Hugh Pickens writes "While Apple generates more than $575 in profit for every iOS device, and according to estimates in 2007 Apple earned more than $800 on every iPhone sold through ATT, Horace Dediu reports that Android generated less than $550m in revenues for Google between 2008 and the end of 2011, earning only $1.70 per year, per Android device — explaining how Apple is sucking up two thirds of the profit in the mobile phone business. Dediu's starting point is a settlement offer Google made to Oracle of $2.8 million and 0.515% of Android revenues on an ongoing basis. His assumption is that those numbers represent Google's revenue from Android to date. 'If this is the case,' writes Dediu, 'We have a significant breakthrough in understanding the economics of Android and the overall mobile platform strategy of Google.' Of course profitability is not the only reason Google is in the mobile phone business. 'P&L considerations were not the only (or even at all) factors in investment for Google. Having a hedge against hegemony of potential rivals, having a means to learn and develop new business and having a role in defining the post-PC computing paradigm are all probably bigger considerations than profitability,' writes Dediu. 'My take is that [Android] is not a bad business. But it's also not a great one.'"

NicknamesAreStupid writes "Many outlets are reporting that AT&T will allow owners of iPhones whose contracts have expired to unlock their devices. One might think that a call or a quick trip to their local AT&T store would do the trick, and they do provide this service to people who are currently under contract with a newer phone and want to use their older one. However, AT&T has never made anything free to be easy, and this may not bode well for former customers who offer no profitable revenue. For example, when AT&T bought Bell South, they were ordered by the court as part of the acquisition to offer $10/month 'DSL lite' service. The maze in their website which led to this opportunity is now a story of legend. Will the key to this unlocking the iPhone be as byzantine for former customers?"

McGruber writes "Bloomberg News is reporting that AT&T got more than $16 million from the U.S. government to run Telecommunications Relay Services, intended to help the hearing- and speech-impaired. However, as many as '95 percent of the calls in AT&T's hearing- impaired program were made by people outside the U.S. attempting to defraud merchants through the use of stolen credit cards, counterfeit checks and money orders.' According to the DoJ, 'AT&T in 2004, after getting complaints from merchants, determined the Internet Protocol addresses of 10 of the top 12 users of the service were abroad, primarily in Lagos, Nigeria.' The DOJ intervened in the whistle-blower lawsuit Lyttle v. AT&T Communications of Pennsylvania, 10-01376, U.S. District Court, Western District of Pennsylvania (Pittsburgh). The DOJ is seeking triple damages from AT&T."

theodp writes "English comedian Russell Brand could be facing a felony conviction for snatching an iPhone from a would-be paparazzi and tossing it through a window. Singer/parolee Chris Brown also found himself in iPhone hot water after being charged with 'robbery by snatching' in a similar DIY-paparazzi-thwarting incident, which could be a misdemeanor or felony depending on the value placed on an iPhone. But in the world-of-crazy-pricing created by phone makers and wireless providers ($899 Nokia Windows Phone, anyone?), where the quoted price of an iPhone varies by a factor of 376 from the same company, should one really be charged with a felony for snatching an iPhone, especially when an iPad 2 can be had for $399 retail?"

suraj.sun writes in about the recent small claims case against AT&T's throttling of 'unlimited' plans. From the article: "AT&T has about 17 million smartphone customers on 'unlimited' plans, and has started slowing down service for users who hit certain traffic thresholds. Spaccarelli maintained at his February 24 small-claims hearing that AT&T broke its promise to provide 'unlimited' service, and the judge agreed. In a letter dated Friday, a law firm retained by AT&T Inc. is threatening to shut off Matthew Spaccarelli's phone service if he doesn't sit down to talk. Spaccarelli has posted online the documents he used to argue his case and encourages other AT&T customers copy his suit."

MojoKid writes "T-Mobile's Chief Marketing Officer Cole Brodman has an interesting idea for revamping the mobile industry, and it involves killing the subsidy plans that have driven smartphone adoption over the past five years. Asked what one thing he'd change if he had the power to do so, Brodman pointed to subsidy programs. 'It [device subsidies] actually distorts what devices actually cost and it causes OEMs, carriers — everybody to compete on different playing fields ...' Brodman isn't kidding about an irregular playing field. The HTC Titan is the most subsidized device in the chart seen here (unsubsidized at $549, $0.01 on contract). Microsoft is obviously desperate to gain market share in mobile but both the iPhone 4S and the Galaxy Note carry $400+ discounts too. The cheapest smartphone AT&T offers without a subsidy is the thoroughly mediocre HTC Status, for $349. To add insult to injury, it's only available in mauve. It's an interesting idea, but practically unworkable as far as the mass market is concerned. Carriers have built a market structure in which consumers gladly accept a new bauble every 18 months in exchange for paying for text messaging (which literally costs carriers nothing) and overage charges in which 300MB of data for $20 is a fair market value."

