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CES 2011 presence with Microsoft moving to SoC & screen level slot management that is not understood by analysts/observers at all

Microsoft’s CES 2011 presence is summarized in two detailed parts below, one for the System on a Chip (SoC) support announcement and the other based on the Steve Ballmer’s CES 2011 opening keynote. The first one has, however, been a source of great confusion among the company watchers, analysts and observers, therefore before we start the detailed overview in these two parts we should look into that situation first.

Update: Microsoft’s next step in SoC level slot management [May 27, 2011]

While the company has clearly stated that Microsoft Announces Support of System on a Chip Architectures From Intel, AMD, and ARM for Next Version of Windows [Jan 5] even such an ardent Microsoft watcher as Mary-Jo Foles interpreted this as a simple message that CES: Microsoft shows off Windows 8 on ARM [Jan 5]. No wonder that Computerworld has written an article that an Analyst ‘baffled’ by Microsoft talk of Windows 8 on ARM [Jan 6]:

Microsoft’s announcement yesterday at CES that its next version of Windows will run on the ARM chip architecture was the wrong message at the wrong place, said an industry analyst.

“I’m baffled,” said Michael Cherry, the analyst at Kirkland, Wash.-based Directions on Microsoft whose specialty is Microsoft’s operating systems. “I just don’t get what they get from this.”

“This is the Consumer Electronics Show, right?” said Cherry, emphasizing the first word of the monster trade show’s name. “It’s not COMDEX,” he added, referring to the long-defunct computer show that Las Vegas last hosted in 2003. “And it’s not the Professional Developers Conference.”

Microsoft picked the wrong stage to talk up Windows and chips, Cherry contended.

“CES is like a car show,” Cherry said. “When I go to the auto show, I don’t mind seeing a couple of concept cars, but what I really want to know is what can I buy at the dealership now? This is a consumer electronics show. It’s not about processors, it’s about features. And I didn’t hear anything about that.”

“I think they can do it,” he said, confident that Microsoft could pull off porting Windows to the ARM architecture, and in time for next upgrade. … But he’s mystified why Microsoft would want to migrate the entire operating system to a tablet platform.

“Do you really gain anything by taking the entire client OS of today and porting it across?” he asked. “Why do they think that the power consumption [of Windows] will be any better on ARM? It’s still going to be running a lot of processes.”

In an accompanying analysis article IDG News Services has even up the ante by declaring that Microsoft must get ISVs onto ARM bandwagon, Microsoft has a lot of work to do moving Windows to ARM chips [Jan 6]:

When Microsoft announced plans to release a version of Windows for ARM processors, it created a lot of work not only for itself, but for all the independent software vendors who sell Windows software as well.

Microsoft will need the support of these ISVs to make the ARM version of Windows a success, warned Dan Olds, principal analyst of the Gabriel Consulting Group.

Microsoft engineers have a lot of work ahead of them, Olds predicts. The ARM instruction set is very different from the x86 instruction set that Windows now runs on. And because ARM processors are not as powerful as x86 ones, the engineers will have to be more careful as to how the operating system consumes resources.

But crafting a version of Windows for ARM is only the first challenge facing Microsoft. Another one is getting ISVs to rewrite their Windows applications to run on ARM. “For ISVs, it will not be trivial to port applications to a new platform,” Olds said.

Yet ISV support will be essential for Microsoft’s success. The success of any operating system depends on the number of applications that have been written for it. The applications were what made Windows a success in the first place, Olds said.

Apple itself faced a similar challenge in 2005 when it announced it was switching to the Intel processors for its Macintosh computers. Apple was successful in moving its own ISVs over to the new architecture, and it has been one of only a few companies ever to survive a switch of platforms. … Microsoft’s task of getting its ISVs interested in porting their software to ARM will be an order of magnitude larger than Apple’s. There are many more Windows software vendors that could supply software. “How do you get them to switch and get them to do it right?” Olds said.

That’s the challenge that awaits Microsoft.

This is all absolutely wrong. The truth is that Microsoft made a strategic decision of moving its core slot management approach to the key System on a Chip (SoC) vendors. It is a decision of enormous significance because up to now the company was managing the slots created by the PC vendors. That is Microsoft had been trying to ensure all along that the client PCs shipped to the market, the “slots” in terms of Microsoft internal way of thinking:

  1. Are best when they are running Microsoft system software.
  2. Have that software already installed when the devices are out of the factory floor (with OEM versions)

From now on Microsoft will do a kind of similar thing on the SoC level (and on the screen level as well), this is my conclusion as I carefully compiled all the available information in the two parts available below. This became absolutely obvious to me as I compared the below details with the radically new “slot situation” represented in my previous post Changing purchasing attitudes for consumer computing are leading to a new ICT paradigm [Jan 5].

Look for example how PC vendors were underrepresented in the keynote compared to what had been before (see my earlier posts: Windows slates in the coming months? Not much seen yet [July 13 – Oct 6, 2010] and Windows 7 tablets/slates with Oak Trail Atom SoC in December [Nov 1 – 24, 2010]) as well as how on the electronics industry level things had been changed recently (see my earlier posts: Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23 –Nov 4, 2010,] and Intel’s industry position and prospects for years ahead [Dec 9, 2010]).

Notes:
– Mary-Jo Foley started to discover some, but only some real motives in her latest With Windows coming to ARM, what happens to Windows Embedded Compact? [Jan 7]. There she mused about the really significant fact of the cancellation of Microsoft OEM chief’s planned appearance at the J.P. Morgan Tech Forum at CES (see the final agenda where Microsoft is missing) which was much anticipated by the investor community.
– Although for me that sign is important as well, the fact that HTML5 related announcements (as was anticipated in my previous post of Windows 7 slates with a personal cloud based layered interface for touch-first HTML5 applications on the CES 2011 [Dec 14, 2010] post) were postponed has even much bigger significance. Whatever will come regarding that upto the MIX 2011 of April 12-14 will be equally important to clarify the rest of the new strategic Microsoft picture. Particularly I am expecting that Silverlight technologies will nicely join the already known IE9/HTML5 push in a new platform technology setup.

Part I. The SoC support announcement

Microsoft Announces Support of System on a Chip Architectures From Intel, AMD, and ARM for Next Version of Windows [Jan 5], (emphasis is mine):

Microsoft Corp. today announced at 2011 International CES that the next version of Windows will support System on a Chip (SoC) architectures, including ARM-based systems from partners NVIDIA Corp. [Tegra platform], Qualcomm Inc. [Snapdragon platform] and Texas Instruments Inc [OMAP platform]. On the x86 architecture, Intel Corporation and AMD continue their work on low-power SoC designs that fully support Windows, including support for native x86 applications. SoC architectures will fuel significant innovation across the hardware spectrum when coupled with the depth and breadth of the Windows platform.

At today’s announcement, Microsoft demonstrated the next version of Windows running on new SoC platforms from Intel running on x86 architecture and from NVIDIA, Qualcomm and Texas Instruments on ARM architecture. The technology demonstration included Windows client support across a range of scenarios, such as hardware-accelerated graphics and media playback, hardware-accelerated Web browsing with the latest Microsoft Internet Explorer, USB device support, printing and other features customers have come to expect from their computing experience. Microsoft Office running natively on ARM was also shown as a demonstration of the potential of Windows platform capabilities on ARM architecture.

Next version of Windows on Qualcomm Snapdragon ARM demo at CES 2011 Ballmer keynote -- Jan 5, 2011

SoC architectures consolidate the major components of a computing device onto a single package of silicon. This consolidation enables smaller, thinner devices while reducing the amount of power required for the device, increasing battery life and making possible always-on and always-connected functionality. With support of SoC in the next version of the Windows client, Microsoft is enabling industry partners to design and deliver the widest range of hardware ever.

Next Version of Windows Will Run on System on a Chip (SoC) Architectures from Intel, AMD and ARM [Jan 5]
(emphasis is mine) Q&A: In a technology preview at CES, Microsoft demonstrates Windows running on new SoC x86 and ARM-based systems.

The Microsoft News Center team talked with Steven Sinofsky, president of the Windows and Windows Live Division, in advance of the announcement.

Microsoft News Center: Can you give us an overview of what led you to make this announcement today and what the specific news is?

Sinofsky: We are making this announcement now to allow greater collaboration across our expanded partner ecosystem so we can bring to market the widest possible set of PCs and devices, from tablets on up, with the next generation of Windows. We’re at a point in engineering the next release of Windows where we are demonstrating our progress and bringing together an even broader set of partners required to deliver solutions to customers.

We’ve reached a point in technology where everyone really does want everything from their computing experience — the power and breadth of software for today’s laptop, the long battery life and always-on promise of a mobile phone, and the possibilities from a new generation of tablets. Bringing these capabilities together to meet customer demand requires innovation in hardware as well as a flexible, evolving software platform to bring it to life.

Microsoft News Center: Tell us about your partners on ARM-based systems. How were they selected and what do they bring to the table?

Sinofsky: It takes experienced partners to help deliver Windows to a whole new set of devices and we’re pleased NVIDIA, Qualcomm and Texas Instruments have joined us in this technology demonstration. We look forward to even more robust collaboration between silicon partners and a broader set of partners as we work together to bring new PCs and devices – from tablets on up – to market with the next version of Windows.

Microsoft News Center: You’ve talked about these new systems being ready for the next version of Windows. What does this mean for future hardware innovation on Windows 7?

Sinofsky: Windows 7 continues to be extraordinarily well-received by customers – consumers and businesses – using a broad selection of PCs for a wide variety of usage scenarios. There is no better place to see this array of choice and innovation than at a show like CES. At the Windows 7 launch, we saw a terrific line-up of new offerings from partners, and this CES brings another wave of great Windows 7 PCs across a wide range of form factors and capabilities, including new designs on Intel’s 2nd Generation Intel® Core™ Processor Family and AMD’s Fusion APUs. OEMs are delivering great designs and personalized selection across the wide range of PCs including convertibles, gaming rigs, all-in-ones, ultraportables, everyday laptops, and tablet PCs. We know we’ll see additional waves of hardware innovation over the next several seasons as well and we look forward to continuing to work closely with our partners.

Microsoft News Center: What exactly are you demonstrating today as part of this announcement with respect to Windows on ARM?

Sinofsky: Today’s demonstrations will highlight the work we have done on the architecture of Windows to enable the richness of the Windows platform to run natively on the ARM platform. That includes support across a full range of scenarios like hardware accelerated media playback, hardware accelerated Web browsing with the latest Internet Explorer, USB device support, printing, and other features customers have come to expect from their computing experience.

The underlying architecture and engineering work includes a significant set of capabilities to run natively on ARM across the low-level subsystems of Windows as we bring Windows together with this new hardware platform.

Today’s demonstration represents the first showing of the next release of Windows. We know many of our most enthusiastic supporters are interested in learning more about the user interface, programming APIs, and other new features to come in Windows. The announcement today is just the start of our dialog with a broad community around Windows and, as with Windows 7, we will be engaging in the broadest pre-release program of any operating system. So there is a lot more to come.

Microsoft News Center: What can you tell us about Office on ARM?

Sinofsky: We’re committed to making sure that Windows on SoC architectures is a rich Windows experience. Microsoft Office is an important part of customers’ PC experience and ensuring it runs natively on ARM is a natural extension of our Windows commitment to SoC architectures.

Microsoft News Center: What else can you say about the next version of Windows?

Sinofsky: What we showed today was a technology preview of how Windows can adapt to run on SoC architectures. We are making this announcement now to enable our silicon partners, including new ARM partners, to collaborate across the ecosystem to bring innovation to market with the next version of Windows. We’re hard at work on all the aspects of the next version of Windows and we’ll share more information when the time is right.

Update: Intel CEO Paul Otellini addresses Microsoft’s ARM move in the wake of record earnings announcement [Jan 13] (emphasis is mine)

The plus for Intel is that as they unify their operating systems we now have the ability for the first time, one, to have a designed-from-scratch, touch-enabled operating system for tablets that runs on Intel that we don’t have today; and, secondly, we have the ability to put our lowest-power Intel processors, running Windows 8 or the next generation of Windows, into phones, because it’s the same OS stack. And I look at that as an upside opportunity for us.

On the downside, there’s the potential, given that Office runs on these products, for some creep-up coming into the PC space. I am skeptical of that for two reasons: one, that space has a different set of power and performance requirements where Intel is exceptionally good; and secondly, users of those machines expect legacy support for software and peripherals that has to all be enabled from scratch for those devices.

Part II. The Steve Ballmer CES 2011 opening keynote and all other Microsoft related
– Footage from the Microsoft keynote with some relevant keynote transcript excerpts included
– New Windows Laptops, Tablets and Slates Showcased
– The Next Generation of Microsoft Surface – LCDs That Can ‘See’
– New Xbox Avatar Capabilities on Display
– Copy-and-Paste Coming to Windows Phone 7
– Additional details for the three PCs demonstrated in the keynote
– Other new PCs
– Hardware acceleration for cloud clients (browsers etc.): AMD Fusion APUs, NVIDIA GeForce 500M [Jan 14]
– Xbox and Surface 2 additional information
– Windows Embedded Standard 7: the first wave of OEM partners exploiting the included Windows Media Center

While the above press release and the accompanying feature story (the Sinofsky Q&A) was prepared for a press conference held by Steve Sinofsky a few hours before the opening CES 2011 keynote by CEO Steve Ballmer in the evening, it is certainly that keynote which provided the same SoC related information for the more general CES public. Unfortunately this was just understood as a simple platform extension for the next version of Windows client.

Here is an – otherwise absolutely excellent – edited report from the almost hour long keynote, summarized into less than 8 minutes of video record:

[CES 2011] Footage from the Microsoft keynote [1-5-2011] by gumballtech (I’ve included some relevant keynote transcript excerpts as well to make the video more immediately usable):

Today was Microsoft’s annual keynote presentation, which was led by CEO Steve Ballmer. They’ve announced a number of new things, such as:
– Zune/Netflix/Hulu Plus/ESPN integration with Kinect
– avatarkinect
– Copy and paste for Windows Phone 7
– New laptops using Intel’s Sandy Bridge processors
– Windows 8 [?] running on SoC chips (such as ARM)
– Microsoft Surface 2.0
Check out my blog posting that contains this video and over 90 pictures from the event: http://bit.ly/hoZfBU
Here’s a timeline of what this video contains:

00:05 – Panning around…
00:10 – CEO of the CEA is up…
00:45 – CEO of Microsoft is up (Steve Ballmer)…
Good evening, and welcome. 2010 was a very, very exciting year for our customer. [ We launched Windows Phone 7, Office 2010, and Kinect, and we introduced Internet Explorer 9 and Office 365. We saw great growth in our Bing and Azure Services. And with the amazing success of Windows 7, it’s truly been a year like no other. For more see: 2010: A Year Filled with New Experiences for Consumers]

01:15 – Xbox 360 updates… [Ron Forbes, Program Manager on Kinect for Xbox 360 till November 2011, see also on LinkedIn; he could have a bigger role now within the Interactive Entertainment Business whose president is Don Matrick from Oct 1, 2010]
No waiting, no need to download. Today, our Zune Video Marketplace is available in 20 countries. So, let me show you other websites. As you can see here, all I have to do is wave and Kinect knows that I’m ready to get started. Now, there are several things for me to choose from on this menu, and I could use my hand to choose one. But, you know, there’s nothing easier than just using your voice. All I have to say is, Xbox, and Kinect is listening. So, when I say, suggest some movies. It takes me to previews of this week’s featured movies. So, here I can browse full screen trailers of movies that I can watch, like this first one, “Inception.” Awesome, awesome film. And I can easily swipe my hand to move it on to the next one.

02:00 – avatarkinect… [with Steve Ballmer’s avatar speaking]
… what about your facial expressions? As you can see, now Kinect can track features like your smile, your laugh, and even the raise of your eyebrows. Here’s just a little taste of what’s next on Kinect. We call it Avatar Kinect.
02:25 – avatarkinect video…
02:40 – Upcoming games for Windows Phone 7 (video)…
[= Xbox Live games only on Windows Phone 7]

03:22 – Some great WP7 features… [Liz Sloan, Senior Marketing Manager with Microsoft’s Mobile Communications Business whose president is Andy Lees from Oct 1, 2010]
I can also see things like the weather in the city of my choice. And I can also see if they have mission critical information like apps like this one, five and a half months until Summer Solstice begins. And when you’re a Hawaiian native that lives in Seattle, you count every single day until summer arrives. We also surface simple things …
03:45 – Copy and paste on WP7 [Liz Sloan]
copy this up on stage with all of you and I’m going to go to one of my favorite shopping apps and do a little bit of research on this Xbox. As Steve mentioned, we have over 5,500 new apps in marketplace, which brings me to point No. 6, our fantastic apps, big name apps, like Bank of America, Travelocity, Fandango, and in this case Amazon.com. If you remember a few seconds ago I copied the Xbox that I was interested in. And since it’s a little bit long I’m going to paste it in and then I’m going to search …
04:25 – Steve’s back…
When I get a chance to show people a Windows Phone, the feedback that I hear is very, very gratifying. People tell me how snappy it is, easy to use, how personal it really feels. And perhaps as importantly, all in, simply how beautiful it really looks.

Acer Iconia the Winner of Last Gadget Standing at CES 1011 in the 2 Screen Web Browsing Mode

05:00 – A cool dual-screen computer… [Mike Angiulo, Corporate Vice President Windows Planning, Hardware & PC Ecosystem whose role has very recently been greatly upgraded to include responsibility for Surface Computing, PC Hardware, and a variety of partner engagement programs such as WinHEC, the Logo programs for hardware and systems, and direct engineering engagements with OEMs, IHVs and ISVs as well]
… [here’s an example, this one is from Acer, and this is a dual-screen PC. So, you can see I have two 14-inch touch screens here. I can –] is that cool? Do you like that one? (Cheers, applause.) It looks really cool from here, too. And what’s neat is you not only have a lot of room for browsing, but I can take 10 fingers, put 10 fingers down on the screen, and immediately get a software keyboard that comes built-in. (Applause.) Go ahead, let it out. So, I can launch Word here. I have a track pad. I can do productivity scenarios.
05:20 – A nice Windows 7 tablet… [Mike Angiulo]
[This is the new Tablet PC from ASUS, and this is a full-power Windows PC. So,] this PC has a Core i5 processor in it. It ships with this wireless keyboard. It makes a great productivity workstation for maybe a small area like on an airplane or a student’s desk. And what you can see is that it responds well to Windows Touch, because it has a capacitive touch screen. But because it’s a Tablet PC, I can also take out the pen and use ink. And what ink lets me do is stuff like I’m highlighting here in Excel. I can take a pen and say, “This is great.” I can take an eraser, I can erase.
[And one of the cool things about ink and Tablet PC is a Tablet PC has handwriting recognition in 26 languages, and you can see this: When I have the pen down on the screen, can you see how my hand is not moving the spreadsheet around? This is one of the reasons that it’s hard to do ink on touch-only devices, and why Tablet PCs are so good for ink, is because it’s implementing palm rejection here. It actually knows what my hand is and knows what the pen is, and doesn’t get the two confused.]
… [But what I want to show you here is the screen itself. This screen is really bright. And] what we did with ASUS was we worked really hard with them to make sure that this screen would have off-axis viewing of almost a full 180 degrees. So, as I move it around here on the camera, you can see that from almost any angle this screen is really, really bright, and the colors don’t shift. And we did that by working together on a process to optically bond all the components of the screen. So, the Gorilla glass on the surface, the underlying LCD, the touch sensor, even the electromagnetic digitizer for the ink are all bonded together as a single unit. And that process eliminates the air gap that’s usually underneath the screen, so the screen is not only brighter, it uses 20 percent less
power [to actually get that same level of brightness.
You can order these PCs starting right now. The page just went live on Amazon.com in the Microsoft Store. And I think they’re going to be pretty popular.]

06:27 – Microsoft Surface 2.0…[Mike Angiulo]
So, those first-generation Surface PCs needed cameras underneath that would look up to try to see what was going on. But what we have here is called PixelSense. PixelSense is new technology we’ve invented where there’s infrared sensors all across this screen. Every single pixel is actually acting as a camera. The PC, the Surface here, can actually see. So, I’m holding up a piece of paper that says “I can see,” and when I set it down, what you see on this debug monitor, and what you can see on this split screen above is that the PC can actually see that paper. So, this is even beyond touch. And PixelSense is more than just vision, it’s actually the processing inside …

07:05 – Steve’s done…
07:23 – A “spy” video of Joshua Topolsky and Paul Miller of Engadget…

More information:
Steve Ballmer’s full keynote at CES 2011 — almost 60 minutes of recorded video on demand [Jan 5]
A transcript of Steve Ballmer’s full keynote at CES 2011 [Jan 5]
Microsoft at 2011 International Consumer Electronics Show (CES): Press Materials

— Feature Stories, Press Releases, Speech Transcripts and Fact Sheets
CES Wrap Up: Microsoft Makes Mark with New Windows Devices, Surface and Xbox
[Jan 7] with additional (to the feature story) information related to the keynote excerpted here:

The new and revamped products “resulted from big technology bets that we’ve made,” Microsoft CEO Steve Ballmer said during his keynote speech on Wednesday. “Bets on the cloud, natural user interface, new smart client technology, machine learning.”

New Windows Laptops, Tablets and Slates Showcased

Several Windows 7 PCs set CES abuzz, including a laptop, tablet and slate showcased by Ballmer and Mike Angiulo in Wednesday’s keynote. Angiulo, corporate vice president of Windows Planning, Hardware and PC Ecosystem, was interrupted with applause by an enthusiastic audience several times during his demo. “Go ahead, let it out,” he told them, eliciting cheers and applause.

The Acer ICONIA laptop …

Acer ICONIA – Two Multi-Touch Displays
The Acer ICONIA [=> Acer site with the details, said to be there “the world’s most advanced touchbook”], expands the content consumption experience with its two multi-touch displays, enabling users to set the best scenario for what they’re doing. This 64-bit, Windows 7 Home Premium touchbook will ship with Intel Core i5 chip and is optimized for the Dolby Home Theater v3.

[Price and availability was not given except at Nov 23 global announcement press briefing as reported by PCWorld: “Acer says the Iconia may be available in the United States by Christmas, or January at the latest. The device will go on sale in Europe sooner, where it’ll be priced at 1500 euros or 1500 pounds. The U.S. price is still to be determined”. More details are available in laptopmag.com’s Dual-Screen Acer Iconia Aims To Make You Love Windows 7 On A Tablet [Nov 23, 2010] article where 2.8 kg (6.18 lbs.) and battery life of 3 hours is indicated with 4-cell battery. According to techradar.com’s Acer Iconia dual touchscreen tablet announced [Nov 23, 2010]  article: “The Acer Iconia dual touchscreen tablet has a UK release date of 16 January and will cost £1,500.”]

Angiulo also showed an engineering prototype of the Samsung Sliding PC 7 Series, coming in March. At first glance, the Samsung is an ultra-slim, light PC that looks like a multi-touch tablet. However, sliding the display into place reveals a physical keyboard so users can enjoy the best of both worlds – a touch tablet, as well as a more familiar PC keyboard.

Samsung Sliding PC 7 Series: Freedom of Intuitive Touch
The Samsung Sliding PC 7 Series [=> general Samsung site] is an ultra slim and light tablet with multi-touch applications — and a physical keyboard once the display slides back, giving users the freedom of an intuitive touch environment and a familiar keyboard/mouse interface. [It has Intel® ATOM™ Oak Trail Z670 @ 1.66GHz CPU as you could see below in the Samsung press release.]

Also shown, a new ASUS Tablet PC …

ASUS Eee Slate EP121 – Ultimate Portability
The ASUS Eee Slate EP121 [=> pre-order on Microsoft Store for $1,099, however on Amazon a smaller version is also available dor $999, see much below] is a performance-driven, 12-inch slate providing ultimate portability and smooth computing power anytime and anywhere. This 64-bit, Windows 7 Home Premium device will ship with the Intel Core i5 chip and the coveted solid state drive, enhancing productivity and mobility.

All three devices are available to order now in the Microsoft store on Amazon.com [not true, as of Jan 7 only the Eee Slate EP121 is available], Angiulo said. “I think they’re going to be pretty popular,” he added.

The Next Generation of Microsoft Surface – LCDs That Can ‘See’

Ballmer unveiled and demoed the new Microsoft Surface on stage, showing a thinner device that enables thin LCD screens to “see” without the use of cameras.

Created in partnership with Samsung, the Samsung SUR40 incorporates all the key features of the original Surface product – a massive multi-touch experience, the ability to recognize fingers, hands, and objects – as well as a new technology that has enabled a more flexible form factor.

“What we’ve done is taken Surface technology and embedded it into an LCD [liquid crystal display],” said Panos Panay, general manager of Microsoft Surface. “Essentially we’ve created LCDs that can see.”

Microsoft did that through its new PixelSense™ technology, which enables the pixels in the LCD screen to sense what’s touching it and instantly process that information, said Somanna Palacanda, director of Microsoft Surface. “That means we’ve taken the power of the camera and put it right into the pixels themselves,” he said. “Now with a screen that’s four inches thick, customers have the option to use it as a table, hang it on the wall, or embed it into furniture.”

New Xbox Avatar Capabilities on Display

Ballmer appeared on screen during his keynote as his avatar when he introduced Avatar Kinect, which uses Kinect’s facial recognition technology to let a person not only control their avatar’s movements but also to project their expressions onto their avatar; when they smile, frown, nod and speak, the avatar will do the same.

This spring, Xbox LIVE Gold subscribers will be able to use Kinect to control their Netflix experience. Viewers will be able to pause, rewind and fast-forward their streaming movies with only their voice or gestures.

Also this spring, Hulu Plus will come to Xbox LIVE as a Kinect-enabled experience. As with Netflix, subscribers will be able to use controller-free motion and voice capabilities to instantly watch full screen popular TV shows anytime in HD.

“You’re going to continue to see more fun, more entertainment, and more innovation from our Xbox team in 2011,” Ballmer said. “Xbox today is going where no gaming system has ever gone. Your Xbox is becoming the hub of your living room. It is your gaming system, but it’s your movies, it’s your TV shows, and it’s your sporting events. It’s your social interactions, all delivered directly to the biggest screen in your house.”

Copy-and-Paste Coming to Windows Phone 7

A series of Windows Phone 7 updates are coming over the next few months, including adding the copy-and-paste feature and improving the phone’s performance when loading or switching between applications.

Microsoft also is working to make Windows Phone 7 available from Sprint and Verizon in the first half of 2011, and more languages will become available later this year.

Windows Phone 7 is the best new phone out there,” Ballmer said. “As people try it, and discover its new features and beautiful hardware, they see the difference. They see how it makes everything from gaming to social networking to productivity better than on any other phone.”

Additional details for the three PCs demonstrated in the keynote:

Acer Iconia Named Winner of Last Gadget Standing; DriveSafe.ly 2.0 Named Winner of Mobile Apps Showdown Contests [Jan 8]
Last Gadget Standing: The Results Are In!
[Jan 9]

The Last Gadget Standing–as determined by applause-o-meter at the event is Acer’s Iconia, a notebook with two 14-inch screens and a touchscreen interface. And the People’s Choice winner–determined by an online poll–is Barnes & Noble’s Nookcolor “reader’s tablet.”

Last Gadget Standing: The Ten Finalists [Dec 28]
Acer’s Iconia voted One of Ten Favorite ‘Last Gadgets Standing’ at Annual CES Competition
[Dec 30, 2011]

Acer announced today that their brand new Iconia Touchbook has been voted as one of the top ten products in The Ten Favorites at the CES annual Last Gadgets Standing competition. The Iconia is a dual all-point multi-touch notebook that gives consumers the best features of a laptop and tablet device. The Last Gadget Standing Competition is due to take place on January 8th, 2011 at the Consumer Electronics Show in Las Vegas.

Acer’s Iconia offers an enhanced content consumption experience and brings the interaction with the tablet to a new level.

Comes complete with Windows© 7 and offering  a unique visual experience, the Iconia allows multimedia, entertainment, communication and even web pages to flow seamlessly across its 14-inch dual screens. A virtual keyboard is as close as the user’s fingertips and features a full-sized QWERTY layout, while something Acer calls the “Gesture Editor” enables users to create customized gestures that will instantly open applications or favorite websites with, literally, a wave of their hand.

All these features, and more, are just some of the reasons the Acer Iconia has become such a fan favorite at this year’s CES, and is certainly why the judges of the Last Gadget Standing competition have now made it one of the top ten finalists.

Products represented in this competition have been nominated by the writers of prominent news/blogger sites. These writers petition their readers to submit choices for those products they consider the most innovative, useful, and able to stand the test of time.

Acer ICONIA [Nov 23, 2010]

Not so long ago mobile computing devices with touch screens were only found in science fiction. Now Acer presents ICONIA, a new concept device set to add a brand new tablet experience, combining the versatility of a conventional 14” form factor with a unique dual-screen layout and highly intuitive all-point multi-touch functionality, which means you can use all the fingers of your hands to navigate ICONIA.

Multimedia, entertainment, communication, web browsing and office productivity seamlessly flow across the dual screen, allowing users to set the best scenario for what they are doing. To improve readability of web sites or documents, the window can be spread across both screens. But the dual screen also means you can do one thing in one screen and something else entirely on the other: you can browse a website on the top screen and view the contents of your favourite folder on the bottom one or you can watch a video on the top screen and check out your multimedia library in the other.

“We took this insight and created a range of easy to use devices with touch technology including Smartphones, Notebooks, AIO PCs, Tablet and our latest addition, the ICONIA Touchbook: this level of commitment to touch technology is something no other PC vendor can compete with.” states Jim Wong Acer Inc. Vice President and ITGO President. “The Intel® Core™ i5 processor together with our experience with touch technology has allowed us to completely remap the user experience to create a far more natural interaction with our devices.

Both 14-inch displays have HD 1366×768 resolution, high-brightness Acer CineCrystal™ LED-backlit TFT LCDs and take advantage of cutting-edge technologies supporting all-point multi-touch for precise on-screen input. Protected by the ultra-thin yet durable Gorilla® Glass, the displays are scratch and fingerprint resistant, easier to clean and offer the same touch functionality.

ICONIA is designed to provide the optimal all-point multi-touch experience on a dual-display tablet. This is why Acer equipped it with a full range of intuitive and easy to use features and applications that fully exploit the countless possibilities of multi-touch technology. The starting point to launch ICONIA’s touch features and controls as well as applications is the Acer Ring.

The Acer Ring appears simply by placing five fingers on the screen and making a grab gesture. The Acer Ring allows you to start touch applications by scrolling through the App cards and tapping on the one you choose. The Ring also provides fast access to: Virtual Keyboard, Gesture Editor, Window Manager, and Device Control Console.

