Still a year away from launch, Meg Whitman and Jeffrey Katzenberg’s Quibi keeps adding talent

Video won’t start rolling on Meg Whitman and Jeffrey Katzenberg’s new bite-sized streaming service with the billion dollar backing until the end of 2019, but talent keeps signing up to come along for their ride into the future of serialization.

The latest marquee director to sign on the dotted line with Quibi is Catherine Hardwicke, who will be helming a story around the creation of an artificial intelligence with the working title “How They Made Her” according to an announcement from Katzenberg onstage at the Variety Innovate summit.

Hardwicke, who directed ThirteenLords of Dogtown, and, most famously, Twilight, is joining Antoine Fuqua, Guillermo del Toro, Sam Raimi and Lena Waithe, in an attempt to answer the question of whether Whitman and Katzenberg’s gamble on premium (up to $6 million per episode) short-form storytelling is a quixotic quest or a quintessential viewing experience for a new generation of media consumers.

Katzenberg also revealed in a LinkedIn post that Quibi would be working on a basketball related series with Steph Curry’s production company. He wrote:

I announced a new docu-series by Whistle called “Benedict Men” coming exclusively to Quibi. “Benedict Men” will be executive produced by Stephen Curry’s Unanimous Media and will give viewers an inside look at one of the most unique high school basketball teams in America at St. Benedict’s Prep in Newark, New Jersey.

St. Benedict’s Prep is an all-boys secondary school founded on the core belief ‘What Hurts My Brother Hurts Me,’ and aims to foster a legacy of strong character, community, leadership, and faith. As one of the top athletic high schools with a storied basketball program and the highest graduation rate in New Jersey, the series will follow the brotherhood of young men who seek to balance life in complicated surroundings.

In some ways, the big adventure backed by Katzenberg, the former chairman of Walt Disney Studios and founder of WndrCo, and every major Hollywood studio including Disney, 21st Century Fox, Entertainment One, NBCUniversal, Sony Pictures Entertainment, Alibaba Goldman Sachs, is the latest in an everything old is new again refrain.

If blogs reinvented printed media, and podcasts and music streaming reinvented radio, why can’t Quibi reinvent serialized storytelling.

Again and again, Whitman and Katzenberg returned to an analogy from the early days of the cable revolution. “We’re not short form, we’re Quibi,” said Whitman, echoing the tagline that HBO made famous in its early advertising blitzes. That Whitman and Katzenberg’s project to take what HBO did for premium television and apply that to mobile media is ambitious. Now industry-watchers will have to wait until 2019 at the earliest to see if it’s also successful.

In the interview onstage at a Variety event on artificial intelligence in media, Katzenberg cited Dan Brown’s DaVinci Code as something of an inspiration — noting that the book had over one hundred chapters for its five hundred pages of text. But Katzenberg could have gone back even further to the days of Dickens and his serialized entertainments.

And right now for the entertainment business it really is the best of times and the worst of times. Traditional Hollywood studios are seeing new players like Netflix, Amazon, Apple, and others all trying to drink their milkshake. And, for the most part, these studios and their new telecom owners are woefully ill-equipped to fight these big technology platforms at their own game. 

Taking the long view of entertainment history, Katzenberg is hoping to win networks with not just a new skin for the old ceremony of watching entertainment but with a throwback to old style deal-making. The term serialization here takes on greater meaning. 

Quibi is offering its production partners a sweetheart deal. After seven years the production company behind the Quibi shows will own their intellectual property, and after two years those producers will be able to repackage the Quibi content back into long form series and pitch them for distribution to other platforms. Not only that but Quibi is fronting the money for over 100% of the production.

Katzenberg said that it “will create the most powerful syndicated marketplace” Hollywood has seen in decades. It’s a sort of anti-Netflix model where Katzenberg and Whitman view Quibi as a platform where creators and talent will want to come. “We are betting on the success of the platform — and by the way it worked brilliantly in the 60s, and 70s and 80s.” Katzenberg said. “Hundreds of TV shows were tremendous successes and [like the networks then] we don’t want to compete with our suppliers.”

In addition to the business model innovations (or throwbacks, depending on how one looks at it), Quibi is being built from the ground up with a technology stack that will leverage new technologies like 5G broadband, and big data and analytics, according to Whitman.

