Saturday, July 23, 2011

Are you being served?

21 July 2011 Last updated at 23:04 GMT Katia Moskvitch By Katia Moskvitch Technology reporter, BBC News Are you being served? Many retailers now see bricks and mortar stores as an old fashioned, inefficient way of doing business Shops. We go there, we browse, we buy.

But in the last few years, our increasingly mobile and digital society has been trying to achieve this successful money-product exchange without much need for bricks and walls.

One of the first solutions has been moving the catalogues online - first onto your desktop computer and, lately, on your smartphone's tiny, shiny screen.

Remote villages

Nowadays, almost every major retailer has a website; those that yet don't, are certainly moving in that direction.

But for some, the traditional formula of simply setting up a web page and waiting for customers to click "buy" just does not work.

Pixel Electronics, a home appliances company in Belarus, first began selling its products - coffee makers, digital cameras, TVs, sound systems, fridges - at the main store in the capital Minsk.

But it wanted to expand and reach the most remote corners of the ex-Soviet country.

There were two options, says CEO Andrei Simonovich: either to start dotting the map with new shops, or to go online.

But in both cases, there were problems.

Not many Belarusians who live in rural areas and small towns have internet access - or carry around 3G smartphones.

So it seemed tricky to rely on e-commerce alone.

Opening new shops was not a much better alternative, says Mr Simonovich.

"In many small towns and villages it is simply not profitable to set up a store.

Pixel Electronics Pixel Electronics decided not to build new shops - they set up e-terminals instead

"We'd never have enough regular sales to generate profit and cover expenses such as rent fee, salaries, and so on - so we dropped the idea."

Faced with a dead end, the firm started to seek out new marketing initiatives.

And in the spirit of merging online and offline, it decided to set up electronic terminals - ordinary computers with the store's online catalogue - in other stores all over the country.

The concept is similar to, but a step forward from the French Minitel - a closed network of e-terminals in the pre-internet era of the 1980s.

People used Minitel to search the telephone directory, communicate via a special mail system and even make purchases online - just like we do now on the web.

Pixel Electronics' idea is only different in the way that its terminals are internet-connected - but only to the store's website.

"Since these small shops in remote places have very limited floor space, they can only put a small fraction of our products on their physical shelves - or none at all," says Mr Simonovich.

Continue reading the main story
We recognise that increasingly, people wish to be able to shop at home or when they are on the move, as well as in our stores”

End Quote Spokesperson Tesco "But with the e-terminals, when shoppers come into the store, they can choose not only from what they see on the shelves, but also from our entire catalogue on the internet.

"It's like opening a store in a small town for just $500 - because that's what it costs us on average to invest into a terminal, and after that we only pay for the internet connection, as well as commission from sales to the shop."

Mr Simonovich explains that with this solution, it is a win-win for everyone involved.

Pixel Electronics gets their sales' profits, the regional client - the shop - gets its commission from sales of products that do not even take up any physical space in the shop, and individual buyers living in some tiny village are able to bring home a 3D television that they otherwise could have only dreamt of.

"If you make your order online before the end of the day, our delivery van will leave the Minsk base the next morning at 6am - and the buyer will receive the purchase that same day.

"And the price is the same everywhere, no matter if you buy your TV in our Minsk store or online."

And the sales are not limited to the e-terminals in stores - people who do have a computer and internet access can also place an order from home, and it then gets delivered either to their door or to the town shop.

"For us, e-commerce brings in additional money of some 7-10% of total revenue - a substantial sum," says Mr Simonovich.

And the company has recently started to embrace mobile shopping, too - it has developed an app for smartphones to allow orders on the go.

Offline & online

This gradual metamorphosis of e-commerce into m-commerce has been especially visible in recent months.

eBay Giants such as eBay are looking for ways to engage shoppers - for instance through m-commerce

There are places such as China, for instance, where most people go online on their mobiles as opposed to home computers - and turning them into buyers is many retailers' ultimate goal.

