Category Archives: Mobile Industry

Under the Radar: Mobility

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Dealmaker Media has announced the first group of presenting companies at their upcoming Under the Radar: Mobility event.  On November 12th, a one day conference will feature the presentations of 32 vetted mobile startups.  The first group is listed below.

Apisphere, LBS platform for mobile apps with a SaaS business model.
Avot Media, Intelligent search, near real-time streaming and personalization of video delivery to web-enabled mobile devices.
Billing Revolution, All-in-One solution to mobile commerce, from processing to CRM.
BrightKite, Location-based social network.
DialPlus, The ultimate smartphone: Relevant, context-sensitive info on your interface before, during and after a call.
Goojet, Widgetized Browsing: Trick out your mobile interface with your favorite website logos.
Mob4Hire, A Developer’s Dream: Crowd-sourced testing of mobile or cell applications.
Mojiva, The Mobile Ad Toolkit – Makes it easy to create and deliver location-based hyper-targeted mobile ads.
My6Sense, A.I. engine that studies your content consumption and ranks it into your interface.
Palringo, Rich messaging across all IM services, on your phone.
PhoneTopp, Hyper-charged platform for mobilizing business apps.
Purple Talk, Enables iPhone developers to track the usage of their apps through advanced analytics, and facilitates a free ad exchange program.
Skout, Location-based social network.
Soocial, Works behind the scenes to sync your Mac, mobile and 3rd party apps.
Toro, Near field communication applications.
Vuclip, Mobile video search and delivery.

Expert judges will quiz and challenge the startups selecting their favorites from categories such as iPhone apps, location-based services, gaming, social networking, enabling technologies, and marketing/advertising.

India loves to talk on mobile phones

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The Economic Times reports that Indian talk-time on mobile phones has reached a high of 461 minutes per month per subscriber. Indians are the most talkative nationality in the Asia-Pacific region out chatting the largest mobile market, China with 450 million subscribers, by 150 to 240 minutes.

The world’s four largest mobile markets are China, US, India and Russia. When it comes to usage, India with 166 million subscribers is second only to the US where the average American spends 838 minutes per month talking on their mobile phones. Russia with the fourth largest subscriber base logged a mere 88 minutes per month. China falls in the middle with China Mobile reporting usage of 303 mintues per month and China Unicom at 220 mintues.

Some of the variance in talk-time is easily explained by the assoicated tariffs. For example, voice charges in India average $.02 per minute with about $.01 per SMS making it one of the world’s cheapest mobile markets. India, also, adheres to the calling party pays and free inbound SMS schemes familiar to Europeans. Callers and receivers both pay in the US, but subscribers purchase flat rate buckets of minutes on both postpaid and prepaid plans many of which, now, include unlimited SMS. Contrast these subscriber friendlier plans with Russia where voice calls average $.20 per minute within a city and $.27 per minute from, say, Moscow to St. Petersburg. Also, both inbound and outbound calls are charged. Clearly, price matters.

India’s low tariff market is also a low penetration market. Although, growth rates are soring with 68% subscriber increase from March of 2006 to March 2007 according to the Telecom Regulatory Authority of India (TRAI) in Delhi. And with the India mobile market forecasted to triple in the next four years, heavy weights like Vodafone are betting big on talkative Indians.

Sierra Wireless Acquires Cradlepoint

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Congratulations to my new favorite tech gadget company Cradlepoint for today’s acquisition bySierra Wireless. Sierra Wireless expands their product offerings from wireless data cards and embedded modules which provide connectivity to mobile networks from PCs.

My Cradlepoint PHS-300 also called a “Personal Wi-Fi Hotspot” is used to connect my Nokia N95 GSM device to the faster EVDO Rev A network. Rev A uplink connection is a zippy 1.8 MBs, in contrast to the GSM carriers in the US who top out at 700 kbs. The N95’s Wi-Fi radio makes this solution possible. Many mobile devices are beginning to ship with a set of three radios: CDMA or GSM, Wi-Fi and Bluetooth. It’s liberating to choose the best network for connectivity and have the compatibility problem solved by a Wi-Fi bridge. Adding mobility to the solution, the PHS-300 is battery-powered with a battery-life of 2 hours.

Cradlepoint PHS-300

Pat Phelan telecom distruptor and entrepreneur of CubicTelecom first alerted me to the Cradlepoint as the right solution for capturing and streaming video over US CDMA networks.

The deal is good news for Cradlepoint and good news for Sierra Wireless who now face stiff competition from Qualcomm’s Gobi in the embedded mobile broadband connectivity market. Cradlepoint is well positioned to continue innovating with SWIP’s resources and SWIR expands it’s product suite.

When asked about continued support of USB modems which compete with SWIR like the Novatel I own, Gary Oliverio, vp of marketing, said,

Our mission is to make sure we support as many handsets and modems as we can…we’ll be the Mobile Broadband Router division of SWIR, and will remain intact as an organization. Of course, we’ll continue to innovate with new clever products, features, and ideas!