The Virtual Keyboard can be launched from the Acer Ring or by placing both palms on the bottom display. The intelligent design senses the position of the user’s palms and launches the keyboard. It comes with a full-size QWERTY layout with international language support to give users the same experience of a traditional physical keyboard and features predictive text input for natural-speed typing while avoiding mistakes. The Virtual Keyboard also includes a touchpad and a numeric keypad and can be easily switched to handwriting mode. With all these functionalities you won’t miss the traditional physical keyboard!

With the Gesture Editor you can set customized gestures to launch specific applications, open websites, view your desktop or lock your computer. The Gesture Editor offers you a simple and intuitive way to personalize ICONIA to best suit your needs.

Acer ICONIA -- company specific interface solutions over Windows from the promo page -- Jan 7, 2011

http://www.acer.com/iconia/: Acer introduces ICONIA: the world’s most advanced touchbook. Dual screens. Full touch interface. A truly unique experience.

Window Manager allows users to organize the various application windows on the double touch screen. Windows and applications can be moved across displays, so you can always have what you need where you need it. Plus, you can browse through a list of running application, and resize, dock or close windows.

A wealth of built-in touch applications designed to easily manage content provides a seamless experience. Besides those already implemented on Acer’s touch devices, such as TouchBrowser, TouchPhoto, TouchMusic and TouchVideo, allowing an enhanced browsing experience with on-screen gestures to zoom, rotate, flip and scroll and to access and enjoy your multimedia from an integrated touch-optimized interface, ICONIA includes three new ones: SocialJogger, My Journal and Scrapbook.

SocialJogger lets you gather and check updates from Facebook, YouTube and Flickr in all in the same place, taking advantage of the dual screens to check posts and updates on the bottom display and use the second display for exploring and viewing more content.

You can use MyJournal to collect web clippings on your preferred topics. Web clippings are dynamically updated to display all the latest information and can be categorized and displayed according to your needs. Simply tab on a collected Web Clip to display the full webpage on the top screen for a complete access.

Scrapbook lets you easily store clippings, posts and just about anything else from different sources in the same place. You can capture screen shots from the web or an application, edit them and add notes. You can create photo collections with notes and comments. You can also add your scraps to presentations, and documents. Scrapbook helps you keep track of anything you find interesting, funny or valuable and share it!

Samsung Creates a New Category of Mobile PC with the Samsung Sliding PC 7 Series [Jan 5]
Combining the Benefits of a Laptop and Tablet PC, the PC 7 Series is Ideal for Creating and Consuming Content

Pioneering Design
Weighing just 2.2 pounds, the Samsung Sliding PC 7 Series is easily packed into a briefcase and can be used for making presentations or for recording data on the fly. The 7 Series is suited for both indoor and outdoor use with 340-nit brightness 10.1-inch display supported by an enhanced HD resolution (1366 x 768). With its slim and light weight design, the 7 Series allows for mobility without compromising functionality in personal or professional settings.

Everyone from students to mobile professionals can enjoy the convenience of Samsung’s Sliding PC 7 Series. The form factor is ideal for personal computing activities like watching movies or social networking, and can quickly adapt the needs of professional users presenting to clients or taking notes at a meeting. The device is also perfect for students, thanks to its handy, portable nature and focus on content. For those who prefer physical keyboards over a touch screen for quickly typing up notes or browsing the Web, the 7 Series features a full, 80/81-key keyboard sleekly tucked away under the display. At the user’s convenience, the keyboard slides out completely, creating a laptop-like interface coupled with the touch capabilities on the display.

The six-cell lithium-polymer battery and innovative Eco Light Sensor, which conserves energy and adjusts screen brightness based on available ambient light, allows the 7 Series to last for up to 9 hours.

Innovative Mobile Computing
The ultra-light Samsung Sliding PC 7 Series is engineered with convenience and responsiveness in mind. Available in either 32GB or 64GB models, the 7 Series features expandable storage with the 4-in-1 memory card reader. The solid-state hard drive and Samsung’s Fast Start feature powers the 7 Series in as little as 15 seconds, or restores from Hibernate and Sleep modes in a mere 3 seconds. The SSD also fully supports multi-tasking not only in the Windows® mode, but also in touch mode, so users never have to slow down.

Equipped with Microsoft Windows 7 Home Premium, the Samsung 7 Series provides familiarity and comfort to users while enhancing their overall experience. Users with entertainment in mind will benefit from high-resolution graphics and an HDMI port for sharing content on an HDTV. Additionally, the built-in webcam and audio speaker make the 7 Series ideal for video communication with family, friends and coworkers across the globe.

Optional 3G connectivity takes the 7 Series to new levels, with Internet connectivity anywhere, anytime. Moreover, the built-in accelerometer enables portrait or landscape viewing, making the 7 Series perfect for reading daily news articles, or sharing photos with family and friends.

Application Ecosystem
The Sliding PC 7 Series comes with several pre-loaded applications that are optimized for the touch screen display. This includes Samsung’s applications for music, video, photos, note taking, weather, clock, compass and many more. In addition, Microsoft Bing™ Maps provides powerful tools that help get more out of search, including the intuitive Bing voice search, which enables users to type with their voice to find what they’re looking for. More robust touch applications will be available via the Samsung App Manager and Windows Product Scout.

The Samsung 7 Series acts as a connective hub with other devices to improve the entertainment experience thanks to Samsung’s device-to-device connection solutions. Samsung AllShare™ enables users to control, search, swap and play videos, photos, and music across a full range of DLNA® (Digital Living Network Alliance) certified Samsung devices, ranging from cameras and smart phones to TVs and PCs.

The Samsung 7 Series is scheduled to be available in March 2011, with a starting price of $699 MSRP. All Samsung mobile PC products are available through Samsung resellers and distribution channels, which can be located by calling 1-800-SAMSUNG or by visiting www.samsung.com.

Key Specs:
• CPU: Intel® ATOM™ Oak Trail Z670 @ 1.66GHz
• Operating System: Genuine Windows® 7 Home Premium
• Samsung Touch Launcher
• Memory: 2GB DDR2
• Hard Drive (max): 32GB or 64GB (mSATA SSD)
Screen: 10.1-inch touchscreen HD LCD display (340 nit)
• Resolution: 1366 x 768
• Graphics: Intel Integrated Graphics
• Audio Technology: Integrated speaker (0.8W x 2)
• I/O:
• USB 2.0
• 4-in-1 memory card reader
• HMDI out
• Webcam: 1.3MP
• Battery: Lithium Polymer; up to 9 hours
• Wireless: 802.11b/g/n; WiMax; 3G
• Dimensions: 10.47 x 6.88 x 0.78 inches (W x D x H)
Weight: Starting at 2.18 lbs.

CES 2011 — ASUS Tablet Computers — Providing Choice through Innovation at CES 2011 [Jan 4, 2010]:

ASUS Eee Slate EP121

The Eee Slate EP121 is designed for users who require a highly portable handheld device that can also run standard office software while multitasking with other applications. Powered with an Intel® Core™ i5 dual-core processor, the Eee Slate features a 12.1” LED-backlit display with a 1280 x 800 resolution and a wide 178° viewing angle, making it perfectly suited for both productivity applications and multimedia entertainment.

ASUS Eee Slate EP121-1A010M 12.1-Inch Tablet PC demonstrated by company rep Gary Key at CES 2011.

[See also: ASUS Eee Slate EP121: First demo at CES 2011 [Jan 5] for a complete scenario of “Running on Windows 7 Home Premium, it has no issues multitasking as we could witness during ASUS’ presentation: while a video was running in the background, the presenter edited an image of his ‘daughter’ with Photoshop Elements. Afterwards he sent it wirelessly over to another Slate after using the capacitive stylus to write the e-mail address which the built-in text recognition transfered into legible letters.”]

Windows® 7 Home Premium ensures full compatibility with a wide range of popular applications controlled by flexible input options thanks to the Eee Slate. The capacitive touch-screen responds instantly to fingertip control for day-to-day use, while the capacitive stylus offers fine precision input and control. An on-screen keyboard is also complimented by support for an external Bluetooth keyboard for traditional desktop use.

The Eee Slate is available with 32GB or 64GB of SSD storage (expandable via SDXC), and up to 4GB of DDR3 RAM. All models have 802.11n Wi-Fi, Bluetooth 3.0, a 2-megapixel camera, plus two USB 2.0 ports that provide full support for a wide range of standard PC peripherals, along with a mini-HDMI port that is ideal for connecting to external displays.

ASUS is excited to announce that the ASUS Eee Slate EP121 is one of their eight products to be selected for a CES 2011 Innovations Award.

See also the Entertaining meets enterprising with the most powerful tablet [Jan 4] promo page in the US which is curiously showing the following view of the product where the screen is actually that of Windows Media Center. While this functionality is coming with the Windows 7 Home Premium included in the product it is obviously very useful for touch only functionality as well. Nevertheless all the demos available are showing the Eee Slate EP121 with pen based touch manipulation (except this one recorded on January 6, 2011 using a Flip Video camcorder, where from 0:28 to 0:45 you could see this interface in action). Could some additional Microsoft software come later on (with shipment) to exloit that?

ASUS Eee Slate EP121 as presented on the promo page -- Jan 4, 2011

This page is also leading to the pre-order pages on the Amazon where the 2GB RAM and 32GB SSD version is available for $999 and the 4GB RAM and 64GB SSD one for  $1,099 (the wireless keyboard is an option for both). On both pages it is stated that:

  • Battery Pack: 4 cell polymer battery (up to 3 hours)
  • Dimensions: 12.28 x 8.15 x .66 –inches (W x D x H)
  • Weight: 2.53 lbs

Other new PCs:

Innovative New Windows-Based PCs at CES 2011 [Jan 7] which in addition to the three devices from Acer (ICONIA), Samsung (Sliding PC 7 Series) and ASUS (Eee Slate EP121) showcased at the keynote currently provides information on there are 7 other devices as well – 5 laptops, one very thin all-in-one home PC and a complete home entertainment center set-top box:

Dell XPS 17 3D – As Unique As You Are
The Dell XPS 17 [=> Dell site with the details for this laptop, from $950] 3D PC extends the XPS quality we know and love to also offer 3D experiences with full 1080p HD resolution. This PC ships with Windows 7 Home Premium and wireless active shutter glasses, and is customizable with the Dell Design Studio, making your PC as unique as you are.

HP Pavilion dm1z – For the Road Warrior
Extremely thin and light, the HP Pavilion dm1z [=> HP site with the details for this laptop, from $525] keeps you connected on the go and is priced to fit your budget. Ideal for the road warrior, this PC ships with Windows 7 Home Premium and the AMD Neo mobile processor with dual-core options — all the power and productivity you need.

Lenovo A320 – Iconic Ultra-Slim Design
The IdeaCentre A320 [=> Lenovo site with the details, from $525] redefines home computing with its iconic ultra-slim design, premium sound and 8 GB RAM. This Windows 7 Home Premium PC ships with Intel Core i5 with Turbo Boost Technology.
[“At 18.5 inches deep, the Lenovo IdeaCentre A320 is the thinnest all-in-one PC in the world.  Lenovo’s held that distinction three years running — but this year’s model packs in performance to match.”
-Gizmodo]

MSI GT680 – For Gaming Enthusiasts
The MSI GT680 [=> MSI news site with the details for all the new G Series laptops] is a great choice for gaming enthusiasts. This 64-bit PC features the exclusive Turbo Drive Engine Plus (TDE+) technology and dual turbo power for exceptional performance and efficiency. It ships with Windows 7 Home Premium and the Intel Core i7 processor.

Reycom Entertainment Center – Complete Home Entertainment Experience
The Reycom Entertainment Center [=> Reycom site for the family, the separate press release in the attached PDF version is stating “Reycom will launch The REC United States retail version in Q1 2011 (estimated price around $499) followed by dedicated versions for US cable operators and US telecom operators by mid 2011.”] is a complete home entertainment experience, with live TV in HD with time-shift, and access to a wide range of films, TV shows, gaming, music, and more. This Windows Embedded Standard 7 set-top box ships with Intel Atom and NVIDIA ION technologies.

Sony VAIO F 3D – Full 1080p HD
The Sony VAIO F series [=> Sony site with the details, from $999] 3D laptop in full 1080p HD creates an immersive viewing experience with images so realistic you’ll feel like you’re part of the action. It’s loaded for all-out performance with a quad core Intel Core i7 processor, dedicated NVIDIA GeForce graphics, and up to 6GB RAM.

Toshiba Satellite A665-3DV – All-Purpose Entertainment PC
The Toshiba Satellite A665 3D Edition [=> Toshiba site with the details, from $1.699] laptop is an all-purpose entertainment PC offering premium performance, superior productivity and ultimate creativity. This Windows 7 Home Premium PC also offers true stereoscopic 3D multimedia enjoyment and ships with the Intel Core i7 processor.

CES 2011 Recap: My favorite PC tech from this year’s show (and a re-post of all fifteen “Live at CES” videos) [Jan 10]

CES 2011 was a whirlwind of incredible new PC technology.  There was a lot to take in, so to help you get a quick overview of the show’s PC highlights I’m re-posting all fourteen videos I shot at the event, as well as a line or two about the highlights for each partner.

Thanks to Acer, Asus, Dell, HP, Lenovo, Origin, Samsung, Sony and Toshiba for taking the time to show me their newest, most innovative PCs, and to AMD, Intel and NVIDIA for walking me through their latest CPU, APU and GPU technology.

And of course, a HUGE thank you to everyone who submitted questions & comments through Twitter and the blog!

All of the partner videos are below, but if you’re short on time and want to get a really quick overview of what was new and cool at the show, check out my booth walkthrough with Microsoft’s “Roving Reporter” Jessica Corbin, and the technical snapshot of new PC technology I did with Larry Larsen from Channel 9.

ACER: I was really impressed by Acer’s totally unique – and surprisingly practical – ICONIA dual-touchscreen laptop, and by the ultra-slim Revo mini desktop.AMD: AMD’s new Fusion APU has the potential to be a game-changer. Check out the video to see what it’s all about.

ASUS: Clearly the star of the show for Asus was the EP121 Slate PC. I reviewed it on the blog, but don’t miss it in action in the video:DELL: I’m a sucker for power, and Dell’s brand-new Alienware M17x with wireless HD technology didn’t disappoint.

HP: The Pavilion dm1 was the most impressive PC I saw from HP this year. $450 gets you 9+ hours of battery life, HD capable graphics and built in 3G wireless.INTEL: One industry expert told me that “The new Core processors might be the biggest thing since the original Pentium”. Watch what they can do, and you’ll see why.

LENOVO: I was blown away by Lenovo Enhanced Experience 2.0, which powers PCs that boot Windows 7 in under 10 seconds. Watch the video to see my custom t410 get humiliated in the fast-boot challenge:NVIDIA: These guys are bringing 3D to the masses. And they have the only computer I’ve ever seen that has rock-show gaming power and can pour a frosty pint of beer at the same time.

ORIGIN: They just might be the new kings of power gaming. Watch the video to see where they’re taking the category next.SAMSUNG: Samsung continues to impress me with their striking industrial designs. The Sliding PC 7 is a practical take on the tablet concept, and the Notebook 9 Series is so thin and light it makes you laugh the first time you pick it up.

SONY: Sony’s new VAIO L all-in-one with a touch-sensitive bezel is beautiful and smart; having the controls on the edges keep fingerprints off the screen.

TOSHIBA: Toshiba showed off a complete lineup of new PCs, from inexpensive netbooks to 3D gaming PCs. It’s really great to see them making something for everyone.

Live at CES 2011: Final thoughts as the show wraps up [Jan 10] (emphasis is mine)

Of course, there was a ton of great trends that I noticed that were really catching on this year:

→ 3D might finally be ready for prime time. That’s largely due to the affordable availability of 3D on new desktops, laptops, and all-in-ones (and of course, TVs)

Consumers are really digging form factors that bring together the best of touch and typeDesigns like the Acer ICONIA, the Dell Inspiron duo and the Samsung Sliding PC 7 Series took a lot of people from “I don’t like touch” to “I need one of these RIGHT NOW!”

There’s really a PC for everyone.  I was very happy to see our partners introducing new form factors that embraced touch, 3D, and other new technology like wireless media streaming, and that came in a huge variety of sizes, specs, colors, and prices.  The ecosystem continues to be as diverse as our 1,000,000,000+ customer base.

Live at CES 2011: You can tell its Dell (because the PCs are fast, beautiful, and customizable) [Jan 9]: “we got a look at their new premium XPS laptops [Intel Core i5], and got a first look at the just-announced Alienware M17x power gaming laptop.
Live at CES 2011: The mad geniuses at ORIGIN show the world what’s next in power gaming [Jan 9]: “If you haven’t heard of them, ORIGIN makes some of the world’s most powerful gaming PCs, all custom designed & hand-built.
Live at CES 2011: Intel gives the inside scoop on its new Core and Atom processors [Jan 9]
Live at CES 2011: AMD explains the new Fusion APU and what it means for next-gen PCs [Jan 8]
Live at CES 2011: A cozy fireside chat with the HP Pavilion dm1 and ENVY 17 3D [Jan 8]: the HP Pavilion dm1z with AMD Fusion E-350 starting from $450
Live at CES 2011: Sony impresses with new all-in-ones, ultraportables and 3D laptops [Jan 8]: “In addition to the brand new ultralight Sony Y (powered by AMD’s new processors) that starts at $549, I got to check out Sony’s new VAIO F 3D laptop, which packs a new second-generation Intel i7 quad-core processor and Blu-Ray, and the impressively designed refresh of the multi-touch VAIO L all-in-one.
Live at CES 2011: Beer, gaming rigs, and 3D everything with NVIDIA [Jan 8]

Live at CES 2011: Geeking out on the show’s new PCs with Channel 9 [Jan 8]: “If you caught my roundup video with Jessica Corbin you’ll find several of these PCs familiar, but Larry and I get more technical here, so it’s a good way to get a deeper look at the new tech on the show floor.  Check it out!

Live at CES 2011: I get shellacked by Lenovo Enhanced Experience 2.0 in their fast boot challenge (but beat everyone else!) [Jan 8]: “wicked thin U260, which boasts a Core i7 processor in a chassis … beautiful B520, Lenovo’s new 3D all-in-one” but the E-350 based ThinkPad X120e (available in February) and IdeaPad S205 (not available in the US) netbooks, as well as the Essential C205 All-In-One are not mentioned at all

Live at CES 2011: A roundup of some of the show’s hottest new PCs with Microsoft’s “Roving Reporter” [Jan 7]: “Check it out for some new views and more hands on time with the convertible Dell Inspiron duo, the ASUS EP121 slate PC, the Samsung Notebook 9 Series ultrathin, and the dual-touchscreen Acer ICONIA.

Live at CES 2011: Samsung cranks up the industrial design with Sliding PC 7 Series and Notebook 9 Series laptops [Jan 7]
Live at CES 2011: Toshiba shows off innovation across it’s entire laptop line
[Jan 6]
Live at CES 2011: Acer’s new dual touchscreen ICONIA, Revo mini desktop, and Aspire entertainment PC [Jan 6]
Live at CES 2011: Video demo of the Windows 7-powered ASUS EP121 Slate PC [Jan 6]
Hands-on with the ASUS EP121 Slate PC [Jan 4]

Motion Announces its First Ultra-Light, Rugged Tablet PC with Versatile Flexibility [Jan 5]

The new Motion CL900 is built based on customer demand for a mobile and integrated device that offers the capabilities to support mobile workflows. Architected for future expansion, the CL900 will feature a peripheral module that will enable simple device expansion. Tightly secured and integrated into the device, the peripheral module will incorporate key documentation tools without compromising durability. Peripheral modules will be released later in 2011.

… Advanced durability, connectivity and mobility features include:

  • Up to eight hours of battery life for all-day, uninterrupted productivity
  • Lightweight and rugged design that offers the protection of the MIL-STD-810G specification (four foot drop test) at only 2.1 pounds and less than 16mm thick
  • IP-52 rated exterior to protect against dust, moisture and other elements
  • Optional integrated Gobi™ 3000 mobile broadband with GPS, 802.11 a/b/g/n WLAN, Bluetooth® 3.0, and a wireless SIM port for advanced communications
  • Display with Corning® Gorilla® Glass display for added durability and scratch resistance and incorporated DuPont Vertak™ to improve visibility in various lighting conditions

    [See Dupont Vertak Overview Video:]

… Running Microsoft® Windows® 7 and powered by the upcoming Intel® Atom™ processor currently codenamed “Oak Trail”, the CL900 balances power, performance and battery life. Additionally, IT serviceability and enterprise support options help ensure uptime and reduce IT resource drain. Business benefits include:

  • The ability to run existing applications, lowering the cost of deployment
  • The performance needed to simultaneously run multiple enterprise applications
  • Bright display that offers the convenience of both touch and stylus input

Note from PDF overview: Delivers clear visibility even in bright sunlight

  • 30GB or 62GB solid state drive (SSD), and up to 2GB of RAM

The new Intel Atom processor is specifically designed for tablet PCs and mobile workflows that require a balance of productivity and battery life. An enhanced version of the Atom line of processors, “Oak Trail” will offer the responsiveness, security and manageability required for mobile users in business environments.

With a planned starting MSRP of less than U.S. $1000 the CL900 offers a competitive entry price point to other tablet PCs with a unique, rugged design that supports a lower total cost of ownership over non-rugged devices. The CL900 will be available to ship early in the second quarter of 2011 while the optional peripheral module will be available later in the first half of the year. For more information on the CL900 or to register for product updates, please visit the CL900 Product Page. To access high resolution product photos please visit the CL900 Images Page.

Hardware acceleration for cloud clients (browsers etc.): AMD Fusion APUs, NVIDIA GeForce 500M

Accelerated Processing Unit = APU

AMD Details a Vivid Future of Computing at Annual Financial Analyst Day [Nov 9, 2010] (emphasis is mine)

AMD Fusion APUs mark a significant leap forward in technology innovation to address evolving workloads and users’ needs for smaller, more power-efficient form factors that enable richer visual computing experiences such as:

  • Outstanding Web browsing experiences in terms of speed of response, quality of graphics, quality of animations;
  • Smooth video playback of HD and 3D content in even the most portable form factors;
  • Optimized experience in popular GPU-accelerated  productivity applications such as Microsoft PowerPoint where AMD Fusion enables smooth transitions, better animations, easier video editing;
  • Better content management capabilities to organize the millions of digital media files created and stored by consumers everyday;
  • User interface innovations designed to rapidly evolve as new technologies such as gesture recognition and voice command take advantage of the massive parallel processing capability of GPUs as evidenced by the hundreds of gigaflops of compute power in the AMD Fusion APU codenamed “Llano”.

AMD Public Roadmap Updates

AMD also announced several notable updates to its 2012 roadmaps including:

  • “Krishna” and “Wichita”: Two and four-core 28nm APUs based on the next-generation sub-one watt “Bobcat” CPU cores and a DirectX 11-capable GPU, designed for the tablet, notebook, HD netbook, and desktop form-factors;
  • “Trinity”: a 32nm APU based on AMD’s next-generation “Bulldozer” CPU cores and a DirectX 11-capable GPU, designed for  mainstream and high-performance desktops and notebooks;
  • “Komodo”: a 32nm CPU featuring up to 10 AMD “Bulldozer” CPU cores designed for high-performance and enthusiast desktops;

Simply put, it’s all about Velocity [Nov 9, 2010] (emphasis is mine)

Velocity goal: the best APUs every year

Velocity is the term Rick Bergman [senior VP for product development from May 2009, before with ATI part] introduced last year to signal the new AMD Fusion APU design metho

dology and product introduction cadence. AMD Velocity builds on AMD’s already established annual GPU design cycle to achieve a faster pace of innovation than AMD previously achieved with a CPU-only development focus. This quicker pace is in keeping with an overall faster pace of consumer innovation, where new features and new use cases abound.  The goal of Velocity is clear, compelling platform differentiation for AMD, and the delivery of the best APU on the market every year.

Below are our client roadmaps for 2011 and 2012. To summarize, here’s what’s new for 2012:

  • We’ll bring our “Bulldozer” CPU cores into  APUs with “Trinity,” targeted for both the mainstream and performance notebook markets. We will also offer a “Trinity” APU for mainstream desktop;
  • For the essential, netbook and tablet markets we introduce our “Krishna” and “Wichita” APUs with enhanced “Bobcat” CPU cores. These will be our first APUs based on 28nm process technology. “Krishna” APUs are scheduled to be available for small form-factor and all-in-One (AIO) desktop platforms in 2012;
  • Also in 2012, we plan to continue offering high-performance desktop CPUs for the enthusiast market with the “Bulldozer” core-based “Komodo” CPU.

AMD Fusion™ Family of APUs Technology Overview: Enabling a Superior, Immersive PC Experience [May 4, 2010]

At the most basic level, AMD’s new Accelerated Processing Units combine general-purpose x86 CPU cores with programmable vector processing engines on a single silicon die. AMD’s APUs also include a variety of critical system elements, including memory controllers, I/O controllers, specialized video decoders, display outputs, and bus interfaces, but real appeal of these chips stems from the inclusion of both scalar and vector hardware as full-fledged processing elements.

Others have lashed a CPU and a basic graphics unit together in a single package, but none have attempted this feat with truly programmable GPUs like those in the AMD Fusion designs, let alone GPUs that can be programmed using high-level industry-standard tools like DirectCompute and OpenCL.

AMD is best situated to address this engineering challenge, as it is currently the only company which has access to extensive IP resources (e.g. patents and engineering expertise) in both x86 processor technology and industry-leading GPU technology. In fact, AMD’s recognition that it needed proven GPU technology for future converged products drove its 2006 acquisition of ATI Technologies.

Will 2011 Be a Breakthrough Year for Parallel Computing? [Dec 22, 2010] (emphasis is mine)

With power consumption of computers a major concern, parallel computing has become the dominant paradigm in computer architecture with many low power cores displacing the traditional approach of frequency scaling. And we are now entering the world of heterogeneous computing as we introduce AMD APU processor technology, where CPU and GPU cores live on the same piece of silicon.

If you are a software programmer these changes can be overwhelming.  You can’t necessarily make these transitions on your own.  A recent report published by the National Research Council provides a sobering look at the problem, and points out that many sectors of the U.S. economy could stall unless the nation aggressively pursues fundamental research and development of parallel computing.

AMD is doing its part to help the Information Technology sector address this issue. We have a community of world class software engineers focused on driving:

Fusion Family of APU News
A Brief History of General Purpose (GPGPU) Computing

ATI Stream Technology

GPU and CPU Technology for Accelerated Computing

ATI Stream technology is a set of advanced hardware and software technologies that enable AMD graphics processors (GPUs), working in concert with the system’s central processors (CPUs), to accelerate enabled applications beyond traditional graphics and video processing. This enables balanced platforms to run computationally-intensive tasks more efficiently, providing a better application experience to the end user.

Along with leading third party industry partners and academic institutions worldwide, AMD is building a complete ATI Stream computing ecosystem, one that delivers the performance, applications, software and tools necessary to turn AMD’s low-cost application acceleration vision into reality.

Characteristics of GPU acceleration:

  • Enable new applications on new architectures
  • Parallel problems other than graphics that map well on GPU architecture
  • Transition from fixed function to programmable pipelines
  • Various proof points in research and industry under the name GPGPU

ATI Stream Computing FAQ

Q: What is stream computing?

A: Stream computing (or stream processing) refers to a class of compute problems, applications or tasks that can be broken down into parallel, identical operations and run simultaneously on a single processor device. These parallel data streams entering the processor device, computations taking place and the output from the device define stream computing.

Today, stream computing is primarily the realm of the graphics processor unit (GPU) where the parallel processes used to produce graphics imagery are used instead to perform arithmetic calculations.

Characteristics of stream computing:
* Enable new applications on new architectures
* Parallel problems other than graphics that map well on GPU architecture
* Transition from fixed function to programmable pipelines
* Various proof points in research and industry under the name GPGPU


Q: How does stream computing differ from computation on the CPU?

A: Stream computing takes advantage of a SIMD methodology (single instruction, multiple data) whereas a CPU is a modified SISD methodology (single instruction, single data); modifications taking various parallelism techniques into account.

The benefit of stream computing stems from the highly parallel architecture of the GPU whereby tens to hundreds of parallel operations are performed with each clock cycle whereas the CPU can at best work only a small handful of parallel operations per clock cycle.


Q: Which applications are best suited to Stream Computing?

A: Applications best suited to stream computing possess two fundamental characteristics:

1. A high degree of arithmetic computation per system memory fetch
2. Computational independence – arithmetic occurs on each processing unit without needing to be checked or verified by or with arithmetic occurring on any other processing unit.

Examples include:
* Engineering – fluid dynamics
* Mathematics – linear equations, matrix calculations
* Simulations – Monte Carlo, molecular modeling, etc.
* Financial – options pricing
* Biological – protein structure calculations
* Imaging – medical image processing

CPU Performance: Better than Atom, 90% of K8 but Slower than Pentium DC [Nov 16, 2010] (emphasis is mine)

AMD’s performance target for Bobcat was 90% of the performance of K8 at the same clock speed and our Photoshop CS4 benchmark shows that AMD can definitely say that it has met that goal. At 1.6GHz the E-350 manages to outperform a pair of K8s running at 1.5GHz in the Athlon X2 3250e [delivered as the most “energy efficient” K8 in Q4 2008 with 22 W TDP in  a 65 nm process]. Unfortunately for AMD, Intel’s Pentium dual-core running at 2.2GHz is much quicker. Most notebooks in the $400+ range have at least a 2.2GHz Pentium. Even the Atom D510 isn’t far behind.

AMD tells me that in general purpose integer tasks, the E-350 should do well and it may even exceed AMD’s 90% design target. However in higher IPC workloads, for example many floating point workloads, the E-350 is constrained by its dual issue front end. In these situations, the out of order engine is starved for instructions and much of Bobcat’s advantage goes away.

Desktop IGP Comparison: Faster than Clarkdale [Nov 16, 2010] (emphasis is mine)

For the desktop section I compared the E-350 to the latest Clarkdale chips [the best GPU performing Intel Core i5 661 with $196 1Ku boxed pricing and entry level Core i5 530 with $113 1Ku boxed pricing all launched on Jan 7, 2010 as the first 32 nm processors with Intel’s new HD Graphics integrated on the same die], AMD’s own 890GX and a discrete Radeon HD 5450 graphics card. While the Radeon HD 5450 has the same number of shader processors as the E-350 (80), they run faster and it has a dedicated 1.6GHz memory bus to feed it. The E-350 has to share memory bandwidth between the two Bobcat cores and the 80 SPs, severely limiting its performance potential.

