From tablets to cellphones, five recent tech stories that caught our attention
It’s time for some tidbits! The world of information technology is changing so rapidly today that it’s hard to keep up with all the news — so let’s jump right in to some of the most fascinating stories from the last six months.
HP: That was Then, This is Now
Hewlett-Packard, the world’s largest maker of personal computers, is like an absurd soap opera that you just can’t stop watching. Last summer, chief executive officer Leo Apotheker announced that HP was getting out of the PC market — if it could find a buyer. Under attack from tablets and mobile phones, HP had decided it would rather sell its US$8 billion Personal Systems Group than compete against the likes of Apple and Samsung.
That was then, this is now. As we go to press, HP has just announced the firing of Apotheker and the hiring of Meg Whitman, the former CEO of eBay, as his replacement.
The failed California gubernatorial candidate and billionaire Whitman wasted no time in announcing that HP’s PC business is not for sale, making crystal clear who is running HP now. We wish her luck. HP has fired three CEOs in six years. A recent Reuters story asked “Is HP competing for ‘worst board ever’ honors?” How long will Whitman last? Place your bets now.
HP: Fire Sale on TouchPad Tablets!
Will Whitman also save the TouchPad? That’s doubtful. The TouchPad was a flop and HP has killed the webOS platform, which it acquired by buying Palm for US$1.2 billion in 2010. But in its ensuing fire sale inventory clearance, the TouchPad became the hottest selling tablet in history — even outshining sales of the iPad. Why would anyone want such a short-lived product, with virtually no development community?
Well, by lowering the TouchPad’s liquidation price to US$99 for some models, HP proved that price points matter to consumers, especially when direct competitors to the iPad (like the Samsung Galaxy Tablet) are priced around US$300 and more.
Of course, the explanation could also lie with consumers who want to own piece of history: the last souvenir from the days of the once dominant handheld technology of Palm. Though long-time readers will recall that I was once inseparable from my own Palm product, the T3 PDA, I’m sure nostalgia wasn’t the reason.
So was it the promotional package HP ran with online cloud storage company Box.net? Consumers were promised 50GB of free cloud storage for life if they purchased specified HP technologies — including the TouchPad. And since a Box.net account is worth about US$25 a month, their Touchpad purchase would pay for itself in less than a year. No wonder HP is so dysfunctional!
OnStar: Looking Back to the Future
OnStar, the popular technological anti-theft, navigation and emergency communication system offered in many GM vehicles, is coming soon to a car near you. GM is selling a rearview mirror retrofit called OnStar FMV (For My Vehicle), which can be installed in cars other than GM. While the retrofit has many of the same features as the GM model (automatic crash response and roadside assistance), it can’t tell your direction, whether your car has flipped, or a whole slew of diagnostics that the GM-based product would typically upload to its help centre.
NetFlix: Loses Deal, Sees Starz
A key component to the content of online video streaming service Netflix is soon to disappear. Starz Entertainment, whose library includes a treasure trove of movies from Disney Studios and Sony Entertainment, is ending its partnership with Netflix, effective February 28, 2012.
Markets don’t tolerate vacuums for long. The announcement foreshadows the emergence of other streaming-content providers or other content holders to fill the void. Either way, the news will be good for consumers, as more competition may lead to cheaper prices and more content.
Shaw: Not Hanging Up on the Cellphone
Shaw Communications has abruptly cancelled its plans to build a national wireless network. This comes as a bit of surprise because, as recently as last April, Shaw had said it was forging ahead with its plans, and most of its peers in the communications industry are expanding into and even dominating this market.
Shaw will instead focus on developing community-based WiFi networking products. But that’s just as upsetting to traditional landline providers like Bell, which is losing customers to media kings like Rogers, and wireless upstarts like Wind Mobile and Mobilicity, who are changing the rules of the wireless game.
Cloud Computing: A Reader Responds
A reader recently contacted me about my column, “Computing Clouds Gathering” (Statements, June/July 2011), with concerns that some readers might infer that it’s now completely safe to use cloud services.
On the contrary, I believe that cloud computing still has a ways to go before it’s robust enough to be a viable option to any company concerned with protecting sensitive information, but I do think the situation is improving.
Keep your comments coming. I love getting feedback from readers and especially my fellow CGAs, who know a thing or two about technology.