China Mobility Systems, a leading provider of mobile business solutions across China, has launched a “Push” based, BlackBerry like, mobile email service. The company is currently in talks with one of the world’s largest PC manufacturers to distribute this product bundled with their systems.
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Research in Motion is undoubtedly the leader in the mobile wireless email industry but unresolved settlement specifics with NTP could make it easier for Microsoft and RIM’s other competitors to get a toehold in the space. Companies like Turner Broadcasting has thousands of it’s users on the BlackBerry platform but has put a contingency plan in place to move to other mobile email technology in case the stay on the injunction that, would prevent Research in Motion from selling BlackBerry devices and service in the United States, is removed.
A shutdown of Research in Motion is far from certain at this point but the reality is, I.T. shops only like to deal with vendors that they are certain will be around for the long haul. The renewed legal uncertainty will definitely make I.T. managers look at alternative technologies from the likes of Microsoft, with their Messaging & Security Feature Pack for Windows Mobile 5.0, and other RIM competitors like Good Technology, who has already struck a patent alliance with NTP.
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It may turn out that the “Always On” Direct Push email technology found in the Messaging & Security Feature Pack for Windows Mobile 5.0 may not be “Push” technology at all. Windows Mobile 5.0 email capabilities are much like those of regular email clients, periodically checking for email on a scheduled basis. True Push technology, like that found Research in Motions BlackBerry Enterprise Server is completely server based and pushes email to the BlackBerry handheld devices whenever there is new mail message.
This is significant because it takes more power to send a transmission than it does to receive a transmission. A Windows Mobile 5.0 device that has to check to see if there are new messages on an Exchange Server may be more battery-life challenged as compared to devices that take a true Push approach.
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Microsoft, today, announced the Messaging & Security Feature Pack for Windows Mobile 5.0 and this BlackBerry Killer may actually have some teeth. Together with SP2 for Exchange 2003, the Messaging & Security Service Pack for Windows Mobile 5.0 will compete directly with Research in Motions ever popular BlackBerry and “Push” based email technologies from Good Technology and Visto. Oh, and by the way, it is free. That’s right. The expensive server side piece required by other solutions comes as a free service pack for companies already on Exchange 2003. This free addon for Exchange 2003 will make Microsoft a big time player in the “Push” email game from day one.
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RBC Capital Markets, today downgraded Research in Motion from “Outperform” to “Sector Perform”. The target price is set to $100. Increased competition by the likes of Microsoft, which is likely to announce an Enterprise Feature Pack for Windows Mobile 5.0, and Good Technology, that just inked a deal with Cingular to offer their GoodLink Software as part of Cingular’s customers plans, is imminent. RBC Capital Markets doesn’t expect this new competition to adversely impact Research in Motions longer-term franchise, however.
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Cingular Wireless, the largest U.S. Wireless operator, has become the first carrier to offer Good Technologies GoodLink software, a “Push” based email technology that allows the synchronization of email and information management data, to Cingular users who use selected Palm OS and Windows Mobile-based handhelds such as the Palm Treo and the Siemens SX66.
“This is a world-class wireless e-mail application that our customers have been asking for,” said Cingular spokesperson John Kampfe. With GoodLink, he said, business customers can access their Outlook systems without using a cradle and can update their software over the air.
Cingular previously offered GoodLink to over 5000 customers as a separate service but know will provide it on a singe bill. Goodlink is being sold for $44.99 per month for unlimited data with qualifying voice plans.
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Good Technology, one of the Research in Motions biggest competitors in the “Push” wireless email market, reaches the $200 million mark in venture capitol funding. Already one of the best funded companies in Silicon Valley, Good Technology breaches the $200M mark in just over 5 years.
Advanced Equities Financial, a Chicago investment banking boutique specializing in raising late-stage financing for high-tech start-ups from high net worth individuals, raised $40 million of the $65 million round.
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Nextel Communications and Visto Corporation recently announced the launch of Mobile Email Enhanced which is a “Push” based, always on, email service similar to that found on Research in Motions ever so popular BlackBerry. Mobile Email Enhanced is the first service for Nextel Java-enabled mobile phones and offers a rich email expreience with full calendar and contacts synchronization.
Mobile Email Enhanced is powered by ConstantSynch, Visto’s wireless synchronization technology and an on-phone application to provide real-time access to email, contacts, and calendars.
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