Worst of the Week: Bumpy ride through the cloud

Hello! And welcome to our Friday column, Worst of the Week. There’s a lot of nutty stuff that goes on in this industry, so this column is a chance for us at RCRWireless.com to rant and rave about whatever rubs us the wrong way. We hope you enjoy it!

And without further ado:

Not a minute seems to go by where some company does not announce some new awesome application or service that is made even more awesome by its ability to do whatever it does from just about anywhere. This movement towards being unwired anywhere at any time is gaining momentum due to the tech industry’s love affair with the “cloud.” Also known as server farms run by large corporations where all of your information is kept safe (?) and secure (?) for you whenever you need it.

A number of companies in this cloud game offer customers multiple gigabytes of storage capacity for their personal content and applications that allow access to that content from a smartphone. I am guessing most assume these transfers of data will be handled over a Wi-Fi connection, but from my own personal experience most people I know with smartphones rarely turn on their Wi-Fi radio and rely strictly on their cellular connection.

Not that I put much faith in prognostications, but iSuppli put out a little report this week noting that Internet-enabled consumer electronic devices will outsell personal computers in 2013. Now I know most of those devices will likely access the Internet through a wired broadband or Wi-Fi connection, but I am thinking that people are going to eventually want more anytime, anywhere connectivity from their CE.

Just this week, a Qualcomm exec touted the game-changing nature of the cloud and applications for the mobile space said such services would make always-on connectivity that much more important for consumers.

Of course, it does appear that those people coming up with all of these cool applications and services forgot to hip wireless carriers to the news. You know wireless carriers? Those people that run the cellular networks that must carry all of this information back and forth?

All of these vast storage lockers are a great idea, especially if people really don’t want to or have to access them from anywhere at any time. But if you do, get set for overages, which no one wants, or to have your download speed throttled down to the pre-3G era, which no one wants.

Perhaps this is all a good thing. I can still remember the push for 3G was led by carriers rolling out unlimited data packages, which they had to eventually cap because low and behold, customers were using the services. First it was with data cards attached to personal computers, and more recently with smartphones. (I know not everyone is capping data usage on smartphones … yet, but it seems inevitable.)

Now, with everyone worth their salt offering some sort of “cloud” service, wireless carriers are in a bit of a pickle. They go on and on touting the speeds and abilities of their networks, yet don’t want customers to really use those networks. I guess this is sort of how most service industries work. You want to offer people access to the buffet, but don’t really want them to park themselves in front of the fried shrimp tray.

Carriers are currently trying a number of ways to manage that traffic flow. Verizon Wireless has gone with larger and more expensive bucket options; AT&T Mobility and T-Mobile USA have tried a mix of overage charges and speed throttling; while Sprint Nextel is currently staying with unlimited data access for its smartphones.

Obviously, Sprint Nextel’s strategy is the most consumer friendly, but questions remain as to how much longer that model can remain supported? Verizon Wireless seems to be at least placing a price for greater access, which could teach consumers the value of the service as well as providing a return for the carrier’s investment. The overage/throttling model used by AT&T Mobility and T-Mobile USA, as well as others, seems to be the most consumer unfriendly as it both punishes with unexpected overage charges as well as throttles network speeds, which only leads to consumer dissatisfaction.

Perhaps over time and with enough financial “incentive” consumers will learn to use cheaper alternative wireless connections from their mobile devices, but that could be a painful process for both consumers and the industry.

I have stated repeatedly that I have no problem with carriers charging a fair price for using wireless data services, but I do think that the industry has done a poor job of getting that message to consumers. And with tech firms tripping over themselves to put out applications and services that offer consumers more and more, usually backed by a wireless connection, those communications skills need to be updated.

OK, enough of that.
Thanks for checking out this week’s Worst of the Week column. And now for some extras:

–It was refreshing this week to see a pair of “regular” phones unveiled in what has become an ongoing parade of new smartphone launches. Both devices were launched by Verizon Wireless; one the Samsung Convoy 2 and the other the LG Revere.

Of the pair the Convoy 2 seemed the most compelling to my simplistic mind as it is built to ruggedized standards, as well as appearing to be a sequel to one of the most influential movies of my childhood.

All I know is that when I was a kid all I wanted to do was be a truck driver and crash through houses.

–Who said American industry is dead: http://www.cellpig.com/

–And finally, a little Darwinism at play for your Friday: http://www.thesteersafe.com/

I welcome your comments. Please send me an e-mail at: dmeyer@rcrwireless.com.

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