Social Bandwidth: Karma Launches its Mobile Virtual Network

  • Karma, which originally launched in Amsterdam before relocating to New York City, is hoping consumers will engage in a unique social experiment involving a mobile virtual network operator (MVNO).
  • “This new data-only MVNO wants you to open your mobile broadband connection to all comers, turning your private 4G wireless modem into a public hotspot anyone can log onto,” reports GigaOM. “It sounds crazy, but there are rewards for your altruism: The more data you share, the more you receive.”
  • Karma began accepting orders last week for its $79 WiMAX hotspot, which taps into Clearwire’s 4G network in 70 cities.
  • “For that price you get free shipping and 1 GB of data that doesn’t expire. You can buy more bandwidth for $14 a gig, but if all goes according to Karma’s plans, it might be a while before you have to,” notes the article.
  • Users are initially offered 100 MB of free data when they connect to an owner’s hotspot. Karma customers could potentially accumulate nearly unlimited free data by leaving the hotspot activated in public areas.
  • Guests can use the 100 MB in one sitting or over multiple sessions. “Karma tracks data use by tying you back to a Facebook account,” notes the article. “Once that 100 MB is used up, though, it’s gone. You can either sign up as a Karma customer or bid the service farewell.”
  • FreedomPop, Fon and Open Garden are among others experimenting with social bandwidth and collective networking.
  • “But Karma sees social bandwidth as more than just a marketing tool. Rather, it’s a more efficient way to deliver mobile data,” explains GigaOM. “What’s really revolutionary about Karma is how it’s decoupling the service from the device. It’s possible to be a paying Karma customer without ever owning a hotspot — you just latch onto whatever Karma Wi-Fi signal happens to available at any location.”

Excite 10 SE: Toshiba Releases 10-Inch Jelly Bean Tablet for Only $350

  • Toshiba’s new 10-inch Excite 10 SE tablet will be available starting tomorrow for $350.
  • The new tablet will ship with Android 4.1, a Nvidia Tegra 3 quad-core processor, an AutoBrite HD screen featuring 1280 x 800 pixel resolution and stereo quality speakers.
  • “Our Excite family of tablets continues to grow with options to suit a wide range of consumer needs, from portability and gaming to versatility and power,” explains Carl Pinto, VP of marketing for Toshiba America. “We designed the Excite 10 SE to be a full featured tablet that offers a pure, Android Jelly Bean experience, while maintaining an attractive price point.”
  • The Excite 10 SE is 0.4-inches thick and weights 22.6 ounces. Additional features include a 3-megapixel rear-facing camera with auto focus and digital zoom, a front-facing HD camera, microSD and Micro USB ports, Bluetooth 3.0 and 802.11 b/g/n Wi-Fi capability.
  • “Toshiba touts its Excite 10 SE to offer the best 10-inch tablet experience for that price, as most larger-sized slates begin at around $400,” reports Digital Trends. “Asus’ Transformer Prime is one of the few 10-inch tablets that fall in that price range, sporting a price tag of $345.”
  • “The low price will certainly give Toshiba an advantage, but in an industry so saturated it can be tough to compete with the likes of Apple or Google.”

Amazon to Offer Kindle Fire Subscription Service Featuring Content for Kids

  • Amazon has announced a new subscription service aimed at children who use the Kindle Fire. The service is scheduled to roll out as part of a software update in the coming weeks.
  • FreeTime is a feature that offers parental controls for how children use the tablet. Amazon is adding a subscription service to FreeTime, that offers unlimited access to kid-friendly content.
  • “FreeTime Unlimited, announced Wednesday by the e-commerce giant, will bring together all the child-friendly content available for the Kindle Fire tablets — encompassing books, games, educational apps, movies and TV shows — into the walled garden of the existing FreeTime feature, offering unlimited access for $4.99 per child or $9.99 per family,” reports Digital Trends. “Prime members can sign up for slightly less: $2.99 and $6.99 respectively.”
  • Parents can create a Kindle Fire profile for their children based on their age and gender. FreeTime also creates time limits “so their eyes don’t turn rectangular through overuse.”
  • FreeTime Unlimited will feature content from providers such as Chronicle Books, DC Comics, Disney, HIT Entertainment, Nickelodeon, PBS and Sesame Workshop.

