M-Payment in Japan

My attention has been tuned into the world of mobile payments over the last week and Google alerts delivered this story from Business Week. The interesting comment for me is "This is a completely new sector for DoCoMo and is part of our aim to move into areas where we are not so dependent on communication usage," Masao Nakamura, DoCoMo's chief executive, told reporters on announcing the Sumitomo deal. "Our entry into the credit-card business will be a turning point for us."

Now DoCoMo is in a very different possition to any other Mobile Network in that they are in the business of shifting tin more than selling airtime and they do so very well. But this is a company that can afford to pay $935m to buy a stake in the second biggest retail bank in Japan. I can remember reading reports that said Banks would buy phone companies as a technology channel to customers.

The sidebar shows that In Japan customers already using 2D barcodes to order goods from a catalogue as well as tickets for the movies and small godes from vending machines. Next year they will replace credit cards and train tickets. Just wonder how long it is going to take for the technology to travel West to Europe?

Its a question of lifecycles

I have just got back from Athens having presented on the potential for mobile commerce to European bankers for HP. The event as a whole was interesting in that it provided me with a view on a sector todate that I have had little to do with other than as customer. The main theme was Transforming Payments, which although mundane was interesting when split between Wholesale and Retail. The interesting thing is that a business started 600 years ago by Italians is very much resistance to change even when forced by regulation and law. The similarity with the mobile telecoms world is that some of those that have been behind the times are making leaps of faith to jump ahead in banking.

Today in talking over my experience someone pointed out that the management teams in Mobile are focused on the day-to-day business and to them ten months is a cycle whilst ten years is a cycle in Banking and as such any change is slow and resisted even when forced. In debating this point he highlighted that trying to get his group to look at the medium term (next three years) he was told that in such a period they could all have lost their jobs twice and so lets focus on the hear and now! More than one of the Industry Speakers had over thirty years experience with their current employer (would I like the pension they have from such service.)

As for my views on M-Commerce well the launch of SIMPAY this summer in Europe will hope seed the education of subscibers following the failure of m-pay by the networks. The focus will be on payments below €10 and it will be for content based services rather than face to face transactions in order to limit the need for dispute resolution. Outside the developed economies we could see services such as G-Cash in Phillipines that remove cash from the system with text messages used for token exchange of funds without the need for expensive card transaction services.

Is that a Guru in your pocket?

Wired has an article about a new service called Cellphedia, which it calls a wireless Wikipedia they call themselves the 1st Ubiquitous Social Encyclopedia!

Looking at the service it seems to have a few difference to the British based AQA that I have written about before. The service was part of a post grad course. Unlike the British service a users question is answered by other users who claim to have specialist knowledge in a specific site. As well as sending the reply to the person requesting info the response in posted on a website and the first person to respond is rewarded for doing so.

The most interesting vox pop is this:-

"Jimmy Wales, president of the Wikimedia Foundation and founder of Wikipedia, said he's seen Cellphedia but hasn't used the site. He said he thinks Cellphedia sounds like a great idea, and that Wikipedia is actually in talks with Nokia about creating a Wikipedia client on Nokia cell phones."

Now if one of the handset guys starts putting Peer-2-Peer based services such as this on a device then we could see something very interesting develop. I guess it depends on the price structure and who gets paid for what as to if the service is a success. But tghe plus side is that this is one of the interesting services to come out of America now that they are understanding SMS.

Nokia Sensor technology uses Bluetooth to find a friend!

Digging around on the Nokia site I found info on Nokia Sensors. Using Bluetooth you can connect Peer-2-Peer for Social Networking and File Sharing.

Nokia has created a great microsite that has a demo, free download of the software and FAQ's to outline how to use the saoftware.

Some of this stuff is great in that it can enable users to link and communicate without the use of a Mobile Network so perhaps the next time I am on the tube with friends we can keep "chatting" whilst travelling or when in a conference that has no network coverage.

My only concern is the Free File sharing side of the service could be something that limits Nokia's development of DRM technology and the uptake on new content.

Another new horizon - Software Defined Radio (SDR)

Over at TheFeature there is a great piece on Software Defined Radio. For a long time this has been flagged as the ultimate radio as it selects the best network to use dependent on the type of service you require and what spectrum is available.

