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MOBILE REPORT / OCTOBER 2012
A MONTHLY
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                                    MOBILE NEWS,
                                 VIEWS, EVENTS &
                                  DEVELOPMENTS
                                     LOCALLY AND
                                          ABROAD
2   MOBILE REPORT/OCTOBER 2012
HOW TO USE THIS REPORT


    » This report is intended as an easy-to-reference tool
    » It is a resource that allows you to easily flip through in
      your own time – and not to necessarily read it from
      front-to-back




3   MOBILE REPORT/OCTOBER 2012
EXECUTIVE SUMMARY
      1.      There are now more than 1 billion smartphones in circulation worldwide, with
              the next billion predicted to be reached by 2015
      2.      South African mobile networks race to launch commercial LTE services
              before the end of 2012
      3.      The world has been glued to their mobile phones for the Red Bull Stratos
              space jump, and the approach of Hurricane Sandy on American shores
      4.      Facebook reaches milestone of 1 billion monthly active users, meaning nearly
              1 in 7 people is on Facebook
      5.      Alan Knott-Craig Jnr steps down as CEO of Mxit due to internal conflict
              between the company’s shareholders about the future vision of the instant
              messaging and social networking platform



4   MOBILE REPORT/OCTOBER 2012
EXECUTIVE SUMMARY
     6.      There are events and awards like The Digital Edge Live, the 2012
             MyBroadband Conference, Tech4Africa 2012 the MMA Smarties Awards, and
             the announcement of The Bookmarks finalists
     7.      October marks the one year anniversary of the passing of Apple CEO Steve
             Jobs
     8.      InMobi closes down its operations in South Africa and will be run from its
             London base
     9.      Stats SA releases the results of the Census 2011 counting 51,770,560 people
             in the country with 89% of households owning a cellphone, but poor Internet
             penetration



5   MOBILE REPORT/OCTOBER 2012
EXECUTIVE SUMMARY
     10. We see the launch of new products like Apple’s Mini iPad, Apple’s 4th
         Generation iPad, Microsoft Windows 8 OS, Windows 8 Phone and Google’s 10
         inch Nexus
     11. Speculation mounts over a potential merger between Cell C and 8ta however
         the two parties are not commenting on the rumours
     12. Banks are finding their own in the mobile space, taking different directions in
         their current mobile products and services offering like Nedbank’s My
         Financial Life tool, Standard Bank’s partnership with Microsoft and FNB’s
         deal with mPowa
     13. Social networks take advantage of their unique platforms to introduce
         innovative offerings for both the user and the media like Twitter Surveys,
         LinkedIn’s Influencer Following tool, and Facebook’s Mobile App Installs Ads


6   MOBILE REPORT/OCTOBER 2012
CONTENTS

    » Section 1: Mobile Landscape…………………………………….8
    » Section 2: Mobile Handsets & Operating Systems……25
    »    Section 3: Mobile Networks…………………………………....33
    »    Section 4: Mobile Banking……………………………………….39
    »    Section 5: Social Networks………………………………………45
    »    Section 6: Summary & Contacts……………………………...56

7   MOBILE REPORT/OCTOBER 2012
SECTION 1

           MOBILE LANDSCAPE


8   MOBILE REPORT/OCTOBER 2012
1 BILLION
SMARTPHONES IN USE
»    Sixteen years after the first modern smartphone was
     introduced, there are now more than a billion
     smartphones in use worldwide
»    This is according to the latest research by Strategy
     Analytics, which estimates that 1 in 7 people around
     the world owned a smartphone in the 3rd quarter of
     2012
»    According to Strategy Analytics’ figures, in the 3rd
     quarter of 2011, there were 708 million smartphones
     in use worldwide. This figure has now jumped to
     1.038 billion handsets, and is increasing
     exponentially




                                                            ITWeb, 18 October 2012

9   MOBILE REPORT/OCTOBER 2012
SMARTPHONES TO BECOME
 AFRICAN STANDARD
»     Industry professionals say rapidly dropping smartphone
      prices will play a major role in bringing the Internet to
      Africans over the next 5-10 years
»     Aidan Baigrie, head of business development at undersea-
      cable company Seacom, says, with some smartphones
      already dropping below the $100 (about R870) threshold
      and sub-$50 (about R435) devices inbound, smartphones
      are rapidly falling to price levels that make them accessible
      to a larger market in Africa
»     In mid-2012, about 10 million smartphones were in use in
      SA. Arthur Goldstuck points out that of those users, around
      3 million will upgrade next year, and a further 2-2.5 million
      people will buy a smartphone for the first time, bringing
      smartphone penetration to 25% ,“Other African countries
      will follow that trend, if behind SA.”

                                                                      ITWeb, 24 October 2012

10   MOBILE REPORT/OCTOBER 2012
MOBILE SUBSCRIPTION IN REGION
 TO INCREASE RAPIDLY
 »    Mobile and fixed telephony subscribers in sub-
      Sahara Africa are expected to reach 266.1 million by
      2017, while Internet subscribers will hit 77.5 million
      according to research released by Frost & Sullivan
 »    In 2010 there were 181.7 million mobile and fixed
      telephony subscribers and 29.8 million internet
      subscribers in the region.
 »    In the past 4 years many undersea cables were
      launched in Africa that has resulted in some
      reduction in wholesale bandwidth prices




                                                               Bizcommunity, 11 October 2012

11   MOBILE REPORT/OCTOBER 2012
TECH BRANDS DOMINATE
 BEST GLOBAL BRANDS
 »    In results of the Interbrand Best Global Brands
      2012 survey, Coca Cola retained its number one
      spot and got a valuation of US$ 77 billion
 »    However it was the tech brands that once again
      dominated the rankings – Apple came in at number
      two with a valuation of US$ 76 billion, followed
      closely by IBM (3), Google (4), Microsoft (5), Intel (8)
      and Samsung (9)
 »    Apple was a star performer, going up six places
      from its 2011 ranking, and seeing its value increase
      by 129%




                                                                 Bizcommunity, 6 October 2012

12   MOBILE REPORT/OCTOBER 2012
SMARTIES WINNERS
 ANNOUNCED
 »    The Mobile Marketing Association (MMA), the leading
      global trade association for the mobile marketing
      industry, revealed the Smarties™ winners after
      receiving close to 500 submissions across 19
      categories and 36 countries from around the globe
 »    The Smarties™ is the only global awards programme
      dedicated exclusively to mobile marketing
 »    Three South African winners came out with awards
      and global brand winners included Nike, Land Rover,
      Google and Coca Cola
 »    A full list of winners is available here:
      http://www.mmaglobal.com/news/mma-announces-
      smarties%E2%84%A2-award-winners



                                                            MMA, 3 October 2012

13   MOBILE REPORT/OCTOBER 2012
2012 BOOKMARKS AWARDS
 SHORTLIST ANNOUNCED
 »    The Bookmarks Awards is an initiative launched in
      2008 by the DMMA (Digital Media and Marketing
      Association), a non-profit organisation that aims to
      grow and sustain a vibrant and profitable digital
      industry
 »    The awards are held as an accolade geared towards
      the strengthening of the profile of online media,
      rewarding excellence in digital publishing,
      advertising and marketing, as well as benchmarking
      local talent against international standards
 »    NATIVE is a finalist for 10 awards including Special
      Honours in the Best Agency category
 »    A full list of finalists is available here:
      http://www.thebookmarks.co.za/finalist

                                                             ITWeb, 18 October 2012

14   MOBILE REPORT/OCTOBER 2012
DIGITAL EDGE LIVE SHOW
 ENCOURAGES INDUSTRY DEBATE
 »    A host of top digital thinkers and marketing fundies
      gathered in Cape Town's prestigious City Hall for the
      highly-anticipated joint seating of parliament at
      the Digital Edge Live Show - National Assembly,
      presented by NATIVE and Living your Brand
 »    Local marketing mavericks and industry heavyweights
      faced off in a battle of wits and opinion that led to
      rigorous debate on issues and key trends facing the
      marketing environment
 »    Headlining the event was International Speaker Nathan
      Martin, founder of Deeplocal
 »    Visit @Digitedge or view the #tdelive thread to relive the
      action



                                                                   Bizcommunity, 15 October 2012

15   MOBILE REPORT/OCTOBER 2012
TECH4AFRICA 2012: UNLOCKING
 THE NEXT BILLION CUSTOMERS”
 »    Given that seven of the world’s ten fastest
      growing economies are in Africa, it’s likely that
      the continent will form a large portion of that
      next billion. It makes sense that a conference
      that bills itself as Africa’s “premier mobile, web
      and emerging technology event”, should choose
      it as a theme then
 »    Sessions focused around mobile and content, the
      enterprise opportunity, entrepreneurship and
      financing, social business and innovation
 »    Angus Robinson together with Pete Case spoke
      about the creative process in the digital “value
      chain in the journey to understand what each role
      player adds to the final product




