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Analysis: Apple Widens Tablet Market Gap With iPad 2, But Will Wireless Benefit?

WASHINGTON, March 17, 2011 – Apple’s initial iPad 2 sales and projections for 2011 say while that Apple probably will not face much competition in tablet sales, the competition for wireless data plans for the device are heating up.

Apple sold over 15 million of the original iPad, and brisk resales of used iPads on eBay, Gazelle, and other resale sites indicate that the original model is still quite popular. Analyst Mike Abramsky of RBC Capital Markets sees upgrades from the original iPad comprising only a fifth of iPad 2 over the next 12 months. That means that the remaining 80 percent of iPad 2 purchasers will likely be new to the tablet platform. Abramsky projects Jobs and Company will sell 28 million of its new model touchscreen tablet by the end of the calendar year.

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WASHINGTON, March 17, 2011 – Apple’s initial iPad 2 sales and projections for 2011 say while that Apple probably will not face much competition in tablet sales, the competition for wireless data plans for the device are heating up.

Apple sold over 15 million of the original iPad, and brisk resales of used  iPads on eBay, Gazelle, and other resale sites indicate that the original model is still quite popular. Analyst Mike Abramsky of RBC Capital Markets sees upgrades from the original iPad comprising only a fifth of iPad 2 over the next 12 months. That means that the remaining 80 percent of iPad 2 purchasers will likely be new to the tablet platform.  Abramsky projects Jobs and Company will sell 28 million of its new model touchscreen tablet by the end of the calendar year.

Apple has not seen any real competition in the tablet format. Data from market research firm IDC shows that Apple snagged nearly three-quarters of the tablet market during the fourth quarter of 2010. Samsung’s Galaxy tablet, which the company introduced in late 2010, offered some competition, but for the year the iPad captured a whopping 83 percent of the market. IDC predicts Apple to hang onto an 80 percent market share through 2011 and that the introduction of a the iPad 2 may only serve to widen the gap. Many analyst have pointed to the flexibility Apple offers in having six iPad models which do not require a data contract to achieve a relatively affordable price point.

The iPad 2 comes with an available 3G wireless data option through either Verizon or AT&T, but the device can not switch between these carriers due to their differing wireless technologies.  In order to attract customers, both carriers have created tiered data plans based on anticipated usage, ranging from 250 MB to 5 GB or more if consumers are willing to pay. Given that a recent Cisco analysis points to the average tablet user uses over 400MB of data a month – and that this consumption will likely only grow – the lower bandwidth plans seem like they may be less popular, and may possibly make consumers unhappy if they are charged for exceeding their cap.

Apple iOS users point to the graphics based touch environment on the iPad 2 as a prime reason for higher data use, and the higher likelihood a user will look at a full webpage, pictures, or video on the iPad’s large screen as opposed to just viewing text, the way they might on a smaller smartphone screen. The significant graphics improvement may only draw more users to the iPad.  A recent graphics benchmark by AnandTech tested the iPad 2 against the original iPad and the Motorola Xoom, which the company launched a scant two months ago at the Consumer Electronics Show. The iPad 2 outperformed both tablets significantly.

Other wireless carriers are keen to tap into the mobile market as Virgin Mobile, and Sprint have all introduced mobile devices that  are specifically marketed to iPad and laptop users. T-Mobile expects to hop on the wagon in the near future as well.  These devices allow users to connect to their wireless networks through Wi-Fi. In fact many veteran Apple users are hesitant to pay the extra $130 for the ability to use 3G on their iPads.

“With many networks moving to 4G, and cheaper devices that will allow me to share my wireless connection with other Wi-Fi devices, it seems silly to buy a 3G iPad,” said one user who wished to remain anonymous because he works for Apple.

Other current AT&T and Verizon iPhone customers are hoping to use the Wi-Fi tethering feature that was introduced with the most recent operating system in lieu of purchasing a 3G plan with their iPad. AT&T recently increased the data cap from 2GB to 4GB for the users who pay for the tethering feature.

Marguerite Reardon of CNET agreed, pointing out,  “Aside from the $130 premium you’re paying for the 3G radio in the iPad 2, AT&T and Verizon also aren’t making it terribly attractive to subscribe to the iPad data service if you’ve already got a phone that can create a Wi-Fi hot spot.”

Nate Hakken is a native of Washington, DC. As the son of two itinerant academics, Nate spent much of his childhood living in England and Scandinavia. He has a B.A. from Sarah Lawrence College, as well as a J.D. from Vermont Law School, where he studied Internet and technology law. Nate is a jack-of-all-trades, having worked as a sound engineer, teacher, camp director, outdoor adventure guide, and medical researcher. Outside of work, he is an avid cyclist who competes across the Mid-Atlantic and has been known to play the guitar when asked nicely.

Broadband Data

TPRC Conference to Discuss Definition of Section 230, Broadband, Spectrum and China

Broadband Breakfast briefly breaks down the topics to be discussed at the TPRC conference.