Google Launches Native YouTube App for iPad and Update for iPhone 5

  • Google has released its own YouTube app for the iPad, in addition to an update for the iPhone version.
  • When iOS 6 was launched by Apple in September, iPad users lost their native YouTube app. Google’s new YouTube app will give iPad users the option of not relying on third party apps.
  • “The company’s video streaming app has also been optimized for the iPhone 5’s larger display and beefed up with other new features, and is available now for download from the iTunes store,” reports Digital Trends.
  • “The new iOS YouTube app now allows videos to be streamed from your mobile device to an Apple TV, incorporates improved playlist management, and claims to start videos more quickly and play them more smoothly,” adds the post.
  • Additional features include include VoiceOver, that offers an alternative search method; clickable links in video descriptions; and a new sidebar for settings.
  • “The overall experience with the new iPad app is smooth and navigation simple,” notes Digital Trends. “However, it’d be good to have an option in settings to change the size of the thumbnails in order to show more videos on the main home screen, as only five are visible as things stand. Of course, it’s no hardship to scroll down the list but a bank of smaller thumbnails for easy scanning would be welcome.”
  • According to the post, more than a quarter of YouTube videos are currently viewed on a mobile device.

Apple Expands the Worldwide Reach of iTunes Store to 119 Countries

  • Apple has announced the expansion of its iTunes platform into 56 new countries, including India, Russia, South Africa and Turkey.
  • The expansion, which nearly doubles iTunes’ worldwide footprint, is a response to growing competition in global markets from rivals including Microsoft, Google, Spotify and Netflix.
  • “But while competition is increasing, Apple still benefits from its vast reach,” reports the Wall Street Journal. “ITunes remains the juggernaut in the digital media world, with more than 400 million users and more than half the market for music downloads.”
  • With this expansion, the iTunes Store now reaches 119 countries, while the company’s App Store is available in 155 countries. The news comes on the heels of last week’s announcement that Apple has released the most significant update to iTunes since the software’s debut.
  • “However, Apple’s iTunes still doesn’t offer a streaming subscription service, an increasingly popular method of consuming both music and video by paying a fixed subscription every month, rather than buying individual songs, albums and films,” notes WSJ.
  • Apple faces competition from streaming service Netflix, Microsoft’s recently launched Xbox music, and the new Google Play online store that features Google’s entire media catalog.
  • “The expansion of the service to developing countries underscores Apple’s belief that these markets are ready for electronic distribution of media, and that Apple has sold enough iPhones, Macs and iPads on these markets to justify the effort, said Adrian Drury, media analyst at London-based research firm Ovum.”

Sony PS3 Now the Largest TV-Connected Platform for Netflix Streaming

  • It’s been three years since Sony introduced the Netflix streaming service to its PlayStation 3, and this week the two companies announced that the gaming system is the most popular option for consumers accessing the service in their living rooms.
  • “PS3 is our largest TV-connected platform in terms of Netflix viewing, and this year, at times, even surpassed the PC in hours of Netflix enjoyment to become our number one platform overall,” explains Netflix CEO Reed Hastings. “PS3 is a natural fit for Netflix in terms of developing and first deploying our most advanced features. We can transparently update our application with new features on a daily basis.”
  • Netflix often turns to the PS3 to test new features. For example, Sony’s console was the first to offer 1080p video with 5.1-channel Dolby Digital Plus surround sound from Netflix, the post play feature, second screen controls and subtitles.
  • “To this day, the PS3 provides next-generation Netflix options, such as the recent addition of a voice assistant (Max) that asks the user a series of questions to assist with the selection process,” reports CNET.
  • “The shift in favored devices comes a year and a half after Nielsen Research announced that computers and the Nintendo Wii held the top spot as a Netflix streaming device at home,” adds the post. “According to Nielsen’s 2011 research, more than 42 percent of those surveyed used a computer, 25 percent streamed through a Wii, and only 13 percent utilized a PS3 to view the service during that period. Things can sure change in a year.”