Indeed, launching the first platform built without an existing stable of content means that Quibi is preparing 5,000 unique pieces of content to go up when it pulls the curtains back on its service in late 2019 or early 2020, Whitman said.

And the company is looking to big telecommunications companies like Verizon (my corporate overlord’s corporate overlord) and AT&T as partners to help it get to market. Since those networks need something to do with all the 5G capacity they’re building out, high quality streaming content that’s replete with meta-tags to monitor and manage how an audience is spending their time is a compelling proposition.

“We want to work to have video that good on mobile [and] ramp up content in terms of quantity and quality,” Whitman said. That quality extends to things like the user interface, search features and analytics.

“We have to have a different search and find metaphor,” Whitman said. “It takes 8 minutes to find what you’re looking for on Netflix… We will be able to instrument this with data on what people are watching and using that in our recommendation engine.”

Questions remain about the service’s viability. Like what role will the telcos actually play in distribution and development? Can Quibi avoid the Hulu problem where the various investors are able to overcome their own entrenched interests to work for the viability of the platform? And do consumers even want a premium experience on mobile given the new kinds of stars that are made through the immediacy and accessibility that technology platforms like YouTube, Instagram, and Snap offer?

“Where the fish are today is a phenomenal environment,” Katzenberg said of the current short-form content market. “But it is an ocean. We need to find a place where there are these premium services.”

Nigerian data analytics company Terragon acquires Asian mobile ad firm Bizense

Nigerian consumer data analytics firm Terragon Group has acquired Asian mobile marketing company Bizense in a cash and stock deal.

Based in Singapore, with operations in India and Indonesia, Bizense specializes in “mobile ad platform[s] for Telco’s, large publishers, and [e-commerce] ad networks” under its proprietary Adatrix platform—according to its website and a release.

The price of the acquisition was not disclosed.

The company lists audience analytics, revenue optimization, and white label SSP services among its client offerings.

Headquartered in Lagos, Terragon’s software services give its clients — primarily telecommunications and financial services companies — data on Africa’s growing consumer markets.

Products allow users to drill down on multiple combinations of behavioral and demographic information and reach consumers through video and SMS  campaigns while connecting to online sales and payments systems.

Terragon clients include local firms, such as Honeywell, and global names including Unilever, DHL, and international agribusiness firm Olam.

The company’s founder and CEO Elo Umeh sees cross-cutting purposes for Terragon services in other markets.

“Most of the problems we seek to solve for our clients in Africa also exist in places like South East Asia and Latin America,” Umeh told TechCrunch.

The Bizense acquisition doesn’t lessen Terragon’s commitment to its home markets, according to Umeh.

“We are…super focused on Africa right now, building out propriety platforms powered by data and artificial intelligence to help Telco’s, SMEs, FMCGsand financial institutions …increase their customer base and drive more transaction volumes,” he said.

Terragon’s CEO would not divulge the acquisition value, saying only that it consisted of  “a combination of cash and stocks, with the actual amount not disclosed.”

In an interview with TechCrunch earlier this year, Umeh confirmed the company was looking into global expansion.

Tarragon already has a team of 100 employees across Nigeria, KenyaGhana and South Africa.

Umeh indicated the company is contemplating further expansion in Asia and the Latin America, where Terragon already has consumer data research and development teams.

With the Bizense acquisition Terragon plans to “build out platforms, tools and machine learning models to help businesses…acquire new customers and get existing customers to do more.”

Bizense founder and CEO Amit Khemchandani will be involved in this process. “We are excited about the next phase of this journey as we innovate for Africa and other emerging markets,” he said.

With the exception of South African media and investment giant Naspers, acquisitions of any kind—intra-continental or international—are a rarity for Sub-Saharan African startups and tech companies.

Terragon’s acquisition in Singapore, and other moves made by several other Nigerian startups this year, could change that. African financial technology companies like Mines and Paga announced their intent to expand in and outside Africa. They would join e-commerce site MallforAfrica, which went global in July in a partnership with DHL.

UK sets out plan to spend billions on fiber and 5G broadband for all

The UK government has set out a package of measures it’s hoping will futureproof domestic networks and boost international competitiveness by supporting a nationwide rollout of full fiber broadband and 5G mobile technology.

The Future Telecoms Infrastructure Review, published today, follows the announcement of a market review last year as part of the government’s Industrial Strategy as it seeks to chart a technology-enabled course for growth and competitiveness.