16   MOBILE REPORT/OCTOBER 2012
2012 MYBROADBAND CONFERENCE
 ATTRACT OVER 1000 DELEGATES
 »    The 2012 MyBroadband Conference took place at
      Vodacom World bringing together the biggest
      names in the South African telecommunications
      industry
 »    The conference is the biggest of its kind in South
      Africa and attracted a record attendance of 1,600
      delegates from across the country, who included
      CEOs and CTOs from the largest ICT companies
      in SA
 »    The high profile speakers at the event did not
      disappoint: the first commercial LTE service in
      South Africa was launched by Vodacom; 8ta
      demonstrated their new LTE offering; and DFA
      announced a new, more affordable long-distance
      fibre service

                                                           MyBroadband, 11 October 2012

17   MOBILE REPORT/OCTOBER 2012
ORNICO LAUNCHES NEW MOBILE
 ADVERTISING MONITORING PRODUCT
 »    After a year-long test phase Ornico has launched of its
      mobile advertising monitoring product, the first of its
      kind in South Africa
 »    South Africa currently ranks number 28 on the list of
      countries with the most mobile phones globally
 »    With approximately R500-million spent on mobile
      marketing in 2010, Vodacom, Mxit and Google all
      predicted that R1bn would be spent in South Africa by
      this year
 »    During Ornico's test phase some very interesting
      insights have become apparent, for example,
      Insurance companies feature prominently on PCM’s
      (Please Call Me's)



                                                                Bizcommunity, 15 October 2012

18   MOBILE REPORT/OCTOBER 2012
INMOBI PULLS
 OUT OF AFRICA
 »    Multi-national mobile ad network InMobi is set to
      close up operations in Africa and Russia
 »    In a statement, InMobi admitted that it would be
      closing the offices, but said that it would continue
      servicing the affected markets:
 »    “We are changing the way we service the Africa and
      Russia markets. InMobi will continue to service any
      markets affected by these changes through
      centralised sales teams located in our regional
      centres”
 »    Sources close to Memeburn say that all the staff in
      the African office will either face retrenchment or
      have to move to London



                                                             Memeburn, 23 October 2012

19   MOBILE REPORT/OCTOBER 2012
AUGMENTED REALITY FOR
 ARNO’S NEW MUSIC VIDEO
 »    Augmented reality (AR) is a computer-generated overlay
      of information, text, video, graphics or even games on a
      real-world scene, object or image
 »    The September edition of Rolling Stone SA is one of the
      first mainstream examples of AR in South Africa
 »    “Hovering” in the air above the cover photo of Arno
      Carstens is a small logo reading “view with Layar”. Layar
      analyses the cover and finds the code that launches
      Carstens’ new music video Two Dogs
 »    Aside from affirming Carstens creative powers, it also
      signals the first mass market attempt at popularising AR
      locally




                                                                  Gadget, 15 October 2012

20   MOBILE REPORT/OCTOBER 2012
WORLDS MOST
 INTERACTIVE PRINT AD
 »    A Lexus 2013 ES changes colors, turns on its
      headlights and exposes its interior as throbbing music
      plays in this highly interactive print ad in Sports
      Illustrated
 »    Using a Lexus-created technology called CinePrint,
      the ad comes to life only when you put an iPad behind
      the printed page that’s displaying the iPad edition of SI
 »    As the release from Lexus notes, “CinePrint
      Technology” brings one closer to the printed page with
      a multi-sensory experience that combines sight,
      sound, and touch.”
 »    Click here to see the video:
      http://www.youtube.com/watch?v=wSsvdHwk--
      I&feature=player_embedded

                                                                  Mashable, 9 October 2012

21   MOBILE REPORT/OCTOBER 2012
RED BULL STRATOS PULLS
 OFF BEST BRAND STUNT
 »    A record 8 million people watched YouTube's live
      stream as Felix Baumgartner became the first person
      to break the sound barrier with a free fall jump
      128,000 feet above the Earth that reached a speed of
      833.9 miles per hour
 »    Besides YouTube, the jump was also broadcast on 130
      digital outlets. Viewers could download the Red Bull
      TV application, free for both iPhone, iPad and Android
 »    Red Bull's Facebook post-jump photo of Baumgartner
      gained almost 216,000 likes, 10,000 comments and
      over 29,000 shares within 40 minutes, and half the
      worldwide trending topics on Twitter were related to
      Red Bull Stratos. The video has since been watched
      over 10 million times on YouTube


                                                               GottaBeMobile, 14 October 2012

22   MOBILE REPORT/OCTOBER 2012
MOBILE CRITICAL IN MIDST OF
 HURRICANE SANDY
 »    With Hurricane Sandy leaving its mark on the East
      Coast of the United States, mobile is proving its
      mettle as an always-on medium
 »    Industry experts agree that news and weather mobile
      sites are likely to see the biggest impact.
      Additionally, marketers are making sure they are
      monitoring their mobile site performance to make
      sure it is up-to-par
 »    Mobile is critical for users, especially during
      disastrous events such as Hurricane Katrina,
      Tropical Storm Irene and now Sandy
 »    During events such as this, consumers rely on
      mobile apps and sites from services such as The
      Weather Channel and AccuWeather, as well as
      mobile news sites including The New York Times and
      CNN for the most up-to-date information
                                                            Mobile Marketer, 30 October 2012

23   MOBILE REPORT/OCTOBER 2012
CELLPHONE OWNERSHIP
 INCREASES IN CENSUS 2011
 »    Stats SA released the results of its Census 2011
      showing that the number of cellphones in South
      Africa increased significantly, while the number
      of landline telephones plummeted over the last
      decade
 »    According to the Census 2011 results, the
      proportion of households owning cellphones
      significantly increased from 31.9% in 2001 to
      88.9% in 2011
 »    The Census 2011 also showed that less that half
      of South African households have access to the
      Internet
 »    Of those households that had access to the
      Internet, 16.3% accessed it via cellphone, 8.6%
      from home, 5.6% from elsewhere and 4.7% from
      work
                                                         MyBroadband, 30 October 2012

24   MOBILE REPORT/OCTOBER 2012
SECTION 2

        MOBILE HANDSETS &
        OPERATING SYSTEMS

25   MOBILE REPORT/OCTOBER 2012
A GLOBAL VIEW OF THE MOBILE
 INDUSTRY NUMBERS
 »    Smartphone sales penetration continues to
      accelerate, growing from nearly 30% in Q3 2011 to
      nearly 40% in Q2 2012
 »    Nearly 2 out of every 3 smartphones shipped in the
      first half of 2012 were Android devices
 »    Although Symbian is obsolete, it still has a sizable
      installed base – larger than bada and Windows
      Phone combined
 »    In the handset market, Apple and Samsung account
      for 63% of revenues and over 98% of the profits
 »    In the smartphone market, Apple and Samsung claim
      more than half of total shipments



                                                             VisionMobile, 11 October 2012

26   MOBILE REPORT/OCTOBER 2012
WINDOWS 8 TAKES A
 NEW DIRECTION
»     South African consumers and businesses are now able
      to experience all that Windows 8 operating system
      (OS)has to offer: a beautiful new user interface (UI), a
      wide range of apps with the grand opening of the
      Windows Store, available on a broad range of Windows 8
      certified PCs and tablets.
»     The system features an entirely new look and feel,
      which is designed to be used across an array of devices
      like desktops, laptops, tablets and phones.
»     Microsoft Corp Chief Executive Steve Ballmer said the
      company had sold 4 million upgrades to Windows 8 in
      days since the launch, signaling a strong start for the
      new operating system. Ballmer also expects hundreds
      of millions of Windows systems to be sold over the next
      year

                                                                 Gadget, 25 October 2012 MyBroadband, 31 October 2012

27   MOBILE REPORT/OCTOBER 2012
MICROSOFT RELEASES
 WINDOWS 8 PHONE
 »    Following the global launch of Windows 8, Microsoft
      officially released the Windows Phone 8
      smartphone operating system
 »    While many of the features have already been made
      public, some new features revealed by Microsoft
      include 'Data Sense,' 'Rooms' and 'Kid's Corner’
 »    Skype has now also been fully integrated into the
      OS. Manager of the Windows Phone Program at
      Microsoft, Joe Belfiore says for the first time the
      new Skype app is always on. "It's ready to receive a
      call or message at any time, and it does this without
      running code in the background and running your
      battery.”
 »    The handsets will go on sale globally in November


