Lecture L17
THE MOBILE REVOLUTION
Why is the mobile 

phone so important 

to us?
Q1
400M daily circulations of all newspapers
800M registered cars
900M total cable/satellite TV subscribers
1.1B of all types...
Mobile Phones
6.9billion connections

!
https://gsmaintelligence.com/
There are more mobile phones in the
world than there are toothbrushes
Mobile Phones
Will grow to 8 billion
phones in the next
few years
Image:	
  Nokia
Mobile Phones
Why is the mobile 

phone so important 

to us?
Q1
Survival
There are 48 million people in
the world who have a mobile
phone but do not have
electricity at home
Mobile Phones
provide...
The Digital Revolution
Early Systems
The First Cell phone (1973)
Name:	
  Motorola	
  Dyna-­‐Tac

Size:	
  9	
  x	
  5	
  x	
  1.75	
  inches

We...
Microchip

!
Digital Signal Processor

!
Mobile phones became
practical in the 1980s
Technical Improvements
Cellular Networks
Radio network made up of radio

cells

!
Tower and base
Base stations connect to 

Mobile Telephone Switching Office 

MTSO
!
SID – System identification Code
!
SIM-cards

Cellul...
Handoff
Calls are automatically moved from 

one cell to the next

MTSO controls the switch

!
Roaming
Connecting from one...
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
Lessons Learned: Cellular Phones
▪ Mobile phones provide safety
▪...
1G Analog
1G Analog
1980s

Voice only

NMT, AMPS, FDMA
Early systems were in Bahrain, US, Japan and in
the Nordic countries

!
First international system

was NMT in the Nordic
...
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
Q2 When the first mobile phones become
possible, how does the mar...
NMT in Nordics

AMPS in the US

TACS in UK

C-Nets in West Germany

Radiocom 2000 in France

RTMI/RTMS in Italy
1G Analog
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
Q3 What are the characteristics of the
first mobile phones and wh...
Big

Expensive

Limited
Characteristics
Business users

Field users

Mobira	
  Talkman	
  

frá	
  Nokia
1G Analog
Early u...
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
Q4 Early on multiple system were developed all
over Europe. What ...
Multiple standards – roaming is a problem

!
In the US this is not a problem
1G Analog
European countries decide to define 

common standard – digital



Work on a Global System for Mobile 

Communication (GSM...
2G Digital
1990s

Voice and data

9.6 – 14.4 Kbps

GSM, TDMA
Downloading 3 min. MP3 song: 31-41 min.

2G Digital
Digital mobile phones appear in early 90s
!
GMS takes off in 1991 – 

unites Europe
!
Time Division Multiple 

Access – TD...
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
Q5 US is slow to adopt 2G, why?
US was slow in adopting 2G because roaming
worked well

!
Digital did not add enough over analog

!
Texting and SIM cards ...
GMS
Global System for Mobile Communication

!
Built on TDMA – Digital

!
Three times the capacity of analog, encryption,
texti...
GMS
GSM association has 800
networks in 220 countries
Texting
Short Message System allowed 160 letters

!
Became an accidental killer app – messages, 

chat, ring tones

!
Firs...
Lessons Learned: Cellular Phones
▪ Cars became the first platform for phones
▪ First phones are analog
▪ Multiple standard...
3G
Mobile networks and the Internet start to

converge

!
1G and 2G are circuit switched – fine for voice

The Internet is pa...
3G Packet Switching
IMT – 2000 was a global standard for 3G

mobile communications defined in mid-1990s

!
Goals: 

	 Avai...
2000s	
  
More	
  data	
  
128+	
  Kbps	
  
GPSR,	
  EDGE,	
  UMTS,	
  CDMA
Downloading 3 min. MP3 song: 

11 sec. – 1,5 m...
More bandwidth, more applications

!
Email, Images, music, movies, streaming

!
Based on Code Division

Multiple Access – ...
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
3G Solutions
Messages Browsing Apps
Built with limitations

!
Screen size, bandwidth restrictions

Input limited – one-handed keyboard

Limited memory, batter...
Then, in 2007, the world changed
Copyright	
  ©	
  2011,	
  Ólafur	
  Andri	
  Ragnarsson
How does the 

competition

respond?
Think about

The Arrogance of the Present
iPhone hit the market in June 2007
Ok, let’s check the facts 

five years later
http://www.businessinsider.com/iphone-­‐bigger-­‐than-­‐microsoft-­‐2012-­‐2
Copyright	
  ©	
  2011,	
  Ólafur	
  
Andri	
  Ragnarsson
The 

iPhone 

Effect
Touch screen
Industrial strength

desktop quality OS
Software and User

interface
Platform for Apps
60 billion apps downloaded (Oct 13)
~400 apps per second
Smartphone Market
Smartphone Market
Source: Mary Meeker Slide Deck
Smartphone Market
Smartphone Market
iPhone
The App Store
is to the iPhone
what iTunes is
to the iPod