The E-350 does extremely well compared to its desktop brethren. In our Modern Warfare 2 and BioShock tests its easily faster than the Core i3/i5 and in the case of BioShock 2 it’s even faster than AMD’s 890GX. Dragon Age Origins is another story however as the benchmark is primarily CPU limited, giving the desktop parts a huge advantage. In GPU bound scenarios, it’s clear that our initial Zacate benchmarking was accurate: the E-350’s Radeon HD 6310 is quicker than Intel’s HD Graphics.

Compared to the Radeon HD 5450 the 6310 offers between 66 – 69% of its performance in our GPU bound tests. The performance reduction is entirely due to the 6310’s limited memory bandwidth being shared with the dual Bobcat cores on-die.

AMD Space Game HTML5 demo in IE9: AMD E-350 Fusion APU runs more than 10 Frames per second faster than Intel i5 520M with HD Graphic

See theAMD “Zacate” APU Will Accelerate HTML5 Games in Internet Explorer 9 demo video (YouTube).

CES 2011: Using a browser to demonstrate the power of hardware [Jan 14]

AMD announced their new Fusion line of Accelerated Processing Units (or APUs) as we detailed in another post (check out the small size of the chip in the video!). At CES, Gabe Gravning from the AMD team walked us through how they used IE9 in their booth to demonstrate the power of Fusion.

In the latest in our series from CES 2011, Gabe Gravning from AMD takes us through two demos they used to showcase their new Fusion line of APUs (Accelerated Processing Units). The demos highlight the great performance Internet Explorer 9 beta delivers through its full hardware acceleration, using both the dual core CPU and integrated GPU on the Fusion chips.

Nvidia showed off some impressive graphics power at their booth as well. Besides showing some incredible 3-D gaming, and their one-of-a-kind “keg-puter”, Nvidia used IE9 to show off some of their new graphics chips. Dave Ragones from the Nvidia team gave us a demo.

In this video from CES 2011, we talked with Dave Ragones, director of product marketing at Nvidia, about the reasons they use IE9 to show off the power of some of their new graphics chips, the GForce 500-M series.

NVIDIA GeForce 500M Series GPUs Power Top Notebooks of 2011 [press release, Jan 4] (emphasis is mine)

NVIDIA today announced the GeForce® 500M series of notebook graphics processing units (GPUs), designed to power laptops featuring next-generation Intel Core CPUs (Sandy Bridge).

The new GPUs being introduced today include:

  • For performance users: GeForce GT 540M, GeForce GT 550M, and GeForce GT 555M with over four times the performance of integrated graphics and twice the DirectX 11 performance of the competition.
  • For mainstream users: GeForce GT 520M and GeForce GT 525M offering over twice the performance of integrated graphics.

New GeForce 500M Series GPUs Power Top Notebooks of 2011 [Jan 5] (emphasis is mine)

Today at CES, we announced our new lineup of GeForce 500M Series notebook GPUs that will be featured in the top notebooks of 2011 from your favorite OEMs including Acer, Asus, Dell, Fujitsu, Lenovo, Samsung, Sony, Toshiba, and more.

If you’re planning on buying a new notebook in 2011, look for one packing a GeForce GPU, which will deliver:

  • NVIDIA Optimus Technology: Optimus transparently switches between high-performance GeForce graphics and battery-sipping integrated graphics depending on the application.  With Optimus, you get the best of both worlds: great graphics performance with GeForce GPUs and great CPU performance, without sacrificing battery life.
  • Great GPU Performance: Whatever your performance demands, GeForce GPUs deliver.  From the new GeForce GT 520M with 2X the performance of integrated graphics (aka “Sandy Bridge”), GeForce GT 540M with 4X performance, to GeForce GTX GPUs for the best experience on the latest DX11 gaming titles.
  • Best HD Video, High-Res Photo, Web, and 3D experience: Beyond gaming, choose GeForce to accelerate your digital life.  Whether you’re editing HD videos or high-res photos, accelerating new HTML5 websites, or watching your favorite Blu-Ray 3D title, GeForce  GPUs add a powerful second processor to your notebook for media rich tasks.

In our booth (Las Vegas Convention Center, South Hall 3, Booth # 31431), we are showcasing a number of top notebooks from leading OEMs including:

  • Acer Aspire 4750G with GeForce GT 540M
  • Asus N53SV notebook with GeForce GT 540M
  • Dell XPS 17 3DVision notebook with GeForce GT 555M
  • Lenovo IdeaPad Y470 with GeForce GT 550M
  • And more…

Browser + hardware working together to deliver a richer web [Jan 4]

Today AMD launched Fusion, their new family of Accelerated Processing Units (APUs) – combination CPU/GPU chips used to power the PC, and they are using Internet Explorer 9 to showcase their new hardware innovation. So what does the launch of Fusion have to do with web browsing and how are they using Internet Explorer 9 to demonstrate this new innovation in hardware? We sat down to talk with John Taylor, Director of Client Product Marketing for AMD to find out.

Increasingly web applications today are becoming more interactive, graphically rich and video intensive. Most browsers today don’t take advantage of the modern hardware that comes in today’s PCs like multicore central processing units (CPU) or graphic processor units (GPU). Internet Explorer 9 uses the full power of the PC to deliver hardware accelerated video, text and graphics to bring you web experiences that are richer and more immersive.

In efforts complimentary to our approach in the browser, AMD’s Fusion chip integrates the CPU and GPU into a single chip that they call an accelerated processor unit or APU. By combining the two, AMD is able to deliver better performance for things like video and graphics on the web, in addition to decreased power consumption resulting in longer battery life. The new Fusion chips will be launched in a broad range of PCs from high-end desktops to ultra-mobile netbooks, some of which we’ll be using to demo Internet Explorer 9 this week at the 2011 Consumer Electronics Show in Las Vegas. And AMD created a set of rich web applications to showcase the graphic performance capability of Fusion through Internet Explorer 9.

We are thrilled to see this complimentary hardware innovation and even more thrilled to see AMD using Internet Explorer 9 to showcase the performance of AMD Fusion. Just seven months ago it’s unlikely you would have seen a hardware manufacturer use a browser to demonstrate a chip’s performance – the web has evolved!

Software and Hardware Ecosystem to Unleash the Power of AMD Fusion Technology [Jan 4]

“Personal computing is undergoing a significant evolution, fueled by the explosion of digital and multimedia content to enable a truly immersive web experience,” said Tami Reller, corporate vice president of Windows marketing, Microsoft. “We think the work AMD has done with Fusion to combine x86 CPU architecture and discrete-level graphics performance creates opportunities for Windows 7 and Internet Explorer 9 to deliver real-world customer benefits including accelerated browsing, HD video and 3D gaming.”

Graphics Acceleration is not just for Games Anymore [June 24, 2010]

This week in San Francisco, Microsoft released the Internet Explorer 9 (IE9) Platform Preview 3.  IE9 is revolutionary in that it will use the graphics processor to assist in the number # 1 activity of all computer users – surfing the web.

As 3D games for the PC continued to use Microsoft’s DirectX, APIs, hardware and games evolved in realism and complexity.  The current generation of DirectX is DirectX 11 (DX11).  AMD is the only company that currently offers a DX11 top-to-bottom stack of GPUs and in the near future, DX11 Accelerated Processing Units (APUs). DirectX features many different companies and the relevant graphics component is called Direct3D (D3D).  D3D is almost exclusively used for 3D Graphics for gaming today.

Here is where the divergence really happened…

As 3D games continued to push the envelope on the DirectX and the GPUs, mundane graphics tasks such as rendering the Windows desktop continued to use the CPU.  Applications like Internet Explorer, Microsoft Word and Microsoft Excel used the CPU to render text, lines, shapes and other graphics through a CPU based API called Graphics Device Interface (GDI).

One of the many reasons that simple graphics most often used the CPU and GDI for graphics was that it was a very simple API to use and the graphics load wasn’t anywhere near intensive as a 3D game.  As web surfing evolved, it followed in the tradition of CPU + GDI, utilizing an API that essentially remained unchanged since its definition in the 1980s.

Recognition of the 3D Power…

Smart people at Microsoft and other companies started realizing that the graphics power of the GPU can be used in applications beyond 3D Gaming.  As we saw with Windows Vista, the introduction of a 3D desktop with Aero Glass led to the use of the GPU for things like alpha-blending.

While Windows Vista did away with GDI, the revolution really happened with Windows 7.  Windows 7 introduced a new API called Direct2D (D2D).  D2D is essentially a wrapper around D3D.  With D2D, any application can call on the GPU to accelerate the rendering of things like lines, curves, text, graphics and any graphics primitives. The effect of using a GPU means potentially orders of magnitude improvement in performance over the antiquated CPU + GDI.

Microsoft’s Internet Explorer 9 is one of the first applications to use D2D.  The net result is a much faster rendering of webpages and graphics.  With IE9, the GPU is used extensively to accelerate the number 1 use of PCs today, web surfing.

Cynics may argue that there is no perceivable difference between CPU and GPU based rendering on webpages today.  However this is extremely myopic.  Today, webpages are designed for the “least common denominator,” with simple graphics to ensure that all end users have a good experience with load and render times.  In short, webpage graphics today are arcane and primitive versus modern 3D video graphics—by design.

As both GPU power and a great new API in D2D become available, web designers can be expected to  greatly improve the end users’ visual experience by harvesting this power and designing much richer and complex webpages.  History proves this to be true.  As we saw with 3D Gaming in the 1990s, once a common API was established, the complexity and realism of 3D gaming greatly improved in a very short period of time.

At AMD we are very excited about D2D and applications like Microsoft’s IE9.  We are excited because end users have an opportunity to use our GPU and AMD Fusion APUs in support of fantastic new APIs to greatly accelerate their web surfing experience.   Look for more updates from us on this area in the future.

Part the Clouds II: Cloudy with a chance of High Definition [Sept 27, 2010] (emphasis is mine)

On Sept. 13th I posted “Part the Clouds: AMD Fusion APUs Ideal for Cloud Clients.” I asserted that AMD Fusion APUs codenamed “Zacate” and “Ontario” are poised to be ideal cloud computing client platforms.  Today, I’d like to delve a little more into why, breaking my point of view into four main categories: Browsing, Video, Gaming and Internet Applications.

Browsing

Today consumers increasingly expect HD content, web pages and internet apps with rich media and interactivity. With those trends in mind, it makes sense that today’s lighter weight PCs are starting to struggle a bit with web browsing.  HD media and web browsing are outstripping the horsepower that traditional CPU cores in netbooks and thin and light notebooks can offer.

… “Zacate” is engineered to provide an even richer, faster internet experience to mainstream clients and ultrathins, while “Ontario” is designed to bring this experience to netbooks and ultra-small form factors.

Video

… The continued march towards ubiquity of Internet video, along with the shift to HD, has put the hardware industry in jeopardy of revisiting those early days of internet video when the experience was reliably unreliable. Today’s lighter-weight machines struggle with online video – think Hulu HD and similar services – and some consumer devices forgo the chore of processing whole categories of video on the Internet. Even more powerful mainstream machines aren’t quite ready for the next phase of the video revolution: very fast “coding”, enhancing the quality of non-HD video, and real time analytics.

Gaming

Did you know that 3 in 4 teens and 1 in 3 adults play computer-based games? If you didn’t know that stat, surely you’ve seen your Facebook newsfeed filled with updates from Farmville, Mafia Wars and other social games, or heard the buzz about new streaming gaming services like OnLive.  It all points to the fact that PC gaming isn’t going away due to the popularity of consoles; it’s evolving and becoming more popular than ever. And while many of these games aren’t nearly as taxing as the latest titles like Battlefield Bad Company 2, they are increasingly sophisticated and graphically intense, even if being played in the browser.

An easy way to help reduce the strain these games cause PCs is to write software utilizing the latest standards, and build hardware that can accelerate the experience through those standards, which effectively “removes middleware” from the equation. Our 2011 AMD Fusion APUs are designed to be ideal for online gaming, because they are engineered to support the latest in graphics and GPU compute standards, including DirectX 11, Direct 2D and DirectCompute. “Zacate” has been designed to enable both a good traditional PC gaming and online gaming experience, and the even lower-power “Ontario” was designed as an ideal platform for these emerging online gaming usage models.

Applications

Finally, the most interesting reason that “Ontario” and “Zacate” will be great for emerging cloud computing usage models: rich media application-like experiences are winning. The iPhone and Android have taught millions of consumers to expect application-like experiences when using the internet.  Until now, these types of experiences weren’t easily replicated – or exceeded — within the PC browser.

But in the last couple years, there’s been an avalanche of innovation in this space.  “Tear off” applications like Tweet Deck, which take internet browser experiences and turn them into stand-alone applications, have taken off, and browsers haven’t stood still, with all of them offering their own levels of interactivity.  A great example is the recent interactive music video for Arcade Fire’s new single “We Used to Wait”. (Note: you need to be using the Chrome browser to experience this).

With more and more consumers downloading millions of these applications on a daily basis, internet apps are only going to continue to evolve and become more innovative and resource intensive than ever. With the increased processing power that “Ontario” and “Zacate” offer to netbooks, ultrathins and mainstream clients, respectively, AMD-powered PCs are incredibly well positioned to help consumers enjoy these new application-like experiences with excellent battery life and visual quality.

AMD Launches AMD Fusion Family of APU Processors at CES [Jan 4]

This week at CES, AMD is launching their AMD Fusion family of Accelerated Processing Units (APUs). What’s an APU? An APU is the combination of the CPU and GPU into a single die. What AMD has done with their Fusion family of APU processors is to combine multi-core CPU (x86) technology with discrete-level graphics.

fusion_apu_scan

Update: The above image is a scan of a AMD CPU (top), a  mobile laptop CPU (middle) and a AMD Fusion APU (bottom) compared to a U.S. Quarter.

The graphics side of the Fusion APU is powered with what AMD is calling the VISION Engine. The VISION Engine consists of DirectX 11 capable graphics capabilities, a UVD3 video acceleration block (like the one found in the new AMD Radeon HD 6800 Series GPUs) for native mpeg-4, mpeg-2, h264, DivX decoding, and parallel processing designed to help speed up application performance. A PC with an AMD Fusion APU can take full advantage of hardware-accelerated web browsing with Internet Explorer 9 and Windows 7.

AMD Fusion APUs also come with AMD’s AllDay Power feature for about 10 hours (or more) of battery life. Fusion APUs are also virtualization-capable as well.

The 2011 low-power AMD Fusion APU platform (codenamed “Brazos”), designed for everyday computing for PCs like netbooks and other small form factor PCs, will come in 2 flavors: the E-Series and C-Series. These APUs come with AMD’s new x86 CPU core codenamed “Bobcat”. Later in 2011, the A-Series will hit designed for mainstream laptops and desktop PCs (codenamed “Llano”) which will have up to 4 x86 cores.

At CES, AMD expects many of the major PC OEMs to announce PCs with AMD Fusion APUs. Ben Rudolph will be stopping by to visit AMD to check out Fusion first-hand later this week. Ben will be behind-the-scenes at CES all week this week.

For more information on the AMD Fusion family of APUs, click here. You can also check out their press release here and quotes from their partners here.

Canadian Contributions Power Revolutionary AMD Fusion Processors [Jan 13] (emphasis is mine)

Today at the Ontario Science Centre, AMD (NYSE: AMD) celebrated the launch of a new class of accelerated processor that combines more compute capabilities than any processor in the history of computing. Featuring major technology contributions from AMD’s Markham, Ontario R&D facility, the AMD Fusion Family of Accelerated Processing Units (APUs) incorporate multi-core CPU (x86) technology, and a powerful DirectX(R) 11-capable graphics and parallel processing engine within the design.

AMD Fusion APU-based Systems

— The AMD Fusion chip delivers an unprecedented experience starting with thin and light notebooks, as well as small form factor desktops: stutter-free HD video playback, breakthroughs in computational horsepower to handle the most demanding applications(ii), and all-day battery life(iii).

— New desktop, notebook and HD netbooks based on AMD Fusion processors are now available at affordable price points from Acer, Asus, Dell, Fujitsu, HP, Lenovo, MSI, Samsung, Sony and Toshiba.

Tablets and embedded designs based on AMD Fusion APUs are expected be available later in Q1 2011.

(ii) Based on performance per watt comparisons between AMD Fusion APUs and the AMD Athlon(TM) II P320 CPU combined with the AMD Mobility Radeon(TM) HD 4250 GPU. In testing conducted by AMD performance labs, AMD Fusion APUs demonstrated the following: A-Series — up to approximately 500 GFLOPS; E-Series/C-Series — up to approximately 90 GFLOPS at 18/9 W. In comparison, the AMD Athlon(TM) II P320 CPU and AMD Mobility Radeon HD 4250 GPU deliver a combined total of 74 GLOPS at 38 W.

(iii) In testing conducted by AMD performance labs the 2011 Low Power platform reference design “Zacate” E-350 demonstrated up to 658 minutes or 10.96 hours “all-day” battery life while idle and up to 258 minutes or 4.34 hours as an “active” metric using 3DMark ’06. The reference design consisted of an AMD Dual-Core Processor E-350, 1.6Ghz 2C, 4GB (2x2GB) DDR3-1066 system memory 11.6″ display @ 1366×768, Windows 7 Ultimate 64-bit, 62Whr Li-Ion battery. The 2011 AMD C-50 Dual-Core Accelerated Processor demonstrated up to 735 minutes or 12.15 hours “all-day” battery life while idle and up to 378 minutes or 6.18 hours as an “active” metric using 3DMark ’06. The reference design consisted of a an AMD Dual-Core processor C-50 1.0Ghz 9W, 2GB (1x2GB) DDR3-1066 system memory, AMD Radeon(TM) HD 6250 Graphics with 10.1″ @ 1024×600, 6-cell Li-Ion, 62.2 Whr battery. LED Backlight Windows 7 Home Premium 64-bit. All testing performed using a 6-cell Li-Ion, 62.2 Whr battery. AMD defines “all day” battery life as 8+ hours of idle time.

AMD Fusion APU Era Begins [Jan 4, AMD press release]

New generations of desktop, notebook and HD netbooks are now available based on AMD Fusion APUs at affordable price points. Tablets and embedded designs based on AMD Fusion APUs are expected be available later in Q1 2011. The new range of products features include stutter-free HD video playback, breakthroughs in computational horsepower to handle the most demanding applications2,  DirectX 11-capable graphics and all-day battery life.1

AMD expects leading manufacturers Acer, Asus, Dell, Fujitsu, HP, Lenovo, MSI, Samsung, Sony and Toshiba to announce plans to deliver AMD Fusion APU-based systems at very compelling value and mainstream price points.

HD 2.0 Everywhere

High definition (HD) content is ubiquitous today. From YouTube videos to DirectX 11 games to Blu-ray, the world is tapping into various ways to enjoy this content with the computer serving as the hub. And thanks to the VISION Engine from AMD, a set of capabilities unique to all AMD Fusion APU-powered PCs, the visual side of computing never looked more vivid and realistic. The VISION Engine is an unmatched combination of:

  • DirectX 11-capable graphics
  • Massive parallel processing to speed application performance3
  • The UVD3 video acceleration block found in the new AMD Radeon™ HD 6800 Series GPUs
  • Unique graphics driver capabilities updated on a monthly basis to continuously improve visual performance

Selecting a PC equipped with the VISION Engine and software from AMD partners means Internet browsing is a faster, application-like experience; 1080p HD video playback is gorgeous, smooth and quiet; standard definition video looks high-definition; 2D content can be converted into stereoscopic 3D; even the most graphics-intensive websites load quickly; manipulating HD content is fast and easy; and 3D gaming at HD resolutions is fast and life-like.4

Personal Supercomputing

Much of a computing experience is linked to software and, until now, software developers have been held back by the independent nature in which CPUs and GPUs process information. However, AMD Fusion APUs remove this obstacle and allow developers to take full advantage of the parallel processing power of a GPU – more than 500 GFLOPs for the upcoming A-Series “Llano” APU  – thus bringing supercomputer-like performance to every day computing tasks. More applications can run simultaneously and they can do so faster than previous designs in the same class.2

AMD AllDay™ Power

Additionally, AMD Fusion technology enables all-day battery life – 10 hours or more.1 The new power-saving features present in the single-chip design greatly extend the time between plug-ins, even when enjoying HD content.

AMD Accelerated Processors for Ultrathin Notebook PCs, Product Specs:
– E350 and  E240 (former codename: “Zacate”) with 18W TDP, designed for mainstream notebooks, All-in-Ones, and small form factor desktops
– C50 and C30 (former codename: “Ontario”) with 9W TDP, designed for HD netbooks and other emerging form factors
– each with 80 Radeon shader cores on die

AMD Accelerated Processors for All-In-One Desktop PCs, Features and Benefits: currently only the E-350

Entertainment

Enjoy and share full HD content effortlessly

  • Smooth and vivid HD video playback
  • Quick Web browsing and media playback1
  • Super-sharp photos and crystal-clear images
  • Good everyday gaming experiences

1In testing conducted by AMD Performance Labs, the AMD Fusion Processor E-350 showed up to 3 times faster performance, with hardware acceleration on, Microsoft Internet Explorer 9. (29 FPS vs 7) and Firefox 4 using Direct X 9 and Direct2D as compared to hardware acceleration off.

AMD Meetings: APUs Make a Big Splash [AnandTech, Jan 7] (emphasis is mine)

We also had a visit with AMD at their meeting rooms, which were filled with product demonstrations. Brazos laptops and netbooks occupied a large area just inside the door—we counted at least 20 different laptops of varying sizes and capabilities. The vast majority of there were running an AMD APU, in this case Brazos. There were 10” E-350 netbooks, 11.6” E350 ultraportables, and even 14” to 15.6” solutions all using the power friendly APU. A few of the systems also had K10.5 CPUs with the new 6000M GPUs (we’ll get to those next). Browsing around the show floor, though, Brazos looks to be making some real waves, providing a compelling alternative to Atom in the sub-$500 netbook market. In the next couple of months, we should see a lot of Brazos systems, from small nettop/desktop systems to netbooks… and yes, tablets as well. AMD reports battery life of up to 12 hours on some of their test netbooks; the reason they’re able to get such long battery life is pretty simple:

Intel’s Atom is a fairly tiny chip, but even though it manages to sip power, it’s not a very attractive performer. Brazos is even smaller than Atom, in part thanks to the use of 40nm (Brazos) vs. 45nm (Atom), and while raw CPU performance may not be that much higher than the current Atom options, the DX11 GPU is an order of magnitude more powerful than the GMA 3150 found in Pine Trail. AMD mentioned at one point that the Brazos APU is rated at up to 90GFLOPS of compute performance; to put that in perspective, the new quad-core Sandy Bridge CPU (no word on the GPU in SNB) provides a similar 87GLOPS of compute potential. GFLOPS isn’t the most useful of measurements, but it does help to put things in perspective: similar compute potential in a package that has an 18W TDP (E-350), where i7-2600K is specced at 95W.

AMD is aiming the new E-series Zacate parts at Intel’s P6000 processor, while the C-series is gunning for Atom.

… Sadly, not a single netbook or laptop stands out as being clearly superior to anything else out there. Performance looks good, aesthetics vary from okay to great depending on your point of view, but the LCDs are all same-old, same-old. It would be awesome to see ASUS or HP or some other manufacturer step up to the plate and deliver a Zacate ultraportable with a beautiful screen—you know, like the IPS stuff they’re putting into $400 tablets? After all, the APU is now able to provide all the multimedia prowess you could ask for; why not give us a display that can make the content shine?

AMD promises all day battery life with Fusion chips [Jan 4] (emphasis is mine)

Bob Grim, director of AMD product marketing told TechEye: “What’s really different is that for the first time there is a product that brings both X86 and 3D graphics together on a die. “

Semiconductor companies normally bring in CPUs at the high end and normally they fall in price over a period of time.  AMD is bringing Zacate and Ontario for the volume market for machines between $200 and $500. Ontario will be between $200-$300, Zacate $399-$499. Perhaps this is because the Llano chip, manufactured by GlobalFoundries, was delayed somewhat.

Application developers can code their apps to OpenCL and optimise code to get the best out of the hardware, said Grim.

When the Llano (A-Series) comes out, it will deliver 500 GFLOPs. AMD claims that’s 33 times more than a single CPU had two years ago. The  Intel P6000 only provides 6h24m, while AMD’s  E-350 will give 10h40m of battery life.  Ontario, the C-Series, will give over 12 hours of battery life – that’s a resting battery life number. It has a 60 percent better performance than the Intel Atom CPU, AMD claims.

AMD will hold its first software developer summit on June 14-16, 2011 – in Bellevue WA, said Grim.

Xbox and Surface 2 additional information

Xbox Momentum Rolls On: Xbox, Kinect Help Microsoft Connect with Consumers [Jan 6]

The sales figures released at the 2011 Consumer Electronics Show made it official: Kinect has connected with consumers.

Over the past two months consumers have snatched up Kinect almost as quickly as retailers have stocked the shelves, according to sales figures Microsoft reported Wednesday at 2011 CES. Since its release on Nov. 4, more than eight million Kinect sensors have been sold. That figure easily outdistances the five million unit forecast the company had predicted to sell during the sensor’s first 60 days.

Kinect for Xbox 360 was a big hit with consumers over the 2010 holiday season, with eight million sensors sold over a 60-day period.

Kinect for Xbox 360 was a big hit with consumers over the 2010 holiday season, with eight million sensors sold over a 60-day period.

The wild ride to close out 2010 capped the “biggest year ever” for Xbox, said David Dennis, group public relations manager for Xbox. Over the holiday season, console sales for the Xbox 360 hit 50 million. It also was the No. 1-selling console in North America over the past six months. Meanwhile, the Xbox LIVE community continued to grow strongly overall in 2010, adding a new member every two seconds. Xbox LIVE now has more than 30 million active members.

Dennis said the announcements made at CES, including new Kinect-enabled entertainment experiences and new Xbox LIVE gaming titles, signal that the momentum behind Xbox should continue through 2011.

“It used to be you would go buy this piece of plastic and put it under your TV, and five years later it’s the exact same thing that you bought at the store,” he said. “I think Microsoft has shown the ability to innovate and bring new experiences like Kinect as well as Netflix, Hulu, and ESPN, all leveraging Xbox LIVE, to continue to reinvent what you think of as the Xbox. You turn it on, and we continue to update it, keep it fresh, and bring new features.”

Kinect Transforms Entertainment in the Living Room

Kinect is a prime example of how natural user interface (NUI) is transforming gaming by making it more social and approachable than anyone ever thought was possible, but it’s just the beginning, Dennis said. Several CES announcements showed how Microsoft will take Kinect’s controller-free experience beyond gaming and into entertainment throughout the year. This spring, for example, Xbox LIVE Gold subscribers will be able to use Kinect to control Netflix on Xbox LIVE. Viewers will be able to pause, rewind, and fast-forward streaming movies with only their voice or gestures.

The company also announced that Hulu Plus will be coming to Xbox LIVE as a Kinect-enabled experience this spring. As with Netflix, subscribers will be able to use controller-free motion and voice capabilities to instantly watch full-screen popular TV shows anytime in HD.

Also at CES, the Xbox team introduced a new social experience called Avatar Kinect that will use Kinect’s camera and sensor to bring a player’s avatar to life. It leverages Kinect’s facial recognition technology to let a person control their avatar’s movements and expressions; when they smile, frown, nod and speak, the avatar will do the same, Dennis said.

With Avatar Kinect, a player can invite up to seven friends to join them in one of 15 imaginative virtual environments. One of those worlds is a performance stage, where friends can record their performance and share with friends.

New Gaming Experiences Span Platforms

Microsoft’s Interactive Entertainment Business (IEB) team’s focus at CES wasn’t limited to Kinect. It also highlighted its ongoing efforts at developing a strong portfolio of games across all its platforms, including the PC and Windows Phone 7.

Avatar Kinect uses Kinect’s camera and sensor to bring a player’s avatar to life. With Avatar Kinect, a player can invite up to seven friends to join them in one of 15 imaginative virtual environments, including a stage or a tailgate party.

More about games for Xbox and Windows Phone 7.

CES 2011 Press Kits – Xbox.com — Xbox, 2010 Year in Review; Kinect Entertainment Experiences; Kinect; Kinect for Xbox 360 Games; Xbox 360 and Xbox LIVE Arcade Games; Xbox 360 Games for Windows; Windows Mobile Games

Microsoft and Samsung Unveil the Next Generation of Surface [Jan 6]
Samsung SUR40 for Microsoft Surface uses new technology that gives large displays the power to see.

At the 2011 International CES in Las Vegas, Samsung Electronics Co. Ltd. and Microsoft Corp. unveiled the next generation of the Microsoft Surface experience featuring PixelSense technology, which gives LCD panels the power to see without the use of cameras. Building from the innovation of the first version of Microsoft Surface and Samsung’s leading display technology, it is now possible for people to share, collaborate and explore together using a large, thin display that recognizes fingers, hands and other objects placed on the screen. This experience will come to life in the Samsung SUR40 for Microsoft Surface for business customers later in 2011 in 23 countries. Dassault Aviation, Fujifilm Corp., Red Bull GmbH, Royal Bank of Canada and Sheraton Hotels & Resorts Worldwide Inc. announced that they will deploy the new product.

“Microsoft continues to innovate in vision-based interaction and software designed for touch. With the introduction of the next generation of Surface, using PixelSense technology, we’ll bring more tables and walls to life with amazing natural experiences for people to enjoy together,” said Panos Panay, general manager, Microsoft Surface. “We partnered with Samsung because of its strengths in LCD technology, hardware design and manufacturing, and worldwide marketing and sales of large-format displays. The companies have built an incredibly successful collaboration that moved from invention to development to manufacturing and sales of a high-quality, industrialized commercial product.”

“Samsung collaborated with Microsoft to bring the Surface experience to a new, thin design with powerful vision-based capabilities in the LCD market. The Samsung SUR40 for Microsoft Surface delivers an interactive experience not available anywhere else and will change the way companies engage with their customers,” said Jeong-Hwan Kim, senior vice president of Display Sales & Marketing team at Samsung Electronics.

Learn more about the next generation of Surface, Samsung SUR40 for Microsoft Surface, featuring new technology that gives LCD panels the power to see without the use of cameras. Samsung SUR40 also features key hardware and software advancements that were largely informed by feedback from users around the world.

Product Details

Samsung SUR40 will bring companies around the world new ways to help drive sales, showcase their brand, and increase customer satisfaction and loyalty. The product features include these:

PixelSense. PixelSense gives an LCD display the power to recognize fingers, hands and objects placed on the screen, including more than 50 simultaneous touch points. With PixelSense, pixels in the display see what’s touching the screen and that information is immediately processed and interpreted.