                                                              ITWeb, 29 October 2012

28   MOBILE REPORT/OCTOBER 2012
REMEMBERING STEVE
 »    Apple updated its homepage on the 4th of
      October, a year after the passing of Steve Jobs,
      with a video montage to remember his life and
      death. The nearly two-minute video presents a
      slideshow of Jobs throughout his career and it
      softly ends with “Remembering Steve”
 »    The tribute letter from Apple’s current CEO
      appeared upon completion of the “Remembering
      Steve” video
 »    The video is available here:
      http://www.youtube.com/watch?v=Jj0Qw8ipPLI&
      feature=player_embedded




                                                         9to5Mac, 5 October 2012

29   MOBILE REPORT/OCTOBER 2012
IPAD MINI AND FOURTH
 GENERATION IPAD LAUNCH
»     Apple's CEO Tim Cook, announced the company's latest
      tablet computer, the iPad Mini. It's designed to look like
      a smaller version of the triumphant iPad. It is also
      designed to snatch sales away from Apple's rivals
»     The new smaller iPad features a 7.9-inch display, 1 024
      x 768 resolution, an A5 dual-core processor and up to
      10 hours of battery life. While the iPad Mini will be
      available in both WiFi and cellular models, the entry-
      level 16GB WiFi version has a starting price of $329
»     The fourth-generation full-size iPad was also unveiled
      featuring the same Retina display and design as its
      predecessor but with an A6 processor. The 16GB WiFi
      model starts at $499



                                                                   ITWeb, 25 October 2012

30   MOBILE REPORT/OCTOBER 2012
APPLE APPS NOW
 IN RAND
»     The SA version of Apple’s App Store has begun
      charging customers in rands rather than US
      dollars
»     The change, which took effect on Friday, has
      also brought local-currency versions of the
      store to India, Indonesia, Israel, Russia, Saudi
      Arabia, Turkey and the United Arab Emerates
»     The pricing also applies to Newsstand, the iOS
      app for purchasing magazines and newspapers
»     SA Apple users will no doubt be hoping the
      decision to charge in rand signals Apple’s
      intention to offer the full iTunes Store in SA,
      offering music, movies and book downloads in
      addition to apps

                                                         TechCentral, 26 October 2012

31   MOBILE REPORT/OCTOBER 2012
GOOGLE UNVEILS 10
 INCH NEXUS TABLET
»     Google's new Nexus 10, made in partnership
      with consumer electronics company Samsung
      Electronics, is the first 10-inch tablet to come
      to market under Google's Nexus brand. The
      device, with prices starting at $299, will be
      available on 13 November in the United States
      and seven other countries, Google said in its
      official blog
»     The Internet search engine also updated its
      mobile gadget and online content offerings as
      competition with Apple, Amazon.com and
      Microsoft heats up ahead of the holiday sales
      season



                                                         ITWeb, 30 October 2012

32   MOBILE REPORT/OCTOBER 2012
SECTION 3

              MOBILE NETWORKS


33   MOBILE REPORT/OCTOBER 2012
VODACOM FIRST TO
 SWITCH ON LTE IN SA
 »    Vodacom Group CEO Shameel Joosub announced at
      the2012 MyBroadband Conference, that Vodacom’s
      LTE service has been switched on and is open for
      business
 »    The service is initially available in Johannesburg, with
      other cities to follow in the near future
 »    Joosub said “Vodacom was the first network in SA to
      test LTE more than two years ago. It’s great to claim
      another South African first for Vodacom with the
      launch of LTE services to the public, and it’s even
      more pleasing that we’ve done this ahead of many
      other advanced economies around the world. South
      Africa has joined an exclusive club with the fastest
      connectivity the world has to offer.”


                                                                 Gadget, 10 October 2012

34   MOBILE REPORT/OCTOBER 2012
8TA INVITES SOUTH AFRICANS TO
 TAKE PART IN FREE LTE TRIALS
 »    8ta will switch on a 4G LTE mobile broadband
      network on 1 November and invited selected
      customers in Gauteng to apply to participate for free
      in the trial, which will run until 31 March 2013
 »    “This trial will help us better understand the
      requirements of our customers and the feedback
      from the participants regarding performance and the
      overall experience will inform the refining of our
      commercial offerings to better align with customer’s
      needs,” Telkom Mobile senior managing executive
      Amith Maharaj said
 »    The operator received what it says was an
      “overwhelming response” to its invitation with over
      7 000 individuals responding to the invitation


                                                              TechCentral, 4 October 2012

35   MOBILE REPORT/OCTOBER 2012
8TA COULD BE THE ULTIMATE
 WINNER IN LTE RACE
 »    Telkom and its mobile arm 8ta may be sitting in the
      pound seats when it comes to next-generation
      wireless broadband thanks to its access to a big
      chunk of valuable radio frequency spectrum
 »    Whereas as MTN, Vodacom and Cell C — will have to
      “refarm” or reallocate portions of their existing
      spectrum to provide fourth-generation (4G) services
      based on long-term evolution (LTE) technology,
      Telkom has access to a huge and valuable chunk of
      spectrum in the 2,3GHz band
 »    8ta senior managing executive Amith Maharaj
      believes 3G will become the “smartphone-based
      technology and LTE will be a pure broadband play”,
      “The SA market won’t necessarily need 40Mbit/s on a
      smartphone.”

                                                            TechCentral, 10 October 2012

36   MOBILE REPORT/OCTOBER 2012
“4G” A CONTROVERSIAL
 WORD
»     While, technically speaking, LTE does not equal 4G, the
      vast majority of international operators (81%) have
      accepted the use of this term for reference to the latest
      version of 3G
»     The 4G debate is making headlines again because of the
      launch of LTE in South Africa, and the fact that Vodacom
      previously opposed the use of the term by competitor Cell
      C to describe its HSPA+ network
»     Vodacom relied on the International Telecommunication
      Union’s (ITU’s) which explicitly stated that it does not view
      LTE, WiMax, and HSPA+ as 4G
»     However, globally many vendors and networks are
      branding their LTE products as 4G, making it challenging
      (and possibly costly) for local operators to get LTE
      equipment which is not 4G branded
                                                                      MyBroadband, 11 October 2012   ITWeb, 26 October 2012

37   MOBILE REPORT/OCTOBER 2012
RUMOURED 8TA AND CELL
 C MERGER
»     Earlier this month, Business Day reported that several
      meetings between senior executives at Telkom and Cell
      C had taken place earlier in the year
»     Cell C CEO, Alan Knott-Craig told BusinessTech that
      market consolidation is inevitable. “Margins are thinning
      and smaller operators’ ability to compete is being
      hampered by lack of scale,” he said
»     A potential merger between mobile operators, 8ta and
      Cell C, would present a real challenge to Vodacom and
      MTN’s entrenched market position, says market
      research group Frost & Sullivan
»     However, Telkom has denied the potential merger, while
      other companies like Remgro are rumoured to have
      made offers to buy Cell C

                                                                  BusinssTech by Mybroadband, 23 October 2012   Bdlive, 30 October 2012

38   MOBILE REPORT/OCTOBER 2012
SECTION 4

                    MOBILE BANKING


39   MOBILE REPORT/OCTOBER 2012
NEDBANK’S ‘MY FINANCIAL
 LIFE’ GOES LIVE
 »    South African bank Nedbank has said its ‘My
      Financial Life’ application, an online personal
      financial management tool, has become available to
      all banking customers in the country
 »    Ingrid Johnson, group managing executive retail and
      business banking at Nedbank, said the offering is
      part of the firm’s ongoing commitment to help
      empower all South Africans to become more aware
      of the state of their finances
 »    My Financial Life joins other personal finance
      platforms including MoneySmart and 22seven in
      providing a consolidated view of a user’s entire
      financial position through an online portal



                                                            ITWeb Africa, 15 October 2012

40   MOBILE REPORT/OCTOBER 2012
STANDARD BANK IN PARTNERSHIP
 WITH MS, SAMSUNG
 »    Standard Bank, Samsung and Microsoft have
      partnered to give Standard Bank customers first
      option on Samsung’s new Ativ tablets running the
      new Microsoft Windows 8 operating system before
      the devices are available in the mainstream market
 »    The announcement coincides with the worldwide
      launch of the highly-anticipated Windows 8
      operating system. Launches were held in New York
      and South Africa on 25 October
 »    The Standard Bank banking app, launched earlier
      this year on Apple, Android and BlackBerry
      platforms, is the first South African banking app in
      the Windows 8 app store. Since it was launched in
      July, Standard Bank’s banking app has had more
      than 160 000 downloads

                                                             ITWeb, 25 October 2012

41   MOBILE REPORT/OCTOBER 2012
FNB TO BRING CARD
 SWIPES TO MOBILE
 »    First National Bank is in final talks with UK-based
      mPowa, a rival to American firm Square, about using
      the payments company’s technology to give its clients
      the ability to accept card payments using mobile
      phones.
 »    mPowa offers a white-label solution that supports
      multiple mobile operating systems, including Android,
      BlackBerry, iOS and Windows Phone
 »    Under the terms of the deal, FNB will integrate
      mPowa’s hardware and software into its existing
      merchant services, with FNB’s own branding and look.
      mPowa’s founder and CEO Dan Wagner tells
      TechCrunch that it is also working with several other
      financial institutions for similar products in Europe, the
      U.S., and Asia, as well as other markets in Africa.

