hello everybody it is Monday January
23rd 2012 I'm Jessica doll court this is
C nuts podcast called dialed in and you
are here in San Francisco with the
lovely Lynn law technical producer
Steven Beecham and then over in New York
we've got Brian Bennett and special
guest today Roger Cheng from cnet news
we've got a really big show and we're
just gonna dive right into it basically
yesterday when we were watching the
football game here the 49ers lost them
set sadness our sadness was interrupted
with the breaking news that rim
blackberry maker had ousted its two CEOs
or rather they had resigned and there
was a new CEO in the pool so we are
going to talk a lot about that Roger why
don't you start us out yeah well uh when
the the Giants made their way back to
the Super Bowl for the first time we've
got in there I've already in the midst
of that excellent game at his kind of
boring game they rim announced that the
two CEOs were throwing in the towel
basically stepping down and appointing
their successor thorsten heins I think
it's torsten actually torsten yeah I
knew I screwed that up but torsten Heinz
to be a nuisance it is it is they he's
formally their CEO he's been with a
company for about four years coming from
Siemens and yeah he's he's taking the
reins of the this troubled smartphone
maker so basically what does this mean I
mean he's an insider so he's not exactly
fresh blood however he also wasn't a CEO
of rim before I mean he was sort of
higher in the ranks relatively unknown I
think two people who weren't very
closely watching the company and I you
know what what do we expect from him is
that going to be enough of a change
what's going to happen I think that's a
big criticism for today a lot of people
were expecting more change you know if
you're going to swap out the CEO if
you're gonna make this big management
shuffle why not go big with it and
this is basically as temper to move as
they could have made in terms of
management change I mean this guy's been
with the company for four years worked
directly under lousy Rita sympathy Lee's
so while he wasn't the CEO I mean he's
been a part of this company as it
stumbled over the past year so I'm a
conference call today he basically said
he doesn't see any real need for drastic
change which Kylie's believe he's got
that same kind of reality distorting
bubble that they all have up there and
rim and you know that that's sort of a
trouble there and you look at Wall
Street right now the stock is down about
five percent it was actually up early on
Lawrence then not a lot of confidence it
was actually up early in the morning and
then they had their conference call
where he spoke for the first time
publicly and then stock went down so so
I guess he's probably not the most
charismatic choice perhaps ah jobs you
shouldn't have spoken basically who
should have kept his mouth shut and rim
would be fine is that it at this point
yeah though that other I'm sure
investors would have gone him from not
talking enough so I mean either way
probably lost I think he just said the
wrong things you just said what people
weren't looking for so what did he say
specifically well basically that you
know rim has the right strategy right
now he's staying the course no need for
drastic change all the things that
investors are probably freaking out
about right now consumers to I mean you
know there's no change that means you're
not going to get a you know brand
spanking new blackberry for another nine
months or so or at least you know
blackberry 10 powered smartphone so it
seems like yeah it's just more the same
which is definitely not what people want
from rim right now and I mean isn't the
latest OS supposed to be coming out I
mean is it already already backed up to
q3 yeah it's well backed up they say
second half of this year so we don't
really know what that means they they
like to you know mess with the calendar
a lot when they say summer they can mean
the very end of summer second half of
the year could mean the very end of the
year we really don't know but either way
I think the consensus there is that
that's way too late well that's true but
I mean you say back up and my
understanding from the blackberry
developer conference
when I sat down and spoke right after a
BB X or blackberry 10 was announced was
that it was always planned like that was
always the time frame well I think there
was a lot of speculation and I think
even REM had sort of contributed this
there was a lot of talk that the devices
would come out earlier than the second
half first half was really sort of the
goal whether it be the end of it the
beginning of the year was still unclear
but the fact that they said second half
that is a major change in their schedule
they acknowledged in the last conference
call basically the CEO said yeah we get
it this is late but we're waiting for
this brand spanking new chip that that's
supposedly more power efficient okay so
before we talk specifically more about
rim and what it needs to do and who this
guy is anyway I just there have been
other changes to the board to that are
also aren't exactly revolutions in
topsy-turvy right like co-founder and
previous co-ceos Lazar itís and ball
silly are still on the board correct and
it yes and lahser itís is in fact now
like the vice chair of the board and
chair of the board's new innovation
committee right so it was the guy
possible right because here he is and
one of the biggest criticisms was that
there was no innovation and now he's
taking the reins on the innovation
committee and that makes me think that
he thinks that you know being freed up
for being co-ceo will allow him the time
to really help innovate um I don't know
what do you guys think about that and
that sort of the problem though right I
