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Oonagh Reidy

BREAKING NEWS: CBA ATM Crash Out

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Commonwealth Bank’s ATM network has crashed across Australia. Its EFTPOS card payments system has also gone down, meaning Commbank customers will have to use cash for retail and other transactions.


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The system collapse was reported in the early hours of this morning, when a flurry of complaints hit CBA’s Twitter account.

“We’re still working to resolve this but you can access and transact using NetBank, phone banking and in branch,” CBA replied to one customer who complained via Twitter 13 minutes ago.

However, customers can view and transact on NetBank accounts in branch or via phone banking, the bank also confirmed.

No word yet on what caused the system failure.

CBA said it was working on resolving this as a “matter of priority.”

Intel Chips ARE Down

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As PC sales slide, Intel admits its a “tough” market.

Intel’s third quarter results paint a dull picture of the PC world, with revenue, operating income and gross margin all showing zero growth, and are identical to Q2 figures. 

Intel Corp today reported quarterly revenue of $13.5 billion and an operating income of $3.8 bn. However, it wasn’t all bad with net profit rising 5.1% to $3 bn compared to second quarter. 
The results come as no surprise as global PC shipments fell almost 10% y-o-y to 87.5 million in Q3, analysts Gartner confirmed last week, and also showed zero growth on the previous quarter.

Intel’s PC Client Group revenue fell 8% compared to Q3 ’11 to $8.6 billion.

Company shares closed at $22.35, but fell 3.4% to $21.59 in after hours trading.

“Our third-quarter results reflected a continuing tough economic environment,” said Paul Otellini, Intel CEO.

However, despite the pervasive gloom Otellini was “pleased” with progress on Ultrabooks, the new ultra thin notebook category it masterminded last year, and alluded to the Intel based tabs coming this quarter, including Microsoft’s Surface.

“As we look to the fourth quarter, we’re pleased with the continued progress in Ultrabooks and phones and excited about the range of Intel-based tablets coming to market.”

“The world of computing is in the midst of a period of breakthrough innovation and creativity.”

However, despite the dull air in PC market, Intel is still spending $4.5 billion Research & Development in Q4, just slightly below last quarter.

 

The chip giant is predicting a slight rise in Q4 revenue to $13.6 bn, plus or minus $500 million.

Intel Data Center revenue was down 5% to $2.7 bn, although up 6% year-over-year.

Its Q3 Gross margin of 63.3 percent was 1.3% above the the company’s expectation of 62%.

The company generated approximately $5.1 billion in cash from operations, paid dividends of $1.1 billion.
Earnings per share was also up 7.4% to $0.58 from $0.54.

Optus 4G “Wave” Hits ACT, SA

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Optus is riding a big wave. A 4G wave.

That’s according to the network’s boss, Guenther Ottendorfer, who today admitted surfing the new 4G network “was the main ride we had this year.”

Getting the 4G LTE service up and running was an “incredible race” as telco No. 2 played catch up to Telstra, whose LTE network is well over a year old with several hundred thousand users.

Optus finally launched its 4G LTE network in Newcastle and the Hunter region in April and has blitzed all metro cities in select areas, and claims to have the largest coverage of any telco in Perth.

But still this does not get away from the fact rivals Telstra have a far bigger coverage (around 40% of the population) and hope to blitz over 1,000 sites in all, by early next year.

Telstra’s typical 4G download speeds are 2Mbps – 40Mbps, uploads of 1Mbps – 10Mbps, while Optus says its 4G TD LTE network has typical download speeds from 25Mbps – 87Mbps.

Optus’ Managing Director of Networks, Ottendorfer, claims Optus is getting “positive” feedback from 4G customers, adding it will “continue to improve” service.

Ottendorfer also confirmed Canberra and Adelaide will be privy to a faster 4G network in the first half of next year, although would not be tied down to a precise timeframe. He is “hopeful” Adelaide’s 4G rollout will accelerate in 2013, and currently working on the Canberra project.

The Canberra 4G service will also be different from Optus’ other services elsewhere as it will operate on TD LTE, or Time-Division Long-Term Evolution, which allocates separate channels for outgoing and incoming signals, used widely  by Chinese telcos like Huawei and Nokia.

Currently Optus 4G runs on a FDD-LTE system but is getting set for is set for a major national 4G TD-LTE network roll out next year.

Currently it has 50 LTE sites in Brisbane and says it will upping this in the Qld capital to 130 next year.

But hold on, what about us plebs still on 3G?

