Archive for March 28, 2014

Judge Halts Sales Of Typo Keyboard

Posted in Commentary with tags , on March 28, 2014 by itnerd

BlackBerry is having a good day. First they post numbers that weren’t as bad as everyone feared. Now they got a court to halt the sales of the Ryan Seacrest backed Typo keyboard that ticked them off so much. Here’s the details:

U.S. District Judge William Orrick in San Francisco said in a ruling today that BlackBerry is likely to prevail on its infringement claims and that Typo hasn’t made a strong challenge to the validity of the smartphone maker’s patents. Orrick also dismissed Typo’s concern that a temporary sales ban may put the company out of business.

So if the fat lady isn’t singing for Typo, she’s warming up as it looks like it’s game, set, and match for BlackBerry. One suspects that BlackBerry lawyers and execs will be knocking back a drink or two in celebration. As for Ryan Seacrest, he should likely go back to his day job.

Microsoft Backtracks On Searching Your E-mail

Posted in Commentary with tags on March 28, 2014 by itnerd

You might recall that Microsoft started a bit of a storm by hunting through Hotmail e-mail to find the source of leak. The software giant then reserved the right to do so in the future. Now they’ve backtracked on that via a blog posting from Brad Smith who is General Counsel & Executive Vice President, Legal & Corporate Affairs for Microsoft:

Effective immediately, if we receive information indicating that someone is using our services to traffic in stolen intellectual or physical property from Microsoft, we will not inspect a customer’s private content ourselves. Instead, we will refer the matter to law enforcement if further action is required.

In addition to changing company policy, in the coming months we will incorporate this change in our customer terms of service, so that it’s clear to consumers and binding on Microsoft.

Either Microsoft wants to retain the trust of its users, thus they made this change. Or they just want the blowback to stop. Either way this should have been done a long time ago.

Public Mobile Customers Told To Buy New Phones

Posted in Commentary with tags , on March 28, 2014 by itnerd

The Huffington Post is something that I don’t usually read. But one of my clients directed me to this story last night that got my attention. He sent me this story because he’s mad that Telus who are the new owners of Public Mobile are making him do this:

Public Mobile customers are being switched over to Telus’ 4G network, and their existing phones—meant to work on Public Mobile’s outdated CDMA system—won’t work on the Telus network.

On the upside, customers “will immediately benefit from national coverage, faster wireless data speeds, and better phones,” a Public Mobile spokesperson told HuffPost Canada in an email.

The company also said existing customers will get “special pricing” on new phones, but as some online commenters have noticed, some of those special prices on offer at Public Mobile are more expensive than the same models on offer at parent company Telus.

Okay. I can see why some Public Mobile customers (such as my client) might be ticked off.  And Industry Minister James Moore is also questioning this move. Here’s a quote from The Globe And Mail:

Industry Minister James Moore questioned the wisdom of Telus’s move.

“Seems like an odd business decision to alienate thousands of Public Mobile users as you absorb Public Mobile itself,” Mr. Moore told The Globe and Mail, while on a trade mission in Germany. “Ultimately it’s a business decision I’ll leave for Telus to explain.”

Not to mention this:

Some Public Mobile customers are lodging grievances with Canada’s Commissioner for Complaints for Telecommunications Services, an Ottawa-based ombuds office that resolves complaints about telecom companies. Due to privacy rules, however, Commissioner Howard Maker cannot discuss specific complaints or providers.

Now I will be the first to admit that this sort of news isn’t something that generates the warm fuzzies. And that those on low and fixed incomes will be hurt to some degree by this. But what exactly is Telus supposed to do here? Are they really supposed to support a technology (CDMA to be precise) that Telus themselves have abandoned? Also, Public Mobile was in trouble and bleeding cash. Had Telus not bought them and they went under, these customers would still be having to buy a new phone on a different carrier.

I should also note that Telus is trying to take the sting out of this by doing the following:

  • Giving Public Mobile customers one month of free service
  • Giving Public Mobile customers “significant discounts” on new cellphones
  • Public Mobile customers can also BYOD, assuming that the phone they bring works with the Telus network

And you can bet that competitors will also be trying to scoop up disgruntled Public Mobile customers. Thus Public Mobile customers will likely have options.

What do you think? Are Public Mobile Customers getting the shaft or is this issue being blown out of proportion? Post a comment and share your thoughts.

BREAKING: BlackBerry Numbers Show Revenue Plunge

Posted in Commentary with tags on March 28, 2014 by itnerd

The 4Q numbers for BlackBerry just hit the wires. You can read the full release here. but I’ll hit the key highlights for you:

  • Blackberry 4Q GAAP loss was $423-million (U.S.) or 80 cents per share. On an adjusted basis, the loss was $42-million or 8 cents a share. This is compared to a loss of 67 cents the previous quarter. Analysts were expecting a loss of 55 to 57 cents a share.
  • BlackBerry 4Q revenue was $976 million. The street was expecting $1.11 billion. This is down from $2.7-billion a year ago.
  • BlackBerry 4Q Gross Margin was 56.7%.
  • BlackBerry 4Q has $2.7 billion in the bank. In line with analysts estimates. However, that’s down from US$3.2-billion at the end of 3Q.
  • BlackBerry says about 2.3 million BlackBerry 7 Devices Sold Through To End Customers in 4Q.
  • BlackBerry Targeting Break-Even Cash Flow Results By End Of Fiscal 2015.

The stock is currently halted, but is expected to resume trading at 7:30 AM EST. There’s also an earnings call at 8 AM EST. That should be interesting as these number show some improvements, but signs that there’s still weakness in BlackBerry.