Microsoft Surface software. Microsoft Surface software provides business customers with a premier touch-first experience for their end users, built on the principles of direct interaction and together computing, with a new look and feel. It also allows commercial application developers to use a new version of the Microsoft Surface SDK and familiar Microsoft development tools to take full advantage of the massive multitouch and object recognition capabilities of PixelSense and deliver experiences not possible on any other platform.

Designed for commercial environments. The product is designed to meet the challenges of active usage in demanding locations such as retail, hospitality and education.

Thin form factor with multiple configuration options. The product is four inches thin, which makes it easy to use horizontally, hang vertically with the VESA mount, or embed in walls or custom enclosures. Standard legs are available or customers can design and attach their own.

Forty-inch full high-definition (HD) 1080p screen. The 40-inch screen enables unparalleled multi-user experiences in full HD 1080p, with a 16:9 aspect ratio and 1920×1080 resolution.

Powerful embedded system. The product uses the embedded AMD Athlon™ II X2 Dual-Core Processor 2.9GHz paired with the AMD Radeon HD 6700M Series GPU featuring DirectX 11 support to deliver significant processing horsepower and outstanding graphics capability.

Pricing and Availability

The manufacturer’s suggested price for Samsung SUR40 starts at $7,600 (U.S.). Samsung SUR40 will be available later in 2011 in 23 countries: Australia, Austria, Belgium, Canada, Denmark, France, Germany, Hong Kong, India, Ireland, Italy, Korea, the Netherlands, Norway, Qatar, Saudi Arabia, Singapore, Spain, Sweden, Switzerland, the United Arab Emirates, the United Kingdom and the United States.

Video: The New Microsoft Surface Experience
The brand new Microsoft Surface Website just launched
The Microsoft Surface Blog
Product Datasheet
Surface on Twitter
Surface on Facebook

Windows Embedded Standard 7: the first wave of OEM partners exploiting the included Windows Media Center

Microsoft Showcases OEM Partners Shipping Connected Media Devices at CES [Jan 6] (emphasis is mine)

At the show, Windows Embedded will use a walk-through “connected living room” environment to feature innovative products from several of its global partners including Haier, Reycom, Prime Time, Acer Gateway and Evolve. These devices work with Microsoft technology such as Windows Phone 7 and Windows Home Server to create a media experience that delivers more than the sum of its parts. By using connected media devices built on Microsoft products together, consumers will be able to merge multimedia content from various sources and locations such as the Internet and broadcast TV, social media portals, and personal libraries of photos, music and videos. All of this content comes together in a centralized entertainment hub that’s accessible by other Windows powered devices throughout the networked home.

Evolve Media, a custom media server manufacturer from the United Kingdom, is announcing all-new embedded software media servers designed for integration into the connected home. The new software platform, dubbed “PRIME,” brings Windows Embedded Standard 7 technologies to Evolve’s award-winning “life” range of products, including the lifeStation, the lifeStream, the lifeStream Mini and the lifeStore home server.

Reycom is presenting the REC®100, its next-generation hybrid set-top box based on Windows Embedded Standard 7 using high-performance components from Intel® and NVIDIA®. Users can enjoy live TV in HD with time-shift, and access to the Internet providing a wide range of films, TV shows, gaming, Internet TV, music, and apps such as weather and YouTube.

Much of this content can be stored and played with the REC 100’s integrated hard disk and DVD or Blu-ray player. The REC‘s multiroom features allow users to transfer videos, music and pictures between the REC and their personal computers, home server, and Windows Phone 7 — plus, they can use Xbox 360 as a Media Center Extender. The REC can be controlled by the supplied remote control or through a Windows Phone 7 handset. Reycom will launch REC’s U.S. retail version in the first quarter of 2011, followed by dedicated versions for U.S. cable operators and U.S. telecom company operators by mid-2011.

Windows Embedded Fact Sheet [Jan 5]

Windows Embedded Standard 7 brings the technology and rich user experiences of Windows 7 to Enterprise and media centric devices. Its enhanced features and familiar tools help OEMs make the journey from concept to creation faster than ever. Visit www.windowsembedded.com/standard.

CES brings wave of connected media devices thanks to Windows Media Center in Windows Embedded 7 [Jan 13] (emphasis is mine)

Most consumers may not know what Windows Embedded is, although many of you have interacted with it somewhere along the line. Windows Embedded is a componentized version of the OS that we offer to manufacturers who can then optimize it for use in specialized devices. It runs everything from automotive systems to retail point of sale machines, digital signage and industrial equipment.

So last April, when it was announced that the latest version – Window Embedded Standard 7 – included the Windows Media Center feature, not too many consumers took notice. Over on TheGreenButton.com, however, our enthusiast community certainly did.

With Windows Media Center as a key feature of Windows Embedded, manufacturers can now design set-top boxes and other fit-for-purpose devices that provide the Windows Media Center experience directly out of the box. A product like that has the potential to bring all sorts of content together into one crisp, living room friendly experience. For consumers this means that with one box, you can access Internet-based content, social media, broadcast TV, as well your own pictures, music and movies, but without the set-up, planning and system building that has marked Windows Media Center adoption to date.

Sure enough, last week at CES we saw the first wave of such products from the likes of Haier, Reycom, Prime Time, Acer Gateway and Evolve, all of whom are using WES7 to do innovative things with connected media devices and set-top boxes, creating a centralized hub for your entertainment experiences.

The first box we can anticipate seeing in the US may well come from Swiss company Reycom, which plans to bring its REC 100 set-top box to the US in the first quarter of this year. The unit sports dual ATSC tuners for HD over-the-air TV, and has a BluRay player option. (Pricing and availability details are still being determined.)

06-15reycom_lg

Above: A new set-top box: Reycom’s REC100 is expected to arrive in the US in Q1, 2011.

I was also excited to see the embedded offerings from the UK’s Evolve Media, in part because I had a chance to check out their media servers and take in a presentation by Evolve’s David Simpson on best practices for building a great HTPC this past June at the UK Windows Media Center-Windows Home Server Meet up. Evolve makes absolutely beautiful machines, so I’m excited to see them now working with Embedded.

Haier also piqued enthusiasts’ interest with a TV that has Windows Media Center built in. Michael “Mikinho” Welter, one of our Windows Entertainment and Connected Home MVPs, checked it out for Missing Remote.  Missing Remote’s Mike Garcen (also an MVP!)  provided this summary of HTPC-news from CES, here.

A preview of a unit from Acer Gateway got a lot of attention because it was rocking a CableCARD™ tuner from Ceton that supports up to six streams of HD broadcast content. Ian Dixon, another Windows Entertainment and Connected Home MVP, checked it out on video, here, and got a good look at some other embedded devices, here. Ian’s CES coverage is always must-see, must-read for an enthusiast.

And speaking of CableCARD™, CES was also the first time we saw folks get hands-on with the forthcoming HDHomeRun Prime, a networked CableCARD tuner from Silicondust that supports three streams of channel tuning goodness.

So while many of you may not have heard of Windows Embedded before, the coming year looks to offer some great connected media products for you to check out. One last note for those of you who are aspiring system builders – you can check out the preview version of Windows Embedded 7 SP1, here.

The home theater PC is dead, long live Windows Media Center [Jan 14]

There has been a lot of discussion in the Windows Media Center community about the product’s death. The theory is that Microsoft is throwing in the towel, focusing on the Xbox 360 and intends to let the best DVR software available become stale — or worse, eliminate it from future versions of Windows altogether. After watching the Ballmer keynote at CES last week, it was hard not to get on this train as we all watched the 360, Windows Phone 7, and Windows highlighted on stage. But then something happened when the show floor opened: Windows embedded products were highlighted in private meetings and elsewhere. There was a buzz around Media Center embedded and even a price and ship date; meanwhile, home theater PCs got no love. So after years of trying, it appears that all hopes that HTPCs will ever emerge from their niche status are gone, but the same can not be said for Windows Media Center.

The demise of HTPCs is not for a lack of effort

Microsoft has tried as hard as anyone to make this geek dream come true, with multiple versions of Media Center and money dumped into R&D trying to entice programming providers in the US and the rest of the world to bring their programming to Windows. … the problem is there’s no mainstream market for an HTPC, so realistically-speaking, another few billion dumped into marketing wouldn’t have changed a thing (c.f. Kin). Consumer electronics have to be like an appliance, they just need to work.

Why an embedded Media Center just makes sense

… What’s new is that Microsoft ported its Media Center software to the latest embedded version of Windows and is giving hardware partners the chance to build a DVR without spending all the big bucks on developing software. This means that some entrepreneurial electronics manufacturer can grab off the shelf parts, add in a little of Redmond’s software and deliver a dependable DVR to mainstream America — in theory.

Extenders vs set-top-boxes

Now, this is where things get interesting. Microsoft tried a few times to proxy the PC into the living room via Extenders and suffice to say the attempts all failed pretty miserably — same goes for embedded devices, by the way. Maybe the hardware wasn’t ready, who knows, but what we do know is that two Media Center PCs don’t play well together with DRM’d content and if more than one Media Center in the house has a tuner, things can messy real quick. There have been a few recent changes in the content world that could really impact success here though. …

What does Microsoft, Comcast, Timer Warner Cable, CableLabs, and just about every major movie studio have in common? They are all a member of the Digital Entertainment Content Ecosystem and have vowed their support to UltraViolet. We know that joining a group and actually participating are two different things, but it isn’t out of the question that UltraViolet’s new DRM could be added to the CableLabs spec. This would mean that “each household will be able to create an account for up to six members who can access the household’s UltraViolet Movies, TV… Consumers will also be able to register up to 12 devices.” This new tech won’t be ready until later this year, but it does offer hope that DRM might not always be this bad, some day.

Wrap-up

It’s going to take more than Reycom, Acer / Gateway, and Haier to make this thing take off, but it isn’t hard to let your imagination wonder on where this all could go. It would also be hard to argue that this isn’t Microsoft’s strongest position in the DVR market yet, and while anything could happen, we say long live Media Center with confidence. Who knows, if things go well, all the other previous promising developments for Media Center that never were, might find their way to market too. Then again, we’ve been wrong before.

Changing purchasing attitudes for consumer computing are leading to a new ICT paradigm

Moving from 2010  into 2011 there is a fundamental shift towards the new ICT paradigm of cloud computing.  We have device manufacturers’ forecasts showing that for the first time the cloud client devices, indeed the smartphones alone, will be shipped in a number exceeding the number of personal computers (see Part I. of the below article). Consumer research published recently has also shown that for the first time the attitude of the customers turned to mobile devices from the destops in the US (see Part II. below). A comprehensive research study just  published is providing an even more general  picture by covering all possible consumer devices and all the largest geographies (see Part III. below).  Its conclusion is even more radical:

“The research findings raise the question as to whether, in the long run, desktop and laptop PCs in the home will be increasingly replaced by a group of newer technology alternatives such as tablet computers, netbooks, smartphones and e-book readers. ,” said Kumu Puri, senior executive with Accenture’s Electronics & High-Tech Practice. “If strength is measured by unit sales, the computer will remain the strong consumer technology giant for many years. Our research found that 93 percent of survey respondents own a computer—a higher proportion than any of the 19 technologies included in the survey. But if measured by growth rate, the PC market–at least for consumers–has reached a level of saturation and will continue to see diminished growth rates. There’s increasing potential for an end in sight for the relevance of the personal computer in the home as we know it today.”

Worth to read along with this: Gartner: media tablets are the new segment next to mobile PCs and desktops, as well as web- and app-capable mobile phones [April 16, 2011]

Part I.  Cloud client devices are surpassing personal computers in 2011

Information and Communication Technologies (ICT) are fast changing from a computer-centered era of the past 60+ years into a new one based on an ICT cloud where the resources shared by everybody are behind the so called cloud covering smaller or bigger data centers, different hosting centers, or even servers in your closet connected to the Internet. All fueled by 3.5G/3.9G, SoC & reflectivity. See the links on the right sidebar:

Consequently our clients are fast changing as well. You no longer need a fully equipped PC or notebook to serve your personal computing needs. As small device as the contemporary smartphone is sufficient to feel yourself empowered by the ICT cloud. We even had media tablets in 2010, like the pioneering Apple iPad, which are serving your cloud content consumption needs. And then all those classic devices, the PC, the notebook, the netbook etc., that you were accustomed to in the recent pre-cloud era, have just started to be transformed into something else to fit cloud authoring and consumption as well. Dell Inspiron Duo and Toshiba Libretto are good examples of that from 2010.

Now look at the client device numbers to get a feeling of the upcoming fundamental changes:
It’s Official: 2010 the Biggest Year in Xbox History [Jan 13, 2011] (emphasis is mine)

December Xbox 360 console sales remained strong, with 1.9 million units sold, our biggest month ever in the history of Xbox 360.

Last week at the 2011 Consumer Electronics Show in Las Vegas, Microsoft ended the year with 50 million Xbox 360 consoles sold worldwide since launch [unveiled on May 12, 2005], 30 million active Xbox LIVE members and 8 million Kinect sensors sold in just the first 60 days on the market.

One on One: Ballmer says Xbox, Kinect are key products [Jan 17, 2011] (emphasis is mine)

Q: You sold 8 million Kinects over the holidays, more than you expected. What differentiates it from other gaming consoles on the market?

A: Xbox isn’t a gaming console. Xbox is a family entertainment center. It’s a place to socialize. It’s a place to watch TV. We have Hulu coming. It’s the only system where you are the controller. Your voice, your gestures, your body.

E-Ink Holding’s forecast for e-readers: 10 million in 2010 — 20-25 million in 2011
Amazon Kindle devices shipped: 2.4  million in 2009,  8 million in  2010 (1.6 million in December 2010 alone, nearing rival iPad shipments in that month)
Global e-book readers by Digitimes Research (in millions):

2010

2011

2012

2013

11.4

18.21

24.31

29.03

– Gartner forecast for media tablets (in thousands):

2010

2011

2012

2013

19,490

54,781

103,425

154,150

– Digitimes Research representing the forecasts of the device manufacturers (in millions):

Year

Smartphones

Tablet PCs

Notebooks

2011

440 total (281 in 2010) 131 Android 123 Symbian 74 iPhone

44 iPad (15 in 2010) 20-30 non-iPad ;
March’11:
35-40 iPad,
20-25 non-iPad
(60 in total)

227 Top 9 ;
March’11:
Q1 sales are lower than the forecasts

2013

800

100

300

And here is a graph of the above smartphone trends to make things even more visible:

Smartphones [to be] manufactured in 2010 and 2011

Update regarding the changing TV market:
Global LCD TV Market to Grow 31% in 2010, Slowing to 13% in 2011 [DisplaySearch press release, Jan 3, 2011]

According to the latest DisplaySearch Quarterly Advanced Global TV Shipment and Forecast Report, total TV shipments in 2010 will reach more than 247 million units, a staggering 17% increase from 2009 and the best growth seen since the start of the flat panel TV transition.

LCD continues to dominate TV shipments worldwide, accounting for at least half of all TV shipments in all regions except Asia Pacific. … LCD TV shipments will rise from 190 million in 2010 to 215 million in 2011, although an increase in the rate of ASP erosion will lead to the first ever revenue decline in the LCD TV category. Japan has been a spotlight market for LCD TV growth in 2010, with LCD TV shipments forecast at 22.6 million units, an increase of 80% from 2009 due to the Eco-Points stimulus program. That program will end in 2011, so shipments are expected to fall sharply. European shipments have been fairly robust in 2010, but growth will fall from double- to single-digit rates over the next few years. Also a first in 2011, emerging regions will overtake the developed regions (Japan, North America, and Western Europe) in total LCD TV unit volume as the growth focus shifts to countries with lower flat panel TV penetration.

Figure 1: Worldwide TV Market by Technology

Source: DisplaySearch Quarterly Advanced Global TV Shipment and Forecast Report

Connected TVs Forecast to Account for 21% of Global TV Shipments in 2010 [DisplaySearch press release, Dec 30, 2010]

While the consumer electronics industry prepares its wares for the CES in Las Vegas, the foundations of a quiet revolution in TV viewing continue to be built, with 21% of all TVs shipped in 2010  [52 million] forecast to have internet connectivity. According to the DisplaySearch Q4’10 Quarterly TV Design and Features Report, the category is forecast to grow to over 122 million in 2014.Growth of connected TVs was fueled by the Japanese market in 2010 with strong market growth driven by the Eco Points system, and very high penetration of connected TVs, driven by domestic brands’ strategies and by high levels of broadband access. Emerging markets will play a key role in the future growth of this segment, with Eastern Europe forecast to grow from 2.5 million connected TVs shipped in 2010 to over 10 million in 2014. DisplaySearch findings also suggest that 12% of flat panel TVs sold in China in 2010 will have internet capability.

Figure 1: Connected TV Shipment Forecast

Source: DisplaySearch Quarterly TV Design and Features Report

“The looming risk now is what happens if every connected TV gets used,” said Paul Gray, Director of European TV Research. “With Netflix accounting for 20% of peak internet traffic in the US, it’s reasonable to ask if the infrastructure can cope. Set makers need to understand that broadband access does not scale endlessly like broadcast reception.”

It is expected that the connected TV market will diverge, with basic sets carrying enhanced broadcast services such as Hbb.TV and YouView, while the Smart TV segment will enjoy configurable applications, sophisticated search and navigation engines, and advanced user interfaces.

While there is no accepted definition for Smart TV, most have a few key features:

  • Capable of upgrades and changes to functionality by the consumer, typically by loading applications
  • Able to receive content from the open internet, not just within a “walled garden” defined by a portal
  • Possesses an advanced user interface or content discovery engine, to permit rapid discovery and selection of content to watch (but not via a browser and typed search terms as in PCs)
  • Able to communicate with other networked devices in the home via open standards (e.g. DLNA)

Smart TVs are not limited to a specific operating system, and Linux (MeeGo) and Android (Google TV) platforms will be joined by others. Google is working with Sony and Logitech for the launch of Google TV, but expect many more entrants in 2011.

“Current shipment levels combined with consumer feedback suggests that Google TV is not yet the Smart TV of people’s dreams,” Gray added. “While adding internet capabilities into the TV is powerful, it needs to be as effortless as channel surfing. However, Google TV has given a good lead into what works.”

3D TV Forecast to Reach 3.2 Million Global Shipments in 2010 and 91 Million in 2014 [DisplaySearch press release, Jan 4, 2011]

The availability of 3D content will remain the greatest determinant of the value of 3D TVs to consumers – and as a result its achievable premium in TV sets. 3D TVs were launched with much fanfare at IFA 2009, but a year ago at CES, the first real products reached the market. Since then, shipments have made steady, although slightly disappointing, progress. Global shipments in 2010 were expected to total 3.2 million worldwide, according to the DisplaySearch Quarterly TV Design and Features Report.“TV manufacturers really got ahead of themselves in 2010, and they forgot that a TV is a tool to watch content,” said Paul Gray, Director of TV Electronics Research at DisplaySearch. “People will only buy a 3D TV if there is enough content to watch, and in 2010, there simply was not enough 3D content available. As a result, only 4% of TVs 40” and larger had 3D capabilities.”

Despite this, competitive pressures in the industry are rapidly making 3D a compulsory feature. DisplaySearch forecasts that nearly18 million 3D sets will be shipped in 2011, rising to over 91 million in 2014.

“TV set makers are strongly committed to 3D, and they expect their strong lead to encourage content creators to follow,” Gray added. “Weakness in the North American TV market was largely to blame for slow 3D shipments, although our research shows that only 40 3D Blu-ray disc titles were available across all genres at the end of 2010.”

Figure 1:  Forecast 3D TV Unit Shipments (000’s) by Region

Source: DisplaySearch Q4’10 Quarterly TV Design and Features Report

The DisplaySearch Quarterly TV Design and Features Report also examines systems with 3D passive glasses, which launched in China in December 2010 and are expected to be featured at CES. These are being offered as an alternative to the existing shutter glasses types, which have significant drawbacks, including high costs, weight, the need for re-charging, and limited interoperability.

“What is disturbing, though, is the prospect of a format war,” said Gray. “It would be very damaging and consumers would opt to wait if they sense obsolescence, especially when they are already cautious about spending.”

Part II. Mobile PCs to gain over desktops in US

US Consumers More than Twice as Likely to Buy Portable Computers as Desktops in the Next Six Months [Dec 28, 2010]. A survey conducted in August 2010 by ABI Research revealed that (emphasis is mine):

… while desktops are the most common type of computer in consumers` homes, consumers are more than twice as likely (35%) to buy laptops (notebook PCs), netbooks, or media tablets than desktops in the next six months.

… the survey shows changing attitudes across all classes of computing devices.

Price remains the most important criterion for laptops because most new laptops purchased at retail will perform most functions that a typical user wants so price is seen as critical.

But for desktops, which are often priced lower (per spec) than laptops, respondents picked processor speed, memory, and storage capacity above price. Consumers perceive these computers as offering processing power and plenty of storage, perhaps acting as the central hub for a digital library.

Primary research director Janet Wise added, “In netbooks, much media attention has been devoted to the processors because this often has an impact on users’ experience. So the majority of consumers cite processor speed as a netbook`s most important feature. . As well as a definite shift to laptops, there is greater overlap between netbook and laptop segments.”

Cost figures even further down the list of important criteria for media tablets, outranked by processor speed, screen resolution, memory, screen size, storage and operating system.

ABI Research’s “Consumer Technology Barometer: Home Computing (Q3 2010)” is a primary research-based tracking study that provides insight into the US consumers’ attitudes, awareness, usage patterns, purchase intentions and purchasing criteria for desktop computers, laptops, tablets, and netbooks.

Part III. Newer consumer technologies are gaining over personal computers and basic mobile phones

The report
Finding Growth:  The Emergence of a New Consumer Computing Paradigm [Jan 3, 2011]
The 2011 Accenture Consumer Electronics Products and Services Usage Report (emphasis is mine):

For four consecutive years Accenture’s Electronics & High Tech industry practice has conducted research to identify and track preferences for consumer technologies and services.  The research is intended to help consumer technology executives better understand the purchase and use of consumer technologies among key generations and to gain deeper insights into global differences.

For the 2011 research Accenture conducted a quantitative online consumer study comprising 8,002 interviews across eight countries: U.S., Japan, Germany, France, Brazil, Russia, India and China.

The research, fielded in October and November, 2010, sought to cover a demographically representative sample across all the geographies. New to this year’s research is Accenture’s 2010 Consumer Technology Power Rankings, which ranks the year’s most pervasive consumer technologies and their projected rate of growth.  The rankings bring particular insights into consumer’s intentions relative to the newest and fastest growing technologies.  One of the fascinating rankings reveals that while the growth rate of personal computers is expected to decline, the growth rate of tablet PCs is expected to increase by 160 percent.

Read the Full Report:  Finding Growth:  Emergence of a New Consumer Technology Paradigm [dowwloadable free of charge]

To illustrate the outstanding value of this 44-page free report here is the table of contents and the list of figures in a combined form:

Accenture_GlobalConsumerTech_2011

The press release
Consumers’ Purchases of Computers and Mobile Phones Will Decline While Purchases of Newer Consumer Technologies Will Soar, New Accenture Survey Finds [Jan 4, 2011]. (Emphasis is mine):

A new Accenture (NYSE: ACN) survey predicts that consumer purchase rates for personal computers and mobile phones (excluding smartphones) will decline by 39 percent and 56 percent this year compared with last year, respectively. By contrast, buying rates of 3DTVs (three-dimensional TVs) are expected to rise 500 percent; tablet computers 160 percent; ebook readers 133 percent; and smartphones 26 percent.

The annual survey focused on usage and spending on 19 different consumer electronics technologies among more than 8,000 consumers in eight countries in both emerging markets and developed economies: Brazil, China, India, Russia, France, Germany, Japan and the United States.  Survey respondents in emerging countries represent key urban markets rather than the population as a whole.

The survey found that only 17 percent of survey respondents plan to buy a desktop or laptop computer in 2011– a 39 percent drop from 2010.  Tracking with this trend, the survey revealed that 75 percent of U.S. survey respondents emailed each week from their PCs in 2010, down from 80 percent the year before. The research also showed that respondents are using multiple devices such as tablet PCs for activities that used to be done on traditional PCs.  For example, on at least a weekly basis, 40 percent of the respondents email from a tablet PC. In addition to checking email, respondents are using tablet PCs for browsing the web, watching videos and reading books, newspapers and magazines.

The research findings raise the question as to whether, in the long run, desktop and laptop PCs in the home will be increasingly replaced by a group of newer technology alternatives such as tablet computers, netbooks, smartphones and e-book readers,” said Kumu Puri, senior executive with Accenture’s Electronics & High-Tech Practice. “If strength is measured by unit sales, the computer will remain the strong consumer technology giant for many years. Our research found that 93 percent of survey respondents own a computer—a higher proportion than any of the 19 technologies included in the survey. But if measured by growth rate, the PC market–at least for consumers–has reached a level of saturation and will continue to see diminished growth rates. There’s increasing potential for an end in sight for the relevance of the personal computer in the home as we know it today.”

The research also found that ownership of basic mobile phones dropped from 79 percent in 2009 to 65 percent in 2010. In the same period, ownership of smartphones quadrupled from eight percent to 32 percent. In the survey, mobile phones were described as having basic voice capability but not the enhanced features available on smartphones, such as surfing the Internet.

3D TVs

Unlike purchases of PCs and mobile phones, purchase rates of 3D TVs are expected to grow this year at the fastest rate–500 percent—of all 19 technologies included in the survey.  As con­sumer electronics companies consider ways to increase demand for 3D TVs, price emerged as the biggest lever for driving greater interest in this new technology product.  According to the survey, 57 percent of respondents said they would be more inclined to buy a 3D TV if the price were within their budget.  Finding this price point was more significant among respondents under 24 years old (64 percent) than respondents who were older (50 percent).  Other factors respondents said would make them more inclined to buy a 3D TV included having greater availability of 3D content and not having to wear 3D glasses.

China

Among respondents in all eight countries surveyed, Chinese consumers were among the most enthusiastic purchasers and users of the latest consumer technologies. While two percent to three percent of respond­ents in most countries own a 3D TV, twice that many Chinese respondents say they own one. Sixty-nine percent of the nation’s respondents want or plan to own a 3D TV, compared with only one-fourth of U.S. consumers and one-fifth of Japanese consumers.

Chinese respondents are big users of smartphones, the survey revealed.  More than half (53 percent) of Chinese respondents currently own a smartphone versus one-third of U.S. respondents.  Furthermore, smartphones are predicted to be the most purchased device in China next year, with 38 percent of those surveyed planning to buy one.

For a copy of the complete set of survey findings, please visit www.accenture.com/ConsumerTech2011.

Methodology

The survey, conducted in October and November of 2010, sought to cover a demographically representative sample across all geographies. The annual research began as a U.S. study in 2008 and grew to a global study in 2010. For the 2011 report Accenture conducted a quantitative online consumer study consisting of surveys of 8,002 consumers in eight countries: Brazil, China, France, Germany, India, Japan, Russia and the United States. In Brazil, China, India and Russia the sample is representative of urban and semi-urban populations. Survey respondents were asked about the following 19 technologies: computers, mobile phones, digital photo cameras, DVD players, regular TV, high definition TV, portable music players, game consoles, VCRs, smartphones, GPS, digital video cameras, portable gaming devices, digital video recorders, netbooks, BluRay players, tablet computers, ebook readers, and 3D TVs. To calculate the change in annual purchasing rates, Accenture first subtracted the percentage who purchased in 2010 from the percent who intend to buy in 2011. That total was divided by the percentage who purchased in 2010.

Android 2.3 (Gingerbread) and 3.0 (Honeycomb)

All the speculations collected in my Beyond Android 2.1 [July 4] and Android 2.2 (Froyo) excitement is just the tip of the iceberg for the current Android momentum [July 9 – Sept 10] are now over as Android 2.3 (Gingerbread) was released on Dec 6. with the lead device (Samsung Nexus S) availability on Dec 16, as well as Android 3.0 (Honeycomb) shown by Andy Rubin on Dec 6. and the lead device rumored to be Motorola’s XOOM with as early availability as February 2011.

Follow-Up (Aug 2, 2011):
Acer & Asus: Compensating lower PC sales by tablet PC push [March 29, 2011 with comprehensive update on Aug 2, 2011] which is showing serious technical and market problems with the original version of Honeycomb
Tackling the Android tide [July 16, 2011]

Worth to read along with this: Gartner: media tablets are the new segment next to mobile PCs and desktops, as well as web- and app-capable mobile phones [April 16, 2011]

Updates (Feb 4):

Motorola to sell Xoom tablet PC as early as February [Jan 31, 2011]:

Motorola is set to sell its 10.1-inch Android 3.0 tablet PC Xoom as early as February 2011 with the rest of its competitors to start launching their Android 3.0 models after March.

As Google is sending invitations to global media announcing the release date of Android 3.0, iPad-like products are expected to start showing up lead by Motorola.

Since the rest of the PC and smartphone vendors will still take a while to adjust their related settings to allow their machines to run Android 3.0 after it releases, Motorola is expected to have about a month head-start to fully push its Xoom sales.

High Tech Computer (HTC), RIM, Samsung Electronics and LG Electronics may need to wait until after March to release their tablet PCs, while PC players such as Acer, Asustek Computer, and Toshiba may even delay to after April or May. To maintain their market position, some vendors plan to launch a small volume of Android 2.3-based models, while some will launch Wintel-based models.

Updates (Jan 10):

Verizon Wireless and Motorola Mobility Announce Motorola XOOM™ Tablet on Nation’s Largest and Most Reliable 3G Network [Jan 5, 2011] (emphasis is mine):

Verizon Wireless and Motorola Mobility, Inc. (NYSE: MMI), today unveiled the innovative new tablet Motorola XOOM™ − the first device on Google’s new Android 3.0 Honeycomb operating system designed from the ground up for tablets. The Honeycomb user experience improves on Android favorites such as widgets, multi-tasking, browsing, notifications and customization and features the latest Google Mobile innovations. Boasting a dual core processor with each core running at 1 GHz, delivering up to two GHz of processing power, and 10.1-inch widescreen HD display, Motorola XOOM gives Verizon Wireless customers a new type of mobile computing experience on a stylishly thin device that is 4G LTE upgradeable.Motorola XOOM redefines the tablet device category by providing more ways to have fun, connect with friends and stay productive on the go. It allows consumers to experience HD content right on the device, supports 1080p HD video and HDMI output to display content on larger HD screens, and plays video and other rich web content seamlessly with Adobe® Flash® Player. Motorola XOOM features a front-facing 2-megapixel camera for video chats over Wi-Fi or 3G/4G LTE, as well as a rear-facing 5-megapixel camera that captures video in 720p HD. It delivers console-like gaming performance on its 1280×800 display, and features a built-in gyroscope, barometer, e-compass, accelerometer and adaptive lighting for new types of applications. It also features Google Maps 5.0 with 3D interaction and delivers access to over 3 million Google eBooks and thousands of apps from Android Market™.

