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Friday, May 11, 2012

Increased mobile use could decrease Facebook's ad revenue

Mark Bridge writes:

With Facebook’s stock market flotation expected to go ahead next week and a company value of between $77 billion and $96 billion being anticipated, the social network is putting the finishing touches to its paperwork.

It’s just filed an amendment to its original registration statement in which it warns that the increasing use of its mobile services may cause a problem. It’s not the technical infrastructure but the fact that Facebook’s mobile offering isn’t as well-established as its conventional web-based service. Facebook has previously admitted that it’s not making much money from mobile, which means there’s an obvious problem if people abandon the money-making web service for the mobile service.

Mobile ads have now been introduced - but at the moment they’re largely unproven on Facebook. And that could worry some investors.

“We had 488 million Monthly Active Users who used Facebook mobile products in March 2012. While most of our mobile users also access Facebook through personal computers, we anticipate that the rate of growth in mobile usage will exceed the growth in usage through personal computers for the foreseeable future, in part due to our focus on developing mobile products to encourage mobile usage of Facebook. We have historically not shown ads to users accessing Facebook through mobile apps or our mobile website. In March 2012, we began to include sponsored stories in users’ mobile News Feeds. However, we do not currently directly generate any meaningful revenue from the use of Facebook mobile products, and our ability to do so successfully is unproven. We believe this increased usage of Facebook on mobile devices has contributed to the recent trend of our daily active users increasing more rapidly than the increase in the number of ads delivered. If users increasingly access Facebook mobile products as a substitute for access through personal computers, and if we are unable to successfully implement monetization strategies for our mobile users, or if we incur excessive expenses in this effort, our financial performance and ability to grow revenue would be negatively affected.”

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Opinion Articles

The cost of European roaming needn't be a worry

Mark Bridge writes:

Today’s podcast feature is a personal look at the cost of mobile ‘roaming’ in France.

At the beginning of July 2011 the rate for European roaming charges fell to a maximum of 38p per minute (incl. VAT) for calls made while abroad in the EU – and 12p per minute for calls received. There’s also a maximum 12p charge for sending text messages.

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This week at The Fonecast: 26th August 2011

Mark Bridge writes:

Today's news summary is a little early because I'm on holiday this afternoon. I'll be leaving Iain and James in charge... and, even though it's traditionally the "silly season", they'll have plenty to talk about in Wednesday's podcast.

A week ago, the big news in our podcast was Google's purchase of Motorola Mobility. This week it was HP's move away from webOS devices. And now we hear that Steve Jobs has stepped down from the CEO role at Apple, although he's remaining with the company as Chairman of the Board.

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Power your laptop by taking a walk

Rosanne Skirble of voanews.com writes:

Scientists at the University of Wisconsin-Madison have developed a technology that turns human motion into electricity.

In this week's journal Nature Communications, they describe how to power a cell phone or other mobile device - like a laptop computer or GPS system - by simply taking a walk.

Author: The Fonecast
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Nokia prices: how low can you go?

Mark Bridge writes:

This week Nokia has announced the latest iteration of its Symbian software platform: Symbian Belle, which follows the alphabetical theme started by Symbian Anna. Whether we'll reach Symbian Zoe, Zara or Zsa-Zsa before Symbian support ends in 2016 is another matter. But I digress.

Along with Symbian Belle came three new phones - yet it was two other Nokia phones announced from Kenya on Thursday that caught my eye.

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Don't bother looking for a dramatically reduced HP TouchPad in the UK

Mark Bridge writes:

This weekend, you could have picked up a HP TouchPad webOS tablet for $99. Both the HP USA online store and Best Buy in Canada were selling the obsolescent devices at a substantial discount.

Yet over here in the UK, we've seen nothing except a prize draw from The Carphone Warehouse and a less-than-£90 discount from Amazon. And I don't expect anything much better in the short-term.

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Recent Podcasts

Reviewing our 2015 mobile industry predictions... and looking forward to 2016

Podcast - 15th January 2016

Iain Graham, James Rosewell and Mark Bridge return to review their mobile industry predictions from last year. Which mergers, partnerships and developments did they forecast correctly... and which didn’t work out as planned?

Later in the programme, the team anticipates some of the topics that will be hitting the headlines during 2016.

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Podcast from Mobile World Congress 2015

Podcast - 6th March 2015

Mark Bridge learns about the mobile technology trends at Mobile World Congress 2015 by chatting to James Rosewell of 51Degrees, Dr Kevin Curran from the IEEE and Chris Millington of Doro.

They talk about wearable devices, wireless charging, mobile operating systems and much more... including some of their favourite products from the exhibition.

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Looking back at February: from security scares to multiple MVNOs

Podcast - 27th February 2015

We're taking a look back at the biggest mobile industry news stories from February 2015, including allegations that the UK's security service tried to breach SIM card security by hacking into one of the world's biggest SIM producers.

We also talk about the planned BT and EE merger, the creation of two new UK virtual networks, some acquisitions in the mobile payment arena and a new Ubuntu smartphone.

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Interview with Chris Millington of Doro about mobile retailing, wearables and technology for older consumers

Podcast - 24th February 2015

In today's programme Mark Bridge talks to Chris Millington, who's Managing Director for Doro UK and Ireland.

They discuss the state of mobile retailing in the UK, the future of wearable devices and - as you might expect - smartphones for seniors.

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A month of mobile: O2 counts on 3, Microsoft counts to 10 and Apple counts its profits

Podcast - 30th January 2015

We're back with a month of mobile industry news, including takeover talks and takeover rumours. O2 and Three are said to be discussing a merger... but is there any truth in the suggestions that BlackBerry could be up for grabs?

We also discuss Apple's record-breaking quarterly figures, the highlights of CES and the launch of Microsoft Windows 10, as well as saying farewell to the current version of Google Glass.

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