mean Lazarus hasn't really doesn't
really have a reputation for innovating
beyond sort of the beyond found email
beyond sounding the company the whole
the email premise it's really under his
stewardship that RIM sir fell behind in
terms of innovation so it's almost
common oxymoron that he's running their
innovation committee and then also
beforehand I mean we knew that something
was going to happen there were leaks and
reports that there was going to be a
change but everybody thought it was
going to be Barbara whose last name I
can't pronounce time I Stymiest right
yes exactly so well she's greedy
internal she was gonna be yeah she was
going to be the chairman do so either
way we didn't expect somebody from the
outside maybe we were hoping somebody
from the outside was coming in but if
the reports were that she was going to
be tapped who is already inside who has
been a board member since 2007 then we
were never going to get that big change
in terms of outside leadership well I
mean the I think the thinking there was
one she's not an insight she's not a rim
employee she's you know independent
board member and two she was going to be
named chairman of the board so that's
that could have opened it up for her to
name an outside CEO which would have
brought in a new perspective and that's
I think what people were hoping for you
know love it was I think investor
desperation they've seen their stock the
stock tank so much that they're
basically cling to whatever hope is left
right and so um basically torsten Heinz
so he does come from a background in
Siemens in Germany and four years in rim
like Roger said and their rim actually
had on its website a series of Meet the
Press videos their words like the series
of youtube videos so I think in addition
did you guys see those as well yep yeah
so in addition you know there were just
some quotes basically my favorite one is
we have to make sure that we always stay
ahead that we always stay on the edge
and then converting this into a great
product great offerings and then into
business success that's it right that's
the recipe so my thought when I heard
that was like sounds really good but
it's not really that simple yeah it's
all about this execution I mean everyone
likes to do that or says they want to do
that but you know reality is a totally
different situation absolutely and then
what else he was saying basically I feel
like it's sort of what rims leadership
has been saying they want to do for a
really long time you know focus on their
core customers but also really reach out
to the consumers you know also put out
great product I I don't know what do you
guys think that rim really needs to do
in order to stay alive what does this
guy have to prove though though though
that I mean it's somewhat right I mean
he has to prove that one he could still
cater to the business customers which is
rims core business I mean without the
government enterprise customers the rim
would be screwed right now but at the
same time he has to acknowledge that rim
is a consumer business majority of the
people were buying his phones our
consumers now and he needs to make
devices i cater to them as well so it is
a little bit of everything and right now
black president was shown it could
adequately and I mean isn't that part of
the problem that you know they made that
switch or tried to make the switch from
being a business only business majority
user base to trying to get into the you
know the mass consumer market and then
you know mass consumers are much more
fickle they can they can leave and vote
with their feet anytime they want so
much much easier than a big corporation
that's invested in a huge infrastructure
and that type of thing so I think part
of the problem is is that the devices
aren't compelling to consumers you know
they just want something one device that
has the latest hardware can can you know
surf quickly and have access to lots of
apps and and cool services so and yet
since about the time that torsten Hines
joined rim there have been attempts to
introduce consumer devices like the
pearl like curves the girl was actually
a chestful know the stroll was
successful right and and we've moved was
like a design that was like the last
anymore yeah that was like the last real
blockbuster consumer-focused phone for
blackberry and then don't forget the
storm exactly through and the storm two
and the torch is i mean r it has been
trying to do this they've been trying to
play both sides of the game and they
have not found a sweet spot they have
not been able to succeed and that's
exactly what they said with the playbook
i remember covering this and it was like
no we're reaching out to consumers but
also to the enterprise but really it's
both acceptable i'm not i think it
really depends also on who you talk to
within rim like the executive gun or the
business guys would be like oh yeah this
is totally a business tool and then you
talk to someone who's more consumer
focused no no this is this is for
everybody this is the average show
device this is the entertainment device
so I think even within the company that
was sort of a mixed message on what that
device was intended for
but can rim do it I mean is there any
smartphone on out there right now that
successfully marries security and
enterprise with sort of this consumer
focus I would argue not really I mean it
but the thing of it is is so many the
sort of the trend now is for consumers
to dictate what devices go into the
enterprise anyways people are bringing
in their own phones and just demanding
that that gets hooked up to the business
network that really the consumer device
that wins that's why you see Android
devices and and an iphone winning their
I mean they're not necessarily the