Martin Gill from Forrester Research thinks that the smartphone is becoming that crucial glue destined to bind the online and the offline experiences together.

"Apps like bar code scanning, store locator, checking physical stock online via your phone - all of these features are turning your mobile into a shopping buddy or a shopping assistant," he says.

"These technologies are compelling and quite playful ways of engaging shoppers - they make the experience interesting, they make it unique to you, trying to build an emotional connection and create a link that resonates on a personal level."

Even such giants and pioneers of online commerce as eBay and Amazon that have never even had physical stores, have eventually joined the crowd and followed you from your living room right into your car, train or your child's playground.

"Mobile shopping is a hugely-growing trend," says Angus McCarey, eBay's retail director.

"In 2010 we tripled the amount of global business that we did over the mobile, reaching $2bn (?1.2bn), and this year, we're on track to double it - we'll do $4bn (?2.4bn) or more."

In the UK, considered the most rapidly-developing European market in m-commerce, during last year's Christmas holiday season eBay had 10% of its turnover through some kind of mobile application.

And eBay is not stopping at simply dragging you onto their website via your phone.

With ever-evolving technology and consumer habits, the company has had to innovate to constantly stay ahead of the game.

For instance, book lovers in a store now have a choice of either buying the item in front of them or using a special smartphone app to find that book on eBay - for less money.

"The world of offline and online shopping is blurring through the mobile, and with scanning technologies such as Red Laser, you can check the price of a book that you're looking at in the shop and order it really quickly online," says Mr McCarey.

And although this technology is still mostly limited to scanning easily-catalogued products such as books and DVDs, it soon might be possible to snap a photo of that stunning but crazy pricey red dress on a mannequin in a shop's window - and through some internet magic instantly find it far cheaper on the web.

Tesco concept Poster of Home Plus store, jointly owned by Samsung and Tesco Home Plus, the South Korean branch of Tesco, has developed a concept of bringing stores into subway

And some are going even further in their quest of bridging the online, offline and mobile worlds.

The UK retail giant Tesco already has a multitude of stores around the planet, but its South Korean branch Home Plus, jointly owned by Tesco and Samsung, has decided to try out a new initiative.

It now thinks of bringing the supermarket shelves right into the subway.

The concept aims to place huge digital billboards with images of Tesco products on virtual shelves onto subway station walls - so that commuters could use their smartphones to scan the items' barcodes, place an order, pay and arrange a delivery while waiting for a train.

"This is a concept and is not operational - however, we are always looking to innovate for the benefit of our customers and make their lives that little bit easier," says a Tesco spokesperson.

"We recognise that, increasingly, people wish to be able to shop at home or when they are on the move, as well as in our stores."


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Apple goes download only for Lion

20 July 2011 Last updated at 14:26 GMT Apple Lion on Mac OS X Lion takes many of its design cues from Apple's iOS devices Apple has launched the latest version of its Mac operating system - OS X Lion - through its online app store.

It is the first time that the company has not issued new system software on disk.

Users without an internet connection, or whose link is too slow, will be given the option to download the file in an Apple store later this month.

For customers who want a physical copy, Apple is offering a memory stick version for an extra ?25.

Editor-in-chief of Mac Format Magazine Graham Barlow said that many users viewed their OS disks as a "security blanket" in case something goes wrong with their machine.

"I for one will be looking at ways I can make an actual physical disk out of the download, if that is legally supported by Apple," he said.

Mr Barlow also warned that the 4GB file may lead some users to exceed their download limit if their home broadband has a low cap.

iPad-esque

Apple is touting OS X Lion as a major redesign which takes many of its cues from the iOS operating system that runs on iPhones and iPads.

It adds additional multitouch gestures, full screen applications and an iPad-style launch screen.

Like the touchscreen devices, Lion features an auto resume feature where programmes are restored to the state they were left the last time they were used.

"For people that are using lots of creative apps all day with lots of documents open in them, that is going to make a big difference," said Adam Banks, editor-in-chief at Mac User magazine.

