and blogs, thanks to Google. Simply because, Google was one of the biggest newsmakers of 2007. Everyone knew Google was working on something which could make it a top contender in the cellphone advertising market and guessed it would be the so-called Google Phone. But then, it turned out to be Google Android, a mobile platform, which made headlines all over the world.

Especially, with so much hype surrounding Apple iPhone, Google was forced to come up with something that would not just take the attention away from the iPhone, but also change the market once and for all. Google Android was the perfect answer and the announcement made big news in the market. There were so many reasons behind the market’s excitement – it was Linux based, it was open-source, and it came at a time when Google was aiming for the FCC Auction for wireless spectrum in Jan 2008.

I’ve already stated why Google Android could be the welcome change the market needed and I think it has enormous potential to become the most-used mobile platform all over the world. Especially, with the alliance Google formed with 30 plus big names in the industry, they made sure everyone took notice.

Earlier this year, Google made a proposal to Verizon Wireless to have its search application and other things incorporated into their mobile phone, but Verizon refused due to their difference of opinion with Google in terms of the advertising revenue. It was at this point of time that the market was going wild with speculations that Google might become a carrier and might come up with its own phone and all that jazz. Thankfully, Google quickly put an end to all the speculations with its Android.

Also, there were speculations in the market that Google might even bid to lose in the FCC Auction, as the winner (which could be Verizon) is required to open its network with the competitors anyway. But considering Google’s interest in 700 MHz wireless spectrum, I’m not too sure if Google would actually do such a thing.

This year, Google also came up with the beta version for Mobile AdSense which can be used in mobile sites. A lot of Google’s applications went mobile this year, including YouTube which got incorporated in Apple iPhone.

Google made news with its every move this year and I have no reason to believe that next year would be any different. We’ll have more news on Android and Google’s mobile applications, as it tries to expand its dominance further in the cellphone advertising market.

Categories: Google.

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