The current list of supported cards and devices is as follows.

Compatible Cards

  • Sprint: Novatel U727, Novatel U720, Sierra 595U, Franklin CDU-550, Franklin CDU-680 & EX720-with adapter
  • Verizon: Pantech UM150, Novatel 720U, Sierra 595U & V740-with adapter
  • AT&T: AT&T USBConnect 881, Sierra AirCard 881U & Option GT Max 3.6 Express (with adapter)

Compatible Phones

  • Sprint: LG Musiq,Motorola RAZR V3c, Motorola RAZR2, Motorola Q (Not Q9c), Palm 700w, Palm 700p, Palm 755p, RIM Blackberry 8703e, RIM Blackberry 8830, Samsung A920, Samsung i830, Sanyo Katana 2, Sanyo M1
  • Verizon: LG VX7200, LG VX8000, Motorola RAZR V3c, Palm 700p, RIM Blackberry 8703e
  • AT&T: Motorola RAZR v3xx, Motorola Q v9h, Samsung SGH-A707, Samsung Blackjack

The PHS-300 was the perfect solution for increasing upload speeds by using the EVDO Rev A network and enhances the quality of streamed video as I produced during CTIA last week. The last remaining piece to the puzzle is use of an external mic. This solution is being addressed by Nokia and I’m hoping to report on it very soon.

Check out the press release for the details – Sierra Wireless Announces Acquisition of Cradlepoint, Inc. (pdf)

Tech Crunch 40 Begins

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Mike Arrington and Jason Calacanis kick off the event announcing that 1/3rd of the companies presenting are not funded having received less than 500K thus far.

A short history of Tech Crunch 40 was provided starting with the two organizers meeting through participation on the Gilmor Gang podcast.   In a discussion of the Demo Conference, the issue of startups paying thousands of dollars to be on stage along with Steve Gillmor’s encouragement for Mike delivering a conference the two came together to launch Tech Crunch 40.

Judges will assess the companies and award a $50,000 cash prize at the end of the conference.  One slot has been left open for the selection of a company by the TC 40 audience.  Poker chips were handed out at registration and are to be given to one’s favorite company presenting in the Demo Pit.  The Demo Pit company with the most chips at noon tomorrow will be the last presenter tomorrow and eligible for the grand prize.

I’m happy to report that there are a number of excellent mobile companies here both on stage and in the Demo Pit.   You’ll know you’ll here more about them all this week.

First company on stage is Powerset Labs.  Stay tuned for more from TC 40.

Eric Schmidt confirms Google 700 MHz bid

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While speaking at The Progress and Freedom Foundation Aspen Summit on August 21, 2007, Eric Schmidt states that Google plans to make good on their 700 MHz bid of 4.6 Billion with a caveat. He explains that the FCC’s final language will be “important.” The principles that the FCC embraced need to be reflected in the actual rules when they are published. At about 30 minutes, you’ll hear the confirmation. In addition, Schmidt seems to indicate Google is collaborating with others on their bid.

 

He also explains the power of the same features highlighted by John Stratton, CMO of Verizon Wireless that the combination of phone, camera, data network and GPS makes the advertising delivered to mobile subscribers enormously valuable.

The Attention Economy and Mobile Web 2.0

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Pay attention! This phrase takes on a whole new meaning in the context of information overload from our modern day communications choices. The 24 hour news day, 500+ channels of TV on cable and dish networks, radio, XM, Sirius, and the web along with one of it’s offspring, the blogosphere, are producing an unprecedented amount of media all vying for our attention. Attention economics is here and beginning to be realized and leveraged by companies large and small. Individual attention is a scarce commodity; scarcity creates value. The primary function of company involvement in the Attention Economy has been focused on advertising, and “paying attention” hints what some hope are the dynamics of Long Tail participation in this market.

Media is the dominant delivery mechanism of advertising and by necessity locked in fierce competition to capture and hold your attention primarily for the purposes of securing ad revenue for the profitable development of their creative products and services. Whether one watches Lost on ABC, listens to All Things Considered on NPR, or reads Robert Scoble’s blog, advertisers or sponsors are funding that experience to gain access to the media consumer’s attention. In the realm of media, the producer acts as the owner of your attention. You pay attention to their media properties. Producers collect information on what and when you pay attention, and in turn, sell your attention to advertisers who wish to deliver their marketing messages.

Who owns your attention

When you use Google or Yahoo! for web search or visit blogs that partner with Adsense or Yahoo! Publisher, it is the search engine that acts as owner of your attention. Stored on Google and Yahoo! servers are the clickstreams of millions. Whether you click through the results of a web search or on an ad placed on a blog, the search engines sell your attention and gestures to advertisers who pay for the increased likelihood that they will get your attention long enough or at the right time to convert you into a customer for themselves or their client companies.

