Dish Goes Up Against SoftBank to Purchase Sprint Nextel

Dish Network has received signed commitment letters from five banks, according to people familiar with the matter, bringing it closer to arranging $9 billion in committed financing for a planned $25.5 billion acquisition bid for Sprint Nextel. Dish has raised nearly $12 billion for the deal, which will compete with October’s $20.1 billion offer by SoftBank to acquire 70 percent of Sprint. The financing arrives a few days after Sprint agreed to enter into negotiations with Dish. Continue reading Dish Goes Up Against SoftBank to Purchase Sprint Nextel

Dish Network Submits $25.5 Billion Bid for Sprint Nextel

Pay TV operator Dish Network announced yesterday that it has placed a $25.5 billion bid for wireless carrier Sprint Nextel, which is presently ranked third in the U.S. behind Verizon Wireless and AT&T. Dish Network’s chairman and former CEO Charlie Ergen is hoping to bridge the gap of current wireless models by offering customers faster and more affordable television, high-speed Internet and cellphone services in a single package. Continue reading Dish Network Submits $25.5 Billion Bid for Sprint Nextel

Samsung Unveils New Android-Powered Galaxy S 4 Phone

Samsung unveiled the new fourth generation flagship Galaxy S 4 at its Unpacked event in New York last week. Features of the new Android 4.2.2 phone include a screen that can be used when wearing gloves, improved camera capabilities with autofocus and no shutter lag, larger screen size, improved battery life and a slimmer yet stronger form factor. The Galaxy S 4 also touts smart features based on eye-tracking technology. Continue reading Samsung Unveils New Android-Powered Galaxy S 4 Phone

Sprint to Limit Unlimited 4G Mobile Broadband: Will Smartphones be Next?

  • Sprint announced it will replace its unlimited 4G mobile broadband for mobile hotspots and devices with three new tiered data plans.
  • Starting in November, “users of mobile hotspots, USB modems, tablets and notebooks will pay $45 for 3GB of combined 3G and 4G, $60 for 5GB and $90 for 10GB of combined data,” where before only 3G data had limits.
  • “Sprint was already showing signs that it couldn’t keep up the unlimited game forever,” reports GigaOM. “It announced last month that it was doing away with unlimited data for its smartphone hotspot feature and was capping data at 5GB a month.”
  • Some are concerned that this prefaces the end of Sprint’s unlimited data plans for smartphones, a differentiating factor from other providers and a selling point for the Sprint iPhone.

Why are Consumers Buying the iPhone 4S and not Waiting for Version 5?

  • Launch day pre-orders for Apple’s iPhone 4S have already reached capacity, according to Verizon, AT&T and Apple. The only remaining model that is available for pre-sale is Sprint’s 32GB model.
  • In just 24 hours, the iPhone 4S pre-orders reportedly beat the one million mark, despite disappointment regarding no announcement yet for the iPhone 5.
  • According to Forbes, people aren’t waiting for the iPhone 5 for five reasons: 1) Users just want the latest technology now and aren’t going to wait; 2) “Many believe that the iPhone 4S really is the iPhone 5” and that Apple simply decided to misname it; 3) Sprint users can now join the iPhone club; 4) The 8 megapixel camera; and 5) “People really need a personal assistant” — while Siri may not be a “revolution,” many consumers are interested in the voice-recognition software.
  • The iPhone 4S will be available on Friday. The new model will be available to purchase in-store on October 14th, but limited supplies ensure that they will sell out as well. Apple itself has already referred to the upcoming launch as “the most successful iPhone launch we’ve ever had.”

Apple Announces its iPhone 4S: Available October 14 Starting at $199

  • Apple CEO Tim Cook officially unveiled the company’s new iPhone 4S yesterday from Cupertino. The smartphone is expected to ship by October 14.
  • The new version features a dual core processor with up to 7x faster graphics performance, an 8 megapixel digital camera that can capture 1080P video, a GSM/CDMA radio with enhancements to speed data downloading and more.
  • The biggest news is possibly Siri, Apple’s voice-command assistant that can handle surprisingly complex commands and dictation (the name comes from a “virtual personal assistant” company that Apple purchased last year).
  • While some have expressed disappointment that Apple didn’t release the iPhone 5 this week, early reaction to the iPhone 4S features seem positive. The device’s new A5 processor, for example, is the chip used in the iPad 2, and packs an Apple-designed digital signal processor that helps with things like face detection. The phone also now supports the faster HSPA+ network.
  • The 8MP camera features backside illumination, allowing it to gather 73 percent more light and have 1/3 faster photo-snapping speed. It can also record higher-resolution 1080p high-definition video.
  • The iPhone 4S supports mirroring to a TV over AirPlay, Apple TV or a wired connection, while also packing iOS 5.
  • “The 4S will come in both black and white, starting at $199 for 16GB and $299 for the 32GB, but the big news is a new 64GB model coming in at a whopping $399,” reports Engadget.
  • Additionally, Sprint will now be offering the 8GB iPhone 4 and iPhone 4S. Sprint customers can place pre-orders for the device starting this Friday, October 7th.

