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Article

Title: A Fight Over What You Can Do on a Cellphone

Author: Vascellaro, Jessica E Article Type: Product Analysis
Source: Wall Street Journal, v249 n138 pA1(2) Publication Date: Jun 14, 2007
  ISSN: 0193-2241
  Illustrations: Graphs
URL of Publication: http://www.wsj.com

Research in Motion's BlackBerry, Magmic's Bplay, and IEEE's (Institute of Electrical and Electronics Engineers') Wi-Fi are highlighted in a discussion of a battle for market share centering around currently no-fee cellphone features from handset makers for which carriers want to charge. A market battle is ramping up between wireless phone carriers and makers of handheld gadgets as access to new services such as video, games, and maps is becoming available on mobile devices. Both groups want to control the new offerings and their associated avalanches of expected revenue. AT&T told Research in Motion (RIM) that it would not agree to permitting RIM to include mapping software, since AT&T wanted to offer its subscribers AT&T's own map service and to charge subscribers a monthly fee. Jim Balsillie co-CEO of RIM, points to a struggle over customer ownership that will result in a significant reordering of the markets. In the U.S., carriers closely control what applications are available on mobile devices, while in Europe and parts of Asia, carrier control is looser and wireless services have been more widely available for some time. Handset makers want the U.S. carriers to loosen up their hold, and, if the handset makers are successful, consumers could get more advanced applications at no extra cost. Among many topics covered are the background of RIM offerings and its competitors, merging technologies for mobile subscribers (by percentage of users), RIM as a company that creates phones that carriers want to sell, and RIM's wins in the battle (including AT&T's agreement to allow RIM to make the BlackBerry Messenger instant messaging (IM) service a standard feature on the Pearl model).

Special Features: Graphs

Companies:
Magmic Inc Research In Motion Ltd (RIM)

Products:
BlackBerry Bplay
Wi-Fi

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