This could see the most effective system giving broadcast qualitity services which would make BT's Bluephone project look as sleek as a barge!

The problem is that the technology was outlines many years ago and working parties in BOTH the US & Europe set the standards for SDR over two years ago and still we are no closer to a commercial device. Could it be because the manufacturers are busy building 3G, Bluetooth, WiFi, GSM chip based products which they need to make revenue from for the R&D spend?

I don't expect to see any inteligent radio device before my five year old finishes secondary school, but she might get one when she finishes University!

DRM Fight mars mobile music development

Cnet has an article on how the mobile networks are fighting over the format used to stop copying of mobile music. Now I know that a few legal guys are looking at the mobile carriers as ideal cases to suit for P2P.

I have been watching the development of mobile music for quite some time, ever since a scientist in the FT Labs showed me what MPEG7 was all about. The solution will only come once we have developed a usable standard that is just that something used by everyone regardless of device/platform.

I for one don't think that Mobile Music will be something that works for me because I am just not interested in the current pop music and the Networks don't think that someone like me would be interested enough to pay £3 for a Paul Weller ringtone.

It's about the experience

This last week has been an interesting one for me.

I have been talking to a number of people who work in the industry about Mobile and just whats the problem.

The first issue is with the Mobile Network Operators.

Yes you were ripped off by Governments to stay in the game with 3G but get over it and move on. Build the networks out just like you did when we went digital and stick to what you should be good at, namely network optimisation and billing. Do not think that you understand data or can run a portal live that to guy who specialise. Invest in customer care and promote the fact to your customers.

The next issue is with Users

Just because you can talk and move does not mean that you have to all the time. Remember that the calling whilst driving laws are for a specific reason to keep other road users safe as well as your self. Remember that not everyone wants to hear you conversation and so try not to use your phone in quite public places like a cinema or restaurant. Therefore before you take/make that next call just think is it important or can I do this later in a better way?

Then we have the Content Guys

Try and remember that I have a mobile phone because I multitask, believe me if it was not for the fact that I need to make calls outside of the Home/Office then I would not pay over £100 per week to use such a poor service. This being the case then can you not try and segment me and try and understand that during the day I act as a Partner, Parent, Employee, Employer, Supplier, Client and Consumer sometime I am more than one of these things at anyone one time! This being the case I find it perfectly normal to seek train details, gifts, music and news in the space of 5 minutes. Just because I looked at a music site does not mean that I want to be spammed by you with offers for a new ringtone/wallpaper etc. I am a middleaged man with some disposable income at present and so yes I can pay for what I want but my Music education was in the late 70's - mid -80's and so I have little need for Dance music however it would have been good to kknow about Jill Scott sooner and my liking of Jazz does not include Jamie Callum or Katie Melua for me any way.

One for the Finance Guys

I would like to be able to store on my SIM card some of the details from my Payment cards. The SIM and the Smartcard look the same, my handset has a keypad with numbers, so when are you going to get with the program and not make me waste time putting in my full card numnber etc. Can you get your guys and Mobey Forum to talk with the Networks guys at SIMPAY and fix this before then end of the summer.



Sitting and talking with a number of executives it has become obvious that all involved have too many Accountants and NOT enough Economists, they need to employee more Sociologists than Economists and more Anthropologists than Sociologists. If they started employing people who tried to understand the customer rather than control costs maybe the customer would use the service more. It is not about the unit cost I pay for the service it is about the experience and utility the service provides. In the early days Orange was great because they tried to focus on the experience not the phone, now they focus on the technology and are not as cool.`

T-Mobile backs away from 3G

Trade mag, Mobile Today has a well written feature on the slooooow launch of 3G by T-Mobile.

A year ago I was offered a combined 3G & WiFi datacard from T-mobile which I was interested in until I saw the pricing. This was a product that is aimed firmly at the business user and to get value for money I would have to drink a lot of coffee in Starbucks whilst using a T-Mobile Hotspot. I spoke with some contacts and they said that the voice service was just about to be launched. The T-Mobile lost its Chief Marketing Officer (he is now the President of Google for EMEA) and we have yet to see 3G as a voice service.

