The most commonly used data application on mobile phones is SMS text messaging, with 74% of all mobile phone users as active users (over 2.4 billion out of 3.3 billion total subscribers at the end of 2007). SMS text messaging was worth over 100 billion dollars in annual revenues in 2007 and the worldwide average of messaging use is 2.6 SMS sent per day per person across the whole mobile phone subscriber base. (source Informa 2007). The first SMS text message was sent from a computer to a mobile phone in 1992 in the UK, while the first person-to-person SMS from phone to phone was sent in Finland in 1993.
The other non-SMS data services used by mobile phones were worth 31 Billion dollars in 2007, and were led by mobile music, downloadable logos and pictures, gaming, gambling, adult entertainment and advertising (source: Informa 2007). The first downloadable mobile content was sold to a mobile phone in Finland in 1998, when Radiolinja (now Elisa) introduced the downloadable ringing tone service. In 1999 Japanese mobile operator NTT DoCoMo introduced its mobile internet service, i-Mode, which today is the world's largest mobile internet service and roughly the same size as Google in annual revenues.
The first mobile news service, delivered via SMS, was launched in Finland in 2000. Mobile news services are expanding with many organizations providing "on-demand" news services by SMS. Some also provide "instant" news pushed out by SMS. Mobile telephony also facilitates activism and public journalism being explored by Reuters and Yahoo![5] and small independent news companies such as Jasmine News in Sri Lanka.
Companies like Monster are starting to offer mobile services such as job search and career advice. Consumer applications are on the rise and include everything from information guides on local activities and events to mobile coupons and discount offers one can use to save money on purchases. Even tools for creating websites for mobile phones are increasingly becoming available, e.g. Mobilemo.
Mobile payments were first trialled in Finland in 1998 when two coca cola machines in Espoo were enabled to work with SMS payments. Eventually the idea spread and in 1999 the Philippines launched the first commercial mobile payments systems, on the mobile operators Globe and Smart. Today mobile payments ranging from mobile banking to mobile credit cards to mobile commerce are very widely used in Asia and Africa, and in selected European markets. For example in the Philippines it is not unusual to have your whole paycheck paid to the mobile account. In Kenya the limit of money transfers from one mobile banking account to another is one million US dollars. In India paying utility bills with mobile gains a 5% discount. In Estonia the government found criminals collecting cash parking fees, so the government declared that only mobile payments via SMS were valid for parking and today all parking fees in Estonia are handled via mobile and the crime involved in the activity has vanished.
Mobile Applications are developed using the Six M's (previously Five M's) service-development theory created by the author Tomi Ahonen with Joe Barrett of Nokia and Paul Golding of Motorola. The Six M's are Movement (location), Moment (time), Me (personalization), Multi-user (community), Money (payments) and Machines (automation). The Six M's / Five M's theory is widely referenced in the telecoms applications literature and used by most major industry players. The first book to discuss the theory was Services for UMTS by Ahonen & Barrett in 2002.
The availability of mobile phone backup applications is growing with the increasing amount of mobile phone data being stored on mobile phones today. With mobile phone manufacturers producing mobile handsets with more and more memory storage capabilities the awareness of the importance in backing up mobile phone data is increasing. Corporate mobile phone users today keep very important company information on their mobiles, information if lost then not easily replaced. Wireless backup applications like SC BackUp offer users the chance to backup mobile phone data using advanced wireless technology. Users can backup, restore or transfer mobile data anytime, anywhere all over the world, to a secured server.
Media
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The mobile phone became a mass media channel in 1998 when the first ringing tones were sold to mobile phones by Radiolinja in Finland. Soon other media content appeared such as news, videogames, jokes, horoscopes, TV content and advertising. In 2006 the total value of mobile phone paid media content exceeded internet paid media content and was worth 31 Billion dollars (source Informa 2007). The value of music on phones was worth 9.3 Billion dollars in 2007 and gaming was worth over 5 billion dollars in 2007 (source Netsize Guide 2008 [1]).
The mobile phone is often called the Fourth Screen (if counting cinema, TV and PC screens as the first three) or Third Screen (counting only TV and PC screens). It is also called the Seventh of the Mass Media (with Print, Recordings, Cinema, Radio, TV and Internet the first six). Most early content for mobile tended to be copies of legacy media, such as the banner advertisement or the TV news highlight video clip. Recently unique content for mobile has been emerging, from the ringing tones and ringback tones in music to "mobisodes," video content that has been produced exclusively for mobile phones.
The advent of media on the mobile phone has also produced the opportunity to identify and track Alpha Users or Hubs, the most influential members of any social community. AMF Ventures measured in 2007 the relative accuracy of three mass media, and found that audience measures on mobile were nine times more accurate than on the internet and 90 times more accurate than on TV.