Activision Breaks Record as Call of Duty: Black Ops 2 Tops $1 Billion

Activision announced yesterday that “Call of Duty: Black Ops 2” beat its own record by earning $1 billion in just 15 days (last year’s “Call of Duty: Modern Warfare 3” reached $1 billion in 16 days).

“‘Black Ops 2’ earned $500 million in the first 24 hours,” reports PCMag. “Since its release, Activision reported that gamers have logged more than 150 million hours playing the game on Xbox Live and the PlayStation Network.” The game is currently available for the Xbox 360, PlayStation 3, Wii U and Windows PC.

“Last month, millions of fans descended on 16,000 midnight openings at retail store worldwide,” notes the post. “Within 24 hours, ‘Black Ops 2’ was a Twitter trending topic in 23 cities worldwide.”

According to Activision Blizzard CEO Bobby Kotick, the game’s release “has been one of the most significant entertainment events of each of the last six years.”

Since the “Call of Duty” franchise launched nine years ago, Kotick says cumulative worldwide revenues have exceeded the global box office numbers for the top 10 grossing films of 2012.

“This is an incredible milestone for an incredible franchise, and I want to thank every passionate, talented, committed person on our team who made it happen,” added Activision Publishing CEO Eric Hirshberg, who referred to “Call of Duty” as an “entertainment juggernaut.”

Verizon Wireless Plans Targeted Ad Service that Leverages User Data

  • Verizon Wireless has announced its new Verizon Selects program that will use location data as well as browser and app usage to create targeted ads and offer users coupons or promotions based on their interests.
  • “Subscribers will then get relevant offers via email, text message, standard mail, or through online and mobile advertisements,” reports The Verge.
  • The company says it will not share customer information with outside parties. However, its “Precision Market Insights program — of which the new program is a part — has recently come under fire for mining data from iOS and Android users,” notes the post.
  • In response, Verizon plans to only track users who opt-in to the program. The marketing initiative launches this week as Verizon Wireless contacts customers directly asking them to participate.
  • “Verizon Wireless will offer customers who opt-in to Verizon Selects a coupon or some other form of reward, most likely from a popular retailer, in exchange for their participation,” explains Verizon. “If a customer chooses not to opt-in, absolutely nothing about their relationship with us changes.”
  • “We are asking customers to opt-in to Verizon Selects because of the types of information being used and because the capabilities provided to third-party marketers gives them the ability to reach customers directly,” notes the company.

Netflix Takes on Pay TV and Streaming Competitors with Disney Deal

  • Netflix and The Walt Disney Co. have agreed to an exclusive licensing agreement that will enable Netflix users to stream movies from the Disney library.
  • “The deal means that if you want to watch a live-action or animated Disney film, you’ll only be able to do it on Netflix and not Amazon Prime or Hulu,” notes VentureBeat. “This is a huge win for hardcore Disney movie buffs, who until now could only purchase digital copies of Disney films or watch them on DVD/Blu-ray.”
  • The deal arrives in the wake of Disney’s announcement that it would shutter its Disney Movies Online service by the end of this year.
  • “Under terms of the agreement, Netflix will gain exclusive streaming rights to all Disney films that hit theaters in 2016,” notes the post. “And while Netflix is currently the only service to have streaming rights to old Disney film content, there was no indication that this will always be the case.”
  • According to the Netflix blog, the deal will include theatrical releases from Disney, Pixar and Marvel starting in 2016. “In the meantime, we’ll have an amazing selection of Disney movies including Disney classics, catalog movies, and popular non-theatrical movies for the whole family featuring beloved characters like Tinkerbell, Mickey Mouse and Winnie the Pooh, to name a few.”
  • Netflix’s Just for Kids section is adding titles such as “Dumbo,” “The Aristocats,” “Pocahontas” and “Beverly Hills Chihuahua” — while older viewers can look forward to movies including “Pirates of the Caribbean: Curse of the Black Pearl,” “The Sixth Sense,” “National Treasure,” “Phenomenon” and “Quiz Show” in the future.
  • “Disney is the biggest studio yet to make such an arrangement with Netflix,” reports the Wall Street Journal in a related article. “Netflix has struck deals with smaller entertainment companies, including Dreamworks Animation SKG Inc., Weinstein Co. and Relativity Media LLC.”
  • WSJ suggests that Netflix is “ready to rumble with traditional pay TV channels such as HBO and Showtime,” since it outbid Starz for the exclusive rights to offer Disney theatrical releases.