Social networks like MySpace, Facebook, Beebo, Flickr etc. act as the owners of your attention. As you participate in building your profile, interacting with objects in the network (e.g., applications, media, other users) and/or publish your own original content an overwhelming amount of information is available on where and to what you are paying attention. This treasure trove of data is combed on both the front-end and back-end of these networks by advertisers eager to get their message into your view and attention.

John Stratton, CMO of Verizon Wireless (VZW), dramatically declared to big media and advertisers that they own the attention of their subscribers. The following audio excerpt is from John Stratton’s speech at AdAge’s 2006 Madison & Vine Conference bringing together Hollywood and Madison Avenue. In his speech, Stratton explains the value of Verizon’s subscriber attention by describing how his company sold 10,000 concert tickets in one hour.

 

Stratton sees Verizon Wireless as the owner of your attention to be sold to both Hollywood and Madison Avenue and likely anyone willing to pay Verizon Wireless for ad delivery. Did you download a hip hop ringtone last month? Are you a mobile gamer? Do you live in Los Angeles? Is your name Stacy? VZW’s view into your clickstream is even more powerful than the view of Google, or Yahoo! Web companies have mastered the collection of to what and when you’re paying attention, but VZW can add the layers of where and who you are (identity).

The US government mandated E911 regulation requires carriers to build the infrastructure to accurately determine your location and provide that information to public safety organizations for emergency services. As a result, GPS equipped devices are widely deployed and in use (e.g., personal navigation is one of the breakthrough applications on the carriers’ data networks). Further, your mobile phone number identifies you just as surely as your driver’s license or your passport. Credit checks and state issued identification are requirements for the process of purchasing a mobile phone.

Attention Trust & Root Vault

Your attention has value. It is scarce. Businesses are using technology and services to act as owners of your attention. In 2005, the Attention Trust was formed by Steve Gillmor and Seth Goldstein in an attempt to conceptually create property rights around attention and ensure the ownership of that property resided with it’s originator, you.

Attention Trust

Beyond providing consumer protection and the creation of property rights, Attention Trust seeks to enable individuals to capture their own clickstreams and bring them to market just as your many service providers do. The Attention Recorder is a browser plugin that enables an individual to collect their own clickstream and store it. Individuals may choose to store their clickstream on a local hard drive or on one the services authorized by Attention Trust.

Attention data stored on a service can be bought, sold or traded. Third party investors may purchase attention data and act as arbiters. Advertisers might bid on clickstreams or purchase them outright. The originator of the clickstream owns their data and can chose who is allowed to purchase the data and who is not. It remains to be seem if these initial efforts and services can sustain themselves until the market can be educated.

Attention Economy Leverage

Some companies are getting wise to the fact that the byproducts of Attention Economy also have value. A blogger swarm on any given topic can generate millions of page views; a rapid worldwide spread of a technology, story, event or concept (i.e., a network effect); and the energy drink of all web site owners – google juice. Google juice and related mechanisms for driving an Idea Virus into mainstream consciousness, generally occurring through the leap from the blogosphere into the mainstream media, results in economic value not only in the context of attention, but also, monetarily.

An early example of leverage applied to the attention economy is the phrase Web 2.0. The phrase was coined in 2003, by O’Reilly Media to name a conference held in October, 2004, and instantly popularized by the technology blogosphere. O’Reilly had partnered with CMP to produce the series of Web 2.0 conferences. A blog swarm formed across technology bloggers around the first conference and it’s central theme of “the web as a platform.” In November, 2004, CMP applied for a service mark on the phrase Web 2.0. A service mark is a type of trademark that is used to mark services instead of products.

It is notable that the Web 2.0 service mark application was filed not when the term was coined in 2003 or even over the next year during conference preparation. It was applied for after the conference in November once the term had been popularized among technology bloggers. The existence of the service mark was largely unknown until a small not-for-profit conference in Ireland chose to use the phrase Web 2.0 in the title of it’s conference in 2006. CMP sent a cease-and-desist letter demanding that IT@Cork discontinue the use of it’s service mark. However, according to trademark law a mark loses protection when it becomes a generic term. According to the Harvard School of Law’s documentation on trademark law, Web 2.0 not only “lost” it’s protection via genericity,

A word will be considered generic when, in the minds of a substantial majority of the public, the word denotes a broad genus or type of product and not a specific source or manufacturer. So, for example, the term “thermos” has become a generic term and is no longer entitled to trademark protection. Although it once denoted a specific manufacturer, the term now stands for the general type of product. Similarly, both “aspirin” and “cellophane” have been held to be generic. In deciding whether a term is generic, courts will often look to dictionary definitions, the use of the term in newspapers and magazines, and any evidence of attempts by the trademark owner to police its mark.

but the clearly generic nature of “web” should have prevented the mark from becoming registered at all.

Finally, a generic mark is a mark that describes the general category to which the underlying product belongs. For example, the term “Computer” is a generic term for computer equipment. Generic marks are entitled to no protection under trademark law. Thus, a manufacturer selling “Computer” brand computers (or “Apple” brand apples, etc.) would have no exclusive right to use that term with respect to that product. Generic terms are not protected by trademark law because they are simply too useful for identifying a particular product. Giving a single manufacturer control over use of the term would give that manufacturer too great a competitive advantage.

