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Mobile Momentum: The Proof is in the Numbers

Consumer confidence remains low in today’s tough economy, but the Pew Internet and American Life Project’s new Mobile Access in 2010 report  illustrates a contrarian streak among U.S. consumers when it comes to the mobile marketplace. Across ages and demographics, Americans are showing a remarkable bullishness when it comes to the value and innovation they see in their wireless purchases. In fact, usage of connected devices and applications continues to grow at an unabated and staggering pace.

Over the past year, the number of Americans connecting wirelessly to the Internet is up 8 percentage points, with six out of 10 Americans now using their smartphone or laptop to access the Internet. In fact, more Americans now use their mobile device to connect to the Internet (38%) than play a game on their device (34%). And, it’s not just young millennials gravitating to the nexus of wireless and the Internet. Their parents—folks in the 30 to 49 year old age bracket—are now leading the growth.

African Americans and Latinos also continue to lead in mobile connectivity. Two-thirds of both communities are wireless Internet users. And, African Americans and Latinos continue to outpace whites when it comes to cell phone ownership (87% versus 80%).

These insights illuminate the wireless debate at a pivotal moment, coming on the heels of President Obama’s Executive Order announcing his Administration’s intention to increase the amount of spectrum available to meet consumers’ fast-growing mobile needs. Pew’s methodical documentation of a steep adoption and usage growth trajectory—cutting broadly across the U.S. population—powerfully illustrates the profound importance of these spectrum allocation efforts and the equally essential need to safeguard policies that encourage the billions of dollars in investment needed to get this spectrum into use across the country. This process can take six to 10 years to complete, from the announcement of auctions to the deployment of actual networks, so we need to get started now.

Unfortunately as temperatures rise in Washington (both literally and metaphorically), it seems no debate is safe from the partisan pull of election-year politics. Even U.S. wireless policy, which has enjoyed bipartisan support for a light-tough regulatory framework through both Republican and Democratic administrations, is getting dragged into the pro-regulation and heated rhetorical fray.

It’s hard to justify given the frenetic pace of competition across the mobile landscape. Verizon and Google recently have gone public with their ambitions to challenge the AT&T/Apple iPad alliance. HP, Dell and others also are in hot pursuit. Cox is becoming the first U.S. cable company to directly offer wireless services. Regional players like Leap Wireless and MetroPCS are thriving. And, the Palm Pre was recently offered to consumers for the jaw-dropping price of a single cent. Consumer choices of service providers, plans, devices and applications abound.

All of this, of course, only further fuels the leaps and bounds we’re now seeing in mobile Internet adoption and usage. The arrival of dispassionate, data-driven reports like this Pew contribution are essential to constructive policy conversation that benefit consumers and innovators alike.

The data also clearly illustrates just how deeply mobile connectivity is working its way into our lives, and just how enthusiastically consumers are responding to the profound innovation it is making possible.

As the Federal Communications Commission takes a closer look at wireless, it’s important that it consider how consumers are actually embracing mobile connectivity in their diverse lives. And, it is imperative that the FCC acknowledge that all of this progress we celebrate now has taken place in—and been made possible in no small part by—the current light-touch regulatory framework.

The proof is in the numbers. As the mercury rises in the nation’s capital, it’s important that cooler heads prevail when it comes to the flexibility and dynamism that have truly connected the nation to the opportunities and innovation made possible by the mobile Internet.

This article was orginially published on Huffington Post.

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Tags: Apple, Applications, AT&T, Competition, Consumer Benefits, Economy, Wireless Investment, FCC, Hispanics, Huffington Post, Mobile Applications, Mobile Future, Mobile Future Board, Jonathan Spalter, Pew Research Center, Smartphone, Spectrum, Verizon, White House, President Obama, Wireless Innovation

Presidential Memorandum Nearly Doubles Available Wireless Spectrum

Today, President Obama signed a presidential memorandum that aims to make available for auction some 500 megahertz of spectrum that is now controlled by the federal government and private companies.

Responding to this measure, Mobile Future Chairman Jonathan Spalter issued the following statement:

“We appreciate President Obama’s leadership and foresight in paving the way to efficiently and responsibly make more spectrum available to keep pace with wireless innovation and consumer demand. Today’s presidential memorandum sets the course for the next wave of mobile opportunities that will lead to economic growth and continued job creation. This announcement is a step in the right direction and it’s critical that the Obama Administration remains focused on spurring growth rather than imposing restrictive regulations that could paralyze the economic recovery, job growth and investment we see in today’s thriving wireless sector.”

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Tags: Economy, Job growth, Mobile Future, Mobile Future Board, Jonathan Spalter, Spectrum, White House, President Obama

Small Biz Unwired

It’s National Small Business Week and few industries can match wireless in creating a favorable opportunity for small business growth. In fact, if mobile app growth during the past two years shows anything, it’s that mobile OS platforms are an ideal launching pad for small businesses to compete with big-name companies.