                                                                   TechCentral, 1 October 2012

42   MOBILE REPORT/OCTOBER 2012
MOBILE MONEY IN EMERGING
 MARKETS STUDY
 »    A new study by Visa and its mobile money platform
      Fundamo surveyed almost 2 500 consumers, mobile
      money agents and merchants in Bangladesh, Ghana,
      India, Indonesia, Nigeria and Pakistan
 »    It found that more than half knew about mobile money
      services and almost 90% wanted to use them in the
      future… but it might not be for the reasons m-
      commerce companies would think
 »    “Our potential for driving far-reaching social and
      economic change, while at the same time growing
      transaction volumes in developing countries, is
      significant. But we’ll limit that potential if we don’t learn
      to stop and really listen to our customers,” said
      Fundamo CEO and Visa’s sub-Saharan Africa group
      manager Hannes van Rensburg

                                                                      Memeburn, 24 October 2012

43   MOBILE REPORT/OCTOBER 2012
KENYA TO START TAXING
 MOBILE TRANSACTIONS
 »    The Kenyan government has announced plans to
      implement at 10% tax on mobile money payments,
      including those made via MPesa
 »    According to The Next Web, the tax is part of a plan to
      cover the nearly US$300-million needed for pay rises
      after a recent strike by state-employed teachers,
      lecturers and doctors
 »    There are around 17-million registered MPesa
      accounts, handling over 2 million transactions a day.
 »    By the looks of things, the Kenyan government expects
      the operators to shoulder the extra costs of the taxes
      without passing them on to their customers




                                                                Memeburn, 9 October 2012

44   MOBILE REPORT/OCTOBER 2012
SECTION 5

               SOCIAL NETWORKS


45   MOBILE REPORT/OCTOBER 2012
SOCIAL AFRICAN SOCIAL
 MEDIA LANDSCAPE
 »    The South African Social Media Landscape 2012 study,
      released by technology market researchers World Wide
      Worx and information analysts Fuseware, includes
      analysis of South African consumers’ use of Facebook,
      Twitter, Mxit, LinkedIn, Pinterest and Foursquare, as well
      as a survey conducted among corporate brand owners
 »    The headline findings are graphically shown in an
      infographic which is available here:
      http://www.fuseware.net/south-african-social-landscape-
      2012-infographic/




                                                                   Fuseware, 10 October 2012

46   MOBILE REPORT/OCTOBER 2012
ALAN KNOTT- CRAIG
 JNR QUITS MXIT
 »    Alan Knott-Craig Jnr unexpectedly stepped down
      as Mxit CEO and World of Avatar CEO on 18
      October, citing differences between himself and
      his shareholders
 »    Last week Knott-Craig said in a press statement
      that “while the shareholders and I share the same
      vision, we differ on how to get there. Therefore, I
      agreed to go my own way.”
 »    Francois Swart, the current CFO, will act as the
      interim CEO. Mxit will be recruiting a new CEO
      and other new executives to drive expansion at
      the company




                                                            Moneyweb, 23 October 2012

47   MOBILE REPORT/OCTOBER 2012
DMMA TO HELP MATRICS
 PASS EXAMS
 »    'CellSchool’ is a free revision series on Mxit
      designed especially to help this year's Matrics ace
      their exams
 »    'CellSchool', developed by the EISH-Team in
      partnership with the Digital Media and Marketing
      Agency (DMMA), consists of short video lessons for
      six key subjects, delivered by top teachers who guide
      the Grade 12s through exactly what they need to
      study every day in order to succeed in their final
      exams
 »    "It is a way of showing learners the efficiency of
      various digital media channels in education when it
      comes to transforming education," says Anastacia
      Martin, Head of DMMA Training and Transformation


                                                              Bizcommunity, 16 October 2012

48   MOBILE REPORT/OCTOBER 2012
FACEBOOK HITS 1 BILLION
 USERS
 »    Facebook has hit a billion users, giving it a user
      base roughly equivalent to the population
      of Africa, and covering one-seventh of all the
      people on the globe
 »    However, the majority of its users access the site
      through mobile devices, which has been a bugbear
      for the network as it battles to spin advertising
      revenue from those who access the site through
      portable tools
 »    Vesact analyst Sasha Naryskine says the research
      predicts that 2.5 billion people will access the
      Internet through mobile devices by 2016




                                                           ITWeb, 5 October 2012

49   MOBILE REPORT/OCTOBER 2012
FACEBOOK’S FIRST
 BRAND ADVERTISEMENT
 »    In celebration of its global domination, the social
      network launched its very first ad campaign
 »    It’s an interesting move for a platform that has
      relied on viral word of mouth and organic growth
      within the platform to revert back to ‘traditional
      advertising’
 »    Mark Zuckerberg announced the launch of the ad
      on Facebook Newsroom, thanking users for their
      support and celebrating the momentous milestone
 »    The ad is available to view here::
      http://www.youtube.com/watch?feature=player_em
      bedded&v=c7SjvLceXgU




                                                            Memeburn, 10 October 2012

50   MOBILE REPORT/OCTOBER 2012
FACEBOOK MOBILE APP
 INSTALLS ADS
 »    Facebook announced a new way for mobile app
      developers to grow their business with an ad unit that
      helps them reach and re-engage their users
 »    Facebook announced these ads in beta in August as a
      new and effective way for mobile app developers to
      drive installs and increase app discovery
 »    When a person clicks on one of these ads, if they do
      not have the app installed they will be sent to the App
      Store or Google Play to get it
 »    For years, many apps and games on Facebook.com
      have used ads as an important part of their growth
      strategy. Now Facebook is bringing these
      opportunities to mobile apps



                                                                Facebook Developers Blog, 17 October 2012

51   MOBILE REPORT/OCTOBER 2012
SA’S FIRST FACEBOOK
 LOGOUT AD
 »    Habari Media has launched the first ever
      Facebook Logout Ad in South Africa. The
      innovative application is for Mango Airlines and is
      another 'first' for the brand
 »    The Facebook Log Out Ad thanks Mango's fans
      for their support and interactivity and rewards
      ten lucky fans with spot prizes
 »    Log-out ads, or “stories” as Facebook prefers
      they be called, are one of four new “Premium”
      products for advertisers
 »    Logout Ads appear as the user logs out of
      Facebook and are part of the new premium
      advertising packages that Habari Media markets
      for Facebook locally



                                                            ITWeb Africa, 15 October 2012

52   MOBILE REPORT/OCTOBER 2012
TWITTER STUDY GIVES
 INSIGHTS INTO USER HABITS
 »    A new study on Twitter gives an in-depth look into the
      users and their behaviour on the microblogging platform
 »    The study, conducted by Beevolve, gauges everything from
      how many followers the average user has, to which
      background colour is most used by males and females
 »    The study surveyed 36 million Twitter profiles and pulled
      some interesting findings from the stats
 »    One of the findings shows the OS breakdown of Twitter
      users, with 31.1% of users accessing the site through
      Android devices, and 68.9% through iOS
 »    The full study is available here:
      http://www.beevolve.com/twitter-statistics/




                                                                  MyBroadband, 11 October 2012

53   MOBILE REPORT/OCTOBER 2012
TWITTER JOINS
 FORCES WITH NIELSEN
 »    Having teamed up with Nielsen, the two
      companies plan to roll out brand surveys to
      measure brand impact for Twitter
 »    The surveys will appear just like a promoted
      tweet in users’ timelines where they will be
      encouraged by @TwitterSurveys to fill out a survey
      within the tweet itself, thus allowing companies
      pop up in the streams of users who don’t follow
      the brand
 »    The surveys will then be analysed by Nielsen to
      provide brands with the increased ability to track
      awareness and gain real insights into their user
      base



                                                           Memeburn, 10 October 2012

54   MOBILE REPORT/OCTOBER 2012
LINKEDIN’S INTRODUCES
 INFLUENCER FOLLOWING
 TOOL
 »    LinkedIn is changing all the time and although still
      very much business-focused
 »    Until now one could only see updates and posts from
      those who were directly in your own network (or
      connected by 2nd or 3rd degree)
 »    The recently-launched influencer programme allows
      users to follow a small pool of hand-picked
      influencers. Users will now be privy to news and
      updates from 150 top professionals, from the likes of
      LinkedIn CEO Jeff Weiner, to President Barack
      Obama, and Governor Mitt Romney




                                                              Memeburn, 10 October 2012

55   MOBILE REPORT/OCTOBER 2012
SECTION 6

CREDITS AND CONTACTS


56   MOBILE REPORT/OCTOBER 2012
CREDITS

     »    9to5Mac                 »   TechCentral         »   VisionMobile
     »    Bizcommunity            »   Mashable
     »    Facebook Developers     »   Memeburn
          Blog
                                  »   Mobile Marketer
     »    Fuseware
                                  »   Mobile Marketing
     »    Gadget                      Association (MMA)
     »    GottaBeMobile           »   Moneyweb
     »    ITWeb                   »   MyBroadband
     »    ITWeb Africa            »   MyBroadband
                                      BusinessTech

57   MOBILE REPORT/OCTOBER 2012
CONTACT US
     Should you have any mobile insight, strategy, campaign or
     solutions requirements please contact any one of us.

