Jan 12
The Verizon iPhone Arrives
Finally, after a very long wait and much speculation, Apple and Verizon Wireless have agreed to bring the iPhone to the Verizon network. After talking about the new Verizon LTE network, the Verizon CEO Lowell McAdam confirmed that a CDMA (non-LTE) version of the iPhone 4 will be coming to Verizon Wireless, and in less than one month! Discussion of this deal dates all the way back to 2008, and the phone has reportedly been in testing for almost a year.
Current Verizon customers will be able to pre-order their very own iPhone 4 on February 3rd for the standard $200 price for the 16GB model on a two year agreement, and $300 for the 32GB version. All other new customers will be able to order on February 10th. Just to emphasize and answer any wild rumors, the phone is Verizon 3G only, meaning no 4G data or GSM roaming. It’s not a world phone or an AT&T + Verizon phone, it’s just a Verizon phone.
Beyond being on the Verizon network, the phone is for the most part unchanged. One thing to note is that Verizon’s CDMA network doesn’t support simultaneous voice and data like how AT&T does. It does have the new antenna design that it was rumored to have, but that’s just because CMDA requires a different antenna setup. According to a report from Apple, they didn’t go LTE just yet because first-gen chipsets would force unwanted design decisions, and customers want a Verizon device as soon as possible. The modification to the antenna caused a slight bump in where the volume buttons and mute switch are located, so a specific case for the Verizon iPhone will probably be required. On the software side, the main feature will be the five user WiFi hotspot functionality. While this has been a standard feature on Android phones, until now Apple has kept the iPhone only able to tether directly to one computer.
Dec 06
Groupon Rejects Google’s $6 Billion Offer
Groupon, a Chicago-based daily deal website, has turned down an acquisition offer from Google, in which it is choosing to stay independent. The two companies had been engaged in talks for a few months, with things heating up during this past week. The offer from Google was reported to be a ridiculously high $6 billion for the daily deal start-up.
The rejection of the Google offer is a milestone in Groupon’s staggering journey. In just two years, Groupon has gone from a struggling web site to a tech giant with more than 3,000 employees worldwide, a presence in 35 countries, and expected annual revenues of at least $500 million this year.
Google has been looking to expand its advertising arm to local communities. Acquiring Groupon would have given them access to a massive human network of sales employees and their relationships with small businesses across the country. Groupon has reportedly been courted by other companies before, such as Yahoo.
Groupon offers consumers steep discounts online for local businesses such as restaurants and salons, with the deal tipping for everyone if a minimum number of its subscribers sign up for the offer. Groupon takes a cut, typically 50 percent, of the revenue from each deal it runs.
In 2007, Groupon Chief Executive Andrew Mason initially created a site called The Point that would organize collective action around social or charitable causes. When The Point failed to turn a profit, Mason retooled the site to focus on daily deals for local services. The new idea became Groupon, which launched two years ago.
Groupon plans on expanding to keep up with new competitors to the market, such as LivingSocial and Eversave. Earlier this year, the company rolled out personalized deals, a feature that targets offers to users based on gender, geographic location, and purchasing history. This program allows Groupon to serve up multiple deals in each market, keeping any single business from being overwhelmed by thousands of new customers. Recently the company agreed to have its deals featured on eBay. Also, Groupon said it also plans to expand its product team in Chicago, which stems from a $3.5 million incentive package from the state to create 250 additional jobs.