CMP leveraged the attention network effect created by the swarm of technology bloggers writing and commenting on the Web 2.0 concept. They captured the term’s accrued value by securing a service mark. Whether these events have a direct relationship to the next case is unknown, but a precedent for business and leveraging the Attention Economy was set.

Verzion Wireless announces Mobile Web 2.0(SM)

Verizon Wireless authored and distributed a press release that no doubt many have read as it was reported across the blogosphere, trade press and the mainstream press earlier this week. The press release was titled: Now It Is Even Easier to Get the Info You Want With Mobile Web 2.0 From Verizon Wireless. On seeing the document I immediately took note of the (SM) following mentions of Verizon Wireless’ Mobile Web 2.0 product, as in the following example.

VZW Mobile Web 2.0 SM

In addition, VZW’s press kit (pdf) dated 08/17/07, also, carries the service mark on it’s new product name, Mobile Web 2.0. I phoned Jim Gerace at VZW for comment to verify the service mark application and the date of application, but my call was not returned in time for this article.

VZW is capitalizing on the existing high attention valuation for the phrase Mobile Web 2.0 and it’s forerunner Web 2.0 which has clearly reached mainstream awareness and has become part of the technology vernacular globally. Applying the concepts of Web 2.0 to mobile data applications began at least 2 years ago as evidenced by a book titled Mobile Web 2.0 published in 2006, 272 mil search results at Google, and 3,164 blog posts as indicated by Google Blogsearch. The company can leverage this attention valuation to save on marketing spend, and equally prevent competitors from sharing in that value by using a service mark to proclaim ownership.

Does Verizon Wireless plan to defend this mark? If not, why apply for a mark at all?

Mobile is a generic term. Web is a generic term. The practice of versioning originally used in software parlance has produced gems such, “Al Qaeda 2.0″ from CNN, and “Al Gore 2.0″ from Fox News. Further, the application of Mobile Web 2.0 to VZW’s mobile web service is the very definition of a generic mark in trademark law.

Generic Mark Defense by Payola

One of the more sensational instances of a company defending a generic mark was the case ofMicrosoft v. Lindows, Inc. Microsoft claimed that the name Lindows infringed it’s trademark on Windows. In this case, Michael Robertson founder of Lindows, Inc. and previously MP3.com, was well armed to demonstrate that Windows was a generic mark. The term “windows” was used extensively in a generic sense by the Unix community and in early documents from research at Xerox Parc to describe UI design elements.

Lindows, Inc. had Microsoft in an awkward position and the company’s choices became increasingly limited. They could bring Lindows, Inc. to court for infringement and risk invalidation of their Windows trademark, or allow Lindows to dillute the trademark and lose it that way. The only way that Microsoft could save its Windows trademark in the end was to pay Lindows, Inc. $10 mil to change their name. So, Lindows, Inc. became Linspire, Inc.

Paying Attention to Verizon Wireless

Shouldn’t VZW’s move to Mobile Web 2.0 be celebrated? Afterall, the carrier is willing to embrace the principles of Mobile Web 2.0, like open APIs, open standards, the full web browser interface, the internet as platform, and the power of indy content. This is great news for subscribers and developers. Finally, carriers will lift their heavy boot from the stream of innovation that open APIs represent for developers and restore that direct relationship loop between user and developer that has propelled WWW innovation.

Similarly, Vodafone’s move to open up the full web experience to their customers this summer was met with praise across the blogosphere, mainstream press, analysts and from their subscribers in the UK. Carriers and operators are at long last understanding the value of taking down their walled gardens of content. Acceptance of Mobile Web 2.0 from VZW means the subscriber is in control and true choice is at long last possible.

Recall that the Stratton speech focused on VZW as a media company. The full embrace of Mobile Web 2.0 means that VZW would compete for ad revenue against the Internet media giants like Yahoo!, Google, MSN, YouTube, MySpace, Facebook, etc. What a huge change this new openness represents over the carrier’s attempt of being an application company and the “Mobile Internet” (which became known to users as WAP is Crap) initiatives of the past.

VZW’s Mobile Web 2.0 is…

an updated version of their portal with space for advertising. To VZW Mobile Web 2.0 is a walled garden. Access to the walled garden costs $5.00 per month plus air time (VZW charges it’s subs for the minutes an application is open on a handset along with the monthly subscription for application access) AND comes with advertising on every page. There are, also, featured links which is code forpaid placement. So then, Mobile Web 2.0 is a maximized revenue instance of a walled garden. Who knew?

So the joke is on everyone. Not only does VZW trademark a term popularized by indy media, and countless conferences where hands are held across the divide between web development and mobile development, but in a kind of one finger salute, VZW applies the term for ultimate mobile openness to their walled garden.