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Photo collage of experts from TPRC

WASHINGTON, September 17, 2021 – The TPRC research conference on communication, information, and internet policy is right around the corner and it is set to address some of the most pressing issues facing Big Tech, the telecom industry, and society at large. We cover some topics you can expect to see covered during the conference on September 22 to 24.

If the recent election cycle and the Covid-19 pandemic have taught us anything, it is that the threat of misinformation and disinformation pose a greater threat than most people could have imagined. Many social media platforms have attempted to provide their own unique content moderation solutions to combat such efforts, but thus far, none of these attempts have satisfied consumers or legislators.

While the left criticizes these companies for not going far enough to curtail harmful speech, the right argues the opposite— that social media has gone too far and censored conservative voices.

All this dissent has landed Section 230 of the Communications Decency Act of 1996—once a staple in the digital landscape—in the crosshairs of both Democrats and Republicans, as companies still scramble to strike a compromise to placate both sides of the aisle.

Definition of broadband

The future of broadband classifications is another topic that will also be touched on during the conference. This topic quickly became relevant at the outset of the pandemic, as people around the country began to attend school and work virtually.

It became immediately clear that for many Americans, our infrastructure was simply insufficient to handle such stresses. Suddenly, legislators were rushing to reclassify broadband. Efforts in Washington, championed primarily by Democrats, called for broadband standards to be raised.

The Federal Communications Commission’s standing definition of 25 Megabits per second (Mbps) download and 3 Mbps upload appeared to become unpopular overnight, as calls for symmetrical service, like 100 x 100 Mbps speeds, and even gigabit speeds became a part of the conversation.

Many experts were quick to strike back, particularly those operating in the wireless community, arguing that the average consumer does not need 100 Mbps symmetrical speeds, let alone one gigabit, and such efforts only amounted to fearmongering that would hurt the deployment of broadband infrastructure to unserved communities.

These experts contend that shifting the standards would diminish the utility and viability of any technology other than fiber, as well as delaying when unserved communities (as they are currently defined) can expect to be served. Broader topics surrounding rural broadband and tech-equity will also be prominently featured—addressing many of the questions raised by Covid-19 across the last year and a half.

Future of spectrum

Finally, the quest for spectrum will be discussed at the conference.

As ubiquitous 5G technology continues to be promised by many companies in the near future, the hunt is on to secure more bandwidth to allow their devices and services to function. Of course, spectrum is a finite resource, so finding room is not always easy.

Indeed, spectrum sharing efforts have been underway for years, where incumbent users either incentivized or are compelled to make room for others in their band—just like we saw the military in the Citizens Broadband Radio Service band, and more recently between the Department of Defense and Ligado in the L band.

Even though these efforts are ongoing, there is still disagreement in the community about how, if at all, sharing spectrum will impact users in the band. While some argue that spectrum can be shared with little, if any, interference to incumbent services, others firmly reject this stance, maintaining that sharing bandwidth would be catastrophic to the services they provide.

On China

China is also going to be a significant topic at the conference. Due to the competitive nature of the U.S.-China relationship, many regard the race to 5G as a zero-sum game, whereby China’s success is our failure.

Furthermore, security and competition concerns have led the U.S. government to institute a “rip and replace” policy across the country, through which Chinese components—particularly those from companies such as Huawei—are torn out of existing infrastructure and substituted with components from the U.S. or countries we have closer economic ties with. The conference will feature several sessions discussing these topics and more.

Register for TPRC 2021

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Broadband Breakfast on Wednesday, September 15, 2021 — A ‘Consumer Confidence’ Survey for Broadband

BroadbandNow launches a “consumer confidence” survey.

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Our Broadband Breakfast Live Online events take place every Wednesday at 12 Noon ET. You can watch the September 15, 2021, event on this page. You can also PARTICIPATE in the current Broadband Breakfast Live Online event. REGISTER HERE.

Wednesday, September 15, 2021, 12 Noon ET — BroadbandNow Presents a ‘Consumer Confidence’ Survey for Broadband

As part of its efforts to provide the latest research on the social, economic and political issues contributing to the digital impact and the impact of broadband on everyday life, BroadbandNow is launching a new survey among broadband leaders enthusiasts. Think of this as a “consumer confidence” survey for broadband.

Recently, there have been many changes regarding broadband at the federal, state, local and industry levels. BroadbandNow and Broadband Breakfast aim to launch the survey at a presentation during Digital Infrastructure Investment 2021, a mini-conference at the Broadband Community Summit in Houston, Texas, from September 27-30, 2021.

Join us on September 15, 2021, for this special Broadband Breakfast Live Online preview of the survey with John Busby, Managing Director of BroadbandNow, and Drew Clark, Editor and Publisher of Broadband Breakfast.