The telco said today it is continuing to deliver improvements on the “workhorse” that is 3G +, a service that is “still used by the majority” Ottendorfer said.

 

Optus is currently “refarming” its 3G network and going deep into metro areas, basically meaning improved calls and data quality for indoor users.

Indoor quality is now improved by 74-87%, and will improve beyond this next year, he said.

In 2013, this 3G+ upgrade will extend to other areas including Queensland and Wollongong. Optus has integrated over 400 sites in Sydney and 3000 nationwide since the project began last year.

In fact, Optus’ modernisation of 3G plus is “one of the biggest refarming project in the world,” Ottendorfer said. 

iPhone 5 Sales “Record-Breaking”: Telstra

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It may be hum drum, but Aussie appetite for the iPhone 5 is still voracious, as Telstra sells out within hours.


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Telstra sold out of the iPhone 5 in just 18 hours after the pre-orders kicked off on Friday 5:30 pm, marking a new sales record for the telco.

“Tens of thousands pre-registered interest in the new Apple and we sold out within two working says “smashing all Telstra previous online sales records, even the iPhone 4S which also sold out within a few days.

A spokesperson told SmartHouse they are “thrilled” with huge demand for the iPhone 5, which “exceeded all expectations.”

The 4″ screen, 4G-enabled, thinner, longer iPhone 5 has features Android devices have had for some time, was announced by Apple with much fanfare last week, which many are slamming as mundane.

The telco released their pricing plans for the new i5 on Friday, and are flogging four plans (S, M, L, XL) for the 16GB, 32GB and 64GB iPhone 5.

Telstra’s S 16GB iPhone 5 plan starts at $67 per month ($600 call, unlimited txt and 1GB data) and also comes in $80, $100 and the top end $120 deals.

Further up the scale, the 32GB iPhone 5 on Telstra’s S starts at $71 (with the same allowances as the 16GB plan) but if you want a massive data allowance you will pay $132 for XL deal which gives unlimited talk, text and 3GB data.

The 64GB iPhone 5 S plan starts at $77 per month.

With no more devices in stock, consumers are currently unable to pre-order the device online.

A Telstra spokesperson said it is currently reviewing how to feed consumers huge hunger for the new 4G smartie but was “pleased” customers are embracing its online store with such aplomb.

 

“Our online pre-order has been very popular and for the moment, we’re out of stock. We’re working on getting more in,” according to Telstra’s website.

Vodafone, too, released its plans for i5, which starts at $6 a month on the $60 Plan ($700 value, infinite calls on 3/Vodafone’s network, infinite text standard and international and 1GB of data.)

A Vodafone spokesperson also confirmed demand is “strong” and will know more precise sales figures later today.

Optus are also riding high on i5 demand and are already sold out of the 32GB and 64GB iPhone 5 on pre-orders, with pricing plans starting at $30 (+$18 handset repayment), $60 (+$6) and $80, revealed Friday afternoon.

Cash Grab? Optus Hike Up Phone Charges

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Don’t stay too long on the phone. Consumer groups have hit out at Optus’ increased mobile charges, effective from yesterday. The revisions, which have been rolled out since last last year, mean Optus mobile customers will be charged in one-minute blocks – a move away from per second cost structure, for all national and overseas calls.


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Staying on the phone too long is no longer a good idea.

Basically, customers will be charged per minute of talktime, so if you talk for a minute and ten seconds you will be charged for two minutes.

So, who much will the charges set you back? Pricing differs depending on your plan but the general rule of thumb is if the pricing is 40c for 30 seconds, it will now double to 80c per minute.

Customers on $49 Optus plan will now pay $1.05 per minute, compared to 75c previously.

It is also introducing the regime for Optus home phone users from November 27.

However, the change is affecting just 5 percent of its customer base, who were on older plans and are now being moved over to the new structure, an Optus spokesperson told SmartHouse.

The vast majority of customers moved over to the new per-minute regime 18 months ago.

Optus also denied accusations of a “blatant cash grab” – voiced by consumer group Australian Communications Consumer Action Network (ACCAN) , saying it is simply playing catch up with rivals like Telstra, who introduced per-minute billing in March.

“Its about updating billing structure to keep in line with the market. If you look at Vodafone and Telstra they already have this in place” said the Optus spokesperson.

Telstra said the change would add an extra 2 per cent on to user bills. The per-minute regime “is just another way to make you pay more,” said Choice’s Christopher Zinn, criticising Telstra’s move earlier this year.

The SingTel owned telco are also giving users the right to walk away if they are not happy with the new arrangement: “If a customer chooses to cancel their plan as a result of these changes, their cancellation fees will be waived.”

