LAS VEGAS -- Online games and music can generate significant new revenue and reduce churn for wireless communications companies, speakers said at CTIA convention here Mon. Wireless Internet games alone generated $300-$350 million revenue in 2000, said Eric Goldberg, pres. of Unwired Games Inc. Music artist agent Bill Diggins of Diggins Entertainment said music delivered via wireless devices would be “the Walkman of the new millennium.”
FCC and NECA will host 2 Indian Telecom Training Initiative (ITTI 2001) conferences intended to increase telecom services in Indian tribal lands. Conferences are scheduled June 3-5, Radisson Hotel, St. Paul, and Sept. 23-26, Bally’s Hotel, Las Vegas. FCC said first meeting would target marketing, finance, sales and business development executives of telecom and utility companies. Conference speakers will be tribal govt. leaders, elders and college professors. Second meeting will provide information to Indian tribal leaders and other parties.
LAS VEGAS -- FCC Chmn. Powell stressed need for national spectrum planning at CTIA Wireless 2001 show here Tues., while acknowledging importance of policy role of Dept. of Defense for frequencies used for military operations. “We can’t trivialize uses of spectrum for national defense,” he said in response to series of questions from CTIA Pres. Thomas Wheeler. Meanwhile, parade of high-tech executives ranging from Yahoo Co-founder Jerry Yang to Intel Pres.-CEO Craig Barrett stressed that mobile Internet shouldn’t be seen as surpassing fixed-line Web because multiple devices would provide access to Internet.
Citing “weak economic environment,” Spanish-language broadcaster Entravision revised financial expectations for first quarter and full year 2001. Company said it now expected revenues of $43 million in quarter ending March 31, with cash flow of $10.7 million. For full year, Entravison said it anticipated $219-$225 in revenue, with cash flow of $48-$51 million. Revised estimate “reflects the impact of continued weakness in advertising expenditures… concurrent with the slowdown in the economy,” Entravision CEO Walter Ulloa said.
GeoVideo Networks said it would present 2 screenings of films from Manhattan Short Film Festival over its fiber broadband network March 27. GeoVideo said it would use its link between its WNET N.Y.-Newark and L.A.’s KCET-TV to carry “the first real-time, two-way, coast-to-coast broadband film screening,” transmitting films at speeds greater than 8 mbps. Company said it would follow up screenings with live transmission of 4th Manhattan Short Film Festival event from Union Square Park in N.Y. to movie theaters in Cal. Sept. 23.
S.D. doesn’t have to actually provide all services included by FCC in universal service entitlement in order to receive universal service subsidies. State’s highest court said that if carrier was “capable” of offering those services, it could obtain eligible telecom carrier (ETC) status that qualified it to receive support from federal and state funds. Court was ruling on appeals of lower court decision to remand back to PUC decision denying Western Wireless ETC status for its fixed wireless local services so PUC could take another look at public interest implications. Supreme Court said it didn’t want to “hamstring” PUC, but said it was “vital” that there be minimal delay in allowing Western subsidiary GCC License Corp. to begin operations.
Assn. of Communications Enterprises (ASCENT) announced that former Vice President Al Gore would deliver keynote speech at ASCENT conference in Dallas May 22.
Merrill Lynch reduced 2001 revenue projection for Genuity by 15% to $1.25 million, well below Genuity management’s $1.59 million target. Analysts Thomas Watts and Mehvish Rahman predicted industry rebound, expected to occur in 2nd half 2001, will be delayed until 2002 and “the deteriorating environment will accelerate an IIS [Internet Infrastructure Services] industry shake-out, which could hurt Genuity in the short-run.” Merrill Lynch continued to rate company as accumulate “based on its strong market position.”
Skybridge will officially announce Thurs. plan to start offering broadband service to business customers in Europe, Asia and Latin America in July by using terrestrial infrastructure and leasing capacity on geostationary satellites, Vp Mark MacGann told us. He said move was effort by startup data and Internet company to speed service to market. In meantime, company will continue to raise money for construction of 80-satellite constellation of low- orbiting birds that eventually will take over primary responsibility for providing services to customers, who will be expanded to include individual consumers. Volatile stock market conditions and regulatory issues have stymied progress thus far, although company expects to receive license from FCC “sometime next month,” MacGann said. Shift in strategy was expected following revelations last month that company was moving in different direction (CD Feb 23 p3).
Cambridge Community TV (CCTV), nonprofit corporation that administers public access cable channels in Cambridge, Mass., filed breach of contract suit against AT&T in Middlesex Superior Court. CCTV charged AT&T with failing to make full payment of public access contribution for 2000, final year of 15-year license agreement. CCTV Exec. Dir. Susan Fleischmann said license provided that in final year, revenue of first 6 months would be used to determine gross annual revenue for that year, and that final payment of 3% be paid to CCTV. After paying only one quarter of amount due, company said it fulfilled all obligations and opposed any claims for further payments, she said. “AT&T collected a 3% public access fee from subscribers in Cambridge in the year 2000,” Fleischmann said, and “that money was intended to provide support for public access services.” License agreement was signed by AT&T’s predecessor American Cablesystems.