Yet, at the same time, the UK seriously lags several European competitors on the fiber broadband front — so the strategy is also intended to try to reboot current poor performance.

The government says its telecoms plan emphasizes greater consumer choice and initiatives to promote quicker rollout — and an eventual full switch over — from copper to fiber.

It wants full fibre broadband to reach 15 million premises (up from the ’10M over the next decade’ set out in the Conservative party manifesto) by 2025, and also 5G mobile network coverage to reach the majority of the population.

By 2033, it wants full fiber broadband coverage to reach across all of the UK.

Currently the UK only has 4% full fiber connections, which compares dismally to 71% in Spain and 89% in Portugal. While France has around 28% — which the government notes is “increasing quickly”.

Included in the government’s strategy is public investment in full fiber for rural areas; and new legislation to guarantee full fiber connections in new build developments; as well as a series of regulatory reforms intended to drive investment and competition — which it says will be tailored to different local market conditions.

It’s also planning for an industry-led switch over from copper to full fiber — to avoid businesses being saddled with the expense and burden of running copper and fiber networks in parallel.

There’s no fixed timing for this, as the government says it will depend on the pace of fiber rollouts and take-up, but it suggests it’s “realistic to assume that switchover could happen in the majority of the country by 2030”.

To boost competition to drive commercial fiber rollouts, the government is proposing regulatory reform to allow for “unrestricted access” to BT Openreach ducts and poles — i.e. the company’s own physical infrastructure where fiber can be laid — for both residential and business broadband use, including for essential mobile infrastructure.

It also wants to open up other avenues for laying broadband fiber, saying other existing infrastructure (including pipes and sewers) owned by other utilities such as power, gas and water, should be “easy to access, and available for both fixed and mobile use”. 

And it says it will shortly publish consultations on the proposed legislative changes to streamline wayleaves and mandate fiber connections in new builds.

Another key recommendation in the review, given that the expense of digs to lay fiber remains one of the biggest barriers to broadband upgrades, is for a new nationwide framework aimed at reducing the costs, time and disruption caused by street-works by standardising the approach across the country.

With its planned regulatory tweaks, the government reckons that market competition will be able to deliver full fiber networks across the majority of the UK (~80%) — leaving around ~20% which it’s expecting will require “bespoke solutions to ensure rollout of networks”. And for around half of that fifth it also expects taxpayer funding will be needed to deliver a fiber/5G upgrade.

It estimates that nationwide availability of ‘full fiber’ is likely to require additional (public) funding of around £3BN to £5BN to support commercial investment in the final ~10% of areas that would otherwise be overlooked — stressing that these “often rural areas must not be forced to wait until the rest of the country has connectivity before they can access gigabit-capable networks”.

So it’s planning to pursue an “outside-in” strategy, allowing network competition to serves commercially viable areas while laying down government support investment in parallel on what it describes as “the most difficult to reach areas”.

“We have already identified around £200M within the existing Superfast broadband programme that can further the delivery of full fibre networks immediately,” it notes on that.

Although it’s not clear at this stage how the government intends to fund the full proposals for a taxpayer-funded broadband bill running to multiple billions.

On the mobile connectivity front, it’s proposing increased access to spectrum for “innovative 5G services”, and says it will allow mobile network operators to make far greater use of government buildings to boost coverage across the UK.

“We should consider whether more flexible, shared spectrum models can maintain network competition between MNOs while also increasing access to spectrum to support new investment models, spurring innovation in industrial internet of things, wireless automation and robotics, and improving rural coverage,” it writes on that.

Over the longer term it says is expecting to see a more converged telecoms sector — so it’s leaving itself some ‘last mile’ wiggle room on the ‘full fiber’ push, for example by pointing out that: “Fixed fibre networks and 5G are complementary technologies, and 5G will require dense fibre networks. In some places, 5G may provide a more cost-effective way of providing ultra-fast connectivity to homes and businesses.”

“We want everyone in the UK to benefit from world-class connectivity no matter where they live, work or travel,” said the new Secretary of State for digital, culture, media and sport, Jeremy Wright, commenting on the review in a statement, and dubbing it a “radical new blueprint for the future of telecommunications in this country”.

“[The strategy] will increase competition and investment in full fiber broadband, create more commercial opportunities and make it easier and cheaper to roll out infrastructure for 5G,” he added.

