Presence information

• Presence information. The majority of the value of IM over
simple SMS lies in the ability to utilize presence information.
Presence information is simply the ability to know who is
“present” and able to chat and who is not “present” and
therefore not available. Availability is key to making instant
messaging “instant.” The “instant” comes largely from being
able to identify who is available to chat and not waste time in
sending messages to those who are not.
Have you ever sent or received an email that required
action right away? Getting a time-sensitive message such as
“We are going to go get lunch, do you want to join us?” offers
both sender and receiver little value if the message is not
received, and replied to or acted on, in short order.
Although, IM is currently only used for text messaging it
will evolve beyond text very quickly. Text is a form of data.

Future networks will be able to handle higher amounts of
data, enough to allow voice calls over data channels as well
as other media types—pictures, video, audio files, and more.
End users will rely on presence data to control and filter
whom they attempt to contact and who is able to contact
them based on stated availability and user-controlled profiles.
Users will be able to tell the IM system they are available but
also further define availability in any number of ways—available
for work-related contacts only or only available after 5
p.m. for chats about happy-hour plans. This ability to control
and alter a user’s profile limits incoming messages to those
that the user deems currently relevant and useful.
Imagine using presence info the next time you want to call
someone. Often you wouldn’t bother calling if you knew they
weren’t available; you would simply call later or perhaps
choose to call someone else.

You know that those who call you or send you messages
aren’t all your friends or family—businesses such as retailers
are eager to reach out and contact you. Technologies such as
Bluetooth will allow businesses to send information to your
phone as you pass near their location. This initially sounds
good if you want this info but a real inconvenience if you
don’t. What if you could control what you receive? Imagine a
profile that you set up to allow info from restaurants—
menus, specials, seating availability—on a Friday night as you
are walking around looking for a place to eat.
This could be useful. The profile would block messages
from stores and other businesses that you aren’t currently
interested in. This could be reversed the next morning when
you are in shopping mode and could care less about finding
a place to eat. The ability to receive information and begin a
text or voice discussion with businesses you choose is valuable
to both parties.

You benefit by getting access to useful data when and how
you choose with complete control over the filtering process.
Companies benefit by knowing who is truly interested and
not offending uninterested consumers with unsolicited
offers. Presence information is an important tool for
location-based services and other messaging services that value
the ability to target who is available and potentially interested
in the message. 148

A continuous user interface

• A continuous user interface. Text messaging with SMS can be
very useful for sending short messages back and forth but the
effort required to open and close the application when sending
more than one or two messages to the same recipient in
a short time can be cumbersome. One way to improve the
SMS process is via a continuous user interface that can save
keystrokes and provide a better user experience. This simply
means that the screen scrolls the text as the two users send
each other messages. This eliminates the need to repeat the
process of opening, closing, and addressing messages to the
same person for the duration of the text discussion.

Interconnection to other online devices

• Interconnection to other online devices. American wireless
users are only now starting to use phones that are capable of
two-way text messaging. One problem is that there won’t be
many other users to exchange text messages with until more
users have a newer SMS-capable phone. Connecting online
PC applications to wireless systems gives the wireless text
users an existing embedded base of PC-based IM users with
which to trade two-way text messages.

IM allows the wireless user to send and receive text messages
to any person logged into the IM system with either a
wireless device or PC. The online population of global IM
users is about 130 million, which increases the size and value
of the network.
Wireless IM requires the user to have the ability to connect
to an IM system. This connection can occur over a number
of different transports such as SMS, circuit-switched data, or
packet-based connections. Some of these methods require
the carrier to have or connect to an IM system that routes
messages between PCs and wireless devices and provides
presence information to users.

INSTANT MESSAGING

Instant messaging (IM) is a very popular fixed Internet application
that allows users to identify who is available for the purpose
of exchanging text messages. IM is different from email or
SMS in that users are able to see “presence” information.

MOBILE ELECTRONIC MAIL

Electronic mail (email) is the transferring of information messages
via an electronic communications system. Initial versions
of email could send short text messages of 1 to 3 pages. Email
technology has evolved (standardized) to allow file attachments,
and new versions of email (such as those using Flash
technology) send animation or video clips as email messages.
Email messaging is probably the best single reason for users
to get connected to the Internet. There were over 400 million
email account users in 1998, and the number of email
accounts is expected to top 1 billion by the end of 2000.
Email messaging has been the leading application (“killer
application”) among online users age 18 and younger. Email is
used by greater than 40 percent of online children under age
13, and almost 60 percent of online children between ages 13
and 18. A large proportion of older children spend their time
online communicating with others via instant messaging.
Wireless email will grow quickly as society adapts to email as
a more vital lifeline of communications, and especially as people
begin to appreciate the convenience and freedom of being
able to connect from anywhere. Additionally, as the wireless
email landscape matures, advanced capabilities such as voiceenabled
text-to-speech, real-time synchronization with desktop
and calendar, intelligent filtering, and security will make wireless
email services a “need to have” rather than “want to have.”