It’s time to pay attention to Verizon Wireless. Those who write, speak and evangelize independently may not have legal standing or individually the legal resources to follow the USPTO’s trademark application objection process, but this is the Attention Economy. We can create a negative incentive on VZW’s misappropriation of our attention. A different precedent is needed.

Perhaps a mobile startup will want to play the role of Lindows, Inc. A $10 mil settlement would be a nice round of funding with no term sheet attached.

The Attention Economy and Mobile Web 2.0

Published by:

Pay attention! This phrase takes on a whole new meaning in the context of information overload from our modern day communications choices. The 24 hour news day, 500+ channels of TV on cable and dish networks, radio, XM, Sirius, and the web along with one of it’s offspring, the blogosphere, are producing an unprecedented amount of media all vying for our attention. Attention economics is here and beginning to be realized and leveraged by companies large and small. Individual attention is a scarce commodity; scarcity creates value. The primary function of company involvement in the Attention Economy has been focused on advertising, and “paying attention” hints what some hope are the dynamics of Long Tail participation in this market.

Media is the dominant delivery mechanism of advertising and by necessity locked in fierce competition to capture and hold your attention primarily for the purposes of securing ad revenue for the profitable development of their creative products and services. Whether one watches Lost on ABC, listens to All Things Considered on NPR, or reads Robert Scoble’s blog, advertisers or sponsors are funding that experience to gain access to the media consumer’s attention. In the realm of media, the producer acts as the owner of your attention. You pay attention to their media properties. Producers collect information on what and when you pay attention, and in turn, sell your attention to advertisers who wish to deliver their marketing messages.

Who owns your attention

When you use Google or Yahoo! for web search or visit blogs that partner with Adsense or Yahoo! Publisher, it is the search engine that acts as owner of your attention. Stored on Google and Yahoo! servers are the clickstreams of millions. Whether you click through the results of a web search or on an ad placed on a blog, the search engines sell your attention and gestures to advertisers who pay for the increased likelihood that they will get your attention long enough or at the right time to convert you into a customer for themselves or their client companies.

Social networks like MySpace, Facebook, Beebo, Flickr etc. act as the owners of your attention. As you participate in building your profile, interacting with objects in the network (e.g., applications, media, other users) and/or publish your own original content an overwhelming amount of information is available on where and to what you are paying attention. This treasure trove of data is combed on both the front-end and back-end of these networks by advertisers eager to get their message into your view and attention.

John Stratton, CMO of Verizon Wireless (VZW), dramatically declared to big media and advertisers that they own the attention of their subscribers. The following audio excerpt is from John Stratton’s speech at AdAge’s 2006 Madison & Vine Conference bringing together Hollywood and Madison Avenue. In his speech, Stratton explains the value of Verizon’s subscriber attention by describing how his company sold 10,000 concert tickets in one hour.

 

Stratton sees Verizon Wireless as the owner of your attention to be sold to both Hollywood and Madison Avenue and likely anyone willing to pay Verizon Wireless for ad delivery. Did you download a hip hop ringtone last month? Are you a mobile gamer? Do you live in Los Angeles? Is your name Stacy? VZW’s view into your clickstream is even more powerful than the view of Google, or Yahoo! Web companies have mastered the collection of to what and when you’re paying attention, but VZW can add the layers of where and who you are (identity).

The US government mandated E911 regulation requires carriers to build the infrastructure to accurately determine your location and provide that information to public safety organizations for emergency services. As a result, GPS equipped devices are widely deployed and in use (e.g., personal navigation is one of the breakthrough applications on the carriers’ data networks). Further, your mobile phone number identifies you just as surely as your driver’s license or your passport. Credit checks and state issued identification are requirements for the process of purchasing a mobile phone.

Attention Trust & Root Vault

Your attention has value. It is scarce. Businesses are using technology and services to act as owners of your attention. In 2005, the Attention Trust was formed by Steve Gillmor and Seth Goldstein in an attempt to conceptually create property rights around attention and ensure the ownership of that property resided with it’s originator, you.

Attention Trust

Beyond providing consumer protection and the creation of property rights, Attention Trust seeks to enable individuals to capture their own clickstreams and bring them to market just as your many service providers do. The Attention Recorder is a browser plugin that enables an individual to collect their own clickstream and store it. Individuals may choose to store their clickstream on a local hard drive or on one the services authorized by Attention Trust.

Attention data stored on a service can be bought, sold or traded. Third party investors may purchase attention data and act as arbiters. Advertisers might bid on clickstreams or purchase them outright. The originator of the clickstream owns their data and can chose who is allowed to purchase the data and who is not. It remains to be seem if these initial efforts and services can sustain themselves until the market can be educated.

Attention Economy Leverage

Some companies are getting wise to the fact that the byproducts of Attention Economy also have value. A blogger swarm on any given topic can generate millions of page views; a rapid worldwide spread of a technology, story, event or concept (i.e., a network effect); and the energy drink of all web site owners – google juice. Google juice and related mechanisms for driving an Idea Virus into mainstream consciousness, generally occurring through the leap from the blogosphere into the mainstream media, results in economic value not only in the context of attention, but also, monetarily.