So a tip of the hat goes to all the entrepreneurs across the country who have made the mobile web the fastest-growing medium in history. While there are too many to mention, here are a few we’ve been delighted to host at recent Mobile Future events:

LookTel pairs “artificial vision” software with your smartphone to help the 11+ million Americans who are blind or visually impaired.

• Based in Bellevue, Lagotek is a mobile software company that’s making great progress harnessing mobile technology to make our homes and lifestyles more energy efficient.

Vocel in San Diego is one of the companies on the leading edge of adapting wireless to improving healthcare. The company makes the “Pill Phone”, a mobile app that allows people to schedule audio and visual alerts reminding them to take their prescriptions. You can also cross-tab alerts to include information on dosages, side effect, and interactions with other drugs.

 

 

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Tags: Applications, Economy, Job growth, Wireless Investment, Mobile Applications

Competition in the wireless industry? We think so

Today, during its monthly meeting, the Federal Communications Commission released its annual Mobile Wireless Competition Report, which analyzes the state of competition in the mobile industry and, for the first time, also includes information about the broader mobile ecosystem. In contrast to previous versions of the study, the FCC officials who prepare the Mobile Wireless Competition Report did not issue a judgment on the wireless industry’s effective competitiveness, but instead left it open for the Commissioners’ interpretation.

While the Commissioners’ opinion varied, Mobile Future Chairman Jonathan Spalter issued the following statement in response to the assessment of competition in the wireless marketplace.

“The innovation that defines today’s wireless sector is unprecedented. The bipartisan, light-touch regulatory approach of the past two decades has fostered competition that has resulted in the world’s lowest per-minute voice wireless prices, largest 3G customer base and most varied and innovative applications and device markets.

“We applaud the Commission for taking a broader look at the wireless sector but it’s hard to understand given all the facts and data in the record why it chose not to conclude that wireless is competitive. American wireless is an extremely vibrant sector that is helping to drive economic recovery, job growth and investment. Going forward, we urge the FCC to recognize this thriving sector while maintaining a policy climate that continues to encourage competition driven above all by consumer demand and the vision of innovators.”

You can read more about competition in the wireless marketplace here.

 

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Tags: Competition, Economy, Job growth, Wireless Investment, FCC, Mobile Future, Mobile Future Board, Jonathan Spalter, Wireless Innovation, National

Mobile Ability - using wireless to connect people with disabilities

"High speed Internet empowers people with disabilities to become more independent. [It] can remove barriers that keep people with disabilities from participating in everyday activities such as employment, education, civic responsibilities and social connection."

From a joint statement by: The American Association of People with Disabilities and The Communications Workers of America

 

For America's 54 million people with disabilities, two important events happen this summer. First, there's Memorial Day, when disabled veterans will proudly lead ceremonies and officials will emphasize the need to help those injured in conflict.

Second, July 26th is the 20th anniversary of the landmark Americans with Disabilities Act. The ADA was a long time in coming and is probably the single most empowering law during the past generation.  But while the ADA has been instrumental in providing legal help for Americans with disabilities, something else is doing an important job in improving basic living standards.

It's your mobile phone.

That's the conclusion of a new research paper that Mobile Future issued today. For all the talk about texting, streaming video, gaming and other apps, one of the most heartening mobile developments involve affordable, life-changing improvements for those with disabilities. The FCC also recognizes this development and hosted a workshop  to explore ways in which new technologies can offer opportunities to meet the communications access needs of people with disabilities.

Take the hearing impaired. In 2006, according to the CDC, 37 million adults in the United States had trouble hearing (ranging from a little trouble to being deaf). That's an increase of more than five million since 2000.

As described in Mobile Future's paper, a new wireless system developed at the Georgia Tech Research Institute offers those with hearing difficulties the ability to caption events in real-time. The device translates spoken words into text and displays it on a screen.

Meanwhile, according to Scientific American, researchers at the University of Washington (Seattle) are developing software that lets mobile phone users communicate through sign language and real-time video instead of being limited to text messaging.

But what about those who can't see? Some of the same technology that lets you save money while shopping is also turning the phone into an electronic seeing-eye companion.

As we discovered, mobile apps can use smartphone cameras to scan labels and announce the contents of grocery items, their nutrition labels, and even pill bottles. When merged with GPS technology, these apps can assist the visually impaired by giving them step-by-step directions through their smartphone.

Know someone with a speaking disability? An estimated 6 to 8 million Americans have this challenge. Many, if not most, can now take advantage of low- or no-cost communications apps on their cell phone. There's voice output software that conveys typed messages; downloadable text-to-speech software can be an effective, less-costly alternative to speech devices covered by private insurance and Medicare.

