Amazon has been investing a lot on its tablets (including the Kindle Fire), and this shows on its quarterly earnings: the profits for the giant online retailer are down 73%, and the stock is taking a dive in after-hours and the losses stand at 14% for now. We’ll see what it really looks like tomorrow.
But even if the quarter’s net income of $63M falls short of last year’s $231M, Amazon is hardly in any danger, and the game here is to sell tablets at cost (or at a loss) in order to make profits from sales of digital goods in the future. This is a business model that has been successfully used by game consoles, although I would stop the comparison there because the tablet market is very different in both variety and eco-system.
Still, Amazon is not there to “fight” against Apple, Samsung and other tablet makers. What Amazon really wants to do is to enable more people to shop for Amazon’s digital content, and if that means giving them a tablet for cheap, then so be it. The question is whether or not Amazon can sell enough digital good to make up for the hardware cost/losses? In theory, they could, and if that’s indeed true, they may come back stronger than ever.
T-Mobile U.K. is set to introduce a new price plan from February 1 that offers British subscribers everything their smartphone will ever need for just 36 (approx. $54.46) per month. It’s called “The Full Monty” plan, a trusted tipster revealed exclusively to TechnoBuffalo, and one of its best features includes truly unlimited data.
It’s a 24-month plan that you should have no concerns about committing to. It includes 2,000 cross-network anytime minutes, which also allow you to call voicemail and 08 numbers for free – something many U.K. carriers do not offer. Everything else is truly unlimited; including unlimited texts, unlimited data, and unlimited calls to other T-Mobile subscribers.
What’s more, the plan is said to be fixed at that price regardless of the handset you take with it, unlike Three’s One Plan, which starts at 25 (approx. $39) per month and fluctuates depending on the handset you choose.
The plan is set to be the cheapest available to pay monthly customers in the U.K., and one of the few that offers truly unlimited data. The only deal we’ve found around that price with similar benefits is a SIM-only plan from Orange which offers 1,200 minutes, unlimited texts, and 1GB of data for 31 (approx. $48.62). And I think that just proves what a bargain the The Full Monty plan will be.
Are you looking forward to T-Mobile’s Full Monty Plan?
European videogame purveyor GAME has put itself up for sale. Apparently, the company is so short on money the odds of it being able to pay rent due within the next few weeks is slim and could force the firm into administration. If GAME fails, thousands of jobs are at risk. MCV reports that GameStop has expressed interest in purchasing GAME’s Spanish arm.
For the failing videogame seller to shed its British arm it could possibly have to fight through pre-pack administration. The company also has operations in France and Australia that will likely need the same sort of administration. GAME had significant issues after sales were particularly bad during the holiday shopping season in 2011. The company also met with some of its game suppliers to attempt to renegotiate terms. Some large suppliers such as EA, Nintendo, and Capcom were unmoved by GAME’s plight.
The failure to get those large suppliers on its side meant the company was unable sell anticipated games such as Mass Effect 3 and Street Fighter X Tekken. GAME is reportedly now telling investors that they need to brace themselves for administration. Shares of publicly traded company had lost 95% of the value in the past year and dropped a further 65% recently to trade at 1.2p or about 2 cents in USD per share.
The High Court of England and Wales has ruled that five ISPs must block access to The Pirate Bay. Sky, Everything Everywhere, TalkTalk, O2 and Virgin Media have all been ordered to prevent their customers from accessing the Magnet linking website following the ruling. The British Phonographic Industry sees it as a big win, saying that “The High Court has confirmed that The Pirate Bay infringes copyright on a massive scale.”
Geoff Taylor, chief executive of the BPI, went on to say that The Pirate Bay and similar websites “destroy jobs in the UK and undermine investment in new British artists,” and that “operators line their pockets by commercially exploiting music and other creative works without paying a penny to the people who created them.”
Virgin Media issued a statement following the decision, saying it intends to fully comply with the ruling, but also shines a light on how legal alternatives should be made readily available to more effectively combat piracy. They cite their current agreement with Spotify, which offers free Premium access for six months with a new Virgin Media subscription.
It’s unclear how effective the block will be. BT was ordered to block access to Usenet aggregator Newzbin2 and began doing so in November 2011, although the restriction was quickly subverted by the sites operators. Newzbin2 offered users software which encrypted access between them and the servers, allowing surfers to freely browse and download NZB files from the website.