PERSONALIZED COMMUNICATIONS

Personalized communications consist of applications and services
that are based on access to and manipulation of the user’s personal
data. This includes services such as personal information
management, calendar and scheduler management, email messaging,
unified messaging, chat, and community participation.
Wireless Internet applications will add value to personalized
communications by increasing a user’s ability to access
personal data while mobile. We’ve all experienced situations
where some small piece of data isn’t there when we need it. But
no matter how hard we wish we had not forgotten that contact
name, phone number, date, or account number, it still refuses
to magically appear. Wireless applications will enable users to
wirelessly retrieve data that may be typically stored in various
other digital systems. These applications will often be a substitute
for another method of access but will add value by retrieving
just enough data to get the task done.
Key drivers for personalized communication applications are:
• Time sensitive data. Data that has a very short useful life—
wait too long and you’ll miss out on some opportunity.
• Security and privacy. Data that you might not want to carry a
hardcopy of for fear of losing it—account numbers, passwords,
and personal information that you’d rather not carry
with you.
• Access to others. Applications that allow users to contact and
receive messages from others regardless of the method used
by the sender—emails, faxes, voice mail, instant messages,
electronic reminders, and other personal communication.
Other application areas of personal communications where
mobility will add value include the following:

CONTENT DELIVERY

Content delivery involves the transport of information from a
source (content provider) to its destination (customer). The
customer usually selects to receive content (such as travel
directions or flight status information). The service provider
may charge a fee for access or may receive a percentage of the
fee paid by the recipient to the content provider (royalty fee).
Some of the more popular content providers include mapping
companies (for directions), music, flight status, weather information,
and other real-time or near real–time information
sources. The actual information content is often provided
through an application service provider (ASP) and transferred
through an Internet portal (gateway). The ASP usually manages
and updates the content, and the wireless provider provides
the transport to the end customer.

PERSONALIZATION

Many of these applications and services are increasingly being
tailored to individual tastes. As people customize services to suit
their use of the Internet, its usefulness will increase considerably.
The wireless device tends to be a personal device with a
single primary user, unlike personal computers that are commonly
shared among users. Because mobile devices are frequently
used and almost always with the user, wireless operators
can exploit the wireless device’s access to time- and locationcritical
information. As these services, content, and applications
become more personalized and location based, users have richer,
more rewarding, and more relevant experiences. This information
will be based on the user’s own information—“my
news,” “my banking,” “my investment portfolio”—to make it
absolutely specific and relevant to the user.
Additionally, every user will be able to create his own content
including video, animation, still images, and text and all
the information will be in digital, transferable form. User-generated
content will be a very important portion of the multimedia
Wireless Internet business model. The importance of
the Wireless Internet device as an instrument for information,
entertainment, and transactions will increase as physical
boundaries dissolve.

MESSAGING—THE FIRST WIRELESS INTERNET APPLICATION

If you are reading this book you probably already know that short
messaging service (SMS) or text messaging is getting to be a
pretty hot topic these days. Everyone has heard about the SMS
explosion in Europe and Asia—5 billion in March 2000, 9 billion
in September 2000, and over 53 billion in the first 3 months of
2001. Amazing isn’t it? Then again—short messaging started a
long time ago, before digital phones or cellular even! Back when
all they had was an alphabet and two towers—or two hilltops to
be exact.
The Greeks invented the first wireless text messaging
before the birth of electricity. Back around 400 BC the Greeks
developed a way to represent each letter in the Greek alphabet
using a combination of five torches, lit and unlit, to spell out
messages from one hilltop to another.
It wasn’t perfect—bad spelling, slow throughput, “wind
static,” and size were issues. And in the end it was much like
today: They still didn’t have great coverage in the valley and
wearing the equipment on your belt made you look like a geek.
Wireless technology has allowed people all over the world
to maintain business and social connections regardless of location.
This emphasis on personal communications will carry
over into Wireless Internet applications through various forms
of messaging. Messaging applications allow users to send short
pieces of information to others in near real time but allow the
recipient to reply when convenient. Messaging applications
will also follow the evolution from simple text to full multimedia,
and in the process teach consumers a new way of communication.
Messaging applications will be used in ways that
simple voice communications have not been used and such
applications are critical to the success of the Wireless Internet.