Also, some experts say that children with speech impairments often prefer using "mainstream" technology which is less stigmatizing.

Mobile Future's research paper is meant to be both an assessment and a celebration of the key innovations that are helping those with disabilities. It is also a "look-ahead" at the next phase wireless technologies in the pipeline which promise even more transformational impacts for the one in five Americans who live with disabilities.

This column was originally posted on Huffington Post on May 13, 2010.

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Tags: Camera Phone, Congress, Disability community, Economy, Education, FCC, GPS, Huffington Post, Legislation, Mobile Broadband, Mobile Future, Mobile Future Board, Jonathan Spalter, Mobile Healthcare, Smartphone, Wireless Broadband, Wireless Innovation, National, Mobile Future Publication

Net Neutrality to Negatively Impact Job Creation

The Charleston Gazette in West Virginia recently published an op-ed piece by Mobile Future Advisory Board Member Diane Smith. The piece centers on the negative impact net neutrality regulations would have on job creation and emerging opportunities across the wireless industry.

While there is great promise ahead in communications, there may also be a looming threat to future entrepreneurship and new employment opportunities. A recent study by The Brattle Group examining the employment and economic impacts of network neutrality regulation found extensive controls would restrict technology advances, innovation and job growth. And a recent ruling by the U.S. Court of Appeals for the District of Columbia Circuit rejecting the Commission's claim of authority to enforce existing Internet freedom principles adds even more uncertainty to the broadband ecosystem.

You can read the rest of Diane's op-ed here.

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Tags: Economy, Job growth, Wireless Investment, Mobile Broadband, Mobile Future, Mobile Future Board, Diane Smith, National Broadband Plan, Rural access, Investment/Competition

New report on employment and economic impacts from proposed Net Neutrality regs

A new report by economist Coleman Bazelon at The Brattle Group and sponsored by Mobile Future takes an empirical look at the potential impact proposed Network Neutrality regulations could have on jobs in the broadband sector and jobs growth in the U.S. The paper, "The Employment and Economic Impacts of Net Neutrality Regulation: An Empirical Analysis" makes several key findings including:

  • Revenue growth in the broadband sector could slow by about one-sixth over the next decade;
  • Broadband sector jobs lost could be expected to total 14,217 in 2011, growing to 342,065 jobs by 2020;
  • Economy-wide, 65,404 jobs could be put in jeopardy in 2011, with the total economy-wide impact growing to 1,452,943 jobs affected by 2020.

These numbers are particularly troubling to innovators in the mobile space which is expected to experience the most broadband growth over the next decade.

To learn more, you can read a press release that summarizes the paper's findings here or download the full whitepaper here.

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Tags: Economy, Job growth, FCC, Mobile Broadband, Mobile Future, Net Neutrality, Mobile Future Publication, Network Neutrality

House to Vote on Spectrum Inventory Act

Congress is making progress on important legislation that is near and dear to Mobile Future's heart - the Radio Spectrum Inventory Act.  This week, the House passed the bill, which is co-sponsored by Rep. Rick Boucher (D-Va.), and charges the Federal Communications Commission and the National Telecommunications & Information Administration to account how and where private stakeholders are using spectrum. It is expected to be passed by the Senate and signed into law soon.  Mobile Future Chairman Jonathan Spalter issued the following statement in response to the bill's passage:

“We applaud the passage of the Radio Spectrum Inventory Act in the House. With wireless Internet usage projected to grow at 100 times the rate of wireless voice traffic over the next 10 years, spectrum is a precious resource. The passage of this bill helps pave the way to make more spectrum available quickly and responsibly to keep pace with consumer demand and enable the next wave of mobile innovation and economic opportunities.”

You can read more about spectrum here.

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Tags: Congress, Economy, Wireless Investment, Legislation, Mobile Broadband, Mobile Future, Mobile Future Board, Jonathan Spalter, Spectrum, Wireless Broadband, Wireless Innovation, National, Looming Spectrum Crisis, Mobile Broadband Growth

What’s Next for the National Broadband Plan?

Cross-posted from Huffington Post

Heading into the mid-term elections, these are divisive times in the nation's capital. But today Washington witnessed a rare moment of comity, as the Federal Communications Commission released its much-anticipated National Broadband Plan. All five commissioners signed a joint statement embracing the broad objectives of the plan.

It will take days, if not weeks, for the various stakeholders to fully digest a blueprint of this ambition and scope. But before the detail-oriented debates ensue -- and the inevitable divisions emerge -- it's worth taking a moment to step back and offer an appreciation of the process that got us to this potentially historic day.

