• MOST READ

• LATEST NEWS

The close alliance between Verizon Wireless and Google to create an Android-based platform for Verizon's own-branded web strategy has increased pressure on AT&T to come up with a convincing web services plan of its own. It is likely to look for other partners than Google, to differentiate itself from Verizon, and one of these could even be China Mobile, which so far has worked most closely with Verizon and Vodafone.

Sources in chipmaker Marvell says AT&T has certified its oPhone architecture, a hardware reference design for low cost webphones, for use on its 3G network. oPhone was developed for China Mobile by Marvell, and so far has only appeared in a few devices, including an Android midrange smartphone from Dell. However, Marvell says several operators in different parts of the world are evaluating oPhone as a standard platform for own-branded, web-oriented handsets. Although China Mobile has also created its own oPhone software environment, the basic platform is OS-neutral. Of course, certifying a design is a long way from adopting it, far less placing it at the heart of a major platform, but this shows the wide range of options AT&T is exploring for this key strategic decision.

Using standard bare-bones platforms can cut costs significantly for OEMs, ODMs and therefore carriers, and give the operator the power to specify a design that can be addressed by multiple suppliers, encouraging price competition (a similar approach is seen in the Open Mobile Terminal Platform, which is likely to turn up in the handset procurement strategies of many of its operator founders, which include Vodafone). Such standardized hardware designs are then differentiated with software interfaces and apps, and/or add-on hardware features, but usually remain firmly in the low to midrange end of the carrier's portfolio, below the highly differentiated (but expensive and heavily subsidized) vendor branded smartphones.

Motorola may hit the headlines with its smartphone plans, but it is enthusiastic about winning market share by supporting platforms like oPhone - gaining ground in markets like China and ensuring this segment does not fall entirely to the white label manufacturers. China Mobile is to introduce no fewer than eight Moto smartphones next year, says the firm. These will run the oPhone architecture, running China Mobile's own software environment, based on Android but possibly to be extended to multiple OSs including Symbian in 2010.

One aim of adopting carrier branded, low cost phones, of course, is to reduce the subsidy burden. However, as emerging markets get more competitive on the smartphone front, operators are having to consider a subsidy model from which they were shielded in the 2G world. China Mobile, facing huge pressure from the other two 3G carriers, is reported to be planning to triple handset subsidies next year, amounting to a bill of about CNY30bn ($4.4bn).

Pages: 1 | 2

Related Stories

COMMENTS

No comments yet. Be the first to add a comment!

Carrier Broadband Performance: Africa & Middle East
Carriers are using mobile broadband as their weapon of choice in the fight against the commoditization of voice and falling ARPU. This...

Voice over LTE: Market Analysis and Forecasts
VoLTE offer unique advantages in lowering a carrier's voice infrastructure economics and promises to improve voice quality, device...