Nokia's cell phone strategy has won a vote of confidence from options traders who are expecting the company to introduce new technology and return to profitability soon. "Investors are betting that Nokia can't continue to get things wrong," said investment strategist Michael Yoshikami of YCMNet Advisors. Also, Nokia said Wednesday that AT&T customers now had access to its online Ovi application market.
The major wireless carriers have set the stage for LTE-based technology to finally take off after they reached an agreement on a voice standard that analysts say will push more service providers to upgrade their networks to the 4G technology. LTE's weakness has been its perceived mediocre handling of voice calls, but that should change now that carriers and manufacturers have decided to adopt the "One Voice Profile" standard, according to this analysis.
Sprint Nextel CEO Dan Hesse told analysts Wednesday that its 4G WiMAX service would be "enormously important" to the carrier this year, telling them the carrier has much at stake as it attempts to stem a declining customer base. Hesse also said Sprint's growing prepaid service would seek to avoid eating into its core business by marketing the product through different brands and distributors. Sprint also said it would begin mobile digital-TV trials in the Washington, D.C., and Baltimore areas with Samsung this quarter.
Google's new Nexus One phone will likely put more strain on the country's already stretched wireless network, according to a published report. Google launched its marketing drive for the smartphone Wednesday with high-profile ads on Google.com. The company also told advertisers that it would introduce a service on some smartphones similar to its core business in which companies' rates are based on the number of clicks on their ads.
AT&T could reap as much as $1 billion over the next few years after forging partnerships with consumer-electronics companies to attach the carrier's wireless network with up to 20 devices, according to Glenn Lurie, the telecom's head of emerging devices. In an interview, Lurie detailed how AT&T's network will allow devices to act as trackers, keeping tabs on such items as parcels, children and others.