President Obama was elected on the promise of inclusive and connected government. In crafting this plan, the FCC offered a compelling model of how that gets done. The efforts of Chairman Genachowski and his broadband team have been exceptionally open. The three dozen policy workshops on topics ranging from civic engagement to connected health were webcast live and archived online, allowing ample opportunity for citizen engagement. Several dealt exclusively with the potential of mobile broadband, ranging from thoughtful debates on spectrum to discussions of bleeding-edge applications and wireless deployment. Commissioners also reached outside the beltway, holding nine field hearings throughout the country to bring diverse perspectives into the conversation.

As for the product itself, I am heartened that the Commission recognizes the critical role wireless technology can play to spur global competitiveness, innovation and sustainable job creation. Profoundly significant to mobile consumers and innovators alike is the vow to free up 500 megahertz of wireless spectrum. This is essential progress to support the boom in connected devices -- from the iPhone to the Kindle to mobile medical tablets, digital textbooks and future innovations yet to be imagined.

Other regulatory proceedings that may flow out of the plan could be more polarizing. The depth of division and passion on both sides of the net neutrality regulatory debate is well-known. And, the rumors of an attempt to overturn the Supreme Court's landmark Brand X decision, which essentially upheld the privatized nature of U.S. broadband networks, would likely make the net neutrality debate look like a walk in the park.

Likewise, narrower proposals to create new rules -- whether to impose wholesaling requirements or mandate the provision of "free" broadband services -- would affect many aspects of the already intensively competitive and innovative wireless market and could actually undermine the very laudable objectives of the national broadband plan. The FCC must resist these extreme calls and tread carefully to avoid disrupting an American industry that leads the world and is working extremely well today.

Among the cornerstones of the plan is a 'shoot for the moon' goal of connecting 100 million U.S. households to 100 megabits per second broadband service over the next decade. Goals of this ambition require an unshakeable policy foundation that is unequivocally supportive of investment. This means the many rulemakings that likely flow out of this plan must be cohesive in nature -- pulling in the same constructive and unifying direction and staying true to the Chairman's early and firm commitment to fact-based, data-driven decisions.

As we look to the future, I hope the Chairman remains steadfast in his commitment to encouraging a wireless ecosystem that can fundamentally transform our society and our economy. As we begin the long and hard process of translating bold ideas into concrete, attainable and constructive actions, the hard work is yet ahead. It is my hope that we stay true to this open and participatory process and keep in sight the larger goals of advancing deployment, accelerating investment and promoting genuine competition.

History will judge this plan on its effectiveness. If it does so favorably, a nod is due to the process that got us to this day. It's a famous old adage in Washington that you don't want to see the sausage being made. But thanks to the very innovation we unite today to celebrate and advance, a new era of openness and participatory government has arrived.

Jonathan Spalter, chairman of Mobile Future, has been founding CEO of leading technology, media, and research companies, including Public Insight, Snocap, and Atmedica Worldwide. He served as an advisor to and spokesperson for Vice President Al Gore during the Clinton administration. www.mobilefuture.org.

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Tags: Broadband, Congress, Economy, Job growth, Wireless Investment, FCC, Genachowski, Huffington Post, Legislation, Mobile Broadband, Mobile Future, Mobile Future Board, Jonathan Spalter, National Broadband Plan, Net Neutrality, Spectrum, White House, President Obama, Wireless Broadband, Digital Divide, Looming Spectrum Crisis, Network Neutrality, Mobile Broadband Growth

Mobile Future Statement on FCC Debut of National Broadband Plan

WASHINGTON, D.C. - Today, the Federal Communications Commission released a National Broadband Plan, as directed by the American Recovery and Reinvestment Act of 2009, designed to stimulate economic growth, spur job creation, foster innovation and investment, and improve education, health care, energy efficiency, homeland security and more.

The following statement should be attributed to Jonathan Spalter, chairman of Mobile Future:

"We commend Chairman Genachowski and the broadband team at the FCC for demonstrating the vision and leadership required to tackle the challenging task of creating a National Broadband Plan. We are particularly heartened that the Commission recognizes the critical role wireless technology must play in charting a clear path forward and the need to identify additional spectrum to spur global competitiveness, innovation and sustainable high quality job creation.

We encourage the Chairman to remain steadfast in his commitment to encouraging a wireless ecosystem that holds the promise of fundamentally transforming our society and our economy. As the FCC moves toward the Plan's implementation, we urge the Chairman to continue along this bold roadmap to America's future by avoiding barriers that slow deployment, undermine investment, and stifle competition and innovation."

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Tags: Broadband, Congress, Economy, Job growth, Wireless Investment, FCC, Genachowski, Legislation, Mobile Broadband, National Broadband Plan, News, Rural access, Spectrum, Wireless Broadband, Digital Divide, Looming Spectrum Crisis, Network Neutrality, Mobile Broadband Growth

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