Blogging News: First Tumblr Analytics Dashboard Launches to Brands

  • Union Metrics recently launched the first analytics dashboard endorsed by blogging platform Tumblr.
  • “With Tumblr’s endorsement, it’s the next step for third-party developers to create new experiences for Tumblr users, as well as for the brands that are making money using the platform,” reports Digital Trends.
  • During the two month beta period, Union Metrics tested the analytics among 150 brands, companies and agencies. The company also has a Twitter analytics dashboard called TweetReach.
  • “The analytics service has been upgraded with brand new features including ad-hoc filtering and lists, which can track any blog or topic on Tumblr,” notes the post. “The platform, according to Union Metrics, is robust and tracks how posts are performing, the conversations around certain topics, as well as other features.”
  • The service will be offered at three tiers: $499 per month, $999 per month, or a negotiable fee for enterprise users.
  • “Tumblr is banking on third-party developers to nurture a community for the brand side of the platform,” writes Digital Trends. “With two advertising products to boot, including Tumblr Radar and Tumblr Spotlight, and a ‘Highlight’ feature to pin posts to the top of a follower’s feed for a small fee, this is where most of Tumblr’s revenue is coming from.”
  • “But judging from David Karp’s Uncubed panel from a couple of weeks ago, Tumblr is more concerned at this point with attracting a larger audience — especially brands.”

Taking on Cable: Netflix Plans to Launch More Original Programs Next Year

  • After releasing its first original series in February (“Lilyhammer,” starring Steven Van Zandt), streaming provider Netflix is getting ready to launch at least five new original programs in 2013.
  • In addition to David Fincher’s political drama “House of Cards,” starring Kevin Spacey and debuting in February, Netflix plans to launch the supernatural monster-mystery “Hemlock Grove,” the comedy “Derek” starring Ricky Gervais, “Orange is the New Black,” set in a women’s prison, and new episodes of “Arrested Development.” A second season of “Lilyhammer” is also scheduled.
  • Analysts suggest original programming will be vital to Netflix as it goes up against cable TV for subscribers, a plan that is challenged by budget limitations.
  • “While Netflix already competes against premium cable for viewing hours and subscribers, the push into original programming highlights the comparison,” notes the Wall Street Journal. “In addition to a lower price tag — $7.99 a month, against the $15 to $20 that consumers pay for HBO — Netflix offers an option outside traditional cable packages.”
  • However, while HBO remains relatively stable, Netflix’s model is in flux, due primarily to the shrinking of its high-margin DVD-by-mail business.
  • CEO Reed Hastings has said the company hopes to achieve 60 to 90 million U.S. streaming subscribers (Netflix reported 25.1 million at the end of the third quarter).
  • “HBO, Showtime and Starz all have less than 30 million domestic subscribers for their flagship channels,” notes WSJ. “For Netflix to hit its lofty targets, and become a real alternative to HBO, its new investment needs to yield some seriously buzz-worthy shows.”

Forced to Reduce Overhead, New York Times Seeks Manager Buyouts

  • In an effort to reduce overhead in an evolving and challenging advertising environment, The New York Times announced yesterday that it would offer buyout packages to certain newsroom employees.
  • “While the primary goal of the buyout program is to trim managers and other nonunion employees from its books, the company is offering employees represented by the Newspaper Guild the chance to volunteer for buyout packages as well,” explains The New York Times in an article about its own plans.
  • Jill Abramson, executive editor of the paper, explained in a letter to the staff that she was looking for 30 managers who are not union members to opt for buyout packages.
  • “She stressed that the paper had been reducing as many newsroom expenses as possible, like leases on foreign and national bureaus,” notes the article, adding that recent hiring has restored the newsroom to its 2003 size — about 1,150 employees.
  • “There is no getting around the hard news that the size of the newsroom staff must be reduced,” Abramson explained in the letter. “I hope the needed savings can be achieved through voluntary buyouts but if not, I will be forced to go to layoffs among the excluded staff,” she added.
  • “The newspaper industry as a whole is confronting a drastic falloff in advertising revenue,” notes the article. “Print advertising at The New York Times Company’s newspapers, which include The New York Times, The Boston Globe and The International Herald Tribune, shrank 10.9 percent, according to the latest earnings report. Digital advertising across the company fell 2.2 percent.”