     Angus Robinson | Director: Mobile, Content, Community & Media
     [tel] +27 (11) 555-3800

                                                          INSERT VIDEO HERE
     [cell] +27 (83) 635 4400
     [fax] 0867210884
     [email] angus@native.co.za
     [twitter] @angusrobinson


     Tracy Aberman | Mobile Strategist         Vuyisile Sisulu | Mobile Technologist
     [tel] +27 (11) 555-3800                   [tel] +27 (11) 555-3800
     [cell] +27 (82) 754 6111                  [cell] +27 (82) 679 5415
     [fax] 0867210884                           [fax] 0867210884
     [email] tracya@native.co.za               [email] vuyilisle@native.co.za
     [twitter] @TracyInSA                      [twitter] @Vuyisile_Sisulu


58   MOBILE REPORT/OCTOBER 2012
59

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Native Mobile Monthly Report - October 2012

  • 1. MOBILE REPORT / OCTOBER 2012
  • 2. A MONTHLY INSERT IMAGE IN BACKGROUND SNAPSHOT OF MAKE SURE IT FILLS THE SCREEN 100% MOBILE NEWS, VIEWS, EVENTS & DEVELOPMENTS LOCALLY AND ABROAD 2 MOBILE REPORT/OCTOBER 2012
  • 3. HOW TO USE THIS REPORT » This report is intended as an easy-to-reference tool » It is a resource that allows you to easily flip through in your own time – and not to necessarily read it from front-to-back 3 MOBILE REPORT/OCTOBER 2012
  • 4. EXECUTIVE SUMMARY 1. There are now more than 1 billion smartphones in circulation worldwide, with the next billion predicted to be reached by 2015 2. South African mobile networks race to launch commercial LTE services before the end of 2012 3. The world has been glued to their mobile phones for the Red Bull Stratos space jump, and the approach of Hurricane Sandy on American shores 4. Facebook reaches milestone of 1 billion monthly active users, meaning nearly 1 in 7 people is on Facebook 5. Alan Knott-Craig Jnr steps down as CEO of Mxit due to internal conflict between the company’s shareholders about the future vision of the instant messaging and social networking platform 4 MOBILE REPORT/OCTOBER 2012
  • 5. EXECUTIVE SUMMARY 6. There are events and awards like The Digital Edge Live, the 2012 MyBroadband Conference, Tech4Africa 2012 the MMA Smarties Awards, and the announcement of The Bookmarks finalists 7. October marks the one year anniversary of the passing of Apple CEO Steve Jobs 8. InMobi closes down its operations in South Africa and will be run from its London base 9. Stats SA releases the results of the Census 2011 counting 51,770,560 people in the country with 89% of households owning a cellphone, but poor Internet penetration 5 MOBILE REPORT/OCTOBER 2012
  • 6. EXECUTIVE SUMMARY 10. We see the launch of new products like Apple’s Mini iPad, Apple’s 4th Generation iPad, Microsoft Windows 8 OS, Windows 8 Phone and Google’s 10 inch Nexus 11. Speculation mounts over a potential merger between Cell C and 8ta however the two parties are not commenting on the rumours 12. Banks are finding their own in the mobile space, taking different directions in their current mobile products and services offering like Nedbank’s My Financial Life tool, Standard Bank’s partnership with Microsoft and FNB’s deal with mPowa 13. Social networks take advantage of their unique platforms to introduce innovative offerings for both the user and the media like Twitter Surveys, LinkedIn’s Influencer Following tool, and Facebook’s Mobile App Installs Ads 6 MOBILE REPORT/OCTOBER 2012
  • 7. CONTENTS » Section 1: Mobile Landscape…………………………………….8 » Section 2: Mobile Handsets & Operating Systems……25 » Section 3: Mobile Networks…………………………………....33 » Section 4: Mobile Banking……………………………………….39 » Section 5: Social Networks………………………………………45 » Section 6: Summary & Contacts……………………………...56 7 MOBILE REPORT/OCTOBER 2012
  • 8. SECTION 1 MOBILE LANDSCAPE 8 MOBILE REPORT/OCTOBER 2012
  • 9. 1 BILLION SMARTPHONES IN USE » Sixteen years after the first modern smartphone was introduced, there are now more than a billion smartphones in use worldwide » This is according to the latest research by Strategy Analytics, which estimates that 1 in 7 people around the world owned a smartphone in the 3rd quarter of 2012 » According to Strategy Analytics’ figures, in the 3rd quarter of 2011, there were 708 million smartphones in use worldwide. This figure has now jumped to 1.038 billion handsets, and is increasing exponentially ITWeb, 18 October 2012 9 MOBILE REPORT/OCTOBER 2012
  • 10. SMARTPHONES TO BECOME AFRICAN STANDARD » Industry professionals say rapidly dropping smartphone prices will play a major role in bringing the Internet to Africans over the next 5-10 years » Aidan Baigrie, head of business development at undersea- cable company Seacom, says, with some smartphones already dropping below the $100 (about R870) threshold and sub-$50 (about R435) devices inbound, smartphones are rapidly falling to price levels that make them accessible to a larger market in Africa » In mid-2012, about 10 million smartphones were in use in SA. Arthur Goldstuck points out that of those users, around 3 million will upgrade next year, and a further 2-2.5 million people will buy a smartphone for the first time, bringing smartphone penetration to 25% ,“Other African countries will follow that trend, if behind SA.” ITWeb, 24 October 2012 10 MOBILE REPORT/OCTOBER 2012
  • 11. MOBILE SUBSCRIPTION IN REGION TO INCREASE RAPIDLY » Mobile and fixed telephony subscribers in sub- Sahara Africa are expected to reach 266.1 million by 2017, while Internet subscribers will hit 77.5 million according to research released by Frost & Sullivan » In 2010 there were 181.7 million mobile and fixed telephony subscribers and 29.8 million internet subscribers in the region. » In the past 4 years many undersea cables were launched in Africa that has resulted in some reduction in wholesale bandwidth prices Bizcommunity, 11 October 2012 11 MOBILE REPORT/OCTOBER 2012
  • 12. TECH BRANDS DOMINATE BEST GLOBAL BRANDS » In results of the Interbrand Best Global Brands 2012 survey, Coca Cola retained its number one spot and got a valuation of US$ 77 billion » However it was the tech brands that once again dominated the rankings – Apple came in at number two with a valuation of US$ 76 billion, followed closely by IBM (3), Google (4), Microsoft (5), Intel (8) and Samsung (9) » Apple was a star performer, going up six places from its 2011 ranking, and seeing its value increase by 129% Bizcommunity, 6 October 2012 12 MOBILE REPORT/OCTOBER 2012
  • 13. SMARTIES WINNERS ANNOUNCED » The Mobile Marketing Association (MMA), the leading global trade association for the mobile marketing industry, revealed the Smarties™ winners after receiving close to 500 submissions across 19 categories and 36 countries from around the globe » The Smarties™ is the only global awards programme dedicated exclusively to mobile marketing » Three South African winners came out with awards and global brand winners included Nike, Land Rover, Google and Coca Cola » A full list of winners is available here: http://www.mmaglobal.com/news/mma-announces- smarties%E2%84%A2-award-winners MMA, 3 October 2012 13 MOBILE REPORT/OCTOBER 2012
  • 14. 2012 BOOKMARKS AWARDS SHORTLIST ANNOUNCED » The Bookmarks Awards is an initiative launched in 2008 by the DMMA (Digital Media and Marketing Association), a non-profit organisation that aims to grow and sustain a vibrant and profitable digital industry » The awards are held as an accolade geared towards the strengthening of the profile of online media, rewarding excellence in digital publishing, advertising and marketing, as well as benchmarking local talent against international standards » NATIVE is a finalist for 10 awards including Special Honours in the Best Agency category » A full list of finalists is available here: http://www.thebookmarks.co.za/finalist ITWeb, 18 October 2012 14 MOBILE REPORT/OCTOBER 2012
  • 15. DIGITAL EDGE LIVE SHOW ENCOURAGES INDUSTRY DEBATE » A host of top digital thinkers and marketing fundies gathered in Cape Town's prestigious City Hall for the highly-anticipated joint seating of parliament at the Digital Edge Live Show - National Assembly, presented by NATIVE and Living your Brand » Local marketing mavericks and industry heavyweights faced off in a battle of wits and opinion that led to rigorous debate on issues and key trends facing the marketing environment » Headlining the event was International Speaker Nathan Martin, founder of Deeplocal » Visit @Digitedge or view the #tdelive thread to relive the action Bizcommunity, 15 October 2012 15 MOBILE REPORT/OCTOBER 2012