MojoKid writes "Several months ago, AT&T notified customers that it would begin throttling network speeds for users who exceeded a certain threshold, with the definitive throttle point defined as an imprecise "the top 5% of mobile data users." The company has issued a statement clarifying this policy after irate customers with unlimited data plans demanded to know what the cap was and how the company determined who should and shouldn't be throttled. The magic number is 3GB, which conveniently happens to be the maximum amount of tiered bandwidth AT&T will sell you. So why would AT&T want unlimited users to move to tiered pricing when its maximum tier is also set at 3GB? Simple — the amount of money the company makes on customers who exceed that 3GB limit. The fine print reads: 'If 3GB is exceeded, an additional 1 GB is automatically provided at a rate of $10 for each additional 1 GB.' Anyone using above 3GB on an unlimited plan is a customer who isn't paying enough for the privilege (from AT&T's perspective)."

New submitter rullywowr writes "After many users expressed anger, AT&T has moved the slowdown throttling bottleneck from 3GB of data to 5GB of data for users of 4G LTE smart phones. 'Previously, AT&T slowed speeds for subscribers who reached the top 5% of data users for that billing cycle and geographic location. Customers were outraged, arguing that the percentage method meant they had no way to know what the limit was — until AT&T informed them via text message that they were in danger of exceeding it.' AT&T still maintains the position that less than 5% of its users exceed the 3GB threshold each month."

zacharye writes "AT&T on Monday announced a new plan that will let developers pay for the data used by their apps and services. The data consumed by apps that make use of this new feature would not apply toward a user's data cap. The new service was pitched as a way for content providers to ease customers' growing concerns over wireless data usage, however one public interest group sees the feature as a slap in the face to AT&T subscribers. 'This new plan is unfortunate because it shows how fraudulent the AT&T data cap is, and calls into question the whole rationale of the data caps,' Harold Feld, legal director of Public Knowledge, said in a statement. 'Apparently it has nothing to do with network management. It's a tool to get more revenue from developers and customers.'"

MrSeb writes "In a beautiful twist of fate, T-Mobile USA has announced that it will be launching an LTE network in 2013 using the money and AWS spectrum that it obtained from AT&T after its failed acquisition. According to T-Mobile, this upgrade comprises of a three-phase process: free up 2G spectrum, move HSPA+ to formerly 2G spectrum, and deploy LTE on formerly HSPA+ spectrum. The end result will be a much faster network that can compete with AT&T and Verizon, and download speeds of up to 74Mbps in 75% of the top 25 markets in the US. International visitors should enjoy better roaming thanks to the deployment of PCS HSPA+, too — and finally, an AT&T LTE iPhone would also work on T-Mobile's upcoming network."

snydeq writes "Bjarne Stroustrup discusses the latest version of C++, which, although not a major overhaul, offers many small upgrades to appeal to different areas of development. From the interview: 'I like the way move semantics will simplify the way we return large data structures from functions and improve the performance of standard-library types, such as string and vector. People in high-performance areas will appreciate the massive increase in the power of constant expressions (constexpr). Users of the standard library (and some GUI libraries) will probably find lambda expressions the most prominent feature. Everybody will use smaller new features, such as auto (deduce a variable's type from its initializer) and the range-for loop, to simplify code.'"

An anonymous reader writes "A preliminary settlement has been reached in the class-action lawsuit brought against Apple in June 2010 over the 'Antennagate' fiasco. Ira Rothken, co-lead counsel for the case, says there are 21 million people entitled to either $15 or a free bumper. 'The settlement comes from 18 separate lawsuits that were consolidated into one. All share the claim that Apple was "misrepresenting and concealing material information in the marketing, advertising, sale, and servicing of its iPhone 4 — particularly as it relates to the quality of the mobile phone antenna and reception and related software." The settlement has its own Web site, www.iPhone4Settlement.com, which will be up in the coming weeks (the site doesn't go anywhere right now). There, customers will be able to get information about the settlement and how to make a claim. As part of the arrangement, e-mails will also be sent alerting original buyers to the settlement before April 30, 2012. The claims period is then open for 120 days.'"

suraj.sun writes with a link about a SEC decision that telecommunications companies must give shareholders an annual vote on wireless net-neutrality resolutions. "The U.S. Securities and Exchange Commission has told AT&T and other telecommunications companies they must include a resolution supporting wireless net-neutrality in annual shareholder votes. In a letter posted on the SEC website, the agency asserted that net neutrality — the idea that Internet service providers must treat traffic equally — has become a significant policy consideration and can no longer be excluded from shareholder ballots. AT&T, Verizon and Sprint Nextel must now grant shareholder requests for votes this year on resolutions that would support net neutrality. In view of the sustained public debate over the last several years concerning net neutrality and the Internet and the increasing recognition that the issue raises significant policy considerations, we do not believe that AT&T may omit the proposal from its proxy materials, the SEC said in the Feb. 10 letter."

