Tuesday, November 17, 2009
Verizon to AT&T: Do Yourself a Favor and Shut Up
“AT&T did not file this lawsuit because Verizon’s ‘There’s A Map For That’ advertisements are untrue; AT&T sued because Verizon’s ads are true and the truth hurts.” So begins Verizon’s response to AT&T’s complaints about its new ad campaign and as you can see, it pulls no punches. For 53 pages, the new filing mercilessly thrashes AT&T, proving over and over again that the carrier’s carping over Verizon’s ads has transformed a no-win situation into a horrific PR disaster.
Palm shares are trading higher today, bolstered by anticipation of the Nov. 15 launch of the Pixi, the company’s second webOS handset, and by some silly rumors about a potential takeover by Nokia. Does the company really need another software platform to add to Symbian, Maemo and Qt? C’mon. 
After nearly three years of rumor and speculation, Dell is finally entering the smartphone market–in China and Brazil. Later this month, China Mobile and Brazil’s Claro will begin selling the company’s Mini 3, a handset designed around Google’s Android mobile OS. 
Lest there be any doubt that Apple’s iPhone is redefining the smartphone market, consider this: In under two and a half years, the device has managed to claim nearly a fifth of the worldwide market for smartphones.
In preparation for the official launch of its new Pixi handset, Palm is rolling out a new ad campaign. It’s something of a departure from the ads the company used to tout the Pre, trading their alleged “ethereal beauty” and I-Am-The-White-Witch-of-Narnia-FEAR-ME spokeswoman for a more forthright pitch involving a crowd of friendly-looking hipsters enjoying a new “Alvin and the Chipmunks” mashup. 
As clever as it is, Verizon’s reimagining of a Rankin/Bass animated Christmas television special as a criticism of AT&T’s wireless network coverage did not go over well with Ma Bell. On Wednesday, the carrier amended its complaint against Verizon, asking a federal court in Atlanta to force its rival to immediately pull the ad and two other holiday-themed spots that debuted with it.
iPhone exclusivity officially came to an end in the U.K. yesterday when, joining O2, Orange became the second carrier to offer the Apple smart phone in the country. And judging by Orange’s first-day sales, the debut was quite a success. The iPhone went on sale at 7 am Tuesday and by 4 pm, Orange had sold more than 30,000.
Got a set-top box fetish and a few billion dollars to blow on it? Then boy, does Motorola have a deal for you. “People familiar with the matter” tell The Wall Street Journal that the company is seeking a buyer for its home and networks mobility division, which makes set-top boxes and other kit for the cable and telecom industry.
The Pixi, the Palm Pre’s diminutive smart-phone sibling, arrives at market a few days from now (Nov. 15), and despite some potential pricing confusion with the Pre, analysts expect it to be another catalyst for the company’s comeback. In a note to clients today, Bank of America/Merrill Lynch analyst Vivek Arya said Palm is well-poised for growth in 2010.
At 37.9 percent, Nokia’s share of the global handset market is the largest in the industry. Odd then to learn that it is not the most profitable. And odder still to learn that that honor belongs to Apple, which has been in the handset market for just two years.
How quickly Sprint has gone from cutting jobs to cutting checks. Not 24 hours after announcing plans to sack between 2,000 and 25,000 employees, the company said it has agreed to invest another $1.18 billion in WiMax provider Clearwire. That’s a big check to be writing, but then, Sprint is Clearwire’s majority shareholder and the carrier’s plans for differentiated 4G services rely heavily on the outfit’s success. 
The Droid invasion appears to be going according to plan. Motorola’s new Android-based handset arrived at Verizon Wireless stores last Friday and analysts say it’s selling quite well. Indeed, Broadpoint AmTech analyst Mark McKechnie estimates Verizon sold about 100,000 Droids in its first weekend.
An ugly Monday for Sprint Nextel employees. The company plans to eliminate 2,000 to 2,500 positions in the fourth quarter as part of its effort to reduce labor costs by at least $350 million. 