  • 16. TECH4AFRICA 2012: UNLOCKING THE NEXT BILLION CUSTOMERS” » Given that seven of the world’s ten fastest growing economies are in Africa, it’s likely that the continent will form a large portion of that next billion. It makes sense that a conference that bills itself as Africa’s “premier mobile, web and emerging technology event”, should choose it as a theme then » Sessions focused around mobile and content, the enterprise opportunity, entrepreneurship and financing, social business and innovation » Angus Robinson together with Pete Case spoke about the creative process in the digital “value chain in the journey to understand what each role player adds to the final product 16 MOBILE REPORT/OCTOBER 2012
  • 17. 2012 MYBROADBAND CONFERENCE ATTRACT OVER 1000 DELEGATES » The 2012 MyBroadband Conference took place at Vodacom World bringing together the biggest names in the South African telecommunications industry » The conference is the biggest of its kind in South Africa and attracted a record attendance of 1,600 delegates from across the country, who included CEOs and CTOs from the largest ICT companies in SA » The high profile speakers at the event did not disappoint: the first commercial LTE service in South Africa was launched by Vodacom; 8ta demonstrated their new LTE offering; and DFA announced a new, more affordable long-distance fibre service MyBroadband, 11 October 2012 17 MOBILE REPORT/OCTOBER 2012
  • 18. ORNICO LAUNCHES NEW MOBILE ADVERTISING MONITORING PRODUCT » After a year-long test phase Ornico has launched of its mobile advertising monitoring product, the first of its kind in South Africa » South Africa currently ranks number 28 on the list of countries with the most mobile phones globally » With approximately R500-million spent on mobile marketing in 2010, Vodacom, Mxit and Google all predicted that R1bn would be spent in South Africa by this year » During Ornico's test phase some very interesting insights have become apparent, for example, Insurance companies feature prominently on PCM’s (Please Call Me's) Bizcommunity, 15 October 2012 18 MOBILE REPORT/OCTOBER 2012
  • 19. INMOBI PULLS OUT OF AFRICA » Multi-national mobile ad network InMobi is set to close up operations in Africa and Russia » In a statement, InMobi admitted that it would be closing the offices, but said that it would continue servicing the affected markets: » “We are changing the way we service the Africa and Russia markets. InMobi will continue to service any markets affected by these changes through centralised sales teams located in our regional centres” » Sources close to Memeburn say that all the staff in the African office will either face retrenchment or have to move to London Memeburn, 23 October 2012 19 MOBILE REPORT/OCTOBER 2012
  • 20. AUGMENTED REALITY FOR ARNO’S NEW MUSIC VIDEO » Augmented reality (AR) is a computer-generated overlay of information, text, video, graphics or even games on a real-world scene, object or image » The September edition of Rolling Stone SA is one of the first mainstream examples of AR in South Africa » “Hovering” in the air above the cover photo of Arno Carstens is a small logo reading “view with Layar”. Layar analyses the cover and finds the code that launches Carstens’ new music video Two Dogs » Aside from affirming Carstens creative powers, it also signals the first mass market attempt at popularising AR locally Gadget, 15 October 2012 20 MOBILE REPORT/OCTOBER 2012
  • 21. WORLDS MOST INTERACTIVE PRINT AD » A Lexus 2013 ES changes colors, turns on its headlights and exposes its interior as throbbing music plays in this highly interactive print ad in Sports Illustrated » Using a Lexus-created technology called CinePrint, the ad comes to life only when you put an iPad behind the printed page that’s displaying the iPad edition of SI » As the release from Lexus notes, “CinePrint Technology” brings one closer to the printed page with a multi-sensory experience that combines sight, sound, and touch.” » Click here to see the video: http://www.youtube.com/watch?v=wSsvdHwk-- I&feature=player_embedded Mashable, 9 October 2012 21 MOBILE REPORT/OCTOBER 2012
  • 22. RED BULL STRATOS PULLS OFF BEST BRAND STUNT » A record 8 million people watched YouTube's live stream as Felix Baumgartner became the first person to break the sound barrier with a free fall jump 128,000 feet above the Earth that reached a speed of 833.9 miles per hour » Besides YouTube, the jump was also broadcast on 130 digital outlets. Viewers could download the Red Bull TV application, free for both iPhone, iPad and Android » Red Bull's Facebook post-jump photo of Baumgartner gained almost 216,000 likes, 10,000 comments and over 29,000 shares within 40 minutes, and half the worldwide trending topics on Twitter were related to Red Bull Stratos. The video has since been watched over 10 million times on YouTube GottaBeMobile, 14 October 2012 22 MOBILE REPORT/OCTOBER 2012
  • 23. MOBILE CRITICAL IN MIDST OF HURRICANE SANDY » With Hurricane Sandy leaving its mark on the East Coast of the United States, mobile is proving its mettle as an always-on medium » Industry experts agree that news and weather mobile sites are likely to see the biggest impact. Additionally, marketers are making sure they are monitoring their mobile site performance to make sure it is up-to-par » Mobile is critical for users, especially during disastrous events such as Hurricane Katrina, Tropical Storm Irene and now Sandy » During events such as this, consumers rely on mobile apps and sites from services such as The Weather Channel and AccuWeather, as well as mobile news sites including The New York Times and CNN for the most up-to-date information Mobile Marketer, 30 October 2012 23 MOBILE REPORT/OCTOBER 2012
  • 24. CELLPHONE OWNERSHIP INCREASES IN CENSUS 2011 » Stats SA released the results of its Census 2011 showing that the number of cellphones in South Africa increased significantly, while the number of landline telephones plummeted over the last decade » According to the Census 2011 results, the proportion of households owning cellphones significantly increased from 31.9% in 2001 to 88.9% in 2011 » The Census 2011 also showed that less that half of South African households have access to the Internet » Of those households that had access to the Internet, 16.3% accessed it via cellphone, 8.6% from home, 5.6% from elsewhere and 4.7% from work MyBroadband, 30 October 2012 24 MOBILE REPORT/OCTOBER 2012
  • 25. SECTION 2 MOBILE HANDSETS & OPERATING SYSTEMS 25 MOBILE REPORT/OCTOBER 2012
  • 26. A GLOBAL VIEW OF THE MOBILE INDUSTRY NUMBERS » Smartphone sales penetration continues to accelerate, growing from nearly 30% in Q3 2011 to nearly 40% in Q2 2012 » Nearly 2 out of every 3 smartphones shipped in the first half of 2012 were Android devices » Although Symbian is obsolete, it still has a sizable installed base – larger than bada and Windows Phone combined » In the handset market, Apple and Samsung account for 63% of revenues and over 98% of the profits » In the smartphone market, Apple and Samsung claim more than half of total shipments VisionMobile, 11 October 2012 26 MOBILE REPORT/OCTOBER 2012
  • 27. WINDOWS 8 TAKES A NEW DIRECTION » South African consumers and businesses are now able to experience all that Windows 8 operating system (OS)has to offer: a beautiful new user interface (UI), a wide range of apps with the grand opening of the Windows Store, available on a broad range of Windows 8 certified PCs and tablets. » The system features an entirely new look and feel, which is designed to be used across an array of devices like desktops, laptops, tablets and phones. » Microsoft Corp Chief Executive Steve Ballmer said the company had sold 4 million upgrades to Windows 8 in days since the launch, signaling a strong start for the new operating system. Ballmer also expects hundreds of millions of Windows systems to be sold over the next year Gadget, 25 October 2012 MyBroadband, 31 October 2012 27 MOBILE REPORT/OCTOBER 2012
  • 28. MICROSOFT RELEASES WINDOWS 8 PHONE » Following the global launch of Windows 8, Microsoft officially released the Windows Phone 8 smartphone operating system » While many of the features have already been made public, some new features revealed by Microsoft include 'Data Sense,' 'Rooms' and 'Kid's Corner’ » Skype has now also been fully integrated into the OS. Manager of the Windows Phone Program at Microsoft, Joe Belfiore says for the first time the new Skype app is always on. "It's ready to receive a call or message at any time, and it does this without running code in the background and running your battery.” » The handsets will go on sale globally in November ITWeb, 29 October 2012 28 MOBILE REPORT/OCTOBER 2012
  • 29. REMEMBERING STEVE » Apple updated its homepage on the 4th of October, a year after the passing of Steve Jobs, with a video montage to remember his life and death. The nearly two-minute video presents a slideshow of Jobs throughout his career and it softly ends with “Remembering Steve” » The tribute letter from Apple’s current CEO appeared upon completion of the “Remembering Steve” video » The video is available here: http://www.youtube.com/watch?v=Jj0Qw8ipPLI& feature=player_embedded 9to5Mac, 5 October 2012 29 MOBILE REPORT/OCTOBER 2012