zacharye writes in with a story about Senior EVP of AT&T technology and network operations John Donovan's blog post detailing why customers with unlimited smartphone plans are getting throttled. "In an effort to justify its policies surrounding data service throttling for subscribers with unlimited smartphone data plans, AT&T on Tuesday issued a brief report regarding data usage on its nationwide wireless network. Senior EVP of AT&T technology and network operations John Donovan wrote on a company blog that data traffic on AT&T's network has grown a staggering 20,000% over the past five years. Usage has doubled between 2010 and 2011 according to the executive, due in large part to the proliferation of smartphones. AT&T sold more smartphones in the fourth quarter of 2011 than in any other quarter in its history. And because its smartphone subscribers use so much data, AT&T seems to suggest it has no choice but to put measures such as data throttling in place."

Hugh Pickens writes "Daniel Berniger writes that one of the unexpected consequences of AT&T's transition to HD voice and all-IP networks is that the footprint of required network equipment will shrink by as much as 90 percent, translating into a $100 billion windfall as the global telecom giant starts emptying buildings and selling off the resulting real estate surplus. Since IP connections utilize logical address assignments, a single fiber can support an almost arbitrary number of end-user connections — so half a rack of VoIP network equipment replaces a room full of Class 4 and Class 5 circuit switching equipment, and equipment sheds replace the contents of entire buildings. AT&T's portfolio goes back more than 100 years, even as commercial real estate appreciated five fold since the 1970s, so growth of telephone service during the 20th century leaves the company with 250 million sq ft of floor space real estate in prime locations across America. 'The scale of the real estate divestiture challenge may justify creating a separate business unit to deal with the all-IP network transition,' writes Berniger, who adds that ATT isn't the only one who will benefit. 'The transition to all-IP networks allows carriers to sell-off a vast majority of the 100,000 or so central offices (PDF) currently occupying prime real estate around the globe.'"

An anonymous reader writes "In the quarterly earnings call following the defeat of his attempted acquisition of T-Mobile, AT&T's CEO Randall Stephenson was quick to lash out at the FCC, claiming that because his company was unable to acquire more spectrum to handle the explosion of mobile data users, AT&T would be forced to raise prices and take additional action against the highest data users. PCMag looked into the other side of the story, finding that 'The FCC spokesman ... pointed out that the FCC has approved more than 150 commercial mobile transaction applications in the past year and more than 300 in the past two years, "facts [that] were completely ignored in the [AT&T] conference call," he said.'"

theodp writes "What would you say if you went to join a gym and were told that it could cost you anywhere from $360 a year to $68,000 a year for the exact same usage? Don't be ridiculous, right? Well, that's really not so different from what the potential costs of streaming video on an AT&T smartphone are. According to AT&T's Data Usage Calculator, 1,440 minutes worth of streaming video consumes 2.81GB, which — if you manage to keep Netflix fired up all day and night — would result in a $360 annual bill under the grandfathered $30-monthly-unlimited-data plan, or $68,376 under the new $20-monthly-300MB plan. Still, that didn't stop a spokesman from characterizing the new AT&T data plans as 'a great value' for customers."

alphadogg writes "The top U.S. carriers over the past year have stepped up their efforts to grab more spectrum for 4G wireless data services needed to accommodate a seemingly insatiable and exploding population of iPhone, iPad and other mobile device users. Here's a look at where Verizon, AT&T and others are at on the spectrum acquisition front and what they'll need in the future to deliver ubiquitous 4G service across the United States as mobile users seek to view and exchange more video and other bandwidth-hogging content."

An anonymous reader writes "On 8 June 2011 many companies (big and small) enabled IPv6 to their main web sites by published AAAA records; 24 hours later, almost all of them disabled it after the test was done. This year, on June 6th, many of those same companies (Google, Bing, Facebook) will be enabling IPv6 again, but this time there won't be any going back. In addition to content providers, several ISPs are also participating: Comcast, AT&T, XS4ALL, KDDI, and others. CDNs Akamai and Limelight are on board, as well as network equipment manufacturers Cisco and D-Link. Is the chicken-and-egg problem of IPv6 finally, slowly coming to an end?"

itwbennett writes "The announcement earlier this week that AT&T joined OpenStack was greeted with much fanfare (of the 'woo hoo for open source' variety). But dig into why AT&T decided to sign up for OpenStack and things get a lot more interesting. 'AT&T is about to take on Amazon's EC2 and S2 cloud services, and OpenStack's technology is going to be the engine that drives it,' writes blogger Brian Profit. 'Leaving aside the potential problems for user privacy here — and oh, there are many to be addressed to be sure — a plan such as this would represent a stunning coup for AT&T, since they would be able to provide the one thing Apple and Google have not been able to have in their respective plans to own the entire stack: the network on which all communications must flow.'"