WWJ contributor Michael Thuresson was in Las Vegas, Nevada, last week and managed to pull himself away from the one-armed bandits long enough to drop in on the CTIA “Wireless IT and Internet 2002” fall show. His report below was culled from a late-night, bleary-eyed email dispatch (italicized annotations partly contributed by me). Who says war correspondents in Kandahar have more fun than tech stringers in Vegas? 😉
I received some interesting commentary last week from Kennedy Gitchel, self-described “Long-time Japan resident and wireless watcher” and — until recently — consultant at a major foreign consulting house. Gitchel was responding to a recent WWJ Viewpoint wherein we stated “the cost of fixed-line access plays very little or **no** part in Japan’s mobile Net boom,” to point out that the initial total cost of fixed line access is, in fact, a hefty proposition when you consider both the cost of installing a new phone line and monthly fees together.
A couple of interesting events took place in Tokyo last Friday. The American Chamber of Commerce hosted their Fourth Annual E-Business Summit, while Credit Suisse First Boston’s lead telecoms analyst Mark Berman conducted a 3G/Wireless Internet Conference. Some interesting points came out of both. Afterwards, Kobe University’s Jeff Funk commented that the predicted fall in 3G packet prices is “interesting,” while Matsumoto’s additional arguments — that the US is a car society and thus Japan’s experience isn’t relevant — was not valid since “SMS is doing well in Europe and DoCoMo claim that i-mode revenues per person are independent of the region in Japan.”
We spent a day at Sun Microsystem’s JavaOne conference and show in Yokohama in September, and were pleasantly surprised to meet up with mobile software vendor Openwave, grand-daddy of the WAP Forum (freshly repainted as the Open Mobile Alliance). Japanese carriers have created killer Java services… and they had to do so from scratch. That included the provisioning system which actually feeds the applis onto the handsets (providers merely have to write the downloadable Java code). Now another major player has launched a Java provisioning system (which also works for other content). Want to launch Java, but you’re not partnered with DoCoMo? You’d better watch this one twice…
NTT DoCoMo took it square on the chin this week, announcing it would book extraordinary losses of 573 billion yen against its investments in three major foreign partners, KPN, AT&T Wireless, and Hutchison 3G. The company cited the slowdown in the global telecommunications market, and it would be natural to suspect the Sanno Park Tower strategists are back in their corner, applying ice and stitching wounds. Industry watchers, meanwhile, are having a field day. hOWEVER, this week’s write-down represents mere pachinko pocket change for DoCoMo, and, as potentially one of Japan’s (and by extension, the world’s) most profitable companies, the carrier is well on its way to creating something that the Europeans are still trying to sort out: a functioning W-CDMA network.
Early this year, there was some comment in the open press concluding that the US was the world’s leading source of wireless innovation and technology expertise (“Europe Had Decisive Wireless Lead, But Lost It to US With Poor Moves”). Well, the good news is that finding some of those smaller, innovative creators of made-right-here-in-Japan, ready-to-be-exported mobile technology is getting an awful lot easier. We spent yesterday at Sun’s JavaOne conference in Yokohama, and there was an interesting line-up of companies displaying their wares on the showroom floor.