The UK’s incumbent telco, BT, which owns and operates the country’s largest broadband network, has long pursued the opposite strategy to the one the government is here pursuing: i.e. by seeking to eke out its own ex-monopoly copper infrastructure, such as by applying technologies that speed up fiber to the cabinet technology, instead of making the major financial commitment to invest in substantially expanding full fiber to the home coverage (and thereby futureproof national network infrastructure).

For years competitors (and, indeed, frustrated consumers) have also accused the company of foot-dragging on providing access to its network — thereby undermining other commercial players’ ability to fund and build out next-gen network coverage.

Last year BT agreed with telecoms watchdog Ofcom to legally separate its network division Openreach — around a decade after a functional separation has been imposed by the regulator. Albeit, it’s still not the full structural separation some have called for.

“It is too early to determine whether legal separation will be sufficient to deliver positive changes on investment in full fibre infrastructure,” writes the government in its review, adding that it will “closely monitor legal separation, including Ofcom’s reports on the effectiveness of the new arrangements”.

“The Government will consider all additional measures if BT Group fails to deliver its commitments and regulatory obligations, and if Openreach does not deliver on its purpose of investing in ways that respond to the needs of its downstream customers,” it adds.

One aspect of the strategy the government is not trumpeting quite so loudly in its PR around the announcement is an intent to promote what it describes as “stable and long-term regulation” as part of its strategy to drive increased competition and unlock business investments.

On this it writes that the overarching strategic priority to “promote efficient competition and investment in world-class digital networks” should be “prioritised over interventions to further reduce retail prices in the near term, recognising these longer-term benefits”.

In the review it suggests moving to longer, five year review periods, for instance — saying this “could provide greater regulatory stability and promote investment”. It also writes that it wants Ofcom to publish guidance that “clearly sets out the approach and information it will use in determining a ‘fair bet’ return”.

It’s therefore possible that UK consumers could end up paying twice over to help fund national fiber broadband infrastructure upgrades; i.e. not just via direct subsidies to fund rural rollouts but also, potentially, via higher broadband prices too. Albeit, the government says that in its view “the interests of consumers are safeguarded as fiber markets become more competitive”.

Though in less commercially attractive areas, where there could be a greater risk of price inflation, the government’s small print does include the recognition that regulatory interventions — such as price controls — may indeed be required. Though of course any such controls would only come in after consumers had been being stung…

“For areas where there is actual or prospective effective competition between networks, Government would not anticipate the need for regulation,” it writes. “For other areas, we would expect the regulatory model for to evolve over time as networks are established. If market power emerges, regulated access (including price controls) may be needed to address competition concerns. These detailed regulatory decisions will be for Ofcom to take.”

The Uberization of telcos

For the past decade, telecommunications companies around the globe have been grappling with falling average revenues per user equaling stagnant growth rates.

While particularly mobile operators have enabled increasing prosperity in third-world countries, new ways of working and fueled entirely new markets, much of the wealth created has landed on the books of companies that we look upon with increasing discomfort: Google, Amazon, Alibaba, Tencent and others. And as if this was not enough, the very ingredient — ubiquitous connectivity — that has served as lubricant for the disruption of entire industries is now on the verge of being disrupted itself.

While many expect finance or healthcare to be next on the list of global serial disruptors, and technologies like wearables, blockchain and AI are cited to be the nails in the coffins of these industries, small players have cooked up the ingredients that could well marginalize today’s prevailing telco business models globally. There are three ingredients that could make that happen…

Lack of customer trust

Among the top 100 most trusted brands globally, you will find companies of almost any industry, except telco. You will find our serial disruptors, big brand consumer packaged goods, car manufacturers — even banks, payment companies and healthcare service providers. But you won’t find telcos. In their battle for growth, telcos globally have largely alienated their customers for the sake of managing yield and profitability.

Furthermore, simple customer engagement processes are often broken, and telcos have struggled to achieve a high quality of service with zero defects, high responsiveness and a great customer experience on even their most relevant customer interactions. They have broken the trust equation with their customers.

An existing trusted relationship is hard to disintermediate.

Why is that relevant? Because trust is an important ingredient in disintermediation, à la Uber or Airbnb. Uber has put trust and ease into the car-hailing business, while Airbnb has put the trust in-between guest and host. On the flip side, an existing trusted relationship is hard to disintermediate.