I gave up on T-Mobile at Christmas and left after nine years paying my contract every month to join Orange because they were offering 3G voice. My handset can link with BOTH my PDA and Laptop to allow me to use it as a modem when needed and my price plan is such that the data used falls into my monthly allowance.

Now I am disappointed that T-Mobile does not want to launch anytime soon and that here in Britain is is happy to become the carrier for MVNOs. As well as the delayed launch of 3G I am also hearing that it is pulling out of the portal business and closing T-Zones. As a former employee of One-2-One it is disappointing to see a company that was at one stage a leader in Mobile products fall apart as the result of cost reduction programmes.

Vodafone taps Visto for Email solution

CBR has a new item on the sellection of Visto rather than RIM by Vodafone for there new email service.

Now at the moment a lot of people are very excited by the number of companies that could knock RIM off the number one spot in terms of wireless email. The reason for this excitement is that Microsoft have been showing a number of people its new offering code named Magneto. To get a feel of the people talking about it look at Debi Jones and Guy Kewney who have both been talking about Microsofts plans on their sites.

Why the interest in wireless email?

Is it because as we work just like the memo of our parents day we need something to show that we have been productive with our day and so we send a large number of e-mails to as many as possible to show just how busy we are. Is it that we are no longer comfortable talking with people and so feel a lot better firing off a quick note? Or could it be that we percieve ourselves to be so important that we just must be connected at all times hence the Blackberry and Phone about us all the time?

How would you like to pay?

I have been doing some work on mobile payments. My first experience of Mobile Wallet was not a happy one, a small mono screen, slow connection speeds and complex interface made for a frustrating time. However the Mobile networks are starting to come together on micro payments with the launch of Simpay.

This Summer we will see a service launched in Spain that allows the phone user to make payments for content not just on the mobile phones network but also other peoples websites. They will settle the payment on there phone bill and authorise the payment with a simple pin number. We can expect to see the service in London in time for Christmas shopping.

With the role out of SIMPAY we can expect to see a number of retailers getting excited as they see an opportunity to charge for Papers, Coffee, etc. using a mobile phone and pay a lower charge in terms of transaction fee. The reason is that the mobile network gets money from the text messages sent to authorise and pay the bill, they also want to increase my experience as a 3G customer.

If SIMPAY takes off it will mean that on weekends I can leave the house with just my Keys and Phone. Hopefully within a few years I can use my phone to start the car and open the door of my house but that will take time for another new technology to take off called near field communication.

Just a little plug for my favorite browser.

Remember when...

James Enck has posted a great thumbnail on his early experiences with Orange having found a spacehopper in his shed that was given to him as part of a loyality scheme.

The iten has reminded him that how just a short time ago Mobile was still not mass market and Orange was fun. Happy days! I can remember when Orange had an Imaginear, Prophets and ran Futurology not only were thay agreat brand marketing company they also invested in technology to bring about change quicker. To see what was spoken about before they were owned by France Telecom look at http://www.receiver.vodafone.com/01/articles/index05.html when Kenny Hirschhorn wrote about what he hoped would happen in 2005!

As for me well I have Orange corkscrews, bags, pen knives, watches and a brolly.

Just what's up with Sky?

I have always been a fan of Greg Dyke, today in The Independent's media review he has written another great comment on Why Sky fails compared to HBO in the US.

"We now know that Dawn Airey, the managing director of Sky Networks, is a great fan of Home Box Office (HBO) - the US cable channel responsible for such outstanding dramas as The Sopranos, Six Feet Under, Sex and the City and Band of Brothers. We know this because she told us so in her recent, inspiring Huw Wheldon Memorial Lecture, which was broadcast on BBC television. But in her lecture, Airey ducked the real question: why hasn't anything remotely similar to HBO emerged from pay television in Britain?

Airey did claim that such programmes were only possible because of the advent of multi-channel subscription television which is, she says, "liberating the creative genius of the programme maker". Well, it certainly has in the US, where, during the past decade or so, HBO has transformed itself from a channel playing movies and big boxing matches into the cable channel smart people have to have - and pay for - because of the quality of its drama production. But that still doesn't answer the question, why hasn't it happened here?"

Mr Dyke goes on to say that whilst Sky has been creative in News & Sport it has not been so in Drama. He argues quite well that this is becuase Sky is the Monopoly broadcasters and as such has not commissioned Drama because of the production costs.