!
Google Play is
the same
Availability
Specialized Apps
with Quality of
Service – Innovation
Context
Mobile media
users pick up their
phone 18 times a
day to consume
content via apps/
browser
Key Trends
Mobile became
important in 2010 and
will be a revenue
opportunity going
forward
Bandwidth on 3G
mobile networks is
growing by
approximately 

400% 

annually

Source: Heavy Reading
Smartphones
Source: Skynews
Smartphones
How long does it take to download a HD movie
3G - 1 hour
4G - 40 seconds
5G - 1 second
Image	
  courtesy	
  of	
  Admob	
  (Google)
Looking forward
2011 2012 2013 2014 2015
Source:	
  Morgan	
  Stanley
Mobile vs. Desktop
Source:	
  Morgan	
  Stanley
Mobile vs. Desktop
Cameron Says UK And Germany To Work On 5G,
Internet Of Things
Solutions
Voice, text Apps, music, videos,
Worldwide tablet sales are
predicted to grow by more than
400% over a two-year period,
reaching 81.3 million units in
2012...
Work	
  
More	
  focused	
  
More	
  information
Digital Online World
Browsing	
  
Consuming	
  
content
Checking	
  
Mobi...
The “mobile web” is just
the web – there is only
one web. It’s just
displayed in multiple of
screen sizes
Source:	
  The	
...
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
New Technology Lecture L17 The Mobile Revolution
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New Technology Lecture L17 The Mobile Revolution

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The ideas for cellular phones were developed in the 1940s. However, it was not until the microprocessor becomes available that practical commercial solutions are possible.

Today there are more than 4 billion mobile phone subscriptions in the world. In the last few years the increase has been most dramatic in developing countries. Telecoms operators have tried to capitalise on this by offering new services that will generate new revenues for them. Mobile Applications are increasing revenues for the operators while voices revenues are getting less and less. But what are mobile applications?

In this lecture we look mobile.

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New Technology Lecture L17 The Mobile Revolution