The Motorola XOOM device will launch as a 3G/Wi-Fi-enabled device in Q1 2011 with an upgrade to 4G LTE in Q2.

A Sneak Peek of Android 3.0, Honeycomb [Jan 5, Posted by Andy Rubin, VP of Engineering] (emphasis is mine)

… today at the Consumer Electronic Show (CES) in Las Vegas, we previewed Android 3.0, Honeycomb.

Honeycomb is the next version of the Android platform, designed from the ground up for devices with larger screen sizes, particularly tablets. We’ve spent a lot of time refining the user experience in Honeycomb, and we’ve developed a brand new, truly virtual and holographic user interface. Many of Android’s existing features will really shine on Honeycomb: refined multi-tasking, elegant notifications, access to over 100,000 apps on Android Market, home screen customization with a new 3D experience and redesigned widgets that are richer and more interactive. We’ve also made some powerful upgrades to the web browser, including tabbed browsing, form auto-fill, syncing with your Google Chrome bookmarks, and incognito mode for private browsing.

Honeycomb also features the latest Google Mobile innovations including Google Maps 5 with 3D interactions and offline reliability, access to over 3 million Google eBooks, and Google Talk, which now allows you to video and voice chat with any other Google Talk enabled device (PC, tablet, etc).

Android Honeycomb 3.0 full-live demo! [Jan 6]

CES: Motorola Xoom wins Best of Show. Here’s why. [Jan 8] (emphasis is mine)

As the first exclusive product to feature Google’s tablet-specific Android 3.0 operating system, this award is also a big nod to Google’s work developing the Android Honeycomb operating system previewed in the video below. From what we’ve seen, the Android Honeycomb OS charts exciting new ground for tablets, bringing some dearly needed differentiation from the Android smartphone experience. As with previous versions of Android, Honeycomb will inevitably make its way onto other tablets, offering more choice for consumers and providing the industry a valuable resource. By CES 2012, Honeycomb will likely be the de facto standard for Android-based tablets.

In fact, we considered whether Honeycomb itself should be the nominee, but decided that the Xoom, as a vessel for the OS, was as worthy as its cargo. We believe the Xoom is the most potentially disruptive technology among the nominees; it’s a true competitor for the iPad and will be one of the first 4G-compatible tablets to hit the market.

Samsung Plans Dual-Core Phones, New Tablets in Feb. [Jan 7]

… the company still lacks a tablet running Android 3.0 as well as phones and tablets with dual-core processors, which we’re seeing from Motorola, LG and others.

“In February at MWC, we will unveil our next-generation tablet device portfolio in detail,” [the president of Samsung’s mobile business, JK] Shin said.

Samsung will have both 3G and 4G tablets in the future, and “we are in a position to supply 4G smartphones and tablets to all the carriers in the US,” he said.

New Windows Phone 7 devices, possibly with 4G LTE, may also be announced in February, Shin said.

“We will continue to keep the partnership with Microsoft,” he said.

Samsung’s Galaxy Android Tablet Is Going To Be Obsolete Very Soon [Jan 4]

When Google releases Android 3.0, a.k.a. “Honeycomb,” it’s going to be optimized for tablets, and it’s going to have strict hardware requirements, PC Mag reports.PC Mag spoke with Bobby Cha, managing director of Korean electronics company, Enspert. Cha says Honeycomb with require dual-core ARM Cortex-A9 chips.

In other words, it needs strong chips.

This means the current crop of Android tablets on the market, like the Galaxy Tab, won’t be able to upgrade their software to Android 3.0 when it’s available.

Note: Samsung Galaxy Tab Sales Pass 1 Million [Dec 3, 2010]: “In less than two months from launch”

High level Google manager dismisses rumors of minimum system specs for Android 3.0 Honeycomb [Jan 7]
T-Mobile G-Slate announced: 4G, Android 3.0, made by LG [Jan 5]
LG And T-Mobile Release Android 3.0 4G Tablet (video) [Jan 10]

Motorola expected to ship 700,000-800,000 Xoom tablet PCs in 1Q11 [Jan 10, 2011]

The sources also pointed out that Google’s Android 3.0 is most suitable for 7- to 10-inch tablet PCs and most notebook vendors were not able to receive priority support from Google. Currently, Motorola and Samsung are Google’s priority partners with LG Electronics and High Tech Computer (HTC) following behind, the sources noted.

Dell and T-Mobile USA Unveil Streak 7, Both Companies’ First 4G Tablet Offering the Ultimate Entertainment Experience [Jan 6] (emphasis is mine)

The Streak 7 features Google’s™ Android 2.2 operating system, a dual core 1GHz NVIDIA Tegra 2 processor and full support for Adobe® Flash® Player.

… The new Streak 7 will feature Dell’s innovative Stage user interface, which provides a seamless and unified experience for accessing all your favorite content. Later this year, Dell will add syncing to Stage so people can keep their photos, contacts, calendars and other personal content synchronized across their Dell Stage-equipped devices, from tablets to PCs, connected through their home network.

Acer’s New ICONIA Tab A500 to Support Gamers and Mobile Consumers on the Verizon Wireless 4G LTE Network [Jan 4]
Acer Iconia Tab A500 first hands-on! (update: video)
[Jan 6]: “It’s just the same engineering prototype with an early build of Android 2.2 we’ve seen before — it’ll run Honeycomb at launch — but this time, we got to touch.
Asus unveils three Android 3.0 tablets
[Jan 5]
CES: Toshiba’s 10-inch Honeycomb tablet, hands-on [Jan 3]
Lenovo to put Google Android 3.0 on tablets
[Jan 10]
Hannspree showcases three new Android tablets
[Jan 10]

End of updates (Jan 10) — additional updates in the Part II.

So while Android 2.3 (Gingerbread) made the user experience issue solved for the Android smartphones, the Android 3.0 (Honeycomb) version will deliver a competitive user experience for the upcoming 2011 Android tablets. You can find the currently available information regarding all that below.

Part I. Android 2.3 (Gingerbread)

Introducing Nexus S with Gingerbread [Dec 6, 2010]

The very first Android phone hit the market in November 2008. Just over two years later, Android’s vision of openness has spurred the development of more than 100 different Android devices. Today, more than 200,000 Android devices are activated daily worldwide. The volume and variety of Android devices continues to surpass our wildest expectations—but we’re not slowing down.

Today, we’re pleased to introduce the latest version of the Android platform, Gingerbread, and unveil the next Android device from the Nexus line of mobile products—Nexus S. And for developers, the Gingerbread SDK/NDK is now available as well.

Nexus S is the lead device for the Gingerbread/Android 2.3 release; it’s the first Android device to ship with the new version of the Android platform. We co-developed this product with Samsung—ensuring tight integration of hardware and software to highlight the latest advancements of the Android platform. As part of the Nexus brand, Nexus S delivers what we call a “pure Google” experience: unlocked, unfiltered access to the best Google mobile services and the latest and greatest Android releases and updates.

Take a look at our backstory video for more on the vision behind this product and to understand why we think “a thousand heads are better than one”:

Nexus S is the first smartphone to feature a 4” Contour Display designed to fit comfortably in the palm of your hand and along the side of your face. It also features a 1GHz Hummingbird processor, front and rear facing cameras, 16GB of internal memory, and NFC (near field communication) hardware that lets you read information from NFC tags. NFC is a fast, versatile short-range wireless technology that can be embedded in all kinds of everyday objects like movie posters, stickers and t-shirts.

Gingerbread is the fastest version of Android yet, and it delivers a number of improvements, such as user interface refinements, NFC support, a new keyboard and text selection tool, Internet (VoIP/SIP) calling, improved copy/paste functionality and gyroscope sensor support.

After December 16, Nexus S can be purchased (unlocked or with a T-Mobile service plan) online and in-store from all Best Buy and Best Buy Mobile stores in the U.S. and after December 20 at Carphone Warehouse and Best Buy retailers in the U.K.

We’ll be open-sourcing Gingerbread in the coming weeks and look forward to new contributions from the Android ecosystem in the months ahead.

Andy Rubin, VP of Engineering

Android 2.3 Platform and Updated SDK Tools [Dec 6, 2010]

Today we’re announcing a new version of the Android platform — Android 2.3 (Gingerbread). It includes many new platform technologies and APIs to help developers create great apps. Some of the highlights include:

Enhancements for game development: To improve overall responsiveness, we’ve added a new concurrent garbage collector and optimized the platform’s overall event handling. We’ve also given developers native access to more parts of the system by exposing a broad set of native APIs. From native code, applications can now access input and sensor events, EGL/OpenGL ES, OpenSL ES, and assets, as well a new framework for managing lifecycle and windows. For precise motion processing, developers can use several new sensor types, including gyroscope.Rich multimedia: To provide a great multimedia environment for games and other applications, we’ve added support for the new video formats VP8 and WebM, as well as support for AAC and AMR-wideband encoding. The platform also provides new audio effects such as reverb, equalization, headphone virtualization, and bass boost.New forms of communication: The platform now includes support for front-facing camera, SIP/VOIP, and Near Field Communications (NFC), to let developers include new capabilities in their applications.

For a complete overview of what’s new in the platform, see the Android 2.3 Platform Highlights:

Alongside the new platform, we are releasing updates to the SDK Tools (r8), NDK, and ADT Plugin for Eclipse (8.0.0).

Supporting Multiple Screens

Quickview

  • Android runs on devices that have different screen sizes and resolutions.
  • The screen on which your application is displayed can affect its user interface.
  • The platform handles most of the work of adapting your app to the current screen.
  • You can create screen-specific resources for precise control of your UI, if needed.
  • Older applications run in a compatibility mode that provides best-effort rendering on the current screen.
  • It’s important to follow the best practices described in this document and test your application in all supported screens.

Android is designed to run on a variety of devices that offer a range of screen sizes and resolutions. For applications, the platform provides a consistent environment across devices and handles much of the complexity of adapting an application’s UI to the screen on which it is being displayed. At the same time, the platform exposes APIs that give application developers precise control over their application’s UI when displayed on specific screen sizes and resolutions.

This document explains the screens-support features provided by the platform and how you use them in your application. By following the practices described here, you can easily create an application that displays properly on all supported device screens and that you can deploy to any device as a single .apk.

If you have already developed and published an application for Android 1.5 or earlier, you should read this document and consider how you may need to adapt your application for proper display on new devices that offer different screens and that are running Android 1.6 or later. In most cases, only minor adjustments are needed, however you should make sure to test your application on all supported screens.

Starting in Android 2.2, the platform includes support for extra high density screens (xhdpi), and starting in Android 2.3, the platform includes support for extra large screens (xlarge). If you’ve already followed the guidance in this document to support all other screen types, you should consider providing additional support for xhdpi and xlarge screens.

In particular, if you have an existing application that you would like to make available on small screens (such as QVGA) or for which you would like to provide better support for extra large screens, please see Strategies for Legacy Applications for more information about how to do that.

New Gingerbread API: StrictMode [Dec 12, 2010]

I joined the Android team full-time just over a year ago and spent a lot of time investigating Froyo performance issues, in particular debugging ANRs (those annoying dialogs you get when an application stalls its main thread’s Looper). Debugging ANRs with the tools at hand was painful and boring. There wasn’t enough instrumentation to find the causes, especially when multiple processes were involved (doing Binder or ContentResolver operations to Services or ContentProviders in other processes). There had to be a better way to track down latency hiccups and ANRs…

StrictMode is a new API in Gingerbread which primarily lets you set a policy on a thread declaring what you’re not allowed to do on that thread, and what the penalty is if you violate the policy. Implementation-wise, this policy is simply a thread-local integer bitmask.

Using the data from StrictMode we fixed hundreds of responsiveness bugs and animation glitches all across the board. We made performance optimizations in the Android core (e.g. system services and providers) so all apps on the system will benefit, as well as fixing up tons of app-specific issues (in both AOSP apps and Google apps). Even if you’re using Froyo today, the recent updates to GMail, Google Maps, and YouTube all benefited from StrictMode data collection gathered on Gingerbread devices.

Googlers who switched from Froyo to Gingerbread without seeing all the baby steps between were shocked at how much more responsive the system became. Our friends on the Chrome team then recently added something similar. Of course, StrictMode can’t take all the credit. The new concurrent garbage collector in Gingerbread also greatly reduces latency hiccups.

Nexus S with Google

Nexus S is the next generation of Nexus devices, co-developed by Google and Samsung. The latest Android platform (Gingerbread), paired with a 1 GHz Hummingbird processor and 16GB of memory, makes Nexus S one of the fastest phones on the market. It comes pre-installed with the best of Google apps and enabled with new and popular features like true multi-tasking, Wi-Fi hotspot, Internet Calling, NFC support, and full web browsing. With this device, users will also be the first to receive software upgrades and new Google mobile apps as soon as they become available. For more details, visit http://www.google.com/nexus.

TechCrunch Review: Google Nexus S [Dec 6]

Unlike the Nexus One, the phone was not built from scratch – the starting point was the Samsung Galaxy S, released earlier this year. And Google will not be selling this phone directly to consumers. They say that experiment is over, and this phone will be available initially at Best Buy in the U.S. (on T-Mobile) and Carphone Warehouse in the U.K. Google says the phone is currently expected to be available starting December 16, although pre-orders might be taken earlier.

The bottom line is this. If you are an iPhone user this isn’t going to make you switch. If you’re an Android user you will want this phone more than any other. If you’re currently neither, we recommend that you go with the Nexus S. It is better than the iPhone in most ways. What you lose with the slightly less impressive screen and iOS’s slightly slicker user experience you will more than make up for with the Nexus S’s ability to actually make phone calls that don’t drop and Google’s exceptional Navigation and voice input applications. The fact that the phone is unlocked and can be used abroad with other carriers is also a very big plus.

Hands On With Largest Android Phone Ever: A 42-Inch Nexus S [Dec 23, 2010, video included]

Last night, Google employees installed a giant Nexus S in the San Carlos Best Buy, sporting a 42 inch touchscreen, a working camera, and internet connectivity. Yes, unlike the giant Nexus Ones that Google produced last year, which just played a looping video of the UI, this giant Nexus S actually works. And it’s actually being powered by a real (smaller) Nexus S that’s been equipped with special video-out capabilities.

Part II. Android 3.0 (Honeycomb)

Motorola Android tablet prototype makes a cameo at D: Dive Into Mobile running Honeycomb [Dec 6, 2010]

Google’s Andy Rubin brought more than just a Nexus S in his bag of goodies tonight. On stage at D: Dive Into Mobile, the man has brought with him a prototype Android tablet from Motorola. It’s got video chat, an NVIDIA processor, a “dual core 3D processor,” and… oh yeah, it runs Honeycomb, not Gingerbread. Little else is known — Rubin immediately turned his attention to a new release of Google Maps — but we wouldn’t be surprised if we were looking at Stingray, a tablet rumored for a launch on Verizon shortly.

Prototype Motorola Android tablet, running a dual core Nvidia chip and Honeycomb, the next iteration of Android.

DROID XOOM will be Motorola’s Honeycomb Tablet, Won’t be 4G LTE [Dec 29, 2010]

How does the Motorola DROID XOOM sound?  According to our sources, that’s exactly what we can expect Motorola’s Honeycomb tablet to be called when it’s announced next week at CES.  We’ve seen the word “XOOM” through a batch of global trademarks, but we have confirmation that this will indeed be the name, it will definitely be running Honeycomb and for now, won’t be 4G LTE.

Update:
Upstream supply chain facing challenge from strong tablet PC orders [Jan 10, 2011]

Upstream component makers, facing tablet PC players placing strong orders, expect their sales performance to benefit significantly; however they also pointed out that the orders will give them strong pressure over supply management.

In addition to Apple’s iPad, RIM’s PlayBook and Motorola’s Xoom as well as High Tech Computer’s (HTC’s) new tablet PCs are all set to appear in the channel in the first half of 2011 and the total tablet PC shipment may go even higher after notebook vendors start joining the market.

Despite many tablet PC brands are placing strong orders, their actual sales in retail channels are a concern among upstream players since these tablet PCs may not be able to see as strong demand as Apple’s iPad.

And if the demand is strong, since most of the upstream component makers already have existed orders to supply, the extra orders may also affect makers’ capacity schedule.

In addition, production yield rate and capacity allocation will also be issues that the makers will need to face.

As a result, upstream component makers are facing a dilemma since they do not dare to expand their capacity recklessly due to uncertainty about tablet PC’s future demand, but if the market takes off, they will face issues with capacity which could seriously damage clients.

Motorola expected to ship 700,000-800,000 Xoom tablet PCs in 1Q11 [Jan 10, 2011]

Motorola, with assistance from Google, has showcased its new Android 3.0-based Xoom tablet PC and has placed orders for about 700,000-800,000 units with four color options for the first quarter of 2011, according to sources from upstream component makers. The sources expect the orders to go up as high as one million units in the quarter.

In addition to Taiwan-based notebook chassis makers such as Catcher Technology and Foxconn Technology, handset chassis makers including Taiwan Chi Cheng (CCC) and Silitech Technology are also expected to benefit from the tablet PC chassis business opportunity, the sources noted.

The sources also pointed out that Google’s Android 3.0 is most suitable for 7- to 10-inch tablet PCs and most notebook vendors were not able to receive priority support from Google. Currently, Motorola and Samsung are Google’s priority partners with LG Electronics and High Tech Computer (HTC) following behind, the sources noted.

The Xoom tablet PC adopts a 10.1-inch touch panel with a resolution of 1280 by 800, Nvidia’s Tegra 2 processor and has HDMI and USB ports. The device also features a 5-megapixel camera and an LED flash light.

Report, LG Bringing Android Honeycomb Optimus Pad Tablet To CES 2011 [Dec 29, 2010]

This Optimus Pad tablet from LG according to this source will run on Android Honeycomb OS. The new report meshes with a report we posted about back in November –when an LG official spilled some details to a Korean news outlet– that stated the upcoming 8.9-inch LG tablet would be powered by the Nvidia Tegra 2 dual-core chip.

Android Honeycomb Music Player: Full Guide (Early Leak) [Dec 30, 2010]

SO, there’s an Unofficial / Leaked version of the new Honeycomb music player from Android floating around out there, right? Well, we had quite a time getting this little APK to work once we got it, and we bet we weren’t the only ones. Therefor, we’ve whipped up for you this little guide and points post so that you might get the sweet updated music action working on your Android device with as little or no hassle as possible.

Nokia name-checked as Android Honeycomb tablet producer [Dec 29, 2010]

A casual name-drop in a report on Android 3.0 Honeycomb tablets has led to suggestions that Nokia is working with Google on an Android device. DigiTimes claims Google has been giving priority to brand-name handset manufacturers with support for the tablet-centric Honeycomb release, bypassing notebook makers in the process, but Nokia is in among the list of “smartphone players” supposedly working with the search giant.

It’s most likely an oversight by DigiTimes’ writers, but the remaining players on the list – Motorola, Samsung, LG and HTC – are all companies we’ve heard Android tablet rumors about in the past. A similar casual mention pre-holidays tipped Honeycomb for a March 2011 release; now the site is claiming some smartphone manufacturers could have slates running the platform out as early as the latter half of February next year.

Nokia Android Honeycomb tablet is latest odd OS rumor [Dec 29, 2010]

Android Honeycomb due for March 2011 release tip insiders [Dec 23, 2010]

Google has been coy on when exactly Android Honeycomb – the tablet-customized version of the open-source OS – will be launched, but Taipei sources may have scooped their announcement. According to DigiTimes, MSI is preparing to sell a Tegra 2 based tablet in April or May “after Google releases Android 3.0 in March.”

Now, DigiTimes has a patchy track record for accuracy, and we’re not sure if Honeycomb is going to be Android 2.4 or Android 3.0 – since Google is yet to confirm version numbers – but it certainly fits in with some previous rumors that suggested a broader February/March release window.

Android Honeycomb Is Indeed Version 2.4, Say Server Logs (Update) [Dec 29, 2010]

So we happened to be looking through some of our analytics logs today, and for the first time ever, we saw a very curious thing: a single device performed a single visit on Sunday and reported its operating system as Android 2.4. This would not be the first time we’d heard that Honeycomb, the confirmed codename for the post-Gingerbread version of the platform, referred to version number 2.4, and not 3.0, as has been widely expected up to this point — Android and Me first reported this possibility on December 15th, citing a developer working on third party software for “different versions of Android.”

Update: After seeing our post, Android Police checked its own logs, which turned up 15 visits from several 2.4 devices over a six day period — and none from devices reporting themselves as 3.x.

Notebook vendors seeing R&D delays for Android 3.0 tablets [Dec 29, 2010]

… Google is currently giving priority for Android 3.0 support mainly to smartphone players such as Motorola, Samsung Electronics, LG Electronics, High Tech Computer (HTC) and Nokia, leaving notebook vendors facing delays in their R&D schedules.

Sources believe Google’s strategy will cause notebook vendors to launch their tablet PCs later than smartphone players, while some players even believe that the tablet PC market will not be fully dominated by notebook vendors who will also face competition from smartphone players.

Smartphone players are expected to launch their Android 3.0 tablet PCs as early as the second half of February 2011, while notebook vendors will need to wait until the end of March to be able to have products on the market, the sources noted.

Although most of the notebook vendors are already set to launch Wintel- or Android 2.2-based models, most of their shipment volumes are still limited as the vendors are pessimistic about these models and believe Android 3.0 will be the shipments driver.

Update: Google giving priority to cooperate with Motorola, Samsung and HTC on Android 3.0 tablet PCs [Jan 7, 2011]

Google has apparently given priority to Motorola, Samsung Electronics and HTC for cooperation to develop tablet PCs that will run on Android 3.0 Honeycomb, according to industry sources.

Motorola has unveiled its Xoom tablet PC running on Android 3.0 at CES 2011, while Samsung is able to manufacture a number of key components for tablet PCs, the sources noted.

On the other hand, Taiwan-based ODM notebook makers are not strong in software development and also cannot control the supply of some key components for tablet PCs, making them unable to compete with handset makers to win support from Google, the source pointed out.

Compal Electronics reportedly tried in vain to cooperate with Google to develop tablet PCs in 2010 as Google has given priority to handset vendors, the sources added.

Handset vendors prefer notebook to handset makers for outsourcing tablet PCs, say Taiwan handset makers [Dec 29, 2010]

With handset vendors stepping into tablet PCs, priority is being given to notebook ODMs rather than handset makers for outsourced production, according to Taiwan-based handset makers.

RIM, Motorola and HTC have selected notebook ODMs Quanta Computer, Compal Electronics and Pegatron Technology, respectively, to produce their own-brand tablet PCs, the sources pointed out. Hewlett-Packard may choose Inventec to make its WebOS tablet PCs, the sources added.

Tablet PCs are actually more similar to smartphones than to notebooks in processor architecture, operating system, power consumption, user interface, communication functions and portability, the sources indicated. However, handset vendors mostly develop tablet PCs in-house and therefore care about the efficiency and cost of assembly, and in this respect notebook makers have the advantage because tablets are closer to notebooks than to smartphones in size, the sources analyzed.

Samsung, LG to enhance presence in global smartphone market in 2011, say Taiwan makers [Dec 28, 2010]

Samsung Electronics and LG Electronics have gained footholds in the global market of smartphones in 2010 with Galaxy S and Optimus One respectively, and will launch many smartphone models to strengthen their market status in high-end and entry-level as well as mid-range to entry-level segments respectively, according to Taiwan-based handset makers.

Samsung and LG emphasize the importance of touch panels for smartphones and both have the advantage of in-house panel technologies and production capacities, the sources indicated. Samsung will capitalize on its Super AMOLED (active matrix OLED) technology, while LG will adopt LTPS (low-temperature poly-silicon) panels in the first half of 2011 and then AMOLED panels in the second half, the sources noted.

Focusing on high-end and entry-level segments in 2011, Samsung will launch Android smartphone models throughout the year and Windows Phone 7 (WP7) models additionally in the second half, the sources pointed out. Samsung is expected to intensify competition with Motorola and Taiwan-based HTC in high-end smartphone models, especially in North American market, the sources indicated.

LG will launch 30 smartphone models priced at US$150-400, using either Android or WP7, in 2011, bringing significant competitive pressure on China-based vendors including Huawei Device and ZTE, the sources pointed out.

MID market grows 72% in 2010, says The Information Network [Dec 29, 2010]

Strong growth in smartphones and the huge success of the iPad spurred record growth in mobile Internet devices (MID) for 2010, according to research firm The Information Network.

“The MID market grew 72% in 2010 to 314 million units,” noted Robert Castellano, president of The Information Network. “By way of comparison, 2009 registered only a 20% gain.”

Growth was helped by a 90% gain in e-book reader shipments, a 60% gain in smartphones, and nearly 20 million iPads sold. For 2011, unit shipments of MID devices will moderate to a 44% growth.

ARM owns the MID space. It owns 95% of the mobile phone market and 85% of the smartphone market by unit shipments. ARM processors are being manufactured in the best semiconductor facilities. Companies that are currently or formerly ARM licensees include Alcatel, Atmel, Broadcom, Cirrus Logic, Digital Equipment Corporation, Freescale, Intel (through DEC), LG Group, Marvell Technology Group, NEC, NVIDIA, NXP (previously Philips), Oki, Qualcomm, Samsung, Sharp, ST Microelectronics, Symbios Logic, Texas Instruments, VLSI Technology, Yamaha and ZiiLABS, and TSMC.

Intel’s industry position and prospects for years ahead

Follow-up: Intel: accelerated Atom SoC roadmap down to 22nm in 2 years and a “new netbook experience” for tablet/mobile PC market [April 17, 2011]
Update:  Intel executive quits as smartphone biz falters [March 21, 2011]: (emphasis is mine)

The Intel executive who led Intel’s so-far-unsuccessful push into smartphones and tablets quit as that business comes under unrelenting competitive pressure from companies like Apple, Qualcomm, and Nvidia.

Anand Chandrasekher, who had been senior vice president and general manager of Intel’s Ultra Mobility Group, announced today that he will be leaving Intel to “pursue other interests”.

Chandrasekher had become somewhat infamous for making regular appearances at Intel conferences over the last few years and invariably waving a prototype smartphone or handheld device for the cameras, then promising that an Intel-based smartphone was on the way. But none ever materialized.

“The industry has gone right past them,” said Ashok Kumar, an analyst at Rodman & Renshaw. “They’re just another player [in the smartphone and tablet markets]. There’s no first among equals,” Kumar said, referring to the ARM processor business, which is dominated by an oligarchy of other big chip companies, including Qualcomm, Texas Instruments, Samsung, Apple, Marvell, and Nvidia.

Another analyst says that Intel’s first chip designed specifically for tablets and smartphones, “Moorestown,” was a failure. “Moorestown was a complete flop,” said Linley Gwennap, principal analyst at The Linley Group, a chip consulting firm. “Intel is still struggling to get traction in tablets and particularly smartphones. Atom is in a few tablets that run Windows, but Windows tablets are not very popular, except in a few vertical applications,” he said.

Note: Although Chandrasekher bet his corporate carrier on this in 2006 when Intel sold its XScale business to Marvell, there were a number of higher placed Intel executives who were much more responsible for this major strategic mistake: (emphasis is mine)

“As part of the thorough analysis of Intel begun in April, we have examined the focus and structure of our top management level, including our use of ‘two-in-a-box’ co-managers,” said Intel President and CEO Paul Otellini. … Intel’s Sales and Marketing Group will be led by Executive Vice President Sean Maloney, 50, who previously co-managed the company’s Mobility Group. Maloney will also become Intel’s chief sales and marketing officer. … Senior Vice President David Perlmutter, 53, will continue as general manager of the Mobility Group. Senior Vice President Anand Chandrasekher, 43, formerly co-general manager of the Sales and Marketing Group, will manage a newly created business unit focused on low power Intel Architecture products and the ultra-mobile PC market. He will report to Perlmutter. … Intel Announces Management Changes [July 20, 2006]

Marvell Technology Group, Ltd. and Intel Corporation today announced that they have signed an agreement for Intel to sell its communications and application processor business to Marvell for a purchase price of $600 million plus the assumption by Marvell of certain liabilities. The planned sale will give Marvell a strong presence in the growing market segment for processors used in smart handheld devices. The sale also will enable Intel to focus its investments on its core businesses, including high-performance, low-power Intel Architecture-based processors and emerging technologies for mobile computing, including Wi-Fi and WiMAX broadband wireless technologies. … “In recent years, Intel has made significant progress and won major customers with this business,” said Sean Maloney, Intel executive vice president and general manager, Mobility Group. … Marvell To Purchase Intel’s Communications And Application Processor Business For $600 Million [June 27, 2006]

Intel probably has good business reasons for selling the 1,400-person communications/applications XScale unit to Marvell. Faced with a surprisingly resurgent AMD and other challenges, Intel is rapidly cutting costs and reorganizing. XScale’s financial performance was lackluster, so the unit was an obvious candidate for a selloff. And Marvell is paying $600 million in cash, which isn’t chump change, even for Intel.

Another reason for Intel to reduce its commitment to XScale is that it’s not an Intel-native CPU architecture. XScale isn’t protected by the same financial and emotional capital that Intel has invested in, say, the IA-64 (Itanium) architecture. Indeed, XScale is ARM compatible, so every design win strengthens ARM.

As we see it, Intel now has three options: create an entirely new embedded-processor architecture; acquire another embedded-processor architecture from an outside company; or renew its commitment to developing the x86 as an embedded architecture.

Creating a new architecture is the least likely option. The world already has plenty of CPU architectures, and MPR covers new ones all the time. We don’t think Intel will embark on an expensive, risky project that could turn into another i432, i960, or IA-64.

Acquiring an outside CPU architecture is only slightly more likely than creating one from scratch.  …

Intel’s third option is to develop new, low-power x86 embedded processors. Yes, we know, Intel is already doing that. Two weeks ago, Intel announced that Senior Vice President Anand Chandrasekher will manage a new business unit focused on the ultramobile PC (UMPC) and low-power x86 products. The new unit will almost certainly use technology developed by Intel’s Low Power on Intel Architecture research project at the System Technology Labs (www.intel.com/technology/systems/lpia/). But Intel needs to step up the pace of this project and send clearer signals about its embedded x86 strategy.