  • 30. IPAD MINI AND FOURTH GENERATION IPAD LAUNCH » Apple's CEO Tim Cook, announced the company's latest tablet computer, the iPad Mini. It's designed to look like a smaller version of the triumphant iPad. It is also designed to snatch sales away from Apple's rivals » The new smaller iPad features a 7.9-inch display, 1 024 x 768 resolution, an A5 dual-core processor and up to 10 hours of battery life. While the iPad Mini will be available in both WiFi and cellular models, the entry- level 16GB WiFi version has a starting price of $329 » The fourth-generation full-size iPad was also unveiled featuring the same Retina display and design as its predecessor but with an A6 processor. The 16GB WiFi model starts at $499 ITWeb, 25 October 2012 30 MOBILE REPORT/OCTOBER 2012
  • 31. APPLE APPS NOW IN RAND » The SA version of Apple’s App Store has begun charging customers in rands rather than US dollars » The change, which took effect on Friday, has also brought local-currency versions of the store to India, Indonesia, Israel, Russia, Saudi Arabia, Turkey and the United Arab Emerates » The pricing also applies to Newsstand, the iOS app for purchasing magazines and newspapers » SA Apple users will no doubt be hoping the decision to charge in rand signals Apple’s intention to offer the full iTunes Store in SA, offering music, movies and book downloads in addition to apps TechCentral, 26 October 2012 31 MOBILE REPORT/OCTOBER 2012
  • 32. GOOGLE UNVEILS 10 INCH NEXUS TABLET » Google's new Nexus 10, made in partnership with consumer electronics company Samsung Electronics, is the first 10-inch tablet to come to market under Google's Nexus brand. The device, with prices starting at $299, will be available on 13 November in the United States and seven other countries, Google said in its official blog » The Internet search engine also updated its mobile gadget and online content offerings as competition with Apple, Amazon.com and Microsoft heats up ahead of the holiday sales season ITWeb, 30 October 2012 32 MOBILE REPORT/OCTOBER 2012
  • 33. SECTION 3 MOBILE NETWORKS 33 MOBILE REPORT/OCTOBER 2012
  • 34. VODACOM FIRST TO SWITCH ON LTE IN SA » Vodacom Group CEO Shameel Joosub announced at the2012 MyBroadband Conference, that Vodacom’s LTE service has been switched on and is open for business » The service is initially available in Johannesburg, with other cities to follow in the near future » Joosub said “Vodacom was the first network in SA to test LTE more than two years ago. It’s great to claim another South African first for Vodacom with the launch of LTE services to the public, and it’s even more pleasing that we’ve done this ahead of many other advanced economies around the world. South Africa has joined an exclusive club with the fastest connectivity the world has to offer.” Gadget, 10 October 2012 34 MOBILE REPORT/OCTOBER 2012
  • 35. 8TA INVITES SOUTH AFRICANS TO TAKE PART IN FREE LTE TRIALS » 8ta will switch on a 4G LTE mobile broadband network on 1 November and invited selected customers in Gauteng to apply to participate for free in the trial, which will run until 31 March 2013 » “This trial will help us better understand the requirements of our customers and the feedback from the participants regarding performance and the overall experience will inform the refining of our commercial offerings to better align with customer’s needs,” Telkom Mobile senior managing executive Amith Maharaj said » The operator received what it says was an “overwhelming response” to its invitation with over 7 000 individuals responding to the invitation TechCentral, 4 October 2012 35 MOBILE REPORT/OCTOBER 2012
  • 36. 8TA COULD BE THE ULTIMATE WINNER IN LTE RACE » Telkom and its mobile arm 8ta may be sitting in the pound seats when it comes to next-generation wireless broadband thanks to its access to a big chunk of valuable radio frequency spectrum » Whereas as MTN, Vodacom and Cell C — will have to “refarm” or reallocate portions of their existing spectrum to provide fourth-generation (4G) services based on long-term evolution (LTE) technology, Telkom has access to a huge and valuable chunk of spectrum in the 2,3GHz band » 8ta senior managing executive Amith Maharaj believes 3G will become the “smartphone-based technology and LTE will be a pure broadband play”, “The SA market won’t necessarily need 40Mbit/s on a smartphone.” TechCentral, 10 October 2012 36 MOBILE REPORT/OCTOBER 2012
  • 37. “4G” A CONTROVERSIAL WORD » While, technically speaking, LTE does not equal 4G, the vast majority of international operators (81%) have accepted the use of this term for reference to the latest version of 3G » The 4G debate is making headlines again because of the launch of LTE in South Africa, and the fact that Vodacom previously opposed the use of the term by competitor Cell C to describe its HSPA+ network » Vodacom relied on the International Telecommunication Union’s (ITU’s) which explicitly stated that it does not view LTE, WiMax, and HSPA+ as 4G » However, globally many vendors and networks are branding their LTE products as 4G, making it challenging (and possibly costly) for local operators to get LTE equipment which is not 4G branded MyBroadband, 11 October 2012 ITWeb, 26 October 2012 37 MOBILE REPORT/OCTOBER 2012
  • 38. RUMOURED 8TA AND CELL C MERGER » Earlier this month, Business Day reported that several meetings between senior executives at Telkom and Cell C had taken place earlier in the year » Cell C CEO, Alan Knott-Craig told BusinessTech that market consolidation is inevitable. “Margins are thinning and smaller operators’ ability to compete is being hampered by lack of scale,” he said » A potential merger between mobile operators, 8ta and Cell C, would present a real challenge to Vodacom and MTN’s entrenched market position, says market research group Frost & Sullivan » However, Telkom has denied the potential merger, while other companies like Remgro are rumoured to have made offers to buy Cell C BusinssTech by Mybroadband, 23 October 2012 Bdlive, 30 October 2012 38 MOBILE REPORT/OCTOBER 2012
  • 39. SECTION 4 MOBILE BANKING 39 MOBILE REPORT/OCTOBER 2012
  • 40. NEDBANK’S ‘MY FINANCIAL LIFE’ GOES LIVE » South African bank Nedbank has said its ‘My Financial Life’ application, an online personal financial management tool, has become available to all banking customers in the country » Ingrid Johnson, group managing executive retail and business banking at Nedbank, said the offering is part of the firm’s ongoing commitment to help empower all South Africans to become more aware of the state of their finances » My Financial Life joins other personal finance platforms including MoneySmart and 22seven in providing a consolidated view of a user’s entire financial position through an online portal ITWeb Africa, 15 October 2012 40 MOBILE REPORT/OCTOBER 2012
  • 41. STANDARD BANK IN PARTNERSHIP WITH MS, SAMSUNG » Standard Bank, Samsung and Microsoft have partnered to give Standard Bank customers first option on Samsung’s new Ativ tablets running the new Microsoft Windows 8 operating system before the devices are available in the mainstream market » The announcement coincides with the worldwide launch of the highly-anticipated Windows 8 operating system. Launches were held in New York and South Africa on 25 October » The Standard Bank banking app, launched earlier this year on Apple, Android and BlackBerry platforms, is the first South African banking app in the Windows 8 app store. Since it was launched in July, Standard Bank’s banking app has had more than 160 000 downloads ITWeb, 25 October 2012 41 MOBILE REPORT/OCTOBER 2012
  • 42. FNB TO BRING CARD SWIPES TO MOBILE » First National Bank is in final talks with UK-based mPowa, a rival to American firm Square, about using the payments company’s technology to give its clients the ability to accept card payments using mobile phones. » mPowa offers a white-label solution that supports multiple mobile operating systems, including Android, BlackBerry, iOS and Windows Phone » Under the terms of the deal, FNB will integrate mPowa’s hardware and software into its existing merchant services, with FNB’s own branding and look. mPowa’s founder and CEO Dan Wagner tells TechCrunch that it is also working with several other financial institutions for similar products in Europe, the U.S., and Asia, as well as other markets in Africa. TechCentral, 1 October 2012 42 MOBILE REPORT/OCTOBER 2012
