Thursday, 21 February 2008

How to learn to stop hating the cellular telephone industry

Written by Martin Kleppmann on Thursday, 21 February 2008, 15:29 GMT.
Filed under: business, mobile, mobile web.

John Crowcroft (a leading authority on communication systems, and a former lecturer of mine in Cambridge) has written a short informal paper on new directions in mobile communications. It is sub-titled “How to Learn to Stop Hating the Cellular Telephone Industry”, and more informally sub-titled “Rant about the cellphone industry’s failure of imagination”.

The paper draws analogies between the history of the internet (which has been absolutely astonishing over the last 30 years) and what the mobile phone industry could have done in the same time, had it taken the same sort of approach to innovation. Instead, the mobile telephone operators chose to lock down their systems, tightly control everything which goes in and out of them, and as a result have hardly experienced any innovation at all.

The key problem appears to be the fact that the telecoms companies have made a LOT of money from massively restricted services in the past, and they are continuing to do so today. If they open their systems and make it easy for third parties to provide services on top of them, they are probably going to lose some of that revenue in the short term. What they don’t realise (or do realise, but don’t want to face, for business or organisational reasons) is that they could make MUCH MORE money in the longer term by having an open system and providing great innovative services on top which people will happily pay for! The internet has proved that there are thousands of business models which are not only viable but actually extremely lucrative. You just need to be bold enough to take the risk of opening your systems to the competition.

Fortunately, there is a bit of movement — European mobile networks have at least made a few attempts at being reasonably open, and the US is gradually catching up too. But still it’s two steps forward and one back. Plenty of new devices (notably the iPhone) are still locked to one operator and don’t allow third-party software to be installed (unless you jailbreak it, of course). Eventually, we will probably get the same sort of innovation on mobile as we are getting on the internet, but it’s not going to be that quick.

Check Jon’s paper for a few business ideas, and then form a start-up. The more people try to make it happen, the more pressure there will be on the operators to open up, on the handset manufacturers to become compatible, etc.

Wednesday, 20 February 2008

Some mobile internet usage statistics

Written by Martin Kleppmann on Wednesday, 20 February 2008, 12:56 GMT.
Filed under: mobile, mobile web.

Mobile internet usage is one of those areas which is hyped a lot, but it’s actually pretty hard to lay your hands on some real figures detailing the number of users. In this week’s NMA, there’s an article by Tim Barber of Continental Research which gives a few useful figures to quote.

If you add up the figures, you see that there are currently a total of 7.4 million mobile internet users in the UK, which corresponds to 12% of all mobile phone users. I think that’s a pretty impressive figure already — it shows that mobile internet use isn’t just a toy for a small number of geeks, but it’s actually fast en route to mainstream adoption. (I don’t have an up-to-date growth figure, but I do know that from 2006–2007 the number of page views from mobile devices went up by 16%, according to the Mobile Data Association.)

Speaking of geeks, the data from Continental Research breaks the population into four rough categories: whether or not they are interested in technology, and whether or not they are interested in style. Considering just the former criterion:

  • Those interested in technology (the ‘geeks’) constitute 25% of mobile users, and of these people, 28% use the mobile internet. In this group, we therefore have 4.4 million mobile internet users.
  • Those not interested in technology constitute 75% of mobile users, and of these people, 6% use the mobile internet. In this group, we therefore have 3 million mobile internet users.

Spot something? A techie is 4 or 5 times more likely to use the internet on a mobile phone than a non-techie. However, the reality is that there are also 3 times as many non-techies as there are techies. This means they almost cancel out — right now, there are already plenty of people using mobile internet services even though they don’t care about gadgets and technology toys.

This is pretty good news: it shows that the general population has a genuine need which mobile internet access can address. It’s not just a toy, and we don’t simply use it just because we can. It’s actually something which can make our lives better.

Viewed in terms of Gartner’s Hype Cycle, right now, the mobile web and mobile internet are stepping out of the Trough of Disillusionment (into which they fell with the failure of WAP to match expectations) onto the Slope of Enlightenment.

I think this calls for a graph.

Graph showing the number of UK mobile phone and mobile internet users.

Saturday, 16 February 2008

A day of remembrance for the digitally excluded

Written by Martin Kleppmann on Saturday, 16 February 2008, 15:01 GMT.
Filed under: power-off day, usability.

We received a phone book. It appeared on our doorstep. It was heavy and printed on paper and wrapped in plastic.

I looked at it like someone from a different planet. I hadn’t touched a phone book in years! Why on earth would somebody still want one?

My friends all have mobile phones, not landlines; and I have their numbers stored in my phone anyway, so I don’t need to look them up. For business contacts I have their business cards, which I store in a contact management database, which is also easily searchable. And if for some reason I don’t have somebody’s number, I would look it up in an online phone book which contains all people in the whole of the UK, not just Cambridge.

When I have children, they will probably fail to grasp why anybody could have possibly wanted a big heavy book with their neighbours’ phone numbers. And I will feel like someone from the middle ages because I still remember using them (back in the day when it took 2 minutes to connect to the internet by modem, so it was actually faster to use the paper phonebook). And hey, I’m 24 — how are my parents’ generation going to feel?

But then, take a step back. Why are they still distributing paper phone books for free? Because there are still many, many people who do not have internet access. Many millions in the UK — and outside the industrialised world it’s the vast majority of people. That online oxygen which I take so completely for granted, it’s not actually as omnipresent as I would like to think.

The internet has completely changed the world, I can hardly repeat it often enough — it is the same kind of massive shake-up as the industrial revolution or the invention of the printing press. But we who are involved in making that technology must not forget about those people who lack internet access. There is a divide between those who are part of the communication and democratisation which the internet is bringing, and those who are “digitally excluded”. We must not forget them, and we must do our best to get everybody online, anywhere on the planet, by making technology accessible, usable, and affordable.

Someone put a lot of money, time and effort into printing that phone book. Although it probably didn’t require a tree to be felled, it has still consumed a lot of recycled paper. I would have felt bad to put it in the recycling immediately, even though I know that we are never going to use it. So I stripped off the plastic wrapper and placed the book carefully in the drawer under the living room table. Last year’s phone book was there too, just as unused. At least now, the two phone books can keep each other company.