Recall that a year ago, Intel CEO Paul Otellini promised to deliver by 2010 a 500mW x86 processor capable of running an operating system like Microsoft’s Vista, the next version of Windows. Otellini’s goal is to bring desktop performance to PDA-size UMPCs. Achieving that goal would be an impressive feat. But by 2010, cellphones with ARM processors might subsume the functions that Otellini envisions for x86-based UMPCs. Future derivatives of Apple’s ARM-based iPods are another source of potential competition. Even the XScale-based Blackberry communicators that Intel has discarded might evolve into versatile palmtop computers.

Intel’s Embedded Future [Microprocessor Report, July 31, 2006]

BACK TO THE ORIGINAL NEWS:

It went around the major on-line ICT publishers that Intel loses 2010 chip market share while Samsung gains, says Gartner while the source is stressing an overall finding that Gartner Says Worldwide Semiconductor Revenue Increased 31.5 Percent in 2010 to Exceed $300 Billion [Dec 8], and regarding Intel it rather made an internal remark:

Intel held the No. 1 vendor position for the 19th consecutive year in 2010, albeit with a slightly smaller share of the market, down to an estimated 13.8 percent from 14.2 percent in 2009 (see Table 1). Intel saw strong growth in the first half of the year as the PC market stocked up inventory in anticipation of a strong second half of the year, but third quarter growth weakened as consumer sentiment began to flag. Sales of mini-notebooks — a segment for which Intel is almost the exclusive supplier — were particularly disappointing.

Worth to read along with this: Gartner: media tablets are the new segment next to mobile PCs and desktops, as well as web- and app-capable mobile phones [April 16, 2011]

Instead of the referred in Gartner’s “Worldwide semiconductor revenue” press release table I am including here the same data but in diagram format:

Top 10 Worldwide Semiconductor Vendors by Gartner in 2010 preliminary -- 8-Dec-2010

Whatever it is Intel is not worried at all. Intel’s own Free Press reported from the same day Barclays Capital event in San Francisco Intel CEO defends PC amid tablet, smartphone growth [Dec 8]. ZDNet’s Larry Dignan sent his report as Intel’s Otellini: The PC ‘just doesn’t die’ [Dec 8] with the following quotes:

I think it’s easy to forget about how important notebooks are, in particular, to people’s lives, and while there is a news flash the iPad is really fun, it’s not the only device that’s out there, and in fact, if you look at it on a scale of units, PCs are at 1 million units a day this year. Compare that to, what, 4 million iPads last quarter. Pick your own number for this quarter. So, it’s a vastly different scale here.

When talking about the upcoming next generation of Sandy Bridge processors where graphics are integrated into the chip. Regarding Intel’s tablet strategy the saying was:

Tablets, the thing that’s on everybody’s lips and minds. Our strategy here is very simple. We are going to offer best-of-class hardware around our Atom system on chips, and we are going to make sure that we support all of the viable operating systems that we — that want to work with us that are in the marketplace.

So I’ve just listed here some of the 35 design wins we have in tablets. A number of them on Windows. A number of them on Android. And this is both Froyo, and then Honeycomb as it comes out. Then, of course, on MeeGo, the operating system that we’re working on along with Nokia and other companies. Some of these are in the market today. You can buy — the ones that are Intel-based that are in the market today are typically from people like AT&T or Cisco, and they’re aimed at enterprise-class machines and customers. The consumer products will roll out over the first half of next year. You’ll start seeing them on all three operating systems. Probably at CES, you’ll see lots of demos, lots of announcements, and we’re pretty excited about this product line.

Updates:

Mobile doubts weigh on chipmakers Intel, AMD [Jan 14]

Despite better-than-expected fourth-quarter earnings and guidance posted on Thursday, and a broadly higher market, its [Intel’s] shares slipped as investors focused on the company’s failure to stake out territory in the mobile market.

Even as Intel’s stock fell, shares of other semiconductor companies rose, with ARM rising 6.5 percent to a 10-year high.

The stock market, and sentiment on the wider technology industry, for years moved in tandem with Intel following its earnings report. But in recent quarters they have diverged.

“It’s historically been the bellwether, that if you’re positive on the (technology) sector you’re positive on Intel, but I think that relationship is breaking down,” said Craig Berger, an analyst at FBR Capital Markets.

Intel 4Q a window into industry’s inflection point [Jan 14] (emphasis is mine)

Some 350 million PCs were shipped in 2010, according to data released this week, and Intel CEO Paul Otellini says that more than 1 million PCs are now being sold every day.

Net income was $3.39 billion, or 59 cents per share, higher than the 53 cents per share analysts polled by FactSet were expecting. In the same period in 2009, Intel earned $2.28 billion, or 40 cents per share.

The year-ago figures would have been higher were it not for Intel’s $1.25 billion payment to rival Advanced Micro Devices Inc. to settle claims that Intel abused its market dominance to bully computer makers into avoiding AMD’s chips — charges Intel has long denied. Intel’s chips are inside 80 percent of the world’s PCs. Earlier this week, AMD ousted its CEO over the company’s growth prospects.

Intel’s revenue rose 8 percent to $11.5 billion, up from $10.6 billion last year. Analysts had forecast $11.4 billion.

For the first quarter, Intel expects revenue of $11.1 billion to $11.9 billion, ahead of analysts’ expectation for $10.8 billion.

And Otellini predicted that Intel’s revenue would rise 10 percent in 2011 — which translates to about $48 billion, up from $43.6 billion in 2010 and higher than the $45.5 billion analysts expected.

What saved Intel’s fourth quarter was strong corporate spending.

Companies, many of which froze their technology budgets during the Great Recession, are buying new servers for their data centers and PCs for their workers as their business prospects have brightened.

Operating profit in the Intel division that sells server chips jumped 47 percent to $1.43 billion, while the division that makes desktop and laptop chips grew at a slower rate, up 8 percent to $3.62 billion.

Server chips tend to carry higher profit margins than chips for PCs. The PC industry in general struggles with increasing commoditization, which lowers PC prices and benefits consumers, but erodes profits.

Although Intel’s results were strong compared with the previous year, revenue in each of its major divisions, except for server chips, was flat from the third quarter.

That showed the strain that emerged toward the end of the year, from economic problems such as prolonged unemployment and the European debt crisis, and competition from Apple Inc.’s iPad.

Sean Maloney resumes work at Intel [Jan 14] (emphasis is mine)

… earlier this month and is responsible for the chip giant’s tablet and handset solution business, according to industry sources.

As Maloney has been working closely with partners of the PC production chain in Taiwan, the resumption of work will help push the development momentum of tablet and handset solutions at Intel, the sources asserted.

Maloney has made some modifications to Intel’s product roadmap and marketing strategies for the two segments, and will solicit ODM and OEM partners such as Quanta Computer, Compal Electronics and Pegatron Technology to support Intel’s Oak Trail and Cedar Trail-M platforms.

Maloney will also step up cooperation with handset makers eyeing to re-enter the handset segment, the sources added.

Notebook vendors show no interest in Oak Trail [Jan 13, 2011] (emphasis is mine)

Because Acer and Asustek Computer have both shown their unwillingness to launch Oak Trail-based tablet PCs, Intel has recently been aggressively trying to persuade these vendors with price discounts and is hoping Asustek and Hewlett-Packard (HP), which are still undecided, will change their minds and fully support the platform, according to sources from notebook players.

Since Oak Trail has only been adopted by Fujitsu, Toshiba and Samsung Electronics for their tablet PCs and these vendors are not showing an aggressive attitude to mass produce models, while HP, which originally planned to launch an Oak Trail-based tablet PC, also stepped back and is reevaluating its plans, Intel is offering Oak Trail at a price point of around US$40, about the same as Nvidia’s Tegra 2, and the company will even give a further discount for large volume orders, the sources noted.

However, because Oak Trail is unable to out-perform Tegra 2, while Intel is already set to launch its new Cedar Trail-M platform for tablet PCs/netbooks in September 2011, most of the notebook vendors are unwilling to accept Intel’s offer and would rather wait until Intel releases its new platform before placing any orders, the sources added.

Intel’s response has been the same as on the December 2010 Ottelini presentation: Over 35 Oak Trail-based netbooks will show up in 1H11, says Intel [Jan 13, 2011]

End of updates

Here Ottelini had the following slide in his presentation:

Intel Atom Tablet Designs in 2011 (Forecast)

Here the notable things are:

– HP and Acer, the #1 and #3 players on the notebook market are missing from the Windows part. We know however that Acer will play in Windows tablet space, albeit not with Intel but with AMD as has been noted in my Intel Oak Trail to beat ARM with MeeGo specific prices [Nov 25] post already.

Update: MSI is also missing which is remarkable only because of a 4 days later MSI to reintroduce WindPad tablets at CES, claims Oak Trail improves performance and battery life [Dec 13] news (emphasis is mine):

According to MSI’s Director of North American Sales Andy Tung, Intel’s tablet solution does show both battery life and performance improvements over the current Atom chips, but it’s “not extremely significant.” Based on our discussion with Tung, we got the feeling that it’s a step in the right direction for Atom but still not as long-lasting as it needs to be to compete with ARM-based tablets.

For more detailed investigation of this news see: Oak Trail bringing only minor power savings to Windows tablets? [Dec 13].

– Acer is indicated in the MeeGo tablet space which is something new and also showing that the primary line of tablet market attack for Acer is the Android platform. Again consistent with the same post (with two Android tablets coming from Acer in February), also in the sense that Intel’s intent is to apply a MeeGo specific, very pricing for the Oak Trail type Atom.

– Nokia is missing from the MeeGo design wins which is again consistent with information in the same post that “The first MeeGo smartphone requires MeeGo V1.2 and won’t happen, either on Intel or ARM until around June 2011.” The only difference is that now the same statement applies to the 2011 Nokia tablet space as well.

Overall it is not so rosy outlook for Intel’s 2011 plans for tablets. Even more so since in the smartphone space Intel is even more behind of the market. No wonder why Financial Times was reporting from the Barclay’s Capital event as Intel inside 35 tablets, no phone till H2 2011 [Dec 8]:

Mr Otellini said the phone game represented a marathon not a sprint for Intel. It was tackling issues of certification, modem integration and the telecoms software stack. Its smartphone processor codenamed Medfield was currently being debugged for shipment in 2011 and 2012, he added.

Medfield is the successor to the Moorestown chip, launched in May, which still does not match the low-power capabilities of Arm-based phone processors and has not appeared in any smartphones this year, despite Intel’s high hopes expressed at the CES show in January.

So marketwise Intel’s major worry is the tablet market now as was noted by New York Times: Intel Girds For Netbook and Tablet Wars [Dec 8] when reporting:

The chip giant has created a new business unit that it calls the netbook and tablet group. The unit will be run by Douglas L. Davis, the current head of Intel’s embedded and communications group, who will be charged with making sure Intel can fend off all kinds of competition in the burgeoning market for PC offshoots.

Intel often formally announces the formation of such groups, but kept this one quiet. Bill Kircos, a company spokesman, confirmed the move.

“Netbook shipments will be heading north of 100 million, and we’ll all soon will find out what kind of market potential there is for tablets and these increasingly popular hybrid designs,” Mr. Kircos said. “It makes sense for us to sharpen our focus on these friends of the PC, and Doug’s experience running a similar and very successful embedded division makes him the right guy to lead the group.”

Ottelini himself said according to the above ZDNet report:

I don’t think, at the end of the day, tablets are cannibalizing it. They are not replacements for notebooks. They are a competitor for discretionary income disposition. So you walk into Best Buy and you’ve got $400 burning a hole in your pocket, or in the case of the iPad, $600 burning a hole in your pocket, and you want to buy something cool for Christmas for your wife or kid or something. It’s a competitor.

On the other hand, I have not seen a kid that takes the iPad to school and not a laptop. The laptop is still the fundamental tool in school. So, I don’t see it being a displacement. I see it being an extra-fun device that you use to consume content, for the most part. And I think it’s additive to the industry. So, if it goes to 50 million or 100 million units a year against a base of PCs that are 500 million units, that’s great. And we’ll have our fair share of those.

But on the Barclay’s Capital event his major point about the future of the market was expressed on following two slides:

Intel 22 nm -- A Breakthrough in Silicon Process Technology

Intel - Architecture Contests Take Time

So while in the year 2011 Intel will play a catch up game in the tablet space and just trying the waters in the smartphone market in the years which are coming after that the company sees as quite promising because of its huge manufacturing technology lead and its learnings from the previous critical periods of its growth when Intel was able become dominant player via its architecture.

More information:
Intel says tablets and phones on the way in 2011 [Reuters, Dec 8]

Nokia to enter design pattern competition for 2011 smartphones with MeeGo

http://platform.twitter.com/widgets/hub.1326407570.html

Nokia is recognizing two already dominant design pattern candidates for mobile phones: Apple iOS and the similar to each other in this respect Nokia Symbian and Android. Then there is also a recent third pattern from Microsoft, with unknown yet success, and Nokia itself is preparing to launch a fourth one with its MeeGo platform as a highly important strategic bet by the company.

Major update: Marko Ahtisaari: smartphone evolution is only just beginning [The Guardian, Jan 31, 2012]

“There’s a point of view about design that all innovation in the interaction with the phone has been done,” Ahtisaari says. “Nothing could be further from the truth. The phase we’re in now is like the 1880s in the car industry. Back then, cars had tillers – you would steer them like boats, with a wheel at the back. It took 15 years to settle on the steering wheel at the front controlling the front wheels. And we’re in the middle of that part of the evolution of interaction.”

“Look at iOS. Multiple pages of apps, and folder, with a physical home key. It’s very elegant; it was a great innovation five years ago. But the core interaction hasn’t evolved much. It’s simple but constant. It’s like a house where you know that you can always get to the kitchen from the living room – but you have to go through the front door.”

He adds quickly, “OK, so there’s been some changes. Now you can get there if you skip on one leg” – referring to the double tap’ introduced by Apple in iOS 4 for fast switching between apps via a “drawer” at the bottom of the screen.

“The other model, of Android and Symbian, is multiple, personalisable home screens with widgets. There’s some fragmentation in button layouts where different devices have them in different ways. The hope is that having personalisable screens is so organic that you end up using it via the home screen.”
In the past year we have seen a different way to do it – Live Tiles [as used in Microsoft’s Windows Phone interface] – they’re abstractions of data, a panoramic view of your data. It’s a different approach – ‘glanceability’, such as in the People Hub.” He explains that “our goal in the studio is to design so that people can have their head up again. Touchscreen designs are often immersive; we’ll often see couples in a restaurant pinching and zooming, but not interacting with each other. And there’s a trend of having smaller and smaller targets on screen so you have to get closer and closer. If we can make the interfaces more direct, so you can have your head up again – this is something that, while it would never come up in a focus group, is deeply appreciated by people, because the most important things are happening not only in the vessel of your phone, but also with the people and the environment around you.”

That element of “glance-and-go” is one that has been emphasised by Microsoft, and now Nokia too.

His theme is that we shouldn’t think that iOS or Android (or Symbian) has ended user-interface evolution. The sun’s just coming up on that. “I think there will be more diversity in user interfaces rather than less. In automotive, you need to have some standardisation for safety reasons – you can’t have wheels in some and tillers in others. So you want a standard, or standards.” That doesn’t apply in phones: “Here, they will be more diversity in user interface because you can design more ways to use a phone. Some people would say that the iPhone is the new generic form. My point is more about competitive diversity. What’s really important is that this isn’t styling.” He becomes emphatic. “This aesthetic come from the way that we build the product.”

… 

Update: Nokia N9 UX [?Swipe?] on MeeGo 1.2 Harmattan [June 24, 2011]
Follow-up: Designing smarter phones–Marko Ahtisaari (Nokia) and Albert Shum (Microsoft) [Nov 23, 2011]

Note: Version 1.2 of MeeGo OS is scheduled for April 2011 but the smartphone product won’t happen, either on Intel or ARM until around June 2011. See my post on Intel Oak Trail to beat ARM with MeeGo specific prices [Nov 25]

This is all according to its SVP Design and User Experience, Marko Ahtisaari [the indicated timing is for the video record of his plenary speech at LeWeb 2010 on Dec 8, also linked later on]:

1.[2:25] Elegant, simple, extremely blown out – the iOS design pattern. Essentially a screen or screens full of apps and a physical homekey like the mouse key. You click it, you take your hand off the screen  to do something on the screen, then may leave to go home. Beautifully elegant, extremely simple to learn with a few steps. And think of a forefront of a house where if you want to go from the kitchen to the dining room you know how you go to the front door. And if after dinner you want to go to the living room you again know how to do that, you go to the front door. Of course the physical button is this mouse click has been loaded with more and more functionality, but essentially a beatifully elegant system that is fantastically constrained. [3:18]. 2.Multiple personizable homescreens where the bet is that the process of personalizing (filling out these home screens) is so simple and organic that it just happens over time and you end up using the device by these home screens – the pattern shared by both Symbian and Android, also the fastest growing pattern. There is not only one physical button but there are many, in fact there are many different configurations that are quite fragmented, as many people commented. And there is some way to flip to where you launch apps, but essentially it is about these personalizable home screens for both shortcuts and live information, or using tabs or so on those widgets. [4:08]
3.[4:20] Windows Phone 7 has introduced an interesting new pattern, too early to tell [how successful it will be]. But it just shows that there is demand for other patterns. [4:26]One important remark by Sofpedia’s Nokia Poised to Change Mobile UI Approach with MeeGo Devices [Dec 8] report: “Marko Ahtisaari suggests that the future would bring different UI patterns to devices, and that one of them would be based on notifications. Microsoft’s new Windows Phone 7 OS was built based on notifications.” 4.[4:28] This is basically what is the design team in the Nokia Design Studios is spending most of its time on doing:  is introducing a new pattern. This will be launched with MeeGo in 2011. … [To give the idea:] … If you look at touchscreen immersive experiences, so most touchscreen devices, and what you start thinking is this way: you will see this at every single moment – so you walk in Paris, you see in cafe, [where] you see a couple [who] have been together for 10-15 years – they will be there head down, pitching and zooming. Touchscreen interfaces are immersive, they require our full attention. [5.15]I think we are missing a trick and also we are not doing good enough design unless we give people their head up again. What do I mean by that? Better one-handed use, better ways to use the devices, without them demanding our full attention. This means more eye contact, more ability to be present both with the people you are around, with right now the physical environment, as well as when you are navigating the physical environment and using maps. I think this giving people their head-up again is extremely important. [5:45]

For the rest of the talk it is better to continue with a summarized transcript like reporting Live at LeWeb: Marko Ahtisaari [Dec 8] from Nokia Conversations, the official Nokia blog:

We need to give people their head up again. The ability to keep social interaction with the people that they’re physically with. That means a better ability to use the devices single-handed and them requiring less of our attention for peripheral interactions. Notifications, for example, could be much improved so they require much less from us.

The second big influence for the most competitive devices will be the way they are able to harness the collective intelligence of their users. Smartphone users create a lot of data. The collective use of Ovi Maps for navigation, for example, circumnavigates the globe 80 times a day. The average owner makes use of it 11 times a month.

We can use that data to make the devices more intelligent: for example, to avoid traffic jams and create alternative routes. We can also use it to improve the maps – if we see people going in directions that don’t exist on the map, we can see there’s something to fix.

But it’s not just maps, as we have more sensors on the device we can answer almost any question. The research on collective intelligence says that it needs a large, independent, diverse group of people to solve problems – that’s what we’ve got. Soon phones will allow you to arrive somewhere – say the LeWeb party tonight – and it’ll know where the bar is and where to find the discotheque.

So this is the most essential part of Nokia’s announcement. You can also watch the associated video records for more information and general rational for Nokia’s strategy with MeeGo:
Marko Ahtisaari, SVP Design, Nokia — live Ustream record of his speech [Dec 8]
Marko Ahtisaari, SVP Design, Nokia Q&A — live Ustream record of his interview after the speech [Dec 8]

Some notable excerpts from reports around the web:

Nokia’s Marko Ahtisaari From LeWeb: Meego Will See New UI In 2011 [Dec 8]

Ahtisaari began his talk about two issues on his mind, the state of the smartphone market as well as the collective intelligence, how platforms get better as more people use them. He’s key point was, that while the smartphone market is hyped a lot in media, there is a ton of action elsewhere in the mobile space that is seldomly reported on. But he did say that Nokia is now on very impressive growth curve with its Ovi Store. Daily downloads are around 3.5 million, when they were around 3 million just 3 weeks ago and around 2 million in September. Furthermore, 250 000 people sign up each day.

Secondly, there’s a lot of collective intelligence being built into applications, for example the Ovi maps. They can receive a ton of information from people using the navigational tools, for example when cars go off piste, they know they might need to update the data on that map. But according to Ahtisaari, this is just the beginning.

Furthermore, Ahtisaari shared or perhaps reminded us about some of the reasons why developers should be looking at Nokia as their platform. Nokia is still the most global, yet local platform out there. Their phones work in over 180 countries, in close to 50 languages. Back in November we shared some of the Ovi store statistics and Nokia has one of the most impressive payment mechanisms for developers out there as well.

Nokia praises iPhone, warns of ‘Cupertino distortion field’: Nokia at LeWeb both praises, trashes Apple iPhone [Dec 8]

While discussing the company’s plans for MeeGo phones in 2011, he produced rare compliments and said the iPhone interface was “beautifully elegant” and easy to learn. At the same, however, he saw Apple as unfairly creating a perception that Nokia was losing out and alluded to the stereotype of Steve Jobs’ “reality distortion field,” stressing that Nokia’s reach was much wider.

“There is this Cupertino distortion field,” he said. “We compete with all phones all over the world.”

Nokia would take a small cue from Microsoft and try to shift away from constantly staring at phones. Smartphones today are “immersive, they require our full attention,” he said. Rather than strictly follow Microsoft’s approach, though, the goal with MeeGo was to focus on “one-handed use” where a device didn’t need full attention.

Nokia’s MeeGo Will Bet on Differences to iOS and Android [Dec 8]

The Finnish mobile phone giant is … under pressure to fight back against Apple’s iPhone, Google’s Android operating system, and a resurgent Microsoft mobile platform.

Mr. Ahtisaari was, however, preaching patience and caution on stage today.

On mobile interfaces, he said: “We’re at the point the automotive industry was in the 1890s, where cars had tillers — not steering wheels, which were 15 years in the future.”

He said he’d left his own start-up to join Nokia, “making a bet on the steering wheel.”

Nokia, he said, wants to “give people their head up again.”

Asked by conference organizer Loic Le Meur if that meant screens beamed onto our spectacles, or even into our retina (Mr. Le Meur was keen on the latter), Mr. Ahtisaari said that was a while off.

But he did suggest physical keys might become rarer on the MeeGo devices, with faces that were all screen, with no physical buttons, “allowing the apps to shine.”

… We already knew the MeeGo launch will be a vital one for the future of Nokia. Mr. Ahtisaari’s talk of design innovations today will mean it is even more keenly anticipated.

Nokia focusing on UI dynamics for MeeGo; needs to “regain the imagination” [Dec 8]:

Nokia SVP of Design Marko Ahtisaari has admitted that the company still needs “to somehow regain the imagination,” though as always that route won’t involve Android. “We’ll go where we can add value,” Ahtisaari said at LeWeb 2010 this morning, “that’s not the case at the moment with Android.” Instead, Nokia’s design team is focused on new homescreen paradigms ahead of MeeGo‘s launch in 2011, with Ahtisaari arguing that the UI dynamics of iOS, Symbian and Android aren’t quite there yet.

Another focus is how sensor-integrated phones can learn from the individual user’s behavior, but also that of other device users in aggregate. “How do the platforms get better the more people use them?” Ahtisaari asked, pointing to Ovi Maps and its ability to not only intuit traffic and map information from multiple user feedback, but to track inaccuracies in core mapping data as it spots multiple users going off-course.

One future implementation, he suggested, was coupling GPS data with other sensor input, and using that to dynamically work out real-time activity. So, a sudden group of users in proximity could suggest the location of a party. The design team is also looking at how devices address updates and reminders of things like missed calls and new messages, though Ahtisaari didn’t show any UI mockups.

Split strategy for HTML 5 and Windows only enhanced development from Microsoft

This is how after Silverlight Firestarter event yesterday Microsoft cloud client software strategy is looking like.

More information from Tim Anderson’s ITWriting (providing a consistent and in depth reporting on this):
Silverlight 5 unveiled: more power, more Windows [Dec 2]: “There are a couple of ways to look at Silverlight. Microsoft’s lack of commitment to cross-platform parity and its unwillingness to address broad device support means it does not look good as a broad-reach browser plugin, despite its great features on systems that do support it. On the other hand, as an alternative to desktop Windows applications Silverlight looks increasingly attractive as its capabilities increase.”
The top Silverlight feature request: implement on more platforms [Dec 3]: “Looking at the comments, Android is a common request, and relatively easy for Microsoft to achieve given the open nature of that platform. This was apparently not part of the 70% though. Instead, Guthrie introduced more Windows-only features – showing that concerns about divergence between Windows and Mac implementations when Microsoft announced COM support at the 2009 PDC were justified.
Understanding the Silverlight controversy [Nov 3]

The cloud client space for 2001 and beyond is going to look as follows:

Gartner forecast for media tablets (in thousands):

2010 2011 2012 2013
19,490 54,781 103,425 154,150

Digitimes Research representing the forecasts of the device manufacturers (in millions):

Year Smartphones Tablet PCs Notebooks
2011 440 total (281 in 2010)
–>131 Android, 123 Symbian, 74 iPhone, 2 Blackberry, 22 Windows Phone
44 iPad
(15 in 2010)
20-30 non-iPad
227
Top 9
2013 800 100 300

Keep in mind that Digitimes Research is collecting its forecasts from the Taiwanese manufacturers who have rather precise forecast numbers for 2011 since the supply chain is quite long, so from brand names down to the smallest component makers the numbers should be well forecasted in order to have sufficient delivery druing the next year.

  • Update: Barnes & Noble to upgrade Nook Color e-book readers to tablet PCs [Dec 17]
    Non-iPad Tablet PC shipments by the end of 2010 from Top 5 notebook makers:
    – Wistron for Lenovo (LePad, Android) and Acer [?]: 50,000
    – Inventec for Barnes & Noble (Nook Color, Android 2.2) and HP (Slate 500, Windows 7): 1-1.5 million, which are mostly Nook Color “expected to reach one million units by the end of 2010”
    – Pegatron for Toshiba (Folio 100, Android): 50,000-100,00

For this reason Microsoft decision means that for the next year at least:
– they will cover 418 million newly delivered smartphones, the 44 million new Apple iPads and a certain portion of the 20-30 million non-iPad tablet PCs (those which will be Windows based) only with their HTML 5 [+ Jscript + JSON + SVG] technologies
– only 22 million new Windows Phones 7 smartphones will be covered by Silverlight technology
– plus 200+ million notebooks[/netbooks] and a certain portion of Windows tablet PCs out of total 20-30 million non-iPad tablet PCs will be covered with both Silverlight and Windows Presentation Foundation technologies
for the client side presentation development.

Now the $ 1 million question is, how the HTML 5 [+ Jscript + JSON + SVG] technologies part of client software development will be supported by Microsoft tools next year? The answer should come sooner than later from Microsoft otherwise they will miss that huge boat of ~ 430 million intelligent devices aimed for the cloud next year.

More information:
– The Future of Microsoft Silverlight
(Microsoft site)
– Announcing Silverlight 5
[Scott Guthrie, Dec 2]
Silverlight 5 Plans Revealed [Dec 2]
Silverlight 5 announced; the focus shift is made clear [Dec 2]
on “Experiencing the Cloud”:
Microsoft going multiplatform? [Sept 17]
Microsoft to lead standards compliance and implementation? … or how Microsoft is aiming to create a radically new Windows client platform via a set of “whole computer capable rich web” standards. [Sept 20]

Intel Oak Trail to beat ARM with MeeGo specific prices

As per Digitimes Intel starts mass producing Oak Trail platform [Nov 24]

… specifically for tablet PCs, with the combination of Atom Z670 processor and SM35 chipset the initial product, according to industry sources.

The Oak Trail platform will sell at about US$25 with MeeGo, and the price for Oak Trail and Microsoft’s Windows 7 will be higher.

There were a couple of news regarding the state of MeeGo a month ago as well:

For developers’ eyes only: MeeGo version 1.1 [Oct 21]

Today marks a new project release of the MeeGo software, the open-source next-gen operating system for computing devices that Nokia and Intel kicked off earlier this year. The release brings it to version 1.1. This includes updates to the Core operating system, together with the Netbook, In-Vehicle and Mobile Handset packages. An updated Software Development Kit (SDK) for version 1.1 will follow shortly. So MeeGo’s well on its way and showing great progress.

So what is a “project release”? Let’s start with what it isn’t. This isn’t a finished product for you to load up on to your phone and use on a day-to-day basis. The user interface is neither finished nor is it representative of what the experience will look like on future Nokia devices (we’re creating our own unique experience using Qt). What it is, is a generic version intended to allow developers and device manufacturers to get familiar with the code and the capabilities of future devices.

Version 1.2 is scheduled for April 2011, by which point the MeeGo handset user experience software should be pretty much complete. For all the technical details, jump to meego.com.

MeeGo 1.1 Release [Oct 28]

This release includes:

  • Core OS 1.1 – consolidated common base operating system for all UXs
  • Netbook UX 1.1 – complete set of core applications for netbooks
  • In-Vehicle Infotainment (IVI) UX 1.1 – includes a sample IVI home screen and taskbar built with Qt 4.7 and speech recognition
  • Handset UX 1.1 – technology snapshot implements basic development UX for voice calling, SMS messaging, web browsing, music and video playback, photo viewing, and connection management
  • SDK 1.1 Beta – SDK for MeeGo Core OS and supported UXs will be released during the coming days before the MeeGo Summit conference in Dublin.

Looking Ahead to MeeGo 1.2

MeeGo development continues forward on a six-month cadence. MeeGo 1.2 is scheduled for April of 2011 and it will include a Handset UX release with a complete set of applications, and support for other device usage models.

Relative to that nothing really new came out of the MeeGo camp. Chippy has a good Report: Timeline for MeeGo Netbooks, Tablets and Smartphones [Nov 20] for those who want to understand in all details what Meego will bring next year and when. Author’s final conclusion  is:

We could see MeeGo netbooks with AppUp as early as January with ‘features’ such as quick-boot, lower cost, a simple-to-use operating system with a social-networking slant. We’re unlikely to see too much excitement around these early devices though because platforms and applications need to develop to create products with any major selling points. ARM do have an opportunity to get MeeGo on a netbook-style device in order to create an interesting long-battery-life product.