I have to say that whilst we have had some success with Drama here in the UK most is dire rubbish and with the consumer moving away from broadcast to narrow cast it can only mean more reality TV and UK's Top 100 type cheap broadcasting. The real problem is that we have developed a generation that does not watch TV. Look at young people today and they flick from one channel to another faster than us niddle aged folk and see just what it was that flashed before our eyes. My nephew resently stated life was not worth living during a recent outage of his adsl connection, he watched no TV prefering to game online when not playing music in a local band. Because we as parents have placed TV's & Video Games in childrens bedroom we have failed to educate todays youngster how to watch TV. Thus just like the parents who are killing our kids with too much junk food we are killing TV by not showing our kids the benefits of sitting and watching good television. The only problem is just what is good program making?

BBDO - CELL PHONES AND SEX ACTS REPORT

The US Trade Magazine has another interesting Mobile Phone Report from BBDO; this week they tell us about some research into cultural differences to answering the phone whilst making Love. The bad news is that over one in five Germans and Spanards have stopped making love to take a phone call, if your lover is Italian they are least likely to take the call and a sixth of Americans have stopped making love to take a call on their cell phone.

Now the Advertising agency says that the perpose of the study was to figure how people use there mobile phones and the results show an anxity amount users to missing calls. I find this interesting to some extent as its my experience that some people who have too many calls are more than happy to drop some.

Maybe its because I am a fat old man soon to be forty but I can say that I am most unlikely to take a call on my mobile whilst enjoying some quality time with my partner; the opportunities are few and far between and if I were to take the call in might just means that they would become even fewer!

On the other front an Associate last week did complain that whilst he was trying to make love with his wife he gave up when he saw that she was writing an email on her Blackberry! At the time we just suspected that he was too drunk to perform rather than his wife was suffering from "Communication Anxity" ;-)

Mastermind in your pocket

The Independent has a technology feature on a new mobile company called AQA, (Any Questions Answered)which will attempted to reply to a question sent by text message for £1. More than just a call centre staffed by pale skinned uber geeks who can drive google faster than you it uses a number of researchers as well as search engine who are able to reply in 160 carracters.

The story has some simple comments about how the service can be used to cheat in pub quizes and no school exams. The examples given however seem to be more general such as "what numbers should I play in the lottery?"

Not sure if this is just a small opportunity or something bigger, but hey I said to the founders of Shazam that I did not see the business being a hit so what do I know about the future!

Blogs in the machine

Weekend FT has a feature on how some Blogs are not as trustworthy as those written by Journalist. Now as a well written article its well done it argues that the ability to take on the mainstream media(MSM) technology has allowed us all to post comment.

The issue is that how do we establish the credability of the writer of a Blog. Some of those bloging have stong principles however others can be bought. In the technology world we have the recent spat between Engadget and Gizmodo over sponsorship of CeBIT reporting. The guys at Engadget had declined the money and when their biggest rival took Siemens cash with strings attached they published just what they had been offered and why the turned it down. Now in the MSM when were we told that the wonderful luxury hotel holiday was the reult of a free trip from BA?

The difficult issue is that we all have our price, the question is one of context. You can get we to evangelise your technology for a realatively small amount my soul costs more!

Didn't see that coming, did you?

Weekend FT has a great article on Futurology - the business of looking at the future and attempting to predict it. Following the demise of the dot.com empire we see that a number of businesses have given up thinking wht might be and how we can achieve it.

Orange at one time had a Chief Imagineer, Head of Prophecy, Visionary Planners all working in Futurology. They had the ear of the CEO and his board and so were able to help the business put together the technology needed to make "the future bright". Not only were they able to wisper thoughts they had money to burn on fancy office space and other businesses such as Wildfire.

Now that they are part of France Telecom the Prophets have become Product Managers, the Imagineer has gone off to write and play music. They now have a Strategy Group staffed by clones from the leading business schools. It is my opinion that it is worse off for losing the people who were prepared to question and think big thoughts. Now instead we have a business full of Product Managers who are not interested in being the best, all they want is to be better than the others! In doing so I as a customer am frustrated that some of the best technology I see is not available to me. Others are not happy that the customer service ethic has declined and so hope that the grass is greener on the other side and are leaving to join David Beckham!