New York Appeals Court Seems Skeptical About Aereo Television Service

A federal appeals court panel is skeptical whether streaming service Aereo has the right to retransmit broadcast television content without permission, but has yet to issue a decision. Three judges of the 2nd U.S. Circuit Court of Appeals appeared ready to reverse July’s lower court decision that reluctantly gave Aereo approval.

ABC, CBS, Fox and NBC are among the networks appealing the lower court judge’s decision that cited a Cablevision DVR case to allow Aereo to operate.

“Cablevision was a storage service, not a retransmission service,” says Bruce Keller, the networks’ attorney. “Aereo is a retransmission service by its own design. Without a license, it violates copyrights.” Paul Smith, another lawyer for the broadcasters, told the panel that the startup was trying to turn the Cablevision case “into a complete carte blanche where people can violate copyrights.”

Meanwhile, Aereo insists that it is complying with copyright laws and provides a legal, alternate platform for free TV broadcasts. Attorney R. David Hosp argued that Aereo lets customers “rent remotely located antennas to access content they could receive for free by installing the same equipment at home,” notes the Wall Street Journal.

“Aereo has grown from 100 users to more than 3,500 in the last year and has expanded from Apple devices such as the iPhone and iPad to devices including Windows computers,” reports WSJ. “It lets customers capture broadcasts from 29 local channels with subscriptions starting at $8 a month.”

Federal Judge Dismisses Sambreel Antitrust Case in Favor of Facebook

  • A federal judge has sided with Facebook against an adware company that attempted to use the site for its own purposes, ruling that the social network has the right to exclude users if they install a program designed to change the look of the site and swap ad offerings.
  • “In a ruling issued Thursday [November 29] in San Diego, U.S. District Judge Cathy Ann Bencivengo dismissed an antitrust complaint filed by Sambreel, a controversial advertising company that offers products with names like PageRage that let users tweak the look of their Facebook page,” reports GigaOM.
  • “The companies got in a bitter fight earlier this year after Facebook ‘gated’ users who had downloaded the Sambreel products — meaning the users had to remove PageRage software before they could log on to the social network,” notes the post.
  • In response, Sambreel launched an aggressive legal and PR campaign, accusing Facebook of violating antitrust laws.
  • However, according to Judge Bencivengo: “There is no fundamental right to use Facebook; users may only obtain a Facebook account upon agreement that they will comply with Facebook’s terms, which is unquestionably permissible under the antitrust laws. It follows, therefore, that Facebook is within its rights to require that its users disable certain products before using its website.”
  • “The ruling comes at a time of uncertainty over the degree to which large companies like Facebook, Google and Twitter can control their products,” notes GigaOM. “On one hand, these are private companies that provide a free service — meaning they should be able to do what they like. On the other hand, they have become like public utilities that people depend on for their communications and on which third party companies make their livelihood.”

Tourism Study Shows Consumers Relying on Social for Travel Decisions

  • According to a study on travel and tourism commissioned by Text 100, young travelers are increasingly turning to social media for destination recommendations.
  • The study, conducted by market researcher Redshift Research, surveyed 4,600 consumers from 13 countries and learned that 87 percent of those younger than 34 years of age actively use Facebook to solicit advice before booking their travel.
  • More than half of the survey respondents also reported using Pinterest, Twitter and other platforms for inspiration regarding potential travel.
  • “A consumer is not necessarily making a travel decision based on what a corporation, airline or destination says,” explains Text 100 CEO Aedhmar Hynes. “Your greatest ambassador is someone who has had that experience already.”
  • “The survey also found that 43 percent of respondents rely on travel blogger reviews to make decisions about trip activities and purchases,” reports PRWeek. “While on vacation, 68 percent use their mobile devices to stay in touch with friends and family, which means travel brands must react quickly to consumer concerns.”