Mr Banks said that Lion contained a number of design themes that would help extend the appeal of Apple's laptops and desktops in the face of competition from its own handheld products.

"Some people predicted that by this point there wouldn't even be a Mac any more because Apple is getting all these millions and millions of users on its iOS devices, why do they need the relatively small number of people using Macs.

"Is Apple still about that creative, professional market? I think there are features here that make clear it is," said Mr Banks.

Mac OS X Lion costs ?20.99 from the Mac App store.


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Angry Birds maker in patent suit

22 July 2011 Last updated at 14:32 GMT Angry Birds game on iTouch Angry Birds is one of the most downloaded applications on iPhones, iPads and Android devices Rovio, the Finnish maker of the Angry Birds game, is being sued by a licensing company for infringing its patents.

Lodsys has said that Rovio and other developers violated its patents with games on Apple's iOS platform and Google's Android.

Lodsys is embroiled in lawsuits with other big technology companies, including Apple.

Rovio said it had not received any direct contact regarding the complaint.

"As soon as we receive more information we will take appropriate action," a spokesperson said.

Angry Birds is one of the most popular game applications.

Rovio marketing chief Peter Vesterbacka said last week that the game had surpassed 300 million downloads.

Lodsys, a company that licenses patents but does not have any other business, added five new defendants to a suit filed in May with a US district court in Texas.

Along with Rovio, it named Electronic Arts, Take-Two Interactive which makes Grand Theft Auto, Atari and others in the list of companies it says are violating its patents.

Take-Two declined to comment. Electronic Arts and Atari were not immediately available for comment.


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Monday, July 18, 2011

Google profits beat expectations

14 July 2011 Last updated at 21:05 GMT Google logo Google boss Larry Page said the company had "a great quarter" Internet giant Google has reported a large rise in profits and revenue, well ahead of market expectations.

Net profit for the three months to June rose 36% on the same period last year to $2.5bn (?1.5bn), while revenues rose 32% to $9bn.

Last month, Google launched its social networking site Google+, in an attempt to take on Facebook.

The results were the first under chief executive Larry Page, who replaced Eric Schmidt in April.

Mr Schmidt had held the role for 10 years. Analysts said the decision for Google co-founder Mr Page to take over was made because he now carries more weight with investors and could re-energise the search giant.

The results will help reassure investors that the company is still thriving under his leadership.

"We had a great quarter," said Mr Page. "I'm super excited about the amazing response to Google+."

'Six-trick pony'

Shares in Google surged 11% in extended trading.

Jordan Rohan, an analyst at Stifel Nicolaus, said the results were "well beyond expectations from Wall Street".

"Clearly, the combination of mobile search, Android, ad exchange, YouTube, and the core search businesses, they're all doing well," he said.

"Google is no longer a one-trick pony. You might say six-trick pony if you count Google+."


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Sunday, July 17, 2011

Gaga's YouTube channel restored

Lady Gaga Lady Gaga's official YouTube channel has been restored after it was blocked over a copyright dispute.

Yesterday, [14 July] a notice on the site stated that the suspension was due to "multiple or severe violations of YouTube's copyright policy".

By Thursday evening the account was back to normal.

The Google Inc. owned YouTube channel declined to comment. Its policy is to remove accounts after three copyright violations.

Big in Japan

It's being reported the dispute was with a media company, after Lady Gaga's perfomance on Japanese channel Fuji TV.

She appeared on weekly show, SMAP X SMAP, to promote her new album.

Lady Gaga arriving in Sydney The singer arrives in Sydney for a one night gig, earlier this week

During her ten minute set she performed a medley of songs featuring Born This Way, You & I and The Edge of Glory.

Footage of that performance has since been removed from other websites as well as YouTube.

Lady Gaga has two YouTube accounts, the Vevo account where her music videos often debut, and "ladygagaofficial", which is the one that got suspended.

Interscope, the singer's record label and publicist, has yet to comment.

Gaga's HBO concert special Monster Ball Tour at Madison Square Garden on Thursday earned five Emmy Award nominations.