Power supply
=============
Mobile phones generally obtain power from batteries, which can be recharged from a USB port, from portable batteries, from mains power or a cigarette lighter socket in a car using an adapter (often called battery charger or wall wart) or from a solar panel o a dynamo (that can also use a USB port to plug the phone).
Formerly, the most common form of mobile phone batteries were nickel metal-hydride, as they have a low size and weight. Lithium-Ion batteries are sometimes used, as they are lighter and do not have the voltage depression that nickel metal-hydride batteries do. Many mobile phone manufacturers have now switched to using lithium-Polymer batteries as opposed to the older Lithium-Ion, the main advantages of this being even lower weight and the possibility to make the battery a shape other than strict cuboid. Mobile phone manufacturers have been experimenting with alternate power sources, including solar cells.
SIM card
========
In addition to the battery, most cellphones require a small microchip, called a Subscriber Identity Module or SIM Card, to function. Approximately the size of a one-cent postage stamp, the SIM Card is usually placed underneath the battery in the rear of the unit, and (when properly activated) stores the phone's configuration data, and information about the phone itself, such as which calling plan the subscriber is using. When the subscriber removes the SIM Card, it can be re-inserted into another phone and used as normal.
Each SIM Card is activated by use of a unique numerical identifier; once activated, the identifier is locked down and the card is permanently locked in to the activating network. For this reason, most retailers refuse to accept the return of an activated SIM Card.
Those cell phones that do not use a SIM Card have the data programmed in to their memory. This data is accessed by using a special digit sequence to access the "NAM" as in "Name" or number programming menu. From here, one can add information such as a new number for your phone, new Service Provider numbers, new emergency numbers, change their Authentication Key or A-Key code, and update their Preferred Roaming List or PRL. However, to prevent the average Joe from totally disabling their phone or removing it from the network, the Service Provider puts a lock on this data called a Master Subsidiary Lock or MSL.
The MSL also ensures that the Service Provider gets payment for the phone that was purchased or "leased". For example, the Motorola Razr V9C costs upwards of CAD $500. You can get one from Bell Mobility for approximately $200. The difference is paid by the customer in the form of a monthly bill. If, in this case, Bell Mobility did not use a MSL, then they may lose the $300–$400 difference that is paid in the monthly bill, since some customers would cancel their service and take the phone to another carrier such as Telus, or Verizon. This would eventually put the carrier or in this case, Bell Mobility out of business.
Usage
========
By civilians
============
This Railfone found on some Amtrak trains in North America uses cellular technology.
An increasing number of countries, particularly in Europe, now have more mobile phones than people. According to the figures from Eurostat, the European Union's in-house statistical office, Luxembourg had the highest mobile phone penetration rate at 158 mobile subscriptions per 100 people (158%), closely followed by Lithuania and Italy.[6] In Hong Kong the penetration rate reached 139.8% of the population in July 2007.[7] Over 50 countries have mobile phone subscription penetration rates higher than that of the population and the Western European average penetration rate was 110% in 2007 (source Informa 2007). The U.S. currently has one of the lowest rates of mobile phone penetrations in the industrialized world at 85%.
There are over five hundred million active mobile phone accounts in China, as of 2007, but the total penetration rate there still stands below 50%.[8] The total number of mobile phone subscribers in the world was estimated at 2.14 billion in 2005.[9] The subscriber count reached 2.7 billion by end of 2006 according to Informa[citation needed], and 3.3 billion by November, 2007[3], thus reaching an equivalent of over half the planet's population. Around 80% of the world's population has access to mobile phone coverage, as of 2006. This figure is expected to increase to 90% by the year 2010.[10]
In some developing countries with little "landline" telephone infrastructure, mobile phone use has quadrupled in the last decade.[11] The rise of mobile phone technology in developing countries is often cited as an example of the leapfrog effect. In many remote regions in the third world went literally from having no telecommunications infrastructure to having satellite based communications systems. At present, Africa has the largest growth rate of cellular subscribers in the world,[12] its markets expanding nearly twice as fast as Asian markets.[13] The availability of prepaid or 'pay-as-you-go' services, where the subscriber is not committed to a long term contract, has helped fuel this growth in Africa as well as in other continents.
On a numerical basis, India is the largest growth market, adding about 6 million mobile phones every month.[14] With 256.55 million mobile phones, market penetration in the country is still low at 22.52%. India expects to reach 500 million subscribers by end of 2010.
