Opinion

The Great Debate

The ‘next generation’ of American talk

It’s hard to imagine communicating without Skype, Facetime, X-Box, Twitter or a text on your smartphone. Mobile devices and other Internet Protocol (IP)-based services powered by high-speed broadband have revolutionized the way we connect with one another at just about every moment of our lives.

Millions of Americans are now abandoning traditional, copper-wire phone service. In just the past three years, U.S. smartphone adoption has increased from 16.9 percent to 54.9 percent, according to Nielsen. One out of three homes in the United States now relies on wireless-only technologies, according to the National Health Interview Survey.

Copper telephone technology has limited capabilities. It falls short in providing robust, high-speed Internet services that support IP-enabled applications such as Voice over Internet Protocol. Nor can it offer the next-generation healthcare, education and public-safety IP-based applications that consumers demand. Shifting our nation’s communications networks to all-IP is critical to ensuring consumer access to the most modern communications services.

As with the adoption of any new technology, the move to IP networks offers challenges and opportunities. A majority of Americans have already changed from voice-only telephone networks. Roughly 93 percent of U.S. households subscribed to switched-access phone service a decade ago, according to USTelecom, today it’s less than one-third and is projected to decline to one-quarter of households by the end of 2013.

Moving the dwindling number of consumers still on copper technology will likely require a public-private partnership that can ensure no one is left behind while also providing access to affordable 21st century technologies.

from Commentaries:

Humbled giants eye business phone market

Nokia e71LONDON, Aug 13 (Reuters) - Once they were warriors battling one another on the digital battlefield. Nowadays, Microsoft and Nokia are worriers, huddling together for comfort.

The world's top phone and software companies need each other to compete with Apple, Google and Blackberry-maker Research in Motion (RIM), whose products increasingly define what users expect from phones and charge premium prices in consequence.

In the market for so-called "smartphones", Deutsche Bank estimates Apple and RIM now take home more than half of all profits, despite producing less than a third of high-end mobile phones. Nokia held a 45 percent share of the smartphone market in June, according to Gartner Inc. (Table 2 in Gartner release)

from Commentaries:

Apple-Google learn Corporate Governance 1.0

LONDON, Aug 3 (Reuters) - The resignation of Google CEO Eric Schmidt from Apple's board should come as no surprise to anyone with an inkling of what corporate governance means.

But then Silicon Valley's idea of corporate boards has long consisted of cozy, interlocking directorships which would be considered collusion in most other industries.

Google's CEO is not leaving Apple's board voluntarily. He is only stepping down in response to the increased government scrutiny of obvious potential conflicts of interest between the two companies.

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