However, the telco-customer relationship, as global brand indicators show, is ready to be disrupted. Perhaps even more so than the bank-client or doctor-patient relationships.

Liquid infrastructure

While telcos are grappling with fixing their customer front ends, becoming more nimble and responsive to customer needs and putting “greatness” back into the overall customer experience equation, small startups (and large telco suppliers alike) are creating what is known as “liquid infrastructures.”

In today’s cloud-based world, global network traffic is exploding while traffic patterns, with globally scaled and load-balanced cloud-based back-ends, are becoming more and more fluid and less predictable. Likewise, decreasing enterprise assets actually connect to the enterprise network directly.

The internet of things (IoT) is creating massively distributed architectures with globally roaming assets that need to seamlessly blend into critical enterprise applications. So, enterprises are challenged with creating more flexible network infrastructures that not only connect their various operating sites, but also create reliable connections to public cloud service providers, while connecting remote and mobile IoT assets to the core network. And all that while accommodating massive shifts in traffic patterns depending on the day of the week, time of day or reconfigurations happening at service providers.

Liquid infrastructure promises to provide a solution for such challenges, and it’s not a concept telcos are capable of, or offering, in the market place as of now. It is players like Waltz Networks, a venture-backed startup from San Francisco, that are disrupting the market place by providing solutions for the completely self-managed, liquid infrastructure that can handle today’s network demand.

Envision such an offering as a global OTT service and you have a recipe for a serious contender to the global enterprise telco services market.

“On the fly” mobile access

Redtea Mobile is another such interesting disruptor in the telco space. Imagine your IoT assets are roaming around the world globally. Which telco would you go to in order to buy a data plan, plus device management, which enables you to provision and deprovision your devices globally and on the fly?

Telcos globally have been struggling to come up with competitive offerings that make managing such global asset bases economical and a breeze. That is firstly because none of the globally leading telcos can offer a truly global network — be it of their own or partner assets. Secondly, given multiple telcos are forced to collaborate if they want to offer a global virtual mobile data service, long-standing roaming agreements often stand in the way of economical pricing models. Telcos are not yet willing to sacrifice existing global roaming revenue at the expense of a potentially growing global IoT mobility data market opportunity.

Companies are better off disrupting than being disrupted.

Despite these challenges, however, the demand is increasing. While global mobile traffic was 7 exabytes in 2016, it will skyrocket 700 percent by 2021. That’s where Redtea Mobile comes into the picture. With Redtea Mobile’s technology, you could imagine someone buying regional capacity with enough associated international mobile subscriber identities (IMSI), the unique numbers assigned to mobile phone users, around the globe at wholesale prices, bundling this capacity as a global mobile IoT data service, and reselling it to enterprises globally to fuel their IoT devices.

The way Redtea Mobile’s technology works is that it can reprogram eSIMs on the fly from the cloud, so a device that operates on one mobile network in one country can be reprogrammed to another network on the fly once it crosses the border.

Both Redtea Mobile and Waltz Network enable the disintermediation of telcos, cutting out the expensive middle man. In the scenarios described above, the end-customer relationship would likely not reside with the telco, but with a service provider smartly repackaging core telco services with new technology into an over-the-top (OTT) service that completely marginalizes the telco to a pure infrastructure provider — much like the Uber drivers or the Airbnb property owners. And, as my first argument suggests, it is unlikely that many customers will bemoan the demise of global telcos as customer-facing service providers.

So what can telcos do?

Enough cases have proven already that companies are better off disrupting than being disrupted.

True, telcos have one strength that is impossible to beat — they own assets that are hard, in most markets impossible, to replicate. However, while telcos will not vanish entirely, they run the risk of being completely marginalized. To prevent that, they should drive disruptive change of their own. While small companies are innovating, telcos could be at the forefront of deploying those technologies across their infrastructure and of developing new and innovative offerings that disrupt their prevailing products and business models on top of those technologies.

Will this be enough to win? No, telcos will still have to fix the trust equation with their customers, become more responsive, etc.

But if telcos rely on their stagnant existing revenue streams and are too timid in embracing disruption, they are likely to continue their slow path toward the ultimate horror scenario of many telco executives: that of becoming a dump pipe.