Justice Department Memo Tells Which Telecoms Store Data the Longest

  • “People who are upset that Facebook is storing all their information should be really concerned that their cell phone is tracking them everywhere they’ve been… The government has this information because it wants to engage in surveillance,” an ACLU staff attorney said.
  • A newly released Justice Department internal memo reveals the retention policies of Verizon, T-Mobile, AT&T, and Sprint.
  • Verizon seems the most privacy-friendly, but is the only company that retains text message content. Messages are stored for 5 days; other companies don’t retain message content at all.
  • The retention of “cell-site data” (information of a phone’s movement history based on phone tower usage) varied the most among the four providers.
  • “Verizon keeps that data on a one-year rolling basis; T-Mobile for ‘a year or more;’ Sprint up to two years, and AT&T indefinitely, from July 2008,” reports Gizmodo.
  • Senator Patrick Leahy proposed to alter the Electronic Privacy Communications Act to “protect Americans from warrantless intrusions.”
  • To see your provider’s retention policy, check out the graphic featured in the Gizmodo post.

Insiders Say Sprint Will Offer Unlimited Data Plans for iPhone 5

  • Sprint Nextel will reportedly offer unlimited data service plans for the new iPhone 5, expected to debut next month. This would be attractive to big data users and mark a major difference from rivals AT&T and Verizon Wireless.
  • Sprint has been struggling with its bigger rivals and hopes that adding the iPhone to its lineup will lure new customers. “It’s a competitive disadvantage if your two larger competitors have the iPhone and you don’t,” says Matthew Thornton, an analyst at Avian Securities. “Getting the iPhone closes that gap.”
  • Sprint, the third-largest U.S. wireless carrier, already offers unlimited voice and data for RIM’s BlackBerry and HTC’s Evo customers at $99.99/month.
  • According to Bloomberg: “Apple’s iPhone has proved to be a valuable recruitment tool for rivals: Of the 5.6 million smartphones AT&T sold in the second quarter, the device accounted for 3.6 million. A quarter of the subscribers who bought the iPhone were new to AT&T, the company said.”

Is BlackBerry PlayBook Heading Down the Same Road as the TouchPad?

  • It looks like HP’s TouchPad is not the only tablet to face a challenging market.
  • Best Buy has placed RIM’s PlayBook on sale, discounting the 64GB model by $150, while the 16GB and 32GB versions have been marked down by $50.
  • “Research In Motion’s PlayBook has had something of a rough ride since its launch in April this year,” reports Digital Trends. “Reviews have been mixed, while just a month after appearing on shelves, almost 1,000 of the tablets had to be recalled due to unspecified faulty hardware issues.”
  • Additionally, Sprint announced last month that it was dropping its plan to bring the 4G PlayBook to its network, leaving the device without a major U.S. carrier.

Caps on Mobile Data Plans: No More All-You-Can-Eat Buffets

  • As smartphones gain greater market penetration, and data-intensive applications become more popular, cellular carriers are creating limits on how much data customers can consume, and raising the price of that data.
  • T-Mobile, AT&T and Verizon have all phased out their unlimited plans, and introduced tiered plans that charge customers based on how much data they consume. Only Sprint still offers an unlimited data plan.
  • Some developers worry that the caps will stifle innovation of data-intensive applications, and that customers may blame the applications if they go over their limits. This problem is compounded by the fact that consumers have no intuitive sense of how much data a given application may be using.
  • Industry analysts predict that the availability of data will become an increasingly important profit stream for cellular carriers, and a key point of competition between them.

Unlocked iPhone Could Impact the Subsidized Carrier Model

  • While Apple has been working on the design elegance and overall quality of its iPhone, the existing business model with carrier partners has allowed the company to hide the true cost of the device in two-year contracts. Apple’s upcoming iPhone 5 launch may change this model.
  • The company is rumored to be considering a $350 price point for an entry level unlocked iPhone.
  • T-GAAP reports: “The main purpose for such a device is to penetrate China and other regions which are not fond of subsidized programs. If Apple can deliver an unlocked iPhone starting at $350, the impact in China will be stunning, and send U.S. and European carriers scrambling.”
  • If this is the case, consumers would be able to purchase an iPhone from the Apple Store and select any prepaid plan of their choosing (such as an “all-you-can-eat $50 month-to-month T-Mobile or Cricket or Boost plan”).
  • Carriers would most likely push other phones, but it may be too late for that based on consumer demand. Their next move could be lower entry prices for the iPhone.
  • “Plan on AT&T, Verizon and Sprint offering two-year contract plans for the iPhone 5 starting at $149,” suggests T-GAAP. “Carriers wil be scrambling to protect a model that has done them so well for the past 15 years. However, Apple is about to pull it all apart with a single product launch.”