An early example of leverage applied to the attention economy is the phrase Web 2.0. The phrase was coined in 2003, by O’Reilly Media to name a conference held in October, 2004, and instantly popularized by the technology blogosphere. O’Reilly had partnered with CMP to produce the series of Web 2.0 conferences. A blog swarm formed across technology bloggers around the first conference and it’s central theme of “the web as a platform.” In November, 2004, CMP applied for a service mark on the phrase Web 2.0. A service mark is a type of trademark that is used to mark services instead of products.

It is notable that the Web 2.0 service mark application was filed not when the term was coined in 2003 or even over the next year during conference preparation. It was applied for after the conference in November once the term had been popularized among technology bloggers. The existence of the service mark was largely unknown until a small not-for-profit conference in Ireland chose to use the phrase Web 2.0 in the title of it’s conference in 2006. CMP sent a cease-and-desist letter demanding that IT@Cork discontinue the use of it’s service mark. However, according to trademark law a mark loses protection when it becomes a generic term. According to the Harvard School of Law’s documentation on trademark law, Web 2.0 not only “lost” it’s protection via genericity,

A word will be considered generic when, in the minds of a substantial majority of the public, the word denotes a broad genus or type of product and not a specific source or manufacturer. So, for example, the term “thermos” has become a generic term and is no longer entitled to trademark protection. Although it once denoted a specific manufacturer, the term now stands for the general type of product. Similarly, both “aspirin” and “cellophane” have been held to be generic. In deciding whether a term is generic, courts will often look to dictionary definitions, the use of the term in newspapers and magazines, and any evidence of attempts by the trademark owner to police its mark.

but the clearly generic nature of “web” should have prevented the mark from becoming registered at all.

Finally, a generic mark is a mark that describes the general category to which the underlying product belongs. For example, the term “Computer” is a generic term for computer equipment. Generic marks are entitled to no protection under trademark law. Thus, a manufacturer selling “Computer” brand computers (or “Apple” brand apples, etc.) would have no exclusive right to use that term with respect to that product. Generic terms are not protected by trademark law because they are simply too useful for identifying a particular product. Giving a single manufacturer control over use of the term would give that manufacturer too great a competitive advantage.

CMP leveraged the attention network effect created by the swarm of technology bloggers writing and commenting on the Web 2.0 concept. They captured the term’s accrued value by securing a service mark. Whether these events have a direct relationship to the next case is unknown, but a precedent for business and leveraging the Attention Economy was set.

Verzion Wireless announces Mobile Web 2.0(SM)

Verizon Wireless authored and distributed a press release that no doubt many have read as it was reported across the blogosphere, trade press and the mainstream press earlier this week. The press release was titled: Now It Is Even Easier to Get the Info You Want With Mobile Web 2.0 From Verizon Wireless. On seeing the document I immediately took note of the (SM) following mentions of Verizon Wireless’ Mobile Web 2.0 product, as in the following example.

VZW Mobile Web 2.0 SM

In addition, VZW’s press kit (pdf) dated 08/17/07, also, carries the service mark on it’s new product name, Mobile Web 2.0. I phoned Jim Gerace at VZW for comment to verify the service mark application and the date of application, but my call was not returned in time for this article.

VZW is capitalizing on the existing high attention valuation for the phrase Mobile Web 2.0 and it’s forerunner Web 2.0 which has clearly reached mainstream awareness and has become part of the technology vernacular globally. Applying the concepts of Web 2.0 to mobile data applications began at least 2 years ago as evidenced by a book titled Mobile Web 2.0 published in 2006, 272 mil search results at Google, and 3,164 blog posts as indicated by Google Blogsearch. The company can leverage this attention valuation to save on marketing spend, and equally prevent competitors from sharing in that value by using a service mark to proclaim ownership.

Does Verizon Wireless plan to defend this mark? If not, why apply for a mark at all?

Mobile is a generic term. Web is a generic term. The practice of versioning originally used in software parlance has produced gems such, “Al Qaeda 2.0″ from CNN, and “Al Gore 2.0″ from Fox News. Further, the application of Mobile Web 2.0 to VZW’s mobile web service is the very definition of a generic mark in trademark law.

Generic Mark Defense by Payola

One of the more sensational instances of a company defending a generic mark was the case ofMicrosoft v. Lindows, Inc. Microsoft claimed that the name Lindows infringed it’s trademark on Windows. In this case, Michael Robertson founder of Lindows, Inc. and previously MP3.com, was well armed to demonstrate that Windows was a generic mark. The term “windows” was used extensively in a generic sense by the Unix community and in early documents from research at Xerox Parc to describe UI design elements.

Lindows, Inc. had Microsoft in an awkward position and the company’s choices became increasingly limited. They could bring Lindows, Inc. to court for infringement and risk invalidation of their Windows trademark, or allow Lindows to dillute the trademark and lose it that way. The only way that Microsoft could save its Windows trademark in the end was to pay Lindows, Inc. $10 mil to change their name. So, Lindows, Inc. became Linspire, Inc.