Why does this happen? Because those with passion have been replaced by engineers who think that they can segment me into a box. The problem is that in the course of the day, I have a number of roles, parent, employee, consultant, consumer, communter, parent and as such have different demands on my mobile network. It is no longer a function of price it is a question of service and coverage, after 20 years I do no expect to have ubiqutious connectivity, I want data as well as voice services, as for messaging how about working out the best context to deliver them to me.

A Big Opportunity for the Smallest Screen

Multicasting has started to feature large on my radar screen at the moment. For the last few years it has been called tomorrow's internet. Now we have Nokia & Crown Castle in one corner and Qualcomm in the other developing technology that allows broadcast quality messages to be sent to a select group similar to videoconferencing and teleconferencing.

Now the delivery of mobile video is something that I am not that impressed with at present, a two minute highlight video is not broadcasting but with the development of multimedia services based around the same technology used for Freeview makes for a very different case. To start off with we have mobile networks looking at quality networks built with little/no latenacy, then we have the coverage limited to specific areas. What we could see is an opportunity for venues such as golf courses capable of showing replays without the benefit of big on site screens.

Is the development of such a service the content golden egg, or is it just another pipe dream? I for one will not be a fan, the though of listening to breakfast TV when stuck at the points on the tube is just the thing that would send me into a rage rather than sedate me!

The curse of the Blackberry

Infoconomy has a great feature on how the must have pocket accessory for senior executives has a dark side - and those in IT know all about it.

The bottom line is that this little box in your pocket has far more status than value. Those that push it say the device is important in that it allows constant communication. The issue is that the mobile networks don't have the coverage necessary to make it the device as sold.

RIM feels that it has come up with the iPod for the executive class, I think that they have come up with email plague. The problem is that the messaging market is developing and presence is more important, I communicate more with IM and voice than I do with email because when I want to communicate I prefer a two way process and with email its not aways on. The thing that convinced me that Blackberry was not for me was the fact that not all those at the top of the mobile operators were carrying one, despite the fact they had two or more handsets!

On top of that we have RSI reports that too much usage was a bad thing!

Opera, the Forgotten Browser!

Wired Newshas an interview with the CEO of Opera Software in which they outline that Firefox has stollen most of his clothes. The article goes on to give the good news that "the show ain't over till the fat lady sings" And Opera intends to put on a grand performance this year that hopefully will see the browser take off in North America and Asia with its new version.

I am an Opera fan having first bought the browser for my Psion PDA some five years ago. I use Opera on my laptop and am at present a very happy user of the beta version which has added sound. When running Ad-Aware on my laptop I have very few hits compared to when running it on my childrens machine with IE. The same is also true for Spyware, Pop Ups etc.

My only gripe is with site owners who have configured themselves only for IE which means that I have to put switch to see what I want or go somewhere else!

Here is to a great year at the Opera!

Lucy Kellaway: I refuse to hobnob for advantage

Lucy Kellaway wrote in yesterdays FT that she was not attending Davos this week despite that fact that her profile is high enough to be invited!

Davos is the winter get together in Switzerland where you can meet the great and the good and enjoy some skiing.

She tells the story of a successful businessman who at 60 has decided that networking was a waste of time. Nothing positive had happened from all the events he had attended in the past, what he liked was the ego boost of seeing and been seen and over time his ego no longer needed tickling by glad handing over warm white wine and canapes.

Kellerway goes on to say that the point of networking is to meet someone more important than you are. But if everything goes to a party to network, the whole exercise becomes self-defeating.

Whilst I agree that groups such as Ryze, Tribe, Ecademy and Spoke are only going to make money for the founders who are selling the snake oil of importance, power and connectivity. These are networks that seem to work on a numbers basis that grow buy getting as many as possible to join because the life span of members is limited.

However the point of Davos is that it is an invitation event that therefore controls the quality of those attending. This means that for those of us in business Davos is good, for a journalist on the FT yes its limited because she can get to see almost anyone. I will be going to Davos hopefully I well meat some more interesting people, it might not result in business quickly but it does help with introductions for people who don't have a brand name employer. My advice is just do not sell what you do be interesting and then others will ask your help opinion and realise that your time has an economic value.