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Facebook game to fight extremism

14 July 2011 Last updated at 07:15 GMT By Jane Wakefield Technology reporter, TEDGlobal, Edinburgh Grab from Happy Oasis Happy Oasis has already achieved a large following on Facebook. A social media game with Arab super heroes at its heart has been launched on Facebook.

The man behind the project, Suleiman Bakhit, hopes that Happy Oasis can create positive role models for children who might otherwise be enticed by extremist views.

The game launched this week and has already attracted 50,000 followers.

Newly appointed TED fellow Mr Bakhit spoke about his project at the TEDGlobal conference in Edinburgh.

Mr Bakhit, who comes from Jordan, was a student at the US University of Minnesota when the 9/11 attacks took place. Shortly afterwards he was attacked by four men because he was an Arab.

Magic carpet Comic book characters Mr Bakhit has created a range of comic book characters

Instead of feeling bitter, Mr Bakhit decided to engage in an education campaign.

"I realised that you fight extremism by starting with the young. The message was simple - 'We are not all terrorists'," he told the BBC.

Armed with a not-so-magic carpet, he began telling Aladdin-style stories in local schools.

"One day a child asked me if there was an Arab superman and I realised that there wasn't," he said.

So began his comic-book project which aimed to create a range of positive Arab role-models, including a female James Bond and a Jordanian special agent who fights extremists.

In Jordan, Mr Bakhit has sold 300,000 copies of his comics and came to realise that there was a market for a web-based version.

"Print media is dying but there are 30 million Arabs on Facebook so I thought about making social games with the same message," he said.

Mr Bakhit wanted to make sure that his characters related to the children he was aiming to reach.

Jordanian girl reading a comic His comics were a huge hit in Jordan

"I took a peer-to-peer approach, engaging kids to get their ideas," he said.

He was undecided about whether to include a character dressed in a burka until he showed the animated character to a focus group.

"They loved the idea so she was in," he said.

The first game featured special agent Element O and while it was, in Mr Bakhit's words "not very good", it did show him the potential of such a project.

"Fans were discussing the games in the forums and arguing about politics. I went on as Element O and the arguments immediately stopped," he said.

Mr Bakhit said he now hopes to take his comic book model to Pakistan, where extremism is a growing problem.


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Planes, trains and roaming charges

14 July 2011 Last updated at 23:01 GMT By Fiona Graham Technology of business reporter, BBC News Beach Wish you were here: Business travel might seem glamorous, but connectivity problems can cause some very un-glamorous headaches It's late at night, you're far from home, it's hot and steamy. You need to send an urgent e-mail to the office - but there's no wifi available and you can't find a 3G signal.

Even if you could, as a lean mean startup you're worried you might need to sell the office furniture to pay the bill.

This is a situation familiar to anyone who travels - whether on business or simply on holiday.

The rise of the smartphone and our increasing reliance on laptops and tablets, not to mention cloud-based software applications that need an internet connection to work, means many of us find ourselves hostages to high wifi and roaming charges.

In the EU, the European Commission has announced plans to extend the price cap on roaming costs to include data for the first time, with a lower cap on calls received and texts. Despite this charges are likely to remain high.

So what can you do to keep yourself connected - while keeping costs down?

Connected sales

Geneva-based Carole Vivien has worked in IT sales for around 15 years, for some of the biggest companies in the telecoms sector, including BT and AT&T. She now works for US firm Hunt Big Sales, and travels regularly around the world on business.

"I would say that my bill is 95% roaming. Always. Even when I was working for AT&T or whoever," she says.

Man uses laptop at airport Experts warn that unlocked wifi hotspots at airports may be used by criminals to access your data

"They give you a limit. Let's say they let you spend ?500 to ?700 a month for your mobile, but because you're roaming all the time you're more likely to spend ?2,000 on voice and data."

About six months ago she ended up stranded at London's Heathrow Airport after a mix-up with her flights.

While sorting out a hotel room for the night she saw an advert for a new device that provided a pocket wifi hotspot for a flat rate of ?4.95 a day by a company called Tep.