What President Trump Doesn’t Know About ZTE

After meeting with Chinese Vice Premiere Liu He this week, President Trump is still considering easing penalties on Chinese telecommunications giant ZTE over its violation of sanctions against Iran and North Korea. But what Mr. Trump may not realize is that ZTE is also one of the world’s most notorious intellectual property thieves — perhaps even the most notorious of all.

Since stopping Chinese theft of U.S intellectual property is one of the President’s most important trade objectives, Mr. Trump should refuse to ease sanctions against ZTE until it stops its high-tech banditry and starts playing by the rules in intellectual property (IP) matters.

To get a sense of just how egregious ZTE’s behavior truly is, we need only to consult PACER, the national index of federal court cases. A search of PACER reveals that in the U.S. alone, ZTE has been sued for patent infringement an astonishing 126 times just in the last five years. This number is even more shocking when you consider that only a subset of companies who believe their IP rights have been violated by ZTE has the means or the will to spend the millions of dollars needed to wage a multi-year lawsuit in federal courts.

But ZTE’s IP thievery is not confined just to the United States. According to one Chinese tech publication, ZTE has also been sued for patent infringement an additional 100 times in China, Germany, Norway, the Netherlands, India, France, the United Kingdom, Canada, Australia, and other countries. As an intellectual property renegade, ZTE certainly gets around.

Even when it’s not being sued, ZTE thumbs its nose at the traditional rules of fair play in intellectual proper matters, commonly engaging in delay, misrepresentation, and hold out when dealing with patent owners. While ZTE is more than happy to accept royalty payments for the use of its own intellectual property, it rarely if ever pays for the use of others’ IP.

Consider ZTE’s treatment of San Francisco-based Via Licensing Corp, a Swiss-neutral operator of patent pools covering wireless, digital audio, and other building-block components of complex products. Patent pools offer one-stop shopping for product makers to acquire licenses to patents from multiple innovative companies at once. Pools are generally a more efficient, and less litigious, way for product makers to acquire the IP rights they need at reasonable prices.

In 2012, ZTE joined Via’s LTE wireless patent pool, whose members also include Google, AT&T, Verizon, Siemens, China Mobile, and another Chinese tech powerhouse, Lenovo, maker of Motorola-branded smartphones. It helped set the royalty pricing of the pool’s aggregated patent rights, and even received payments from other product makers for their use of ZTE’s own patents within the pool.

But in 2017, precisely when it was ZTE’s turn to pay for its use of other members’ patents in Via’s LTE pool, it suddenly and without ceremony quit the patent pool. Via and its member companies are still trying to get ZTE to pay for its use of their intellectual property — and to abide by the very rules it helped establish in the first place.

Even among much-criticized Chinese companies, ZTE’s behavior is completely outside the norm. Despite what you may hear, some Chinese companies are actually good IP citizens — Lenovo for one. In fact, Via’s various patent pools include more than two dozen Chinese companies who play by the rules.

But ZTE is not one of them. It is a blatant serial IP violator who gives other Chinese companies a bad name. And our government should not reward such behavior.

Ease sanctions on ZTE only when it finally starts respecting intellectual property rights.

Particle brings an LTE cellular model to market for networked devices working off of 2G and 3G

Particle, a developer of networking hardware and software for connected devices, has released an LTE-enabled module for product developers.

The new device specifically targets folks whose devices were reliant on retiring 2G and 3G networks, according to the company, and includes built-in cloud and SIM support.

Even as big telecom companies and vendors move ahead with 4G and now 5G networking equipment, those technologies aren’t necessarily the best for most networked devices, according to Particle .

LTE hardware is cheaper and has better battery life and ranges that are more appropriate for industrial devices that may need to communicate across distances or through obstacles (like walls, other machines, doors or floors).

Particularly, Particle sees demand for its devices in hard-to-reach or widely dispersed sensor networks — like industrial factory floors or in an agricultural monitoring setting for a farm or field.

“As US carriers are quickly moving to end 2G and 3G support, and global carriers plan for LTE network rollouts, the timing for an LTE strategy is more critical than ever,” according to a statement Bill Kramer, EVP of IoT Solutions at KORE, which provides managed IoT networks, application enablement, location-based services

The new LTE product is part of a suite of offerings from Particle — including a device cloud, operating system and developer toolkit, the company said.

By providing a pre-integrated solution, Particle said that its hardware represents a faster, far less complicated path to market.