However, Optus customers are not happy, voicing their ire on Whirlpool’s forum: “What kind of deal is this? I tried ringing Optus but their was an “extended delay”. I tried to visit the website optus.com.au/planupdate however the website has fallen over,” one wrote having been informed in a letter of the change.

Another said: “If I was in the habit of making many short (<30secs) phone calls then they have just doubled the amount of revenue they would be collecting from me.

 

“Even if I wasn’t in that habit, then calls I make that go just over a minute are subject to another doubling of the charge. It would appear that Optus has been taking predation lessons from Tel$tra.”
 
Later this month, Optus will change to the one minute block structure for all national STD and fixed to mobile calls on some fixed line phones to “bring us in line with others in the industry.”

The majority of Optus’ fixed line customers are on unlimited plans or plans with included value, thus changes will have limited impact on their monthly bill.

On the Home Starter plan, a 29 second national call costs $0.85c today; it will cost $1.25c after the 27 November.

While this is a “significant increase”, the actual impact on customers will be nowhere near this magnitude, given the majority of customers make longer calls, have call value or unlimited calls included in their plans, the telco insists.
 

iPhone, Android Get Bing’ed… Where’s Windows?

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Microsoft are in search of some Bing love on smartphones, unveiling new apps. Bing for Mobile apps are heading to Apple iPhone and Android smartphones in the US, despite the fact the latter is owned by search rivals Google.


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“Today, we’re excited to announce the next step in the evolution of Bing for Mobile, with the release of the new Bing for Mobile app for iPhone and Android (coming soon to more devices).”

However, the real mystery is why Microsoft own mobile platform, Windows 7, was not among the first smartphone OS to be graced with the release.

“The new app is currently available for iPhone devices and select Android devices in the United States.

“We’re working to release the same consistent experience for RIM and Windows Phone 7 devices in the future, and will share more details as they become available,” Santanu Basu, Product Manager, Bing for Mobile.

However, no word when these mobile apps go global, yet.

The apps use the HTML5 “experience” for a faster mobile search whether using m.bing.com from your browser or within Bing app, say Microsoft. 

HTML5 brings camera support and voice search, while making the functions the apps can provide consistent across the platforms and includes “cool” new features including maps/ directions in one, video for iPhone and transit routing for Android.

Microsoft also hope to make “the functions the apps can provide consistent across the platforms and – in the future – callable by engines to help people get from searching to doing.”

However, Bing does intend to work on its own W 7 platform. “We’re working to release the same consistent experience for RIM and Windows Phone 7 devices in the future,” Basu added.

However, Microsoft’s HTML5 Bing venture to Apple and Android’s “could pay off” according to Information Week, as the platforms account for 71% of all U.S. mobile users in total, meaning major clout.

 

However, whether Android users will switch over from its master Google in a hurry is another matter. Google currently owns around 65% of the search market in ths US, while Bing accounts for just over 14%.

However, if it can lure searchers in with its HTML5 formula it could be less Googling and more Binging in 12 months time.

Microsoft, Apple Subpoenaed For Price Gouging?

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Tech giants could be called before parliament on the IT price gouging enquiry a senior MP has warned.


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Labor MP Ed Husic, who is one of the main drivers behind the enquiry into IT pricing in Australia, raised the notion of issuing the likes of Microsoft, Adobe and even Apple with subpoenas, forcing them to answer before The House of Representatives Standing Committee on Infrastructure and Communications inquiry, if they don’t up their game.

“I believe the inquiry will be forced to confront the prospect of subpoenaing major vendors to provide greater detail to justify the price discrimination being levelled at Australian businesses — and something more substantive than a one to five-page submission,” he said.

Husic, a MP for Chifley, made the comments at the Global Access Partners’ Annual Growth Summit on Friday, reports The Australian.

Husic, who has campaigned extensively on the seemingly major price disparities between consumer goods like iPhones, iPads and  Microsoft Office and Adobe Creative software compared to overseas, also hit out at the tech giants “total disregard” and “contempt” for the parliamentary backed inquiry, in his speech Friday.

 “It’s even harder to get this data when the major vendors refuse to engage with the inquiry, treating the parliament with contempt,” Husic declared.

The IT pricing inquiry was established in May following a request from the Minister for Digital Economy, Senator Stephen Conroy. However, it appears the inquiry is well within its powers to issue the tech companies with subpoenas, a spokesperson for Mr Husic’s office told SmartHouse

However, Mr Husic, who is also on the committee inquiry, said he would discuss the issue with his colleagues in Canberra tomorrow, but issuing subpoenas is likely to be a last option and vendors will be given another chance to attend hearings and respond to the issue, which have already taken place, most recently in Sydney in July.