There are three major technical standards for the current generation of mobile phones and networks, and two major standards for the next generation 3G phones and networks. All European, African and many Asian countries have adopted a single system, GSM, which is the only technology available on all continents and in most countries and covers over 74% of all subscribers on mobile networks. In many countries, such as the United States, Australia, Brazil, Canada, Costa Rica, India, and South Korea and Vietnam GSM co-exists with other internationally adopted standards such as CDMA and TDMA, as well as national standards such as iDEN in the USA and PDC in Japan. Over the past five years several dozen mobile operators (carriers) have abandoned networks on TDMA and CDMA technologies, switching over to GSM.
With third generation (3G) networks, which are also known as IMT-2000 networks, about three out of four networks are on the W-CDMA (also known as UMTS) standard, usually seen as the natural evolution path for GSM and TDMA networks. One in four 3G networks is on the CDMA2000 1x EV-DO technology. Some analysts count a previous stage in CDMA evolution, CDMA2000 1x RTT, as a 3G technology whereas most standardization experts count only CDMA2000 1x EV-DO as a true 3G technology. Because of this difference in interpreting what is 3G, there is a wide variety in subscriber counts. As of June 2007, on the narrow definition there are 200 million subscribers on 3G networks. By using the more broad definition, the total subscriber count of 3G phone users is 475 million.
Culture and customs
===================
Between the 1980s and the 2000s, the mobile phone has gone from being an expensive item used by the business elite to a pervasive, personal communications tool for the general population to where specific styles of phones are often seen as a regular fashion statements (much to the lament of some). In most countries, mobile phones outnumber land-line phones, with fixed landlines numbering 1.3 Billion but mobile subscriptions 3.3 Billion at the end of 2007.
In many markets from Japan and South Korea, to Scandinavia, to Israel, Singapore, Taiwan and Hong Kong, most children age 8-9 have mobile phones and the new accounts are now opened for customers aged 6 and 7. Where mostly parents tend to give hand-me-down used phones to their youngest children, in Japan already new cameraphones are on the market whose target age group is under 10 years of age, introduced by KDDI in February 2007. The USA also lags on this measure, as in the US so far, about half of all children have mobile phones.[15] In many young adults' households it has supplanted the land-line phone. Mobile phone usage is banned in some countries, such as North Korea and restricted in some other countries such as Burma.[16]
Given the high levels of societal mobile phone service penetration, it is a key means for people to communicate with each other. The SMS feature spawned the "texting" sub-culture amongst younger users. In December 1993, the first person-to-person SMS text message was transmitted in Finland. Currently, texting is the most widely-used data service; 1.8 billion users generated $80 billion of revenue in 2006 (source ITU). Many phones offer Instant Messenger services for simple, easy texting. Mobile phones have Internet service (e.g. NTT DoCoMo's i-mode), offering text messaging via e-mail in Japan, South Korea, China, and India. Most mobile internet access is much different from computer access, featuring alerts, weather data, e-mail, search engines, instant messages, and game and music downloading; most mobile internet access is hurried and short.
The mobile phone can be a fashion totem custom-decorated to reflect the owner's personality.[17] This aspect of the mobile telephony business is, in itself, an industry, e.g. ringtone sales amounted to $3.5 billion in 2005.[18]
The use of a mobile phone is prohibited in some train company carriages
Mobile phone use can be an important matter of social discourtesy: phones ringing during funerals or weddings; in toilets, cinemas and theatres. Some book shops, libraries, bathrooms, cinemas, doctors' offices and places of worship prohibit their use, so that other patrons will not be disturbed by conversations. Some facilities install signal-jamming equipment to prevent their use, although in many countries, including the US, such equipment is illegal. Some new auditoriums have installed wire mesh in the walls to make a Faraday cage, which prevents signal penetration without violating signal jamming laws.
Trains, particularly those involving long-distance services, often offer a "quiet carriage" where phone use is prohibited, much like the designated non-smoking carriage of the past. In the UK however many users tend to ignore this as it is rarely enforced, especially if the other carriages are crowded and they have no choice but to go in the "quiet carriage".[citation needed] In Japan, it is generally considered impolite to talk using a phone on any train -- texting is generally the mode of mobile communication. Mobile phone usage on local public transport is also increasingly seen as a nuisance; the city of Graz, for instance, has mandated a total ban of mobile phones on its tram and bus network in 2008 (though texting is still allowed).[19][20]
Mobile phone use on aircraft is also prohibited and many airlines claim in their in-plane announcements that this prohibition is due to possible interference with aircraft radio communications. Shut-off mobile phones do not interfere with aircraft avionics; the concern is partially based on the crash of Crossair Flight 498.