greatest enterprise device I would say
they're actually quite inferior to
blackberry when it comes like security
and an email push system but the
question is though do what's the real
benefit there I mean do do most
businesses really need that security um
there's anything i would say some do
governments banks certain healthcare
industries definitely but right but as
you're saying it into that like you know
unsexy market of vertical industry yes
you know it's like oh yeah well that's a
dilemma for other businesses that don't
require that that kind of security you
know or comfortable with people bringing
their own devices that's where rim loses
out because you know people are gonna
want to bring in their iphone you want
to bring in their android phone and yeah
it's kind of like it doesn't have to be
the best it's sort of like don't make
good enough the enemy of perfect and
that's what i think is happening that
they're sort of i think the IT guys you
know there are there enough profiles now
to be able to control i think for most
people sort of the most you know the
lowest denomination of security so we
can provide x amount i mean even here in
seen it we can get our corporate email
on any of our personal phones and really
there's all we have to do is add a
password basically and there are other
measures as well but it's sort of like
to be able to use your phone for some
work purposes which is good enough for a
lot of people without going to extreme
then there are the solutions exactly i
mean that pretty much calls into
question the entire business model or
the last pillar i guess that rim was
standing on you know as a security and
if most people don't need it then you
wonder like you know what's the
viability there right have they back
themselves into a niche
yeah I would say so I think so yeah and
I think personally for me I think their
hardware is good um then oh yes bold I
mean it's good they have great keyboards
that some people don't want anymore even
you know the full touchscreen torch I
think is a really nice device I think
what's holding room back mostly is the
software it is a question of software
and what I wonder is if they can't hold
the puzzle pieces together I mean Apple
right now is really the only one that
creates both the hardware and the
software and they release one smartphone
a year if that if rim can't put up the
pieces anymore if they can't juggle
everything are they going to have to
look to another partner to do that or
are they just going to hang on to it and
continue to not succeed I don't think
they'll be switching to android and
elias enter the CEO I don't think
android is the answer for them either
right that could be and I don't
necessarily think windows phone is the
answer for them either but you know I
think that people are increasingly
demanding cloud services and real
integration and that's where you see
iPhone and iOS and Android succeeding
right is that you get all of your google
services you get the cloud you get
services you know in the cloud that are
connecting to the phone and you don't
really see a lot of that with rim I've
got I've got a very bold prediction here
let's get ready ok I see things
developing two ways one they'll either
be bought out by you know another
handset manufacturer or some other major
OEM you know like Lenovo or even like
everyone's talking about Samsung in a
while ago and that just fizzled out but
some somebody like that who would come
in take the brand and just buy that
whole handset business away from them
and then implement it themselves that
can they're much better at you know
pushing out products and creating things
that people want to buy or they could do
the HP thing rim that is and basically
say okay we're just going to we're just
going to do an enterprise service now
we're going to focus on enterprise we're
going to focus on security we're going
to folk
on securing other people's devices you
know so yeah you know this you know your
your gmail now has you know rim security
just you know stamp of approval you know
something like that you know and they'll
pitch it out to businesses and folks who
really want that extra security and sell
it for you know an unbelievably high
price you know and that's where they
make their money that way but that
that's how I see it really I don't see
them existing in this particular like
set up right now where they're making
this soft this sought the software
that's not you know very compelling and
the the hardware is really expensive and
and questionable you know as far as its
whether it's relevant or not yeah we're
actually we were talking about that same
thing just a few weeks ago the idea of
actually well I think actually switching
Android would be an a decent idea but
keeping sort of the the blackberry brand
in terms of security offering the best
servers all that stuff would be where
they would make their money off of sell
an android phone you know the software
is already in tact ecosystem is already
there but later on all that security I'm
just looking at my picture now I look
really ridiculous no it's an awesome
picture of you only brought Roger and
Brian unfortunately aren't able to join
us via video stream so we've got
pictures of them and robot avatars and
that is awesome yes that I stole from
Antoine's desk because he's not in today
and can't defend himself but there is a
picture of Roger on a phone in like a
phone booth and I think he looks pretty
awesome and that's what he's referring
actually that's great you look like like
deep throat I look just I look really
confused like using deep concentration
like you're actually talking to us
through that phone it doesn't know
that's exactly what I'm doing I don't
know where she found this but you're on
London you're in London I can tell well