“We launched our cellular development kit, the Electron, to give our developer community access to the power of cellular,” said Zach Supalla, co-founder and CEO of Particle, in a statement. “The following industrial E Series line made go-to-market with 2G/3G scalable for enterprises. Now with our LTE module, businesses will evolve alongside the quickly-changing cellular landscape without missing a beat.”

Particle’s new lineup now includes two LTE CAT-M1 models (LTE B13 and LTE B2/4/5/12) and is fully certified, low profile, surface mountable for industrial environments and powered by Qualcomm’s MDM9206 IoT Modem and u-blox’s Sara-R410-02B module.

The new LTE hardware evaluation kit ships for $89 with an evaluation board, a sample temperature sensor and accessories to build out a proof of concept, the company said. Individual modules are priced at $69.

Particle counts 8,500 customers and more than 140,000 developers among its customers building networking technologies for consumer and industrial devices. The company says its customers range from global energy provider Engie and design studio Ideo to indoor crops provider Grow Labs and coffee pioneer Keurig .

 

Russia starts blocking Telegram for failing to turn over encryption keys

The Russian state telecommunication regulator has began blocking Telegram as expected. This comes after the messaging company refused to give Russian security services encryption keys. The service is expected to be blocked within the coming hours.

According to several reports Telegram is still operational in the country though several service providers have started blocking the company’s website.

Ran by its Russian founder Pavel Durov, Telegram has over 200 million users and is a top-ten messaging service made popular by its strong stance on privacy.

Telegram is recognized as an operator of information dissemination in Russia and therefore the company is required by Russian to provide keys to its encryption service to the Federal Security Service. This is so the FSS can reportedly read the messages of suspected terrorists. On March 20 the Russian communications regulator Roskomnadzor gave Telegram 15 days to comply. This was followed by Durov publicly decrying the order, saying Telegram will stand for freedom and privacy.

“The terrorist threat in Russia will stay at the same level, because extremists will continue to use encrypted communication channels – in other messengers, or through a VPN,” he said according to a report by Reuters.

Durov has long stood by this stance. Back in 2015 at TechCrunch Disrupt San Francisco, Durov revealed that ISIS was using Telegram. When asked if it concerns him, he said “I think that privacy, ultimately, and the right for privacy is more important than our fear of bad things happening, like terrorism. If you look at ISIS — yes, there’s a war going on in the Middle East. It’s a series of tragic events. But ultimately, the ISIS will always find a way to communicate within themselves. And if any means of communication turns out to be not secure for them, they’ll just switch to another one. So I don’t think we are actually taking part in these activities. I don’t think we should be guilty or feel guilty about it. I still think we’re doing the right thing, protecting our users’ privacy.”

It’s unclear how this block will change Telegram’s plan for a billion-dollar ICO. We’ve reached out to Telegram for comment.

Tom-Tom Erik Isaksen – Disrupt Yourself or Die

Tom-Tom Erik Isaksen is the head of product, Norway, at Telia, a telecom service provider. He leads a department called Division X at Telia which creates next-generation concepts that are validated and adopted into the business lines. Speaking at Product Tank Oslo, he starts off saying: “Division X is building a whole new product in the engineering division. It is adopting lean and agile principles and working with cross-functional teams to build real products.”

How have telco product offerings evolved over the years? According to Tom-Tom, the core product offering of a telco has been connectivity: it’s been the one constant over the past 15 to 20 years. So, while the customers are being sold a wide variety of telco offerings, packaged in differing shapes and forms – the core proposition has pretty much been the same – connectivity. Which begs the question: “What happens to the telco business when connectivity becomes free?”

Looking forward another 15-20 years, Tom-Tom believes that connectivity will become free – and this will seriously challenge the business models of telcos. Looking ahead, there is a need for telcos to disrupt themselves. The path to achieving that, says Tom-Tom, is to step away from being a pure-play connectivity player and become a company that offers additional value on top of connectivity. At Telia, these next-generation offerings are being delivered in the form of improved interactivity experiences, Internet of Things, real-time data processing and analytics, digital identity concepts and artificial intelligence.

The key takeaway from Tom-Tom’s talk is that “businesses need to admit that they are all ripe for disruption and act accordingly”. It is essential to experiment with new product concepts and to adopt strategies building the next vehicle driving new revenue streams.

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