"For me after being in telecoms for 15 years, when I saw this sign advertising it I said, 'Ah finally, someone's doing that'," she says.

Local hotspot

Personal wifi devices are not new - various network operators offer them for domestic use - but this is aimed at those travelling overseas, allowing you to connect up to five devices in any of the countries supported by the company for the same flat rate. They also provide prepaid smartphones.

Tomas Mendoza is the founder of Tep. He says he got the idea while travelling around south east Asia with his girlfriend, after leaving the hedge fund industry.

"Throughout the trip we realised how difficult it was to remain connected, and how being connected was very, very valuable.

Tomas Mendoza Tep founder Tomas Mendoza says they are now working on a corporate membership plan

"My mother, she's 50, she doesn't know where the sim card is in the phone. Going to another country, finding a sim card, unlocking the phone, it's something she'll never do."

According to research commissioned by the company, the average smartphone data consumption is 10MB a day. Over the course of a 10-day business trip in Europe this could cost around ?210 ($338; 240 euros).

When business travellers work on the internet from their phones, that can go up to as much as 40 to 60MB a day, costing between ?80 and ?120 a day, or between ?800 and ?1,200 for a 10-day trip.

This is unlikely to change in the near future, according to Juniper Research's Nitin Bhas.

"Roaming has traditionally provided network operators with an opportunity to gain additional revenues above and beyond regular access fees.

"The ability to stay connected even while roaming across international networks is a key requirement, particularly within the enterprise sector, and operators have traditionally levied a significant surcharge for this privilege, particularly in the case of data services."

Shopping around

This isn't the only technology out there that could help you cut your costs. ABroadband.com offer 3G access for 59 cents (84 US cents; 52p) per megabyte in over 50 countries - although you have to factor in the additional cost of buying either a dongle or a sim card.

Onevoice Anywhere screenshot Onevoice Anywhere is BT's voip service aimed at business travellers

And some of the big operators are also trying to find solutions for their business customers. BT is due to launch Onevoice Anywhere - a voip (voice over internet protocol) phone service that lets business customers make calls over wifi connected devices.

Steve Masters, BT's global head of unified communications, says testing has gone very well.

"It provides flexibility and functionality for global travellers and will help to significantly reduce global roaming charges," he says.

There are also apps that claim to help you save money. Onavo is available for iPhone, and will compress the data being received by your phone. Less data means smaller charges - but your data will have to travel through their servers.

Do it yourself

Taking an old handset, or dongle or even Mifi (personal wifi device) and buying a local sim is a possibility - but may only be practicable for longer trips, says Tom Otley of Business Traveller magazine.

Customers may object to calling you on a different, overseas number, and the handset must be unlocked.

Many people rely on the fact that that their hotel will have wifi. Mr Otley says despite the expectations of some travellers, they will often have to pay for it.

Continue reading the main story For longer trips use a local sim and unlocked handsetStop your phone picking up mail - manually download it once a day in a wifi zoneChoose a hotel where the wifi isn't necessarily free - but is fastCheck that charges cover your room AND public areas in the hotelInstall an internet phone application like Skype in advance. Don't rely on downloading it there

Source: Tom Otley, Business Traveller magazine

"There are certain chains that do offer wifi access for free but they're definitely in the minority. The majority of hotels still charge for access.

"Wifi seems like an affordable solution, but if you're on a four or five-day trip, and you're paying $25 for access in the hotel that can quickly add up."

Mr Otley says roaming charges are coming down - but are likely to remain expensive, and advises taking advantage of wifi when you have it, and making the most of free internet phone services like Skype.

"They're coming from an unbelievable high - if you've ever used your data phone abroad you'll know it's breathtaking the cost of the data.

"As far as wifi goes my own personal opinion is that most hotels will go to a two-tier system, with one level for browsing, but if you want a decent amount of bandwidth then you pay for it, and that seems to be sensible.

"Just like anything that is free people will use it to the ends of the earth."


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