Paying Attention to Verizon Wireless

Shouldn’t VZW’s move to Mobile Web 2.0 be celebrated? Afterall, the carrier is willing to embrace the principles of Mobile Web 2.0, like open APIs, open standards, the full web browser interface, the internet as platform, and the power of indy content. This is great news for subscribers and developers. Finally, carriers will lift their heavy boot from the stream of innovation that open APIs represent for developers and restore that direct relationship loop between user and developer that has propelled WWW innovation.

Similarly, Vodafone’s move to open up the full web experience to their customers this summer was met with praise across the blogosphere, mainstream press, analysts and from their subscribers in the UK. Carriers and operators are at long last understanding the value of taking down their walled gardens of content. Acceptance of Mobile Web 2.0 from VZW means the subscriber is in control and true choice is at long last possible.

Recall that the Stratton speech focused on VZW as a media company. The full embrace of Mobile Web 2.0 means that VZW would compete for ad revenue against the Internet media giants like Yahoo!, Google, MSN, YouTube, MySpace, Facebook, etc. What a huge change this new openness represents over the carrier’s attempt of being an application company and the “Mobile Internet” (which became known to users as WAP is Crap) initiatives of the past.

VZW’s Mobile Web 2.0 is…

an updated version of their portal with space for advertising. To VZW Mobile Web 2.0 is a walled garden. Access to the walled garden costs $5.00 per month plus air time (VZW charges it’s subs for the minutes an application is open on a handset along with the monthly subscription for application access) AND comes with advertising on every page. There are, also, featured links which is code forpaid placement. So then, Mobile Web 2.0 is a maximized revenue instance of a walled garden. Who knew?

So the joke is on everyone. Not only does VZW trademark a term popularized by indy media, and countless conferences where hands are held across the divide between web development and mobile development, but in a kind of one finger salute, VZW applies the term for ultimate mobile openness to their walled garden.

It’s time to pay attention to Verizon Wireless. Those who write, speak and evangelize independently may not have legal standing or individually the legal resources to follow the USPTO’s trademark application objection process, but this is the Attention Economy. We can create a negative incentive on VZW’s misappropriation of our attention. A different precedent is needed.

Perhaps a mobile startup will want to play the role of Lindows, Inc. A $10 mil settlement would be a nice round of funding with no term sheet attached.

You might be paying $1,000 per MB for SMS

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Many mobile prepaid service plans in the US still require a per SMS charge. Most charge for sending and receiving and include a premium charge for sending to other countries. Have you ever sat down to figure out how much you’re really paying for this frictionless and convenient mode of communication?

The Plans

    ATT

  • $.15 send & $.15 receive – domestic
  • $.20 send & $.15 receive – international
  • $4.99 200 message bundle
  • $19.99 unlimited messages
    Verizon

  • $.10 send & $.10 receive domestic to other Verizon phone
  • $.15 send & $.15 receive domestic to other carrier
  • $.25 send & $.10 receive international
  • no bundles
    Sprint/Nextel by Boost Mobile

  • $.10 send & $0 receive
  • $5.00 unlimited messages
    Virgin Mobile MVNO via Sprint

  • $.05 send & $.05 receive
  • $4.99 200 message bundle
  • $1.99 50 message bundle

A Bit of Math

SMS max message size is 160 characters. One character equals one byte. There are 1024 x 1024 or 1,048,576 bytes in 1MB.

So there are 1,048,576 / 160 or 6553.6 SMS messages in 1MB of data.

NOTE: this assumes you use all the characters available in every message which none of us do. Some examples of really short messages show up on my phone frequently like “Ready?” “You home?” “Let’s go.” For illustration purposes and easier math, I’m assuming all 160 characters per message are used.

Calculating message traffic per MB these prepaid subscribers are paying the following rates.

Fun Facts

      ATT

    • $983.04 per 1MB of message data – domestic
    • $1310.72 per 1MB of message data – international
    • $163.84 per 1MB of message data – 200 message bundle

Note the unlimited amount depends on how many are sent, but for illustration lets’s say you sent and received 1000 SMS. You’re per MB charge is $131.07.

    Verizon

  • $655.36 per 1MB of message data – domestic to other Verizon phone
  • $983.04 per 1MB of message data – domestic to other carrier
  • $1638.40 per 1MB of message data – international
  • no bundles
    Sprint/Nextel by Boost Mobile

  • $655.36 per 1MB of message data
  • $32.77 per 1MB of message data (assuming 1000 messages per month)
    Virgin Mobile MVNO via Sprint

  • $327.68 per 1MB of message data
  • $163.84 per 1MB of message data – 200 message bundle
  • $260.83 per 1MB of message data – 50 message bundle

No wonder the Internet is jealous of mobile data! Oh! and Happy 15th to SMS.

Google Adsense Nonsense Final Chapter?