IT companies including Microsoft and Adode and others made submission through the Australia Industry Group (AiG) and the Information Industry Association (AIIA), both groups which Husic also criticised.

Microsoft made a separate three page submission to the IT pricing inquiry earlier this year, and blamed the “cost of doing business in Australia having a direct impact on the prices” being charged. High labor costs, rent shipping and transport were among the costs cited. Adobe also made a separate one page submission, which Husic also condemned earlier this year.

In a damning statement of the IT industry bodies, Husic hit out at this ‘higher costs in OZ’ argument, made by the AIIA and AiG:

 

“The issue with software is baffling because, with downloads, things such as shipping and handling costs are almost negligible,” said the Labor MP.

“The Ai Group gave the nod to the usual litany of underpinning factors driving up costs: rents, labour, taxes, warranties, environmental regulation. Mind you, no quantitative data was presented to explain price differences of between 60 per cent and 80 per cent, especially for software downloads.”

He also said the AIIA argument that the market should fix the price gouging by industry players was “revelatory” as it was the companies themselves pushing consumer mark ups on goods in the first place.

Numerous submissions have been made – 91 in all – by members of the public, IT companies, the consumer watchdog Choice, the Department of Communications and The Treasury.

Apple who does big business in Australia also chose not to make a submission separate from the industry led one.
 
SmartHouse contacted both Adobe and Microsoft and is awaiting a response.

Breaking Bad: Movie Downloads Up 36%

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OZ film and TV downloads are up, but piracy still looms, warns industry boss.

OZ digital film and TV market is up 36% new figures for 2012 show.

Game of Thrones was the top TV title purchased and The Hunger Games was the most downloaded film streamed/rented via video-on-demand, new figures from Australian Home Entertainment Distributors Association (AHEDA) show.

“Digital sales in 2012 really took off and now exceed 10 per cent of total sales for the $1.174 billion Australian home entertainment industry,” said AHEDA CEO Simon Bush.

The local digital TV and film industry was worth $127.77 million in 2012 and AHEDA predict further growth in the coming years.

Other top selling TV shows in Oz included True Blood, Gossip Girl and Breaking Bad, while on the movie front, What to Expect When You’re Expecting, SherlockHolmes and Red Dog were the top titles.

The figures for digital entertainment have been released for the first time ever by the entertainment Association, which covers 95% of the digital market.

This comes just weeks after it emerged global digital music industry revenues soared on the back of legit sites like Spotify, iTunes and Google Play.

The largest digital market in Australia in terms of revenues were video on demand (VoD) services like Telstra’sBigpond Movies, Quickflix (56%) followed by electronic TV (23%) and movie sales. 

iTunes leads the market in terms of downloads but the Association noted “significant’ other platforms including Foxtel on Demand, Telstra’sBigpond Movies, Sony Entertainment Network, Microsoft with Xbox Live, Fetch TV, and Google’s PlayStore.

As the number of downloads go up, movies download prices are on the way down – to $14.70 last year from $16.10, on average.

However, piracy remains a massive issue for the digital industry, Bush said.

 

“The largest hurdle facing our industry for digital growth to replace declining physical DVD sales is that of film piracy and recent research shows that when Major peer—2—peerPiracy sites havebeen blocked or shutdown, piracy traffic drops andLegitimate sales see a significant spike.”

“The popularity and growth of new digital platforms available on a significant range of devices along with broadband improvements in Australia will drive more legal download and streaming opportunities for Australians which our industry is embracing.

Don’t Dial Emergency if You’re on TPG

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Being on TPG could endanger your life, as comms watchdog takes action against the telco over not giving users access to emergency ‘000’ services.
Australia Communications and Media Authority taken court action against TPG Internet over alleged failures to give access to the ‘000’ emergency call services over six months between March – September 2011.

The ACMA alleges that TPG breached the Telecommunications (Emergency Call Service) Determination 2009 by failing to give certain customers access to 000 emergency phone services.

“All Australians need to be assured that their telecommunications provider attaches the utmost priority to Triple Zero access,” said ACMA Chairman, Chris Chapman.

“We take any issues with access to the Triple Zero service very seriously.”

Telcos are required to give customers Triple Zero emergency call service that connect callers to police, fire or ambulance in a life-threatening or time critical situation.