Tablets could appear in the early part of 2011 as 3rd-parties are already working on UI solutions based on MeeGo 1.1 but for interesting multi-touch products, with an application store, this won’t happen until around June 2011.

The first MeeGo smartphone requires MeeGo V1.2 and won’t happen, either on Intel or ARM until around June 2011. That phone is likely to be a Nokia product and its success will be critical to MeeGo.

Everything up until this Nokia/MeeGo phone can be called Phase-1 – led by Intel/Nokia investment. If these products show class-leading features and the developers start to create applications then we’ll start to see Phase 2 products created through independent investment that are true indicators of MeeGo momentum. That story starts in Q3 2011.

This means that Intel cannot effectively compete against ARM for another half year at least. Intel’s ally in the MeeGo strategy is also under reorganisation:

The mid-2000s represent something of a high-water mark for Nokia. In 2005, it was the undisputed king of the mobile market having sold its billionth handset.

Today, while Nokia remains the world’s largest seller of mobile phones, its prospects have changed dramatically. The company now faces slipping market share, competing mobile operating systems and a world where Apple and Android are regarded as the smartphone leaders.

… The fightback will be headed by Stephen Elop, the former head of Microsoft’s business division, who replaced outgoing CEO Olli-Pekka Kallasvuo on 21 September.

Nokia’s new CEO just hired a new chief marketing officer to help the once-hot cellphone maker fix its dying brand.

Digitimes recently also had the opportunity to talk with ARM president, Tudor Brown and share his views regarding the market for tablet PCs in 2011, and the role of Taiwan’s hardware manufacturers in the booming business. Brown also discussed ARM’s business opportunities in a PC industry that is moving toward increased mobility. See:

Tablet PCs are opportunities to redistribute profits among supply chain players, says ARM president [Nov 19
Toward increased mobility: Q&A with ARM president Tudor Brown [Nov 24]

The leading vendor in Taiwan  meanwhile unveiled its strategy as follows:

Acer adopts AMD CPU for tablet PCs [Nov 25]

Among Acer’s announced initial batch of tablet PCs, a 10.1-inch Windows 7-based model is believed to use AMD’s Ontario APU codenamed C-50, according to sources from notebook players.

… The dual-core C-50 APU, which consumes only 9W of power, is currently priced at about US$55-60 and includes an integrated Radeon HD 6250 graphics chip [and also UVD dedicated hardware acceleration for HD video including 1080p resolutions, see later].

Live and interact in total mobility – Tablets according to Acer [Nov 23]:

… support of its goal to simplify content consumption – a strategy which began with the development of Acer’s multimedia sharing system, Clear.fi. Acer’s strategy is based on the concept of sharing multimedia content and enjoying it across any device, and Tablets are ideal devices for this purpose.

A 10.1” Android tablet for a superb mobile and home entertainment experience … Designed for HD entertainment, this tablet comes with a high resolution, high color contrast display, allowing you to play or share HD video with your friends wherever you are. … Available April 2011

7” Android Tablet: the epitome of mobility … On the 7” (1280×800) 16:10 aspect ratio full touch screen, you can enjoy games, photos, videos while keeping up with your emails or your favourite social networks. Video chat or record a video with the front-facing HD camera. With HDMI support, hooking it up for a big screen video experience is easyier than ever! … Available April 2011

10.1” Windows Tablet: Versatility in a tablet form factor … an extremely innovative solution that combines touch screen user-friendliness with the comfortable experience of a physical keyboard. In fact, the tablet comes with a docking device that includes a full-size keyboard and more connectivity options to enhance the user experience. … Thin and light (only 15 mm and less than 1kg), and with a 10.1”, high resolution display, it’s easy to carry around and really unobtrusive. This tablet ensures outstanding entertainment and a superior touch experience. … Available February 2011

Acer debuts 10.1-inch Windows 7 tablet: AMD-powered, inbuilt 3G, coming February 2011 [Nov 23]

Acer aims at largest global market share for tablet PCs in 2-3 years, says CEO [Nov 26]. A detailed interview.
Compal, Wistron to station in Chongqing, says Acer source [Nov 23]:

…accepted an invitation from Acer to set up production bases in Chongqing, western China, to support Acer’s operational headquarters there, according to a source inside Acer.

Acer’s headquarters in Chongqing will start operations in the second or third quarter of 2011 and are expected to handle half of Acer’s PC shipments in 2012, which is about 30 million units, the source said.

More information regarding AMD’s new APUs based on brand new Bobcat cores see in my post SoC advances for client, server and mobile basestation level [Aug 25, with updates going as of Nov 25]

More information regarding Intel’s Oaktrail see in my posts:
Windows 7 tablets/slates with Oak Trail Atom SoC in December [Nov 1, with updates going as of Nov 24]
Intel SoC for Cloud Clients [June 27, with updates going as of Aug 23]

More information on the current leading edge in ARM offerings see in my posts:
Marvell ARMADA with sun readable and unbreakable Pixel Qi screen, and target [mass] manufacturing cost of $75 [Nov 4]
Marvell ARMADA beats Qualcomm Snapdragon, NVIDIA Tegra and Samsung/Apple Hummingbird in the SoC market [again] [Sept 23, with updates going as of Nov 2]

More information regarding Windows slates/tablets see in my posts:
Windows 7 tablets/slates with Oak Trail Atom SoC in December [Nov 1, with updates going as of Nov 24]
Windows slates in the coming months? Not much seen yet [July 13, with updates going as of Oct 9]

Marvell beaten by Chinese chipmakers in sub 1,000 yuan handset procurement tender of China Mobile

Follow-up: First real chances for Marvell on the tablet and smartphone fronts [Aug 21 – Sept 25, 2011]

No international vendors win China Mobile procurement bid for 6 million TD-SCDMA CMMB handsets, says report [Nov 15, 2010]:

China Mobile will procure 12 models of inexpensive TD-SCDMA CMMB handsets, with an equal procurement volume of 500,000 units for each model, the report indicated. The seven local suppliers are ZTE with three models, Huawei Device, Lenovo and Coolpad each with two models as well as K-Touch, Hisense and New Postcom each with one model.

Vendors, including Nokia, Sony Ericsson, Motorola and Samsung Electronics, all failed in the competition because China Mobile asked for a unit procurement price of below 1,000 yuan (US$150) and they do not offer such inexpensive TD-SCDMA handset models, the report pointed out. Consequently, the seven China-based vendors eat the whole pie, with prices ranging from 350 yuan [US$52.7] to 650 [US$97.8] yuan.

Seven of the 12 models will use TD-SCDMA chips developed by China-based Leadcore Technology, a member of Datang Telecom Technology & Industry Group, and five models will be equipped with chips developed by China-based Spreadcom [Spreadtrum] Communications and T3G (originally China-based but has merged into ST-Ericsson).

Details on the model number, TD-SCDMA chipset vendor, and CMMB chip vendor for each handset are as follows (source Marbridge Daily):

China Mobile sub 1000 Yuan procurement results -- Nov-2010

Earlier reports about the tender announcement were:
China Mobile to procure 6 million TD-SCMA handsets, says Chinese media [Oct 8, 2010]: “Of the total, 3.6 million will be of entry-level models and 2.4 million mid-range products. … the latest procurement effort is largely due to the fourth phase of the China Mobile’s TD-SCMA network construction. When completed, demand for TD-SCMA end-use products is expected to increase substantially.”
China market: Inexpensive TD-SCDMA handsets to be available in 4Q10 [Oct 13, 2010]: “Pushed by China Mobile, TD-SCDMA handsets and smartphones at retail prices of about 500 yuan (US$75) and 1,000 yuan respectively will be available in the China market in the fourth quarter of 2010. … China Mobile is setting up its fourth-phase TD-SCDMA network of more than 100,000 base stations and expects the number of TD-SCDMA subscribers to increase from 13.42 million currently to 100 million in 2012.”

Please note the globally rock-bottom nature of 350 yuan [US$52.7] for entry-level models and of 650 [US$97.8] yuan mid-range products. No wonder that such a low-cost and high-performance system-on-a-chip (SoC) leader as Marvell Technology Group Ltd. had no chance to succeed through any of its handset manufacturing partners. Despite of its long stated aim to capitalize on huge volumes made possible by the sub 1,000 yuan TD-SCDMA handsets:

Marvell Empowers Mass Market TD-SCDMA OPhones with PXA920 Chipset [Sept 8, 2009]:

The Marvell PXA920 [which later has obtained the additional name Pantheon 920] comes with a dedicated high performance ARM instruction set compliant Sheeva™ processor and an integrated release 7 (TD-SCDMA, TD-HSDPA, TD-HSUPA) TD-SCDMA baseband [processor] as well as a China Mobile proven EDGE modem.

“China Mobile Research Institute believes that the OPhone platform operating on the Marvell PXA920 will catalyze the hyper-growth of TD-SCDMA smartphones as it provides a powerful combination of value-added services on a feature rich, high performance and highly affordable platform. We believe that the PXA920 solution will help us realize China Mobile’s vision of sub-1000 RMB [sub $146] TD OPhones in the near future,” said Bill Huang general manager of China Mobile Research Institute. “Marvell has worked with us from the start of the PXA920 program [2 years ago] and we are excited by the rapid progress we have made towards realizing this milestone. China Mobile will work closely with Marvell and handset eco-system partners to deploy the PXA920 and we look forward to the rapid launch of next generation TD-SCDMA OPhones based on the Marvell PXA920.”

“It is an especially proud moment for me to work with China Mobile on the mass market launch of TD-SCDMA OPhones in China,” said Shanghai-born, Weili Dai, Marvell co-founder and vice president and general manager of the company’s Consumer and Computing Business Group. “Marvell’s mission is to make technology more useful and more affordable to more of the world’s consumers. The PXA920 realizes a shared vision of China Mobile and Marvell to make powerful and affordable smartphones accessible to everyone. With the first single chip solution for TD-SCDMA, Marvell is raising the technology bar for the entire industry.

Marvell’s Vision and Long Term Commitment to China Positions Company for Next Phase of Growth [Sept 7, 2009]:

Marvell, with approximately $3 billion in revenues in fiscal year 2009, has nearly 700 employees in its Shanghai campus and is aggressively planning to expand its operations in China. The company has focused on building its presence in the China market for most of its 14 year history, initially developing strong relationships with enterprise customers like Huawei and ZTE.

Last week, Marvell celebrated the culmination of several years of investment in the China smartphone market with the introduction of the Marvell® PXA920, the first commercially available single-chip solution, enabling mass market availability of TD-SCDMA smartphones. Developed by Marvell’s research and development center in Shanghai, the PXA920 is a high performance, super integrated chipset that makes the new smartphones far more affordable than feature phones currently offered by China Mobile while providing enhanced performance versus current smartphones.

Update: That opportunity was realized only 2 years later. See:First real chances for Marvell on the tablet and smartphone fronts [Aug 21, 2011]

Marvell Technology Group CEO Sehat Sutardja on Bloomberg [Sept, 2009]:

Our strategy is to focus:

  1. Focus on high-end smartphones
  2. Move smartphones to mainstream cell/feature-phone price range
  3. Work with China Mobile [world’s largest mobile company] for TD-SCDMA

Marvell Drives $99 Smartphones to Market With New Pantheon Platform [Feb 12, 2010]
Marvell Affirms Significant Progress in TD-SCDMA Mobile Phone Chipset at Mobile World Congress 2010 – Company Showcases Array of New Smartphones Developed for the China Market Powered by Marvell’s Low Cost, High Performance Processors [Feb 15, 2010]:

More than 90 percent of all OPhones (EDGE and TD-SCDMA) shipped since launch last September are built on Marvell’s power efficient, high performance silicon technology.

In addition to OPhones, Marvell recently announced new breakthrough developments in cellular silicon technology with the new Pantheon(TM) communication processors which enable development of sleeker, high performance smartphones with HD-quality, live instant video, voice, data and 3D graphics for gaming and other popular mobile applications for consumers.

“Marvell is proud to have been an early technology partner to China Mobile on the development of the OPhone smartphone and we are delighted to see the rapid and broad adoption of China’s TD-SCDMA standard,” said Ms. Weili Dai, Marvell’s Co-founder and Vice President and General Manager of Marvell Semiconductor’s Consumer and Computing Business Unit. “… The collaboration with China Mobile affirms our commitment to drive the smartphone for mass market adoption and to deliver the ‘always-on lifestyle’ to consumers around the world.”

China Mobile’s vision of the sub-1000 RMB (sub $150) TD-SCDMA OPhones will become a reality because of our collaboration with leading companies like Marvell,” said Bill Huang general manager of China Mobile Research Institute. “Marvell and China Mobile are excited by the rapid progress we have made in the TD-SCDMA technical cooperation.”

As the world’s first solution with a built-in TD-SCDMA platform solution with a 55nm design, the Pantheon 920 is a high performance, highly integrated solution that helps make smartphones far more affordable than feature phones while providing enhanced performance compared to current smartphones.

The Pantheon 920 processor [exactly the same as the PXA 920 announced in Sept 2009]supports all leading open operating system (OS) software platforms and come with a dedicated high performance ARM instruction set compliant Marvell CPU processor, high performance HD video, 3D graphics accelerators, and industry’s leading TD-SCDMA modem with 2.8Mbps HSDPA and 2.2Mbps HSUPA.

Certainly it could be the case that the next round of China Mobile tender for sub 2,000 yuan (sub $300) handset procurements will be won by Marvell.  The sub 1,000 yuan (sub $150) segment, however, has been lost for them.

Background on Chinese chipmakers now succeeding against Marvell and all other international operations

When looking into the background of local chipmakers, especially that of the biggest winner Leadcore technology, one thing becomes absolutely clear. The telecommunication chip supply is as much under state control as the whole telecommunication market. Moreover every strategy related decision, which of this procurement process is just one example, is under direct control of the Central Commitee of the Chinese Communist Party. As as consequence there is no wonder that no international chip maker has any chance to penetrate the mass handset market technologically viable for local chipmakers. It is quite probable that the Central Commitee wants to build an internationally competitive local chip industry via the huge volumes available on their home handset market. Some evidence:

–   Leadcore Unveiled oPhone Solutions to Strengthen the High-end TD-SCDMA Handset [April 23, 2009]

On April 23, 2009, in the Leadcore Technology Annual Client Conference 2009, Mr. Sun Yu, the president of Leadcore Tech revealed the progress of TD-SCDMA terminals development. Mr. Sun Yu said that more than 60 handsets are based on the Leadcore solutions in the current 100 TD-SCDMA handsets. More than 70% TD-SCDMA terminals products in the market were derived from the Leadcore’s DTivy. The Pecker test terminal launched by the Leadcore technology occupied the vast majority share of TD-SCDMA test terminal market. He also revealed that China Mobile was taking its great effort to R&D the solutions of OMS-based TD-SCDMA handset, oPhone, which will be released by Leadcore on April 23, 2009.

TD Forum Attended Leadcore Technology Client Conference to Witness the New Heights of Chip Manufacturers [April 22, 2010]

Continuous innovation to lead the future – the core technology wonderful debut thirteenth China Beijing International High-Tech Expo [May 27, 2010],  as translated from Chinese by Google:

展会期间联芯科技展位受到了中央领导以及参展观众的高度关注,取得良好反响。 Core Technology Alliance booth during the exhibition by the central leadership and the participating audience attention and achieved good response. 中共中央政治局委员、市委书记刘淇,中共中央政治局委员、国务委员刘延东,国务委员、公安部部长孟建柱,均来到联芯科技TD联盟展位驻足参观,了解公司最新技术与市场化成果。 CPC Central Committee, Liu Qi, Party Secretary of the CPC Central Committee, State Councilor Liu Yandong, State Councilor and Minister of Public Security Meng Jianzhu, are the core technology to the joint booth TD Union stopped to visit, understand the latest technology and market results.

General Secretary of the Central Committee of the CPC, Chinese President and Chairman of Central Military Commission, Jintao Hu paid an inspection visit to Spreadtrum Communications (Shanghai) Co., Ltd [Jan 18, 2010]
Hu calls for independent innovation [Jan 18, 2010]:

Hu Jintao (R front), general secretary of the Central Committee of the Communist Party of China, Chinese president and chairman of the Central Military Commission, shakes hands with young members of the research and development team as he inspects Spreadtrum Communications, Inc., in Shanghai, east China, on Jan. 16, 2010. Hu Jintao made an inspection tour in Shanghai on Jan. 14-17. [Xinhua]

… At the Spreadtrum Communication, Inc., a high-tech company founded by returned overseas students, Hu said independent innovation is the lifeline of a company. He told the company staff “I hope you could make further breakthroughs in core technologies, so as to boost China’s communication industry.”

Spreadtrum Communications, Inc. Announces $44 Million of New Financing [May 5, 2009]:

“We very much appreciate and are excited to receive this nearly interest-free financing.  This indicates the Chinese government’s strong support and high confidence in Spreadtrum to develop semiconductor products in 2nd and 3rd generation wireless communications in the Chinese market.  We plan to use our borrowings under the loan to increase R&D investment in our GSM and TD-SCDMA projects and to expand our IC operations in China.  With our strengthened financial position, we are more confident in our ability to overcome the difficulties caused by the current worldwide economic and financial crisis and do not expect to need to raise additional funds in the near future,” said Dr. Leo Li, president and chief executive officer of Spreadtrum Communications, Inc.

And these are just the visible indications that local chipmakers are getting huge government subsidies. And T3G, now a wholly owned subsidiary of ST Ericsson, has also been a very much preferred player because of its parent’s huge patent portfolio and international Ericsson influence in the strategic (for China’s local and foreign market efforts) LTE wins (see: IMT-Advanced (4G) for the next-generations of interactive mobile services, China is triumphant [Oct 24, 2010]). With that they can beat even the best international chip house, the Marvell Technology Group.

1. Leadcore Technology (part of the state-owned Datang Telecom Technology & Industry Group)

The current outcome is not the first time for the biggest winner Leadcore Tedchnology (with seven of the 12 models using its TD-SCDAM chip, i.e. 58% or 3.5M chips) as evidenced by one and a half years old news of Leadcore Technology Gets Big Order from China Mobile [May 21, 2009]:

Leadcore Technology Co., Ltd., together with its three partners, wins nearly a half of the CNY 600 million subsidy from China Mobile in the telecom carrier’s latest round of bidding for TD-SCDMA terminal procurement

Leadcore’s mobile phone chips are applied in five models of TD-SDMA mobile phones that are ordered by China Mobile this time.

The TD-SCDMA network operator has ordered 11 models of mobile phones, including the Leadcore chip-powered low-end TD-SCDMA devices launched by ZTE Corporation (SZSE: 000063 and SEHK: 0763) and LG, as well as the Leadcore chip-based flagship broadband TD-SCDMA products rolled out by LG, ZTE, and Yulong Computer Telecommunication Scientific (Shenzhen) Co., Ltd.

The other companies share the TD-SCDMA terminal order from China Mobile include T3G Technology Co., Ltd., Spreadtrum Communications, Inc. (Nasdaq: SPRD), Dopod Communication Corporation, Motorola, Samsung, Huawei Technologies, Hisense, and Guangzhou New Postcom Equipment.

Leadcore Technology’s lead on the technology market for TD-SCDMA terminals goes back to the very beginning as was reported by Datang Licensed TD Tech from Leadcore [Sept. 30, 2009]:

Sun Yuwang, president at Leadcore Technology, once said that more than 60 of the over 100 TD handsets that have gotten network access licenses in the country have been equipped with Leadcore chips, with an additional 14 new models afoot. Among the top four PC makers in the world, Lenovo, HP and Acer have all adopted Leadcore’s products.

Leadcore’s TD chip shipment outpaced 1 million pieces this past April, topping 2 million by the end of this August. Now the company is holding more than 60% of the domestic TD chip market.

Leadcore’s dominance has been further evidenced by TD Forum Attended Leadcore Technology Client Conference to Witness the New Heights of Chip Manufacturers [April 22, 2010]:

Dr. Jing Wang, Secretary-general of TD Forum attended the conference and witnessed great achievements gained by TD-SCDMA chip manufacturers since TD-SCDMA commercialization one year ago. With the further mature of TD-SCDMA market and gradually strengthened cooperation among related parts of TD-SCDMA industry, the problems occurred in the development of TD-SCDMA industry will be resolved effectively.

Leadcore is part of the state-owned Datang Telecom Technology & Industry Group which has the following structure:

with officially provided links as below:

Affiliations

Datang Telecom Technology & Industry Holdings Co.,Ltd.

Datang Telecom Technology Co.,Ltd.

GoHigh Data Networks Technology Co.,Ltd.

Unit in charge

State-owned Assets Supervision and Administration Commission of the State Council

Among the affiliate links given above there is no link for Semiconductor Manufacturing International Corporation (SMIC) although on the stucture image it is listed as part of the Datang Telecom Technology & Industry Holdings Co.,Ltd.

Datang Telecom Technology & Industry Holdings has agreed to acquire US$102 million worth of Semiconductor Manufacturing International Corporation (SMIC) shares to bring its stake in the foundry chipmaker to 20%, according to a Chinese-language sina.com report.

The report said SMIC will use the new funds mainly to expand advanced process capacity at its 12-inch fabs.

Datang, directly owned by China’s central government, is currently the majority shareholder of SMIC with a 16.6% stake.

Semiconductor Manufacturing International Corporation (SMIC) will pump at least US$2 billion into research and development annually in the future, aiming to develop “world-class” technologies and manufacturing within the next five years, according to Jiang Shang Zhou, chairman of the China-based foundry chipmaker.

SMIC is now undertaking a project to ramp up 45nm process capacity, which will cost it a total of about US$4 billion, Jiang noted. In addition, the company’s next move to a 32nm technology will initially require US$600 million, Jiang added.

Soon the Datang Telecom Technology & Industry Group will be even larger as per the news that China Potevio to merge with Datang [July 15, 2010]:

The government has decided to merge two State-owned telecom equipment makers – China Datang Corp and Potevio – by the end of this year, sources from Datang said on Wednesday.

The merged entity is expected to become the third-biggest telecom equipment maker in China after Huawei Technologies and ZTE Corp, the source said.

Datang is a large power generation company and one of the key promoters of the TD-SCDMA standard in the nation.

China Potevio is a leading IT equipment manufacturer and service provider. Its main businesses span the manufacture of telecommunications products, the application of telecom products, and the informatization of broadcasting and TV.

The group is also playing an active role in high-tech investments as per Datang Telecom planning PE fund [May 20, 2010]:

Telecom equipment maker Datang Telecom on Wednesday said it plans to set up a 5 billion yuan ($732.18 million) private equity (PE) fund for investments in the booming Internet of Things (IOT) industry.

Datang will partner with the Wuxi New District Venture Investment Group, the Chinese Academy of Sciences (CAS) and Wuxi Guolian Development (Group) Co to set up the PE fund with a corpus of 1 billion yuan in the first stage.

The company will invest 200 million yuan during the first stage of fundraising and hold a 40 percent equity stake in the fund management company being set up to manage the private equity fund.

IOT refers to networks of real-world objects linked to the Internet that interact through web services. The technology is based on the concept that all real-world objects can be identified and managed by computers if they are equipped with radio tags and linked to the Internet. Technologies such as radio frequency identification and sensors form the cornerstones of the network.

What is the current status of the group  and Leadcore itself in relationship to China’s own TD-SCDMA and TD-LTE technologies? The Datang Telecom Group was awarded “2nd China Annual 3G Prize” [June 30, 2010] press release is giving all the details (emphasis is mine):

Since Ministry of Industry and Information Technology of PR China issued 3G licenses in January 2009, in TD-SCDMA industry DTG has occupied 30% of market share in system equipment, and 50% in chips and Solutions.

Currently, DTG possesses the most comprehensive TD-SCDMA solutions for all circumstances in the industry, and is competent to provide complete, end to end TD-SCDMA and TD-LTE business solutions. DTG has already provided network equipment supply and construction services to Guangdong, Shandong, Jiangsu and Zhejiang, and other key provinces. DTG actively cooperated with China Mobile to accomplish coverage of complex scenes, such as, intensive urban areas, large scaled stadiums, maglev trains and Cross-ocean Bridge, and provided premium green network with TD-SCDMA technology. All products provided by DTG are ready for smooth evolution towards TD-LTE.  This award collectively represents high recognition and acceptance towards Datang Telecom Group for its contribution in promoting the development of Chinese telecommunication industry.

LeadCore Technology, winner of “TD-SCDMA terminal chip and the best solution provider”, is the core enterprise specialized in TD-SCDMA terminal industry in DTG. As a chip enterprise in the upstream position of industrial chain, Leadcore Technology always focuses on layout of industrial chain and value chain; Leadcore adheres to technology innovation and market-orientation; promotes industrialization of innovation achievements,  persists in pursuing win-win situation from cooperation and also coordinates with the partners from industrial chain, so as to promote rapid and healthy development of TD-SCDMA industry.

2. Spreadtrum Communications, Inc (founded by Chinese expatriates in 2001, a public company since 2007 with principal executive offices and most operations in China but incorporated in Cayman Islands)

Spreadtrum and Hisense Jointly Launched the World’s First Affordable TD-SCDMA Phone Supporting CMMB Digital TV [Jan 10, 2010]

Hisense N51 was jointly developed by Spreadtrum and Hisense in a highly collaborative technical partnership. Executive Vice President of Hisense Communication, Ms. Wenlin Yang, said: “Hisense and Spreadtrum share a long history of co-operation. Partnering with Spreadtrum, we successfully won the bid of ‘thousand-yuan 3G mobile phones’ project of China Mobile’s ‘TD-SCDMA Terminal Special Incentive Fund Project.’ Through our six-month joint efforts and Spreadtrum’s very competitive TD-SCDMA and CMMB solutions, the Hisense N51 was introduced. … “

President and CEO of Spreadtrum Communications, Inc., Dr. Leo Li, said: “… Spreadtrum provides highly integrated TD-SCDMA/HSDPA/GSM/GPRS/EDGE baseband chip SC8800H and RF chip QS3200, which effectively reduce the cost of development and manufacturing of Hisense Communication products. Therefore, Hisense Communication is able to introduce cost-effective handsets such as N51 by targeting the Chinese 3G market quickly to meet the needs of consumers. Spreadtrum CMMB mobile TV chip SC6600V provides Hisense N51 with vast application space. Particularly, Hisense N51 is currently the world’s only 1000 RMB level TD-SCDMA phone that supports CMMB.”

Spreadtrum’s TD-SCDMA Chip Adopted in the World’s First 3G OPhone Lenovo O1 [Dec 14, 2009]:

Lenovo Mobile Communication Technology Co., Ltd. (hereinafter referred to as “Lenovo Mobile”) launched the world’s first TD-SCDMA standard-based OPhone smart phonesLenovo O1, with immediate sales in all local markets in mainland China. The phone is based on Spreadtrum Communications, Inc. (hereinafter referred to as “Spreadtrum”, Nasdaq: SPRD) TD-SCDMA solution, and supports China Mobile OPhone OS smart phone operating system.

Spreadtrum and Lenovo Mobile, in a highly collaborative technical partnership, jointly developed Lenovo O1.  This new handset runs on the China Mobile led developed Intelligent Terminal software platform – the OPhone platform.  Lenovo 01 uses Spreadtrum’s TD-SCDMA/HSDPA / GSM / GPRS / EDGE baseband chip SC8800S and radio frequency (“RF”) chip QS3200.

Spreadtrum and China Telecommunications Technology Labs Announce Strategic Partnership to Promote New Technologies and Services [May 15, 2009]

A unique industry chain capability has developed in China’s mobile phone industry, which now comprises of design, R&D, support, production, marketing, etc. This development will enhance the competitiveness of phones made in China for the local and overseas markets. With the strategic partnership of CTTL and Spreadtrum, our cooperation will create new technologies and services in wireless communications and multimedia terminals. For example, we expect to innovative services by utilizing our combined resources and new techniques in 2G and 3G networks to develop high-tech information security technologies for the mobile and multimedia markets. Our cooperation will simultaneously broaden and strengthen interactions in the industry chain.

… China Telecommunications Technology Labs (“CTTL”), founded in 1981, was named under the authorization of the Ministry of Information Industry (MII) and the State General Administration for Quality Supervision, Inspection and Quarantine (AQSIQ). Currently, CTTL is administrated by the China Academy of Telecommunications Research (CATR) and was formed through re-organization and merges of four divisions of CATR, i.e. the Research Institute of Telecommunications Transmission (RITT), the Telecommunications Metrology Center (TMC), the Research Institute for Industry Standard of Posts and Telecommunications (PTISR), the CTTL Anti-seismic Research Institute of Telecommunications Equipment, BaoDing (ARITE). It is a leading high-tech laboratory with the following missions: telecommunications technology development, telecommunications product standards and test methods research, telecommunications metrology standards and methods research, products inspection, verification and technical assessment and testing instruments metrology and evaluation of communications software.

Spreadtrum Communications, Inc. Announces $44 Million of New Financing [May 5, 2009]:

“We very much appreciate and are excited to receive this nearly interest-free financing.  This indicates the Chinese government’s strong support and high confidence in Spreadtrum to develop semiconductor products in 2nd and 3rd generation wireless communications in the Chinese market.  We plan to use our borrowings under the loan to increase R&D investment in our GSM and TD-SCDMA projects and to expand our IC operations in China.  With our strengthened financial position, we are more confident in our ability to overcome the difficulties caused by the current worldwide economic and financial crisis and do not expect to need to raise additional funds in the near future,” said Dr. Leo Li, president and chief executive officer of Spreadtrum Communications, Inc.

Spreadtrum: TD-based Chip Shipment Totaled 100,000 [March 6, 2009]:

Spreadtrum Communications, Inc. clarified on March 3, 2009 that the shipment of its TD-SCDMA-based chips totaled nearly 100,000.

Earlier, the shipment of Spreadtrum’s TD-SCDMA-based chips was reported to reach 10,000 or so. The number is inaccurate, explained the Nasdaq-listed company, adding that mobile phones adopting its chips accounted for nearly one third of China’s procurement of 300,000 TD-SCDMA cellphones and terminals.

The Shanghai-based company incurred a net loss of USD 31.3 million for the third quarter of 2008, in contrast to a net profits of USD 6.1 million Q3 2007 and USD 2.6 million in Q2 2008

Spreadtrum Announces World’s First TD-SCDMA/HSDPA/EDGE/GPRS/GSM Single-chip RF Transceiver – The QS3200 RF transceiver features high integration and low power consumption and provides 2G/2.5G/3G/3.5G multimode support [Feb 16, 2009]:

Followed by the GSM/GPRS single-chip RF transceiver, the QS500, and the GSM/GPRS/EDGE single-chip RF transceiver, the QS1000, today Spreadtrum announced the QS3200, the world’s first single-chip RF transceiver to support multimode such as 2G/3G/3.5G. The QS3200 offers great improvement over the other TD-SCDMA RF chip on signal transmission, reception, and power amplification in addition to the integrated features and low power consumption in Spreadtrum’s other chip solutions.  The launch of the QS3200 makes Spreadtrum one of the total solution providers in the wireless communications market and takes a positive step forward in commercializing TD-SCDMA technology.