  1. 1. Lecture L17 THE MOBILE REVOLUTION
  2. 2. Why is the mobile 
 phone so important 
 to us? Q1
  3. 3. 400M daily circulations of all newspapers 800M registered cars 900M total cable/satellite TV subscribers 1.1B of all types of computers (PC, netbooks...) 1.2B total landline phones 1.5B total TV sets 1.7B total unique holders of credit cards 2.1B total unique holders of bank accounts 3.9B total FM radios in use
  4. 4. Mobile Phones 6.9billion connections ! https://gsmaintelligence.com/
  5. 5. There are more mobile phones in the world than there are toothbrushes Mobile Phones
  6. 6. Will grow to 8 billion phones in the next few years Image:  Nokia Mobile Phones
  7. 7. Why is the mobile 
 phone so important 
 to us? Q1
  8. 8. Survival
  9. 9. There are 48 million people in the world who have a mobile phone but do not have electricity at home Mobile Phones provide safety Cisco,  January  2011
  10. 10. The Digital Revolution
  11. 11. Early Systems The First Cell phone (1973) Name:  Motorola  Dyna-­‐Tac
 Size:  9  x  5  x  1.75  inches
 Weight:  2.5  pounds
 Display:  None
 Number  of  Circuit  Boards:  30
 Talk  time:  35  minutes
 Recharge  Time:  10  hours
 Features:  Talk,  listen,  dial
  12. 12. Microchip ! Digital Signal Processor ! Mobile phones became practical in the 1980s Technical Improvements
  13. 13. Cellular Networks Radio network made up of radio
 cells ! Tower and base
  14. 14. Base stations connect to 
 Mobile Telephone Switching Office 
 MTSO ! SID – System identification Code ! SIM-cards Cellular Networks
  15. 15. Handoff Calls are automatically moved from one cell to the next MTSO controls the switch ! Roaming Connecting from one 
 phone company to another Cellular Networks
  16. 16. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson Lessons Learned: Cellular Phones ▪ Mobile phones provide safety ▪ The most common device of all ▪ Mobile phones are not practical until 1980s due to size of technology – Adjacent Possible ▪ The invention of the microchip played crucial role in the development of cell phones
  17. 17. 1G Analog
  18. 18. 1G Analog 1980s Voice only NMT, AMPS, FDMA
  19. 19. Early systems were in Bahrain, US, Japan and in the Nordic countries ! First international system
 was NMT in the Nordic ! Frequency Division 
 Multiple Access - FDMA 1G Analog
  20. 20. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson Q2 When the first mobile phones become possible, how does the market evolve?
  21. 21. NMT in Nordics AMPS in the US TACS in UK C-Nets in West Germany Radiocom 2000 in France RTMI/RTMS in Italy 1G Analog
  22. 22. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson Q3 What are the characteristics of the first mobile phones and who where the users?
  23. 23. Big Expensive Limited Characteristics Business users Field users Mobira  Talkman  
 frá  Nokia 1G Analog Early users
  24. 24. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson Q4 Early on multiple system were developed all over Europe. What was the problem with that?
  25. 25. Multiple standards – roaming is a problem ! In the US this is not a problem 1G Analog
  26. 26. European countries decide to define 
 common standard – digital Work on a Global System for Mobile 
 Communication (GSM) starts 1982 1G Analog
  27. 27. 2G Digital
  28. 28. 1990s Voice and data 9.6 – 14.4 Kbps GSM, TDMA Downloading 3 min. MP3 song: 31-41 min. 2G Digital
  29. 29. Digital mobile phones appear in early 90s ! GMS takes off in 1991 – 
 unites Europe ! Time Division Multiple 
 Access – TDMA
 2G Digital
  30. 30. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson Q5 US is slow to adopt 2G, why?
  31. 31. US was slow in adopting 2G because roaming worked well ! Digital did not add enough over analog ! Texting and SIM cards was not known 2G Digital
  32. 32. GMS
  33. 33. Global System for Mobile Communication ! Built on TDMA – Digital ! Three times the capacity of analog, encryption, texting, SIM cards GMS
  34. 34. GMS GSM association has 800 networks in 220 countries
  35. 35. Texting Short Message System allowed 160 letters ! Became an accidental killer app – messages, 
 chat, ring tones ! First message sent 03.12.1992:
 “Merry Christmas”
  36. 36. Lessons Learned: Cellular Phones ▪ Cars became the first platform for phones ▪ First phones are analog ▪ Multiple standard – each country invents its own – Problem with standards (history repeats itself?) ▪ Roaming problems in Europe call for a standard ▪ Digital standard developed in Europe, G2 ▪ US does not have roaming problems and gets stuck in G1
  37. 37. 3G
  38. 38. Mobile networks and the Internet start to
 converge ! 1G and 2G are circuit switched – fine for voice
 The Internet is packet-switched 3G
  39. 39. 3G Packet Switching IMT – 2000 was a global standard for 3G
 mobile communications defined in mid-1990s ! Goals: Available 2000, 
 Data rage 2000 kbps, Frequencies in the 2000 Mhz region
  40. 40. 2000s   More  data   128+  Kbps   GPSR,  EDGE,  UMTS,  CDMA Downloading 3 min. MP3 song: 
 11 sec. – 1,5 min. 3G Packet Switching
  41. 41. More bandwidth, more applications ! Email, Images, music, movies, streaming ! Based on Code Division
 Multiple Access – CDMA 3G Packet Switching
  42. 42. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson
  43. 43. 3G Solutions Messages Browsing Apps
  44. 44. Built with limitations ! Screen size, bandwidth restrictions Input limited – one-handed keyboard Limited memory, battery life ! Fragmentation nightmare 3G Solutions
  45. 45. Then, in 2007, the world changed
  46. 46. Copyright  ©  2011,  Ólafur  Andri  Ragnarsson
  47. 47. How does the 
 competition
 respond? Think about The Arrogance of the Present
  48. 48. iPhone hit the market in June 2007
  49. 49. Ok, let’s check the facts 
 five years later
  50. 50. http://www.businessinsider.com/iphone-­‐bigger-­‐than-­‐microsoft-­‐2012-­‐2
  51. 51. Copyright  ©  2011,  Ólafur   Andri  Ragnarsson The 
 iPhone 
 Effect
  52. 52. Touch screen
  53. 53. Industrial strength desktop quality OS
  54. 54. Software and User
 interface
  55. 55. Platform for Apps
  56. 56. 60 billion apps downloaded (Oct 13)
  57. 57. ~400 apps per second
  58. 58. Smartphone Market
  59. 59. Smartphone Market
  60. 60. Source: Mary Meeker Slide Deck Smartphone Market
  61. 61. Smartphone Market
  62. 62. iPhone
  63. 63. The App Store is to the iPhone what iTunes is to the iPod ! Google Play is the same Availability
  64. 64. Specialized Apps with Quality of Service – Innovation Context
  65. 65. Mobile media users pick up their phone 18 times a day to consume content via apps/ browser
  66. 66. Key Trends Mobile became important in 2010 and will be a revenue opportunity going forward
  67. 67. Bandwidth on 3G mobile networks is growing by approximately 
 400% 
 annually Source: Heavy Reading Smartphones
  68. 68. Source: Skynews Smartphones How long does it take to download a HD movie 3G - 1 hour 4G - 40 seconds 5G - 1 second
  69. 69. Image  courtesy  of  Admob  (Google) Looking forward 2011 2012 2013 2014 2015
  70. 70. Source:  Morgan  Stanley Mobile vs. Desktop
  71. 71. Source:  Morgan  Stanley Mobile vs. Desktop
  72. 72. Cameron Says UK And Germany To Work On 5G, Internet Of Things
  73. 73. Solutions Voice, text Apps, music, videos,
  74. 74. Worldwide tablet sales are predicted to grow by more than 400% over a two-year period, reaching 81.3 million units in 2012. Tablets
  75. 75. Work   More  focused   More  information Digital Online World Browsing   Consuming   content Checking   Mobile   Want’s  it  now
  76. 76. The “mobile web” is just the web – there is only one web. It’s just displayed in multiple of screen sizes Source:  The  Next  Big  Thing:  Mobile,  http://www.olafurandri.com/?p=408  

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