The initial demand for Wireless Internet usage comes from
young users. Simple text messaging has been the first real wireless
data success story for European and Asian carriers. Those
of you who think that this was a well-planned and orchestrated
strategy might be interested to know that it didn’t quite roll
out that way. The first SMS was sent from a PC to a GSM
phone back in December 1992. Even though it was available in
the majority of GSM networks and devices soon after, SMS did
not actually take off until almost 1999. The challenges with
simple text messaging were very similar to the challenges
Wireless Internet applications face today.
GSM carriers and device manufacturers have evolved SMS
over the years to overcome challenges in:
• Screen size
• Navigation
• Text input
• Billing
• Interconnection
• Roaming
Although SMS is now a primary source of revenue growth
for many GSM carriers worldwide it is an application still very
much in its infancy. Carriers in the Americas, especially TDMA
and CDMA carriers, have been slow to roll out simple text messaging
services within their own networks. Closed networks,
devices not capable of originating messages, and billing issues
have hindered the critical mass needed for mass adoption, but
progress is being made. Most U.S. carriers have launched simple
text messaging and are working towards promotions to
encourage trial and usage. Interconnection among competing
carrier networks is in discussion, and companies offering data
clearinghouses for SMS have opened for business.
SMS, as a first Wireless Internet application, offers consumers
more than voice can. Concerned carriers are discovering
that SMS doesn’t cannibalize voice usage, despite being an alternative,
but actually supplements and may increase voice traffic.

When compared to voice, text messaging is described as
being less intrusive, more accurate, and more private as well as
being fun, addictive, and lower cost than making a wireless
phone call. Users often send text messages to communicate
things that they would not or could not in a voice call.
The initial demand for Wireless Internet in North America
came from the mobile professional and business user. The lack
of simple text messaging on cellular phones created a market
for simple text messaging devices such as the RIM BlackBerry
device (Figure 4-3) that allows users to send and receive short
email messages. The initial high cost of these devices and services
has resulted in quicker adoption by business enterprise
rather than the consumer youth adoption that is occurring outside
of North America.
Whether we start with young consumers or business professionals,
growth will depend on efforts to further educate the
market about the possibilities of Wireless Internet services,
applications, and content. 142

MOBILE PORTALS

Now that devices are moving towards an operating system that
makes it easy to download and run applications designed for
small mobile devices, users need a point of entry to the Internet.

A mobile portal is such a gateway or entry point, adapted to
the particular circumstances of wireless mobile access to the
Internet. In addition to optimizing access to the Wireless
Internet, mobile portals aggregate and structure content and
links and provide navigation tools. Mobile portals provide links
to applications that can be purchased and downloaded onto the
device and used on- or offline. Although Internet portals have
existed for some time, these existing fixed-line portals are
designed for fixed wireless access; they have content and revenue
strategies that do not easily fit the needs of the mobile user.
Fixed line portals have brand recognition and access to content
deals but no real experience with wireless. Wireless operators
have experience in dealing with wireless voice users but
know little about the portal business. The mobile portal startups
often have experience in both areas, but lack brand recognition
and financial resources. Despite these limitations the
start-ups do have an advantage because they are focused on the
market and not distracted by nonmobile operations.
The revenue model for mobile portals is a combination of
subscription, advertising, and transaction revenue. Portal operators
that have an existing billing relationship with end users
currently have an advantage in terms of billing but all portal
operators will eventually offer “mobile wallet” services that
enable users to pay for items (including services and subscriptions)
over the same wireless connections. The mobile wallet is
a password-protected area in your phone which contains your
credit card or debit card information. When you want to purchase
something, all you need to do is retrieve the virtual credit
card to complete the purchase.

Users will not be easily convinced to pay for access to content
that is freely available on a fixed Internet connection.
Content value must come from filtered and analyzed information
as well as from secure and personalized services that maximize
end user communications while minimizing time spent
navigating and searching.

The mobile portals of today allow network operators to finetune
services and applications to meet the requirements of
their customers, allow operators to gain control over content,
and position the customer base to be migrated to Wireless
Internet applications, content, and portals, while creating entry
barriers for other competitors.