Panelists for the event:

  • John Busby, Managing Director of BroadbandNow
  • John B. Horrigan, Senior Fellow, Benton Institute on Broadband & Society
  • Drew Clark (moderator), Editor and Publisher of Broadband Breakfast

Panelist resources:

  • John Busby is the Managing Director of BroadbandNow.com, where millions of consumers find and compare local internet options and independent research is published about the digital divide. Prior to BroadbandNow, John held senior leadership positions at Amazon and Marchex. John holds a Bachelor’s Degree from Northwestern University.
  • John B. Horrigan, Ph.D., is Senior Fellow at the Benton Institute on Broadband & Society, with a focus on technology adoption and digital inclusion. Horrigan has served as an Associate Director for Research at the Pew Research Center and Senior Fellow at the Technology Policy Institute. During the Obama Administration, Horrigan was part the leadership team at the Federal Communications Commission for the development of the National Broadband Plan (NBP).
  • Drew Clark, Editor and Publisher of Broadband Breakfast, also serves as Of Counsel to The CommLaw Group. He has helped fiber-based and fixed wireless providers negotiate telecom leases and fiber IRUs, litigate to operate in the public right of way, and argue regulatory classifications before federal and state authorities. He has also worked with cities on structuring Public-Private Partnerships for better broadband access for their communities. As a journalist, Drew brings experts and practitioners together to advance the benefits provided by broadband, and – building off his work with Broadband Census – was appointed Executive Director of the Partnership for a Connected Illinois under Gov. Pat Quinn. He is also the President of the Rural Telecommunications Congress.

BroadbandNow is a data aggregation company helping millions of consumers find and compare local internet options. BroadbandNow’s database of providers, the largest in the U.S., delivers the highest-value guides consisting of comprehensive plans, prices and ratings for thousands of internet service providers. BroadbandNow relentlessly collects and analyzes internet providers’ coverage and availability to provide the most accurate zip code search for consumers.

See also:

WATCH HERE, or on YouTubeTwitter and Facebook

As with all Broadband Breakfast Live Online events, the FREE webcasts will take place at 12 Noon ET on Wednesday.

SUBSCRIBE to the Broadband Breakfast YouTube channel. That way, you will be notified when events go live. Watch on YouTubeTwitter and Facebook

See a complete list of upcoming and past Broadband Breakfast Live Online events.

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Broadband Data

New Broadband Mapping Fabric Will Help Unify Geocoding Across the Broadband Industry, Experts Say

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Photo of Lynn Follansbee from October 2019 by Drew Clark

March 11, 2021 – The Federal Communications Commission’s new “fabric” for mapping broadband service across America will not only help collect more accurate data, but also unify geocoding across the broadband industry, industry experts said during a Federal Communications Bar Association webinar Thursday.

Broadband service providers are not geocoding experts, said Lynn Follansbee of US Telecom, and they don’t know where all the people are.

The new fabric dataset is going to be very useful to get a granular look at what is and what is not served and to harmonize geocoding, she said.

AT&T’s Mary Henze agreed. “We’re a broadband provider, we’re not a GIS company,” she said. Unified geocode across the whole field will help a lot to find missing spots in our service area, she said.

The new Digital Opportunity Data Collection fabric is a major shift from the current Form 477 data that the FCC collects, which has been notoriously inaccurate for years. The effort to improve broadband mapping has been ongoing for years, and in 2019 US Telecom in partnership with CostQuest and other industry partners created the fabric pilot program.

That has been instrumental in lead to the new FCC system, panelists said. It is called a “fabric” dataset because it is made up of other datasets that interlace like fabric, Follansbee explained.

The fabric brings new challenges, especially for mobile providers, said Chris Wieczorek of T-Mobile. With a whole new set of reporting criteria to fill out the fabric, it will lead to confusion for consumers, and lots of work for the new task force, he said.

Henze said that without the fabric, closing the digital divide between those with broadband internet and those without has been impossible.

Digital Opportunity Data Collection expected to help better map rural areas

The new mapping can help in rural areas where the current geolocation for a resident may be a mailbox that is several hundred feet or farther away from the actual house that needs service, Follansbee said.

Rural areas aren’t the only places that will benefit, though. It can also help in dense urban areas where vertical location in a residential building is important to getting a good connection, said Wieczorek.

The fabric will also help from a financial perspective, because of the large amount of funding going around, said Charter Communications’ Christine Sanquist. The improved mapping can help identify where best to spend that funding for federal agencies, providers, and local governments, she said.

There is now more than $10 billion in new federal funding for broadband-related projects, with the recent $3.2 billion Emergency Broadband Benefit program as part of the Consolidated Appropriations Act in December 2020 and the new $7.6 Emergency Connectivity Fund part of the American Rescue Plan that President Joe Biden signed into law Thursday.

The new FCC task force for implementing the new mapping system was created in February 2021, and is being led by , led by Jean Kiddoo at the FCC. No specific dates have been set yet for getting the system operational.

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