Spreadtrum Announces SC6600V: First Single-Chip Demodulator/Decoder for CMMB-Based Mobile TV [May 7, 2008]

Spreadtrum’s new SC6600V solution is an integrated CMMB demodulator and source decoder chip and is the first single chip solution that supports both AVS and H.264 video decoding standards.  As the first CMMB single chip solution for mobile TV, the SC6600V is designed for feature phones.  The SC6600V adopts an integrated platform design for communications and mobile multimedia to reduce the design period of Spreadtrum’s customers.  … Spreadtrum’s SC6600V single-chip solution is designed to enable handset makers and carriers to offer mobile TV feature in feature phones at reasonable prices, instead of being relegated to expensive SmartPhones as most mobile TV solutions are currently.

CMMB is a homegrown mobile TV standard that applies to mobile devices such as mobile phones, PDAs and Portable Media Players (PMPs).  It features free mobility, rich video and data services.  In addition, it provides consumers with cost-effective mobile TV service that satisfies most consumers’ needs and is expected to be used in the Beijing 2008 Olympic Games.

Mr. Ma Jv, President, Academy of Broadcasting Science of the State Administration of Radio Film and Television, indicated that, “We are very glad that Spreadtrum has developed the SC6600V, the first CMMB-based Mobile TV single chip solution for mobile phones, which integrated demultiplex, channel decoder and source decoder.  We believe that it will help CMMB start to grow its market quickly, and we hope Spreadtrum will continue to unleash its technology strengths, allowing it to contribute to the CMMB industry’s ongoing development and road to becoming prosperous.”

Spreadtrum Communications Completes Acquisition of Quorum Systems [Jan 16, 2008]:

With the acquisition of Quorum, Spreadtrum gains a highly skilled RF engineering team of 30 engineers with an average of 10 years of industry experience. The combination of Spreadtrum’s leading single-chip baseband solutions with Quorum’s complementary, low-power high-performance RF designs is expected to strengthen Spreadtrum’s competitive position in the wireless market, including in 2G, 3G, RF, baseband, physical layer software, protocol and applications. Since its founding in 2003, Quorum has created multi-band transceiver designs ranging from GSM/GPRS/EDGE to WCDMA and 3G HSDPA application, plus a recently announced TD-SCDMA platform.

3. T3G (an ST Ericssson subsidiary since December 2008)

Key Milestones:

T3G has achieved an impressive record of world firsts in bringing innovation to China:

  • The world’s first ASIC based TD-SCDMA system level call achieved in 2004
  • The world’s first international TD-SCDMA call in 2004
  • The world’s first 384Kbps commercial TD-SCDMA/EDGE dual-mode Samsung phone, powered by T3G’s chipset in 2005
  • The world’s first ASIC based 2.8Mbps TD-HSDPA system call achieved in 2007
  • The world’s first 2.8 million TD-HSDPA/EDGE dual-mode dual-band commercial data card powered by T3G’s chipset in 2008
  • Completed the world’s first TD-LTE end-to-end application demonstration on multimode soft modem platform in 2009
  • Launched the world’s first TD-HSPA chip in 65nm in 2009

Strong presence and identity in China:

ST-Ericsson, through its subsidiary T3G, has been actively developing platforms for the TD mobile standard since 2003. The company’s extensive investment in technology and product development has given it a leadership position in the market. The company provides solutions to Chinese and global handset manufactures and design houses. It offers mobile chipsets, software protocols, system reference designs and customized technical support. In May 2009, ST-Ericsson was selected by China Mobile as a major technology partner for the development of its highend and low-cost handsets. The company will also support four of its customers to commercialize their mobile phones during 2009-2010.

  • ST-Ericsson’s 550 employees are based in Beijing, Shanghai, Shenzhen and Hong Kong
  • ST-Ericsson (ST-NXP Wireless) acquired T3G in December 2008. T3G was established in January 2003 as a joint venture. Its founding partners were Philips Semiconductors (later NXP Semiconductors, and finally ST-NXP Wireless), Datang Mobile, Samsung Electronics, and since 2005 also Motorola. T3G is based in Beijing.

Datang set to sell off T3G stake [June 19, 2008]:

Datang Mobile, the second largest stakeholder of T3G, is putting its 32.11 percent stake on sale for 122.2 million yuan, according to a notice posted on the website of Beijing Equity Exchange.

The move comes on the heels of the collapse of Commit Inc, another major TD-SCDMA chipmaker, which has dimmed the prospects of TD-SCDMA.

There are rumors that Geneva-based semiconductor maker STMicroelectronics might take over Datang Mobile’s stake in T3G.

Commit has had its own share of woes, forcing it to shut shop at the end of April after failing to secure fresh funding and pay its employees for months. Commit’s shareholders include Hyper Market, Texas Instruments, Nokia, LG and State-owned Potevio and Datang Telecom, parent of Datang Mobile.

Industry observers blame Commit and T3G’s woes on the slow roll-out of TD-SCDMA in China.

ST-Ericsson and China Mobile to Bring TD-SCDMA to the Mass Market [May 26, 2009]:

China Mobile has selected ST-Ericsson’s company in China, T3G, as a major technology partner for the development of its high-end and low-cost handsets, based on the 3G standard TD-SCDMA. ST-Ericsson will also support four of its customers to commercialize their mobile phones during 2009-2010.

Under the agreement, ST-Ericsson, the 50/50 joint venture between Ericsson and STMicroelectronics, will develop a new low-cost platform to support its customers to offer affordable TD-SCDMA devices to the China consumers. ST-Ericsson will also support customers to develop high-end mobile phones, based on existing and new platforms such as the T7210, which will allow consumers to enjoy high-speed broadband and multimedia services.

“Although ST-Ericsson is a recent joint venture, our subsidiary T3G has been actively developing platforms for the mobile standard for more than six years, achieving an impressive record of world firsts in bringing innovation to China,” said Alain Dutheil, President and CEO of ST-Ericsson. “Our dedicated local R&D team, as well as our strong commitment to continuous innovation and close cooperation with customers, will enable China Mobile to offer a broad range of handsets for the mass market as well as for the high-end segment.”

ST-Ericsson’s T7210 mobile platform supports TD-SCDMA dual-band in 2010-2025MHz/1880-1920MHz frequencies, and has successfully completed handovers of voice and high-speed data services in order to operate optimally in Chinese dual-band network environments.

ST-Ericsson Continues to Drive Innovation in TD Market [Sept 14, 2009]:

ST-Ericsson, a world leader in wireless platforms and semiconductors, and its Chinese subsidiary T3G today announced the industry’s first TD-HSPA modem chip samples in 65nm. This new chip is smaller than existing products, making it easier to implement in mobile devices, and is also designed to reach significantly lower power consumption.

ST-Ericsson reaches key milestones in China [Nov 27, 2009]:

Confirms clear market leadership in the TD-technology

  • Five million TD chipsets shipped
  • ST-Ericsson’s solutions power more than 100 models of TD devices, including handsets, data cards and embedded devices

ST-Ericsson, a world leader in wireless platforms and semiconductors, has reached two important milestones, confirming its market leadership in the Chinese homegrown 3G standard, TD-SCDMA. ST-Ericsson, through its Chinese subsidiary T3G, has been leading the innovation in the TD market since 2003, bringing numerous industry firsts.

… Read more at:  http://www.stericsson.com/press/Strong_presence_china_English.pdf

ST-Ericsson to cooperate with China Mobile on TD-LTE [Feb 16, 2010]:

ST-Ericsson, a world leader in wireless platforms and semiconductors, announced today it will cooperate with China Mobile on TD-LTE development and will support a demonstration of TD-LTE at Shanghai World EXPO in 2010.

ST-Ericsson will also actively participate on other TD-LTE projects organized by China Mobile, including trial and interoperability testing (IOT) with infrastructure vendors.

Bill Huang, General Manager of China Mobile Research Institute, said: “China Mobile and ST-Ericsson are co-operating very successfully on TD-SCDMA technology and we are happy to extend our partnership into the TD-LTE area and then multi-mode technologies in future. We share a common goal of creating a global LTE market encompassing both TDD and FDD technologies.”

ST-Ericsson’s key milestones in LTE:

  • In December 2009, ST-Ericsson and Ericsson were first to achieve LTE and HSPA mobility with a multimode device. Read more at www.stericsson.com/press_releases/LTE_HSPA.jsp
  • 2009: Fully working LTE chipset available and interoperability testing of the platform with operators
  • 2008: Platform interoperability tests activities initiated with network vendors
  • 2007: First handheld LTE prototype available and first handheld public demonstration at Mobile World Congress in 2008
  • 2004-2005: ST-Ericsson started research and standardization activities related to LTE

ST-Ericsson launches feature rich mobile internet platform in China – T6718 enables development of cost-effective and power-efficient multimedia TD-HSPA handsets [May 27, 2010]:

The T6718 is the first commercial 65 nanometer-based TD-HSPA platform, enabling manufacturers to quickly produce compact, cost efficient and feature-rich mobile broadband handsets for the Chinese market. ST-Ericsson expects the T6718, which can support downlink speeds of 2.8Mbps and uplink speeds of 2.2Mbps, to be in commercial products from Q3 2010.

… Handsets based on the T6718 platform will be able to deliver up to seven hours of talk-time or 25 days of standby on one battery charge. Incorporating software support for Assisted-GPS (AGPS), the T6718 will also enable location-based services, such as navigation and local search.

T6718 TD-HSPA/EDGE:

The dual mode TD-HSPA/EDGE modem is integrated with an ARM processor to deliver small size, fast response time and low power. This is also the first TD-HSPA solution to take advantage of the additional size and power benefits of the 65 nm process node.

The T6718 delivers a rich Internet experience including fast browsing, streaming video, broadcast television and other multimedia services on a touch-screen display. The 5 Mpixel camera support and video recording capability coupled with the graphics hardware accelerator provide a great visual consumer experience. Furthermore, the T6718 has the lowest power consumption in its class which means more hours enjoying music, video, internet access and talking.

High performance and low power consumption

  • The first commercial 65 nanometer based TD-SCDMA
    platform
    on the market
  • Talk time up to 7 hours and stand by up to 25 days on one battery charge (standard 1000mAh battery)
  • ARM926 processor up to 416 MHz

HTC: the most promising ICT brand in Taiwan

Major updates: HTC expects business performance to bottom out in 1Q12 [Feb 7, 2012]

Taiwan-based smartphone vendor HTC expects its business operation in the first quarter of 2012 to bottom out due to a decreased average selling price along with the process of transitioning from old smartphone models to new ones, with consolidated revenues projected to decrease by 31.0-35.9% on quarter to NT$65.0-70.0 billion (US$2.19-2.36 billion) while gross margins and net operating margins are expected to slip to 25% and 7.5% respectively, according to company CFO Winston Yung at an online investor conference on February 6.

HTC expects sales to increase beginning in the second quarter of 2012 along with the launch of several new flagship smartphone models, with gross margins and net operating margins to rise to levels seen in the first three quarters of 2011, Yung indicated.

HTC has been faced with hot competition from Apple and Samsung Electronics in the US market and less competition in the Europe market, but has performed well in the Asia market, especially in China, Yung pointed out.

As smartphones are increasingly popular, HTC will cater to each market segment by launching price competitive models yet with functional differentiation to increase added value to maintain gross margins, Yung pointed out.

While sales performance of LTE (Long Term Evolution) smartphones fell short of expectation in 2011, HTC expects increased adoption of LTE models by mobile telecom carriers in the US, Hong Kong, Japan and South Korea in 2012, Yung indicated.

HTC: Financial report (NT$b)

Item

4Q11

Q/Q

2011

Y/Y

Consolidated revenues

101.42

(25.33%)

465.79

67.09%

Gross margin

27.12

down 0.89 percentage point

28.30%

down 1.79 percentage points

Net operating margin

12.71

down 2.15 percentage points

14.77%

down 1.06 percentage points

Net profit

10.94

(41.40%)

61.98

56.77%

Net earnings per share (NT$)

13.06

73.32

Source: Company, compiled by Digitimes, February 2012

Mid-market Android Meltdown – HTC Warns Big Again [Forbes, Feb 6, 2012]

HTC has issued another massive revenue warning.The company is now guiding 1Q12 revenues to T$65-70 Billion, way below the T$89 Billion consensus expectation. January revenue crashed by 52% YoY. You read that right – in the overall smartphone market where at least volume growth probably was close to 50% in January, HTC sales halved year on year. Operating margins are now heading below 8% in 1Q12. What seemed like a triumphant success story just last autumn is rapidly turning into a bitter rout that has some intriguing parallels with Motorola in 2007.

This follows two major warnings from 4Q11 – warnings that should have lowered analyst expectations to realistic levels for 1Q12. Instead, many leading firms like Sanford Bernstein have continued insisting that HTC will do just fine. The size of the latest sales guidance cut clearly indicates that HTC is suffering from a post-Christmas inventory hangover that is far more serious than Wall Street expected.

We see once more how dangerous the impulse to protect strong operating margins can be. It demolished Ericsson‘s once so proud handset division in mid-Nineties, it killed Nokia’s innovation in mid-Noughties, it hamstrung Motorola around 2006.

In 2011, HTC refused to dive deep into low-end smartphone market in order to protect its mid-teen operating margins. It opted to compete head-to-head against iPhone at the high-end.

As a result, HTC now risks losing the handset success it spent half a decade building. Welcome to the club.

The market capitalization showing the real value of HTC, however, is just right on the spot:

End of major updates

The news 4 days ago were HTC Becomes Most Profitable Listed Company in Taiwan [Oct 14, 2010]:

Thanks to increasing popularity of smartphones worldwide, the Taiwan-based High Tech Computer Corp. (HTC), a globally leading vendor of smartphones its under own brand, reported an EPS (earnings per share) of NT$30.29 for the first nine months of this year, unseating MediaTek Inc., a world-caliber handset IC designer, as the most profitable listed company on the island in the period. Launching a couple of hot-selling smartphones, such as Desire, Wildfire, Legend and Incredible, to boost its market shares worldwide, HTC has enjoyed explosive sales growth and remained one of the most successful brands in Taiwan.

…. The firm raked in NT$27.058 billion [US$0.88B] in combined revenue for September, sharply up 129.65% from a year earlier to hit an all-time high. This pushed up its combined revenue and net profits for the third quarter of the year to NT$75.849 billion [US$2.47B] and NT$11.098 billion [US$0.36B], or NT$13.61 per share, respectively. Meanwhile, HTC`s aggregate combined revenue and net profits for the first nine months of the year reached NT$174.756 billion [US$5.7B] and NT$24.735 billion [US$0.81B] …

HTC has set an internal goal of shipping 54 million smartphones in 2011 but the goal is expected to be difficult to attain because the company will be faced with strong competition from Apple’s new generation of iPhone and Nokia’s Windows Phone 7-based new smartphones in the fourth quarter, according to industry sources in Taiwan.

Based on the ASP of US$359 recorded in the first quarter of 2011, HTC’s second-quarter shipments of smartphones will top 11.5 million units, an increase of 18.6% from 9.7 million units shipped in the first quarter, and better than the company’s projection of 11 million units, the sources indicated.

With demand for HTC’s Android-based smartphones still growing steadily and HTC set to begin selling its naked-eye 3D model, the HTC EVO 3D, in Europe in July, the company is expected to garner revenues of NT$135-140 billion (US$4.7-4.88 billion) in the third quarter with its smartphone shipments reaching 12.5-13 million units, estimated the sources.

HTC is also expected to roll out new models for the year-end holiday season and to fulfill its annual shipment target, said the sources, noting that HTC will be able, at least, to ship 50 million smartphones in 2011, double from the amount shipped in 2010.

Smartphone vendor HTC has announced that unaudited consolidated revenues for December 2010 totaled NT$33.087 billion (US$1.131 billion). Total consolidated revenues of fiscal 2010 came to NT$278.761 billion [US$9.529 billion], up 92.92 % on year. Consolidated operating income was NT$44.185 billion, consolidated net income was NT$44.696 billion before tax and NT$39.330 billion or NT$48.24 a share after tax based on 815,239,000 weighted average number of shares.

HTC has reportedly informed its suppliers that it will eventually need parts and components for the production of up to 60 million handsets in 2011 compared to shipments of 20 million units projected for 2010, according to industry sources.

… to 50 million units in 2011 from an estimate of 25 million units for 2010, according to institutional investors.

… Worth mentioning is that HTC is likely to announce its foray into the tablet PC segment soon, and will launch its first model in 2011 as its ace in the hole to drive business operations. So far, the firm has kept completely silent on the product launch plan though.

HTC has reported consolidated revenues of NT$38.484 billion (US$1.258 billion) for November 2010, hitting a monthly record for the second consecutive time. HTC’s November consolidated revenues were 4-10% higher than the originally expected NT$35-37 billion, according to investors. HTC is expected to generate consolidated revenues of NT$33-35 billion in December, resulting in fourth-quarter figures of NT$105 billion [US$ 3.49B] which is higher than HTC’s forecast NT$100 billion, the sources pointed out.

HTC’s shipments of Android and Windows Phone 7 smartphones have been short of demand and its booming shipments will continue and reach 8.5 million units in the first quarter of 2011, the sources indicated.

… The office space is to accommodate HTC’s expanded R&D staff during the construction of its headquarters building 230 meters away from the purchased property, HTC pointed out. The building, with 17 stories and five basement levels, will have a total floor area of 85,620 square meters to accommodate 2,200 employees, with completion scheduled for the end of 2011, HTC indicated. 11 floors of the new building will be used to house R&D capacity, HTC noted.

In related news, HTC is expanding its production capacity at a factory in northern Taiwan, and another in Shanghai, eastern China, with combined monthly capacity to be increased to four million smartphones at the end of 2010, HTC noted. [This will be ~48% of total Taiwan handset output capacity. See the report below.]

Taiwan’s handset shipments hit a record in the third quarter of 2010. First-tier handset vendors Nokia, LG Electronics (LGE), Sony Ericsson and Motorola all expanded JDM or ODM orders to Taiwan, and Taiwan’s own-brand smartphone vendor High Tech Computer (HTC) also saw shipments increase, spurring Taiwan’s total handset shipments to top 21 million units.

In April this year HTC was positioned among the Global 2000 ICT companies from Taiwan as follows (source: Forbes Global 2000 Country List [Apr 21]):

Global 2000 Taiwanese ICT Stocks by Forbes -- 21-Apr-2010

The market value has dramatically changed since then for most of those companies (sources: Forbes Global 2000 Country List [Apr 21] and Reuters Stocks [from which market values were taken on Oct 15]:

Global 2000 Taiwanese ICT Stocks Market Value -- 15-Oct-2010

The red line above corresponds to the ~10% average increase for those ICT stocks, so here we can also see the above the average new increased (or below the average new decreased) value of the companies by looking at the columns themselves (while the data label numbers show the percentage value as of Oct 15 vs. March 1).

It is also worth to look at the exact numbers (by clicking on the link here you will get a PDF which provides all the source data links as seen on the image by the usual hyperlink presentations, so you could have full background, including company overviews):

Global 2000 Taiwanese ICT Stock Numbers Forbes-Reuters -- 21-Apr-15-Oct-2010

One could see here that HTC became the #3 most valuable ICT company from Taiwan jumping from the #5 place to the current #3 in just 7.5 months. Meanwhile such well established Taiwanese brands as Acer and Asustek are much behind of HTC. Also all of the PC/notebook ODMs (Original Design Manufacturers), Quanta, Compal, Wistron and Inventec are much behind HTC now. Only Hon Hai Precision Industries, well known outside Taiwan as Foxconn Technologies, is significantly bigger in market value, but Foxconn Technologies is a huge contract manufacturer owning 50+% of the worldwide Electronics Manufacturing Services (EMS) market. And certainly Taiwan Semiconductor Manufacturing Company (TSMC) is even more valuable, not surprisingly, because TSMC is the #1 chip foundry in the world.

Ranking (2008 ranking)

Brand

Brand value (US$100 M.)

1 (3)

Acer

12.41

2 (1)

Trend Micro

12.35

3 (2)

ASUS

12.26

4 (4)

HTC

12.03

Source: Taiwan External Trade Development Council (TAITRA)

Here is an Oct 23, 2009 ranking from Global Recession Reshuffles List of Top-20 Taiwanese Brands 2009 rankings show China`s rising [Oct 23, 2009]:

The reason? Here are two press releases from iSuppli which might somewhat explain (I will devote a whole post later to this question):

Android Drives Success in Q2 Smart Phone Market by [Oct 14] – Makers of Android-based handsets outperform the market (emphasis is mine):

Droid phone specialist HTC Corp. achieved industry-leading growth, with its smart phone shipments rising by a stunning 63.1 percent in the second quarter compared to the first.

HTC’s Android success can be traced to wireless operators that want to showcase the capabilities of their upgraded networks by offering handsets with sophisticated features to subscribers. For example, U.S. wireless carrier Sprint Nextel Corp. is offering HTC’s EVO 4G, a feature-packed Android handset that can capitalize on the high speed of its WiMAX-based 4G network. To keep its momentum going, HTC is expected to offer an Android phone that supports Long Term Evolution (LTE)—the other major standard for 4G.

HTC’s share of global smart phone shipments in the second quarter rose to 8 percent, up from 5.3 percent in the first quarter, allowing the company to solidify its No. 4 position in the market.

HTC Intensifies Android Push, Starts Cloud Service [Sept 14]:

HTC shipped 5.4m smartphones in Q2 2010, an 80 per cent increase year-on-year. HTC owes this strong performance in no small part to its Android-based devices which were greeted with both critical and commercial success.

Initially a white label manufacturer catering to operators, HTC changed course two years ago and invested heavily in building its own brand identity, mostly on the high-to-mid end of the market. This led to the launch of Sense, which is aimed at maintaining a differentiator in a market increasingly crowded by Android devices. Screen Digest believes this strategy should prove successful in helping HTC reach 20m handsets shipped in 2010.

The move towards online services might seem surprising at first given the existing syncing options offered by Google as part of Android, but can be interpreted as a way for HTC to build further loyalty through additional complementary services.

Global Recession Reshuffles List of Top-20 Taiwanese Brands
2009 rankings show China`s rising

Android 2.2 (Froyo) excitement is just the tip of the iceberg for the current Android momentum

Ars technica had two articles in the last 3 days which have created quite an excitement on the web (66K+ hits):

  • This is, however, just “the tip of the iceberg”.
  • To understand that you could read first my two previous infonuggets on the subject if you want to grasp the extent of the current Android momentum:
    Beyond Android 2.1 [July 4]
    OPhone OS (OMS) 2.0 based on Android 2.1 [July 5]
  • The mobile Internet technology momentum behind the Android in general could be well understood from my another infonugget:
    3.9G TD-LTE rollout in 2012 with integrated 2G, 3G and 4G? [July 19]
  • In addition, Android has just joined the ranks of the 1st tier cloud client software platforms, as has been indicated recently by my another infonugget, titled:
    E-reading SaaS wars next to e-reader wars [June 30]
  • Finally, below is the whole discussion of Android 2.2 (Froyo) significance which will make the whole “iceberg” completely visible.

Ars reviews Android 2.2 on the Nexus One [July 6], giving the following conclusion about this latest release:

Android 2.2 is an incremental update, but the performance enhancements alone make it an important upgrade for Android enthusiasts. The improved responsiveness and smoother interface transitions really boost the user experience.

Several of the new features—particularly batch updating—offer immediate and obvious benefits. Other features, such as SD storage and cloud backup, aren’t going to start delivering real value until they get broader uptake among Android application developers. I’m particularly enthusiastic about the cloud messaging service—it seems like a capability that will deeply enrich Android and open the door for some innovation in the application development community.

Google’s aggressive development efforts are moving Android forward at a rapid pace. The platform has matured considerably since its initial launch two years ago. The introduction of a JIT [just-in-time compilation] in version 2.2 has largely resolved Android’s performance problems, making it more competitive than ever. As Google works towards version 3.0 and a rumored user interface overhaul, it’s likely that we will see even more innovation.

Android 2.2 demolishes iOS4 in JavaScript benchmarks [July 8] because:

In our recent review [i.e. the previous article] of Android 2.2, we conducted some tests on the Nexus One to measure the extent of the JavaScript performance improvements. SunSpider and V8 benchmarks show that JavaScript execution in Froyo’s Web browser is almost three times faster than in the previous version of the platform.

We compared these findings with that of our tests of Apple’s mobile Safari browser on the iPhone 4. The results show that the Android device delivers significantly faster JavaScript execution than the iPhone, scoring over three times better on V8 and almost twice as fast on SunSpider.

It is worth to combine the results of those two tests in a single chart (recalculated in order to show the performance improvement vs. the performance of the benchmark on the Nexus One with Android 2.1 as the baseline):

The performance improvement is especially remarkable for v8 benchmark which is quite understandable since the V8 Benchmark Suite by Google is:

… a suite of pure JavaScript benchmarks that we have used to tune V8 [JavaScript engine brought to the Android browser as part of 2.2]. …

With this the browser in Android 2.2 (Froyo) is having the same JavaScript performance as Google’s mainstream browser since:

V8 is Google’s open source, high performance JavaScript engine. It is written in C++ and is used in Google Chrome, Google’s open source browser. [see: V8 JavaScript Engine]

SunSpider is just delivering about half of the performance improvement of the V8 benchmark suite which could be because:

This [SunSpider] test mostly avoids microbenchmarks, and tries to focus on the kinds of actual problems developers solve with JavaScript today, and the problems they may want to tackle in the future as the language gets faster [see: SunSpider JavaScript Benchmark].

Note: The main characteristics of a microbenchmark are the following:
• Small program
– Datasets may be large
• All time spent in a few lines of code
• Performance depends on how those few lines are compiled
• Goal: Discover some particular fact
• Remove all other variables
[See: slide #8 of the How NOT To Write A Microbenchmark presentation from JavaOne 2002]
The V8 benchmark suite used for tuning the engine might be more “microbenchmarkish” than the SunSpider benchmark which is explicitly trying to avoid microbenchmarking!

Developers of Android are themselves declaring that:

This has resulted in a 2-3X improvement in JavaScript performance vs. 2.1. See: Android 2.2 and developers goodies [May 10, 2010].

which seems to well correspond to the performance improvement result by the SunSpider benchmark suite.

Ars technica, however, didn’t carry out benchmarking of the Java engine used in Android 2.2 (so called Dalvik, which is not a regular JVM) albeit vast majority of Android applications are coded in Java, and:

The new Dalvik JIT [just-in-time] compiler in Android 2.2 delivers between a 2-5X performance improvement in CPU-bound code vs. Android 2.1 according to various benchmarks.

This is from the same, Android 2.2 and developers goodies [May 10, 2010] blog post which contains other significant improvements from developers’ point of view as well.

Endnote: My statement in the name of the post, that the type of Android 2.2 (Froyo) excitement shown by Ars technica is “just the tip of the iceberg” is even more true from software developers’ perspective. A lot of professional developers in technologically well established and long mature camps, like Microsoft .NET and JVM based enterprise Java / community developed application frameworks (eg. Spring), are considering the Android framework quite underperforming and immature. I’ve met even misunderstanding among them, that Android is programmed in JavaSript or even C++.

With the introduction of Dalvik JIT there are no more reasons to underrate Android (2.2 and above)! To dismiss the wrong belief of “JavaScript and C++ only” programming myth for Android I am usually providing the following links and quotes as well:

http://developer.android.com/guide/basics/what-is-android.html

Android includes a set of core libraries that provides most of the functionality available in the core libraries of the Java programming language.

… Android includes a set of C/C++ libraries used by various components of the Android system. These capabilities are exposed to developers through the Android application framework.

Since June 2009 there is also a Native Development Kit (NDK) for which it is good to know that:

Android applications run in the Dalvik virtual machine. The NDK allows you to implement parts of your applications using native-code languages such as C and C++. This can provide benefits to certain classes of applications, in the form of reuse of existing code and in some cases increased speed.
… Please note that the NDK does not enable you to develop native-only applications. Android’s primary runtime remains the Dalvik virtual machine.
http://developer.android.com/sdk/ndk/index.html

As you know, Android applications run in the Dalvik virtual machine. The NDK allows developers to implement parts of these applications using native-code languages such as C and C++.
http://android-developers.blogspot.com/2009/06/introducing-android-15-ndk-release-1.html

… the NDK is a companion to the SDK that provides tools to generate and embed native ARM machine code within your application packages. This native code has the same restrictions as the VM code, but can execute certain operations much more rapidly. This is useful if you’re doing heavy computations, digital processing, or even porting existing code bases written in C or C++.
http://android-developers.blogspot.com/2009/09/now-available-android-16-ndk.html

Finally, the use of JavaScript requires absolutely different considerations, namely: Building Android Apps with HTML, CSS, and JavaScript, extensively elaborated in a so named and actually excellent book under development (and hence available online as just linked) by Jonathan Shark, which has a Chapter 1 with the following observations (to get a feeling of difference):

What is a Web App?

To me, a web app is basically a web site that is specifically optimized for use on a smartphone. The site content could be anything from a standard small business brochure site to a mortgage calculator to a daily calorie tracker–the content is irrelevant. The defining characteristics of a web app are that the user interface is built with web standard technologies, it is available at a URL (public, private, or perhaps behind a login), and it is optimized for the specifics of a mobile device. A web app is not installed on the phone, it is not available in the Android Market, and it is not written with Java.

What is a Native App?

In contrast, native apps are installed on the Android phone, they have access to the hardware (speakers, accelerometer, camera, etc.), and they are written with Java. The defining characteristic of a native app, however, is that it’s available in the Android Market–a feature that has captured the imagination of a horde of software entrepreneurs worldwide, me included.

Which Approach is Right for You?

Here’s where it gets exciting. The always-online nature of the Android phone creates an environment where the lines between a web app and a native app get blurry. There are even some little known features of the Android web browser that allow you to take a web app offline if you want.What’s more, several third party projects–of which PhoneGap is the most notable–are actively developing solutions that allow web developers to take a web app and package it as a native app for Android and other mobile platforms.

For me, this is the perfect blend. I can write in my native language, release a product as a pure web app (for Android and any other devices that have a modern browser), and use the same code-base to create an enhanced native version that can access the device hardware and potentially be sold in the Android Market. This is a great way to create a “fremium” model for your app – allow free access to the web app, and charge for the more feature-rich native version.