By government agencies
=======================
Law enforcement
===============
Law enforcement have used mobile phone evidence in a number of different ways. In the EU the "communications of every mobile telephone user are recorded".[21] In other countries, evidence about the physical location of an individual at a given time has been introduced by triangulating the individual's cellphone between several cellphone towers. This triangulation technique can be used to show that an individual's cellphone was at a certain location at a certain time. The concerns over terrorism and terrorist use of technology prompted an inquiry by the British House of Commons Home Affairs Select Committee into the use of evidence from mobile phone devices, prompting leading mobile telephone forensic specialists to identify forensic techniques available in this area.[22] NIST have published guidelines and procedures for the preservation, acquisition, examination, analysis, and reporting of digital information present on mobile phones can be found under the NIST Publication SP800-101.[23]
In the UK in 2000 it was claimed that recordings of mobile phone conversations made on the day of the Omagh bombing were crucial to the police investigation. In particular, calls made on two mobile phones which were tracked from south of the Irish border to Omagh and back on the day of the bombing, were considered of vital importance.[24]
Further example of criminal investigations using mobile phones is the initial location and ultimate identification of the terrorists of the 2004 Madrid train bombings. In the attacks, mobile phones had been used to detonate the bombs. However, one of the bombs failed to detonate, and the SIM card in the corresponding mobile phone gave the first serious lead about the terrorists to investigators. By tracking the whereabouts of the SIM card and correlating other mobile phones that had been registered in those areas, police were able to locate the terrorists.[25]
Disaster response
The Finnish government decided in 2005 that the fastest way to warn citizens of disasters was the mobile phone network. In Japan, mobile phone companies provide immediate notification of earthquakes and other natural disasters to their customers free of charge [26]. In the event of an emergency, disaster response crews can locate trapped or injured people using the signals from their mobile phones. An interactive menu accessible through the phone's Internet browser notifies the company if the user is safe or in distress.[citation needed] In Finland rescue services suggest hikers carry mobile phones in case of emergency even when deep in the forests beyond cellular coverage, as the radio signal of a cellphone attempting to connect to a base station can be detected by overflying rescue aircraft with special detection gear. Also, users in the United States can sign up through their provider for free text messages when an AMBER Alert goes out for a missing person in their area.
However, most mobile phone networks operate close to capacity during normal times and spikes in call volumes caused by widespread emergencies often overload the system just when it is needed the most. Examples reported in the media where this have occurred include the September 11, 2001 attacks, the Hawaiian earthquake, the 2003 Northeast blackouts, the 2005 London Tube bombings, Hurricane Katrina, and the 2007 Minnesota bridge collapse. Thus mobile phones are better for isolated emergencies such as vehicle accidents.
Under FCC regulations, all mobile telephones must be capable of dialing emergency services, regardless of the presence of a SIM card or the payment status of the account.
==================
Business models
===============
Tariff models
When cellular telecoms services were launched, phones and calls were very expensive and early mobile operators (carriers) decided to charge for all air time consumed by the mobile phone user. This resulted in the concept of charging callers for outbound calls and also for receiving calls. As mobile phone call charges diminished and phone adoption rates skyrocketed, more modern operators decided not to charge for incoming calls. Thus some markets have "Receiving Party Pays" models (also known as "Mobile Party Pays"), in which both outbound and received calls are charged, and other markets have "Calling Party Pays" models, by which only making calls produces costs, and receiving calls is free. An exception to this is international roaming tariffs, by which receiving calls are normally also charged.[citation needed]
The European market adopted a "Calling Party Pays" model throughout the GSM environment and soon various other GSM markets also started to emulate this model. As Receiving Party Pays systems have the undesired effect of phone owners keeping their phones turned off to avoid receiving unwanted calls, the total voice usage rates (and profits) in Calling Party Pays countries outperform those in Receiving Party Pays countries. Consequently, most countries previously with Receiving Party Pays models have either abandoned them or employed alternative marketing methods, such as massive voice call buckets, to avoid the problem of phone users keeping phones turned off.[citation needed]
In most countries today, the person receiving a mobile phone call pays nothing. However, in Hong Kong, Canada, and the United States, one can be charged per minute, for incoming as well as outgoing calls. In the United States and Canada, a few carriers are beginning to offer unlimited received phone calls. For the Chinese mainland, it was reported that both of its two operators will adopt the caller-pays approach as early as January 2007.[27]
While some systems of payment are 'pay-as-you-go' where conversation time is purchased and added to a phone unit via an Internet account or in shops or ATMs, other systems are more traditional ones where bills are paid by regular intervals. Pay as you go (also known as "pre-pay") accounts were invented simultaneously in Portugal and Italy and today form more than half of all mobile phone subscriptions. USA, Canada, Costa Rica, Japan and Finland are among the rare countries left where most phones are still contract-based.
One possible alternative is a sim-lock free mobile phone. Sim-lock free mobile phones allow portability between networks so users can use sim cards from various networks and not need to have their phone unlocked.