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The bad check story seems to have struck a chord with lots of people. I’ve enjoyed reading the various posts and comments left here and elsewhere. Thank you to everyone who added to the conversation.

First, the story was picked up by Valleywag and the avalanche began from there. The Huffington Post ran the story from Valleywag and next someone posted it to digg. My traffic exploded thanks to hitting the digg front page. Next, from digg it moved to StumbleUpon and later a number of very high profile news portals and blogs.

Notice that there are zero ads on mobilejones.com and that has been the case since I began to write about Adsense. I intentionally and perhaps foolishly didn’t want ads during the story’s life span. The point of posting about this situation was not to serve as link bait and drive traffic for monetization purposes, but to humanize this problem and get Google’s attention. From that perspective I will declare my efforts a success.

Everyone no doubt wants to know if Google made good on the check. The answer is yes. But there’s more to the story and I can’t resist sharing it with you.

July 10th – check bounces and tried to call someone at Google

July 10th – sent an email to Jesus via the generic adsense-support@google.com email address. I had no idea who if anyone might receive that communication. Apparently, no one did.

July 11th AM – phoned Google HQ and left a message with whoever answered the phone for Brian the Adsense payments operations management guy. I was assured that the message would be delivered. The message was to inform him that the check had bounced and I needed further instruction. Basically, a “what now?” plea.

No word. No reply.

July 11th PM – post check bounced article to mobilejones.com

No word. No reply.

July 12th – post a comment to Matt Cutts blog which is never published because it posted on an article about Amazon customer service – off topic I presume. Matt did return and comment here on the 13th.

No word. No reply.

July 12th PM – post “by the numbers” article on mobilejones.com

July 13th – Google Adsense calls to discuss their findings and recommendations

  • Calling are Suzie and Scott – self described as – in management at Google and covering for Brian who began vacation on July 12th.
  • My message to Brian didn’t get through. There maybe more than one Brian in Adsense payments they tell me.
  • Adsense checks are deposit only (FAQ mentions this for Citibank checks, but mine was from Wells Fargo)

Google would be happy to talk to my bank to ensure the check goes through. (why would that be necessary – and no, don’t want you talking to my bank, thanks) Google already knows everything about me other than the location of the largest birthmark on my body. This idea felt a bit intrusive. Where’s the mystery if you know it all, Google?

Scott the Google management covering for Brian whiles he’s on vacation guy offers to call me back on Monday to ensure all is well, and wants me to know that they want to solve the problem and will stay with the issue until it is resolved.

I tell Scott this. I don’t want to deposit the check. I want to cash it and use the cash for a down payment on a car.

We’re sorry for the inconvenience, Scott tells me.

July 14th – Wells Fargo cashes the check and wants to sign me up for a checking account. I leave the bank happy without a new checking account.

July 16th – at 9AM as scheduled Scott and Suzie call. I inform them that the check is cashed and all is well.

They want me to know that their findings indicate that the problem was a technical one and that the engineers are already tasked with fixing an issue around updates that fall close to the payment cutoff date every month.

Scott and Suzie tell me that my case is being studied to determine how to improve the system. Being a perfect storm, they have learned much from my case.

I ask, “What did you learn? I’d like to hear your takeaways. That’s important to me. I know what I learned.”

Suzie continues to explain the technical issue that they are chasing down and that the engineers are already working on it.

Scott answers with something that I didn’t expect to hear. “We’ve learned that our payment system and what we do has real impact of the lives of our publishers.” Bingo! Empathy is a great teacher.

We discussed what I felt was the more important aspects of creating the perfect storm and that was Google policy and process. Google services accounts with millions of publishers. And like the Wizard of OZ, on our journey we hear about the goodness of the Wizard (Google) and that he can grant our wishes (for revenue) simply by the asking. So when we knock on the door of the Emerald City (Googleplex) only to find a gatekepper who chases us away, it’s not only frustrating but like Dorothy we question the goodness and wisdom of this so called Wizard.

I asked as many others have before me, “What is the revenue split between Google Adsense and we publishers?” Scott explains that this is information Google will not release. I ask him, why, when other ad networks do release this information, would Google want to create a trust issue with it’s publishers rather than be transparent about their take. The only reason I can imagine for not disclosing the details of the revenue split is that it must be unfair to publishers.

What I learned from this experience is that I joined the Adsense network as a publisher/business partner with Google without much thought to the logic and benefits in that partnership. I didn’t give much thought to what I wanted from a partnership with Google or what I wanted from monetizingmobilejones.com. It’s now time to reset and approach my relationship to advertising from a more structured and thoughtful position.

If my experience in this perfect storm of a customer service episode improves things at Google for publishers and front line support staff, then I’ll be very happy with that outcome. Kudos to those I spoke with at Google who worked around a broken system to solve my problem.

I’m closing my account at Adsense until I can see that improvements have been made and until Google discloses their revenue split with publishers. No breath holding on that one.

If anyone out there has ideas for making mobilejones.com profitable. I’m all ears.

Goog nite and Goog luck!