  • 43. MOBILE MONEY IN EMERGING MARKETS STUDY » A new study by Visa and its mobile money platform Fundamo surveyed almost 2 500 consumers, mobile money agents and merchants in Bangladesh, Ghana, India, Indonesia, Nigeria and Pakistan » It found that more than half knew about mobile money services and almost 90% wanted to use them in the future… but it might not be for the reasons m- commerce companies would think » “Our potential for driving far-reaching social and economic change, while at the same time growing transaction volumes in developing countries, is significant. But we’ll limit that potential if we don’t learn to stop and really listen to our customers,” said Fundamo CEO and Visa’s sub-Saharan Africa group manager Hannes van Rensburg Memeburn, 24 October 2012 43 MOBILE REPORT/OCTOBER 2012
  • 44. KENYA TO START TAXING MOBILE TRANSACTIONS » The Kenyan government has announced plans to implement at 10% tax on mobile money payments, including those made via MPesa » According to The Next Web, the tax is part of a plan to cover the nearly US$300-million needed for pay rises after a recent strike by state-employed teachers, lecturers and doctors » There are around 17-million registered MPesa accounts, handling over 2 million transactions a day. » By the looks of things, the Kenyan government expects the operators to shoulder the extra costs of the taxes without passing them on to their customers Memeburn, 9 October 2012 44 MOBILE REPORT/OCTOBER 2012
  • 45. SECTION 5 SOCIAL NETWORKS 45 MOBILE REPORT/OCTOBER 2012
  • 46. SOCIAL AFRICAN SOCIAL MEDIA LANDSCAPE » The South African Social Media Landscape 2012 study, released by technology market researchers World Wide Worx and information analysts Fuseware, includes analysis of South African consumers’ use of Facebook, Twitter, Mxit, LinkedIn, Pinterest and Foursquare, as well as a survey conducted among corporate brand owners » The headline findings are graphically shown in an infographic which is available here: http://www.fuseware.net/south-african-social-landscape- 2012-infographic/ Fuseware, 10 October 2012 46 MOBILE REPORT/OCTOBER 2012
  • 47. ALAN KNOTT- CRAIG JNR QUITS MXIT » Alan Knott-Craig Jnr unexpectedly stepped down as Mxit CEO and World of Avatar CEO on 18 October, citing differences between himself and his shareholders » Last week Knott-Craig said in a press statement that “while the shareholders and I share the same vision, we differ on how to get there. Therefore, I agreed to go my own way.” » Francois Swart, the current CFO, will act as the interim CEO. Mxit will be recruiting a new CEO and other new executives to drive expansion at the company Moneyweb, 23 October 2012 47 MOBILE REPORT/OCTOBER 2012
  • 48. DMMA TO HELP MATRICS PASS EXAMS » 'CellSchool’ is a free revision series on Mxit designed especially to help this year's Matrics ace their exams » 'CellSchool', developed by the EISH-Team in partnership with the Digital Media and Marketing Agency (DMMA), consists of short video lessons for six key subjects, delivered by top teachers who guide the Grade 12s through exactly what they need to study every day in order to succeed in their final exams » "It is a way of showing learners the efficiency of various digital media channels in education when it comes to transforming education," says Anastacia Martin, Head of DMMA Training and Transformation Bizcommunity, 16 October 2012 48 MOBILE REPORT/OCTOBER 2012
  • 49. FACEBOOK HITS 1 BILLION USERS » Facebook has hit a billion users, giving it a user base roughly equivalent to the population of Africa, and covering one-seventh of all the people on the globe » However, the majority of its users access the site through mobile devices, which has been a bugbear for the network as it battles to spin advertising revenue from those who access the site through portable tools » Vesact analyst Sasha Naryskine says the research predicts that 2.5 billion people will access the Internet through mobile devices by 2016 ITWeb, 5 October 2012 49 MOBILE REPORT/OCTOBER 2012
  • 50. FACEBOOK’S FIRST BRAND ADVERTISEMENT » In celebration of its global domination, the social network launched its very first ad campaign » It’s an interesting move for a platform that has relied on viral word of mouth and organic growth within the platform to revert back to ‘traditional advertising’ » Mark Zuckerberg announced the launch of the ad on Facebook Newsroom, thanking users for their support and celebrating the momentous milestone » The ad is available to view here:: http://www.youtube.com/watch?feature=player_em bedded&v=c7SjvLceXgU Memeburn, 10 October 2012 50 MOBILE REPORT/OCTOBER 2012
  • 51. FACEBOOK MOBILE APP INSTALLS ADS » Facebook announced a new way for mobile app developers to grow their business with an ad unit that helps them reach and re-engage their users » Facebook announced these ads in beta in August as a new and effective way for mobile app developers to drive installs and increase app discovery » When a person clicks on one of these ads, if they do not have the app installed they will be sent to the App Store or Google Play to get it » For years, many apps and games on Facebook.com have used ads as an important part of their growth strategy. Now Facebook is bringing these opportunities to mobile apps Facebook Developers Blog, 17 October 2012 51 MOBILE REPORT/OCTOBER 2012
  • 52. SA’S FIRST FACEBOOK LOGOUT AD » Habari Media has launched the first ever Facebook Logout Ad in South Africa. The innovative application is for Mango Airlines and is another 'first' for the brand » The Facebook Log Out Ad thanks Mango's fans for their support and interactivity and rewards ten lucky fans with spot prizes » Log-out ads, or “stories” as Facebook prefers they be called, are one of four new “Premium” products for advertisers » Logout Ads appear as the user logs out of Facebook and are part of the new premium advertising packages that Habari Media markets for Facebook locally ITWeb Africa, 15 October 2012 52 MOBILE REPORT/OCTOBER 2012
  • 53. TWITTER STUDY GIVES INSIGHTS INTO USER HABITS » A new study on Twitter gives an in-depth look into the users and their behaviour on the microblogging platform » The study, conducted by Beevolve, gauges everything from how many followers the average user has, to which background colour is most used by males and females » The study surveyed 36 million Twitter profiles and pulled some interesting findings from the stats » One of the findings shows the OS breakdown of Twitter users, with 31.1% of users accessing the site through Android devices, and 68.9% through iOS » The full study is available here: http://www.beevolve.com/twitter-statistics/ MyBroadband, 11 October 2012 53 MOBILE REPORT/OCTOBER 2012
  • 54. TWITTER JOINS FORCES WITH NIELSEN » Having teamed up with Nielsen, the two companies plan to roll out brand surveys to measure brand impact for Twitter » The surveys will appear just like a promoted tweet in users’ timelines where they will be encouraged by @TwitterSurveys to fill out a survey within the tweet itself, thus allowing companies pop up in the streams of users who don’t follow the brand » The surveys will then be analysed by Nielsen to provide brands with the increased ability to track awareness and gain real insights into their user base Memeburn, 10 October 2012 54 MOBILE REPORT/OCTOBER 2012
  • 55. LINKEDIN’S INTRODUCES INFLUENCER FOLLOWING TOOL » LinkedIn is changing all the time and although still very much business-focused » Until now one could only see updates and posts from those who were directly in your own network (or connected by 2nd or 3rd degree) » The recently-launched influencer programme allows users to follow a small pool of hand-picked influencers. Users will now be privy to news and updates from 150 top professionals, from the likes of LinkedIn CEO Jeff Weiner, to President Barack Obama, and Governor Mitt Romney Memeburn, 10 October 2012 55 MOBILE REPORT/OCTOBER 2012
  • 56. SECTION 6 CREDITS AND CONTACTS 56 MOBILE REPORT/OCTOBER 2012
  • 57. CREDITS » 9to5Mac » TechCentral » VisionMobile » Bizcommunity » Mashable » Facebook Developers » Memeburn Blog » Mobile Marketer » Fuseware » Mobile Marketing » Gadget Association (MMA) » GottaBeMobile » Moneyweb » ITWeb » MyBroadband » ITWeb Africa » MyBroadband BusinessTech 57 MOBILE REPORT/OCTOBER 2012
  • 58. CONTACT US Should you have any mobile insight, strategy, campaign or solutions requirements please contact any one of us. Angus Robinson | Director: Mobile, Content, Community & Media [tel] +27 (11) 555-3800 INSERT VIDEO HERE [cell] +27 (83) 635 4400 [fax] 0867210884 [email] angus@native.co.za [twitter] @angusrobinson Tracy Aberman | Mobile Strategist Vuyisile Sisulu | Mobile Technologist [tel] +27 (11) 555-3800 [tel] +27 (11) 555-3800 [cell] +27 (82) 754 6111 [cell] +27 (82) 679 5415 [fax] 0867210884 [fax] 0867210884 [email] tracya@native.co.za [email] vuyilisle@native.co.za [twitter] @TracyInSA [twitter] @Vuyisile_Sisulu 58 MOBILE REPORT/OCTOBER 2012
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