he's either in London or using the SF
office an hour sadly that I believe
that's my twitter picture that would be
my twitter picture um yeah um but back
to rim yes sir I actually have to object
to the suggestion that they pick up
Android to me like I just personally I
wouldn't want to see that I think
there's too much Android there are too
many players in that game and I don't
know if that's the way to way
and I like they're being an alternative
um you know and I think that's what
Nokia that's the conclusion they came to
with Windows Phone and it's just just
too much Android I don't want rim to go
android even though they have any
Android emulator which is fine but I
don't want to see them become
exclusively Android I just I just think
it makes more business sense though I
mean rather than to invest in their own
software and ecosystem then just hop
onto that and sort of make your margin
make your business on higher-margin
software and applications that run on
top of it see that's why I say they're
going to go completely enterprise and
just put their software on top of other
people's software and not even make
handsets anymore okay Lindz got an
opinion oh no it's just more like I'm
just jumping on jessica's opinion about
not just too much Android I mean I just
like competition for everything and the
more companies that are out there trying
their best just would be good for
everything because I think if
everything's either iOS or Android it's
just kind of like no one has choices
anymore but of course if rim goes out of
business then there would be no choice
also right that sort of thing it's like
competition where it makes business
sense though because if you know it's
competition for competitions sake then
rim just goes out of business and then
we're out one player of the way so which
is good for Microsoft and their partner
that would be good for my agent as well
ok let us take a break from this and
we're going to come back after this
short break with more news from the day
you
dialed in is back we have been talking
about rim and its shake up and whether
its platform will survive or not but
Android unsurprisingly will be the
platform of choice for developers says a
study Roger is going to very quickly run
us through this part yeah it's a really
really quick point of them makes the
point that within the next 12 months
that Android will be the platform of
choice for developers now that's sort of
a change from the past where really you
know iOS was the the main platform for
developers this is where you go to make
your money we're given the ubiquity of
Android as you guys were just
complaining about these are the mass
adoption yeah whether your complete
fragmentation either way either way it's
a it'll become the platform of choice
for developers especially given sort of
the the way that developers have tweaked
their business models you know using
freemium in-app purchases or advertising
to kind of augment the reluctance the
seeming reluctance of Android users to
actually pay up front for an app that
they've found other ways to make their
money all right and yeah virgin mobile
is going to be possibly throttling data
speeds come March Lynn has the story on
that and yeah well actually Roger
covered it about a year ago but then
they delayed it and when we asked them
why they're going to delay throttling
speeds they didn't have anything to say
or we kind of get in contact with them
but apparently March they're going to
start date throttling speeds for anyone
who exceeds their 2.5 gig cap and I got
a lot of funny comments on this mostly
that people are wondering who uses
Virgin Mobile in the first place and if
anything is it would they even exceed
the 2.5 gigs but I know people who
averaged that just and I definitely know
people who use virgin mobile especially
in its hometown of Chicago right so um a
lot of people some people are saying
they're being unaffected because they
don't even use that much and others are
saying that it's unfair to advertise
themselves as unlimited when it's not
really unlimited
has hidden strings like these but a lot
of them companies are a lot of carriers
throughout it'll their data speeds
anyway so it's nothing new and it keeps
some you know it keeps their speeds
going for everybody just to keep up with
the demands of a 4g and 3g and all that
stuff also they have like a really
really good price for their unlimited
data right in like 20 bucks or like all
you can eat for everything like like
both voice and data it's like it's like
thirty dollars or something that lot it
was like 44 is comparable like metro pcs
and leap it's not 50 I could have sworn
it slightly less it's like 39 99 it's
like really low really low it is a
really good deal well sort of except
when it's not except when you're not
over that cap yeah right yeah I mean and
and that is something that is sort of
expected I think now but it's also
really too bad um so you know how when
you guys go to in and out at least here
at West Coast you can there's this
whatever I do whenever I go to the west
coast I make sure to go to Internet
that's the first place i go to when i
when i drop in LA so I have to have a
funny story i was asking people where I
should go I wanted to take myself to a
nicer lunch in vegas and i was asking
people where I should go to eat and when
responses in and out and there's been an
in and out my hometown for like since I
was in high school and I'm not in high
school anymore so I just thought it was
funny like in and out definitely has
this mystique but anyway the point is
there is a segue to this you know how
you can go to in and out and there's a
secret menu and if you know to ask for
you can get it well it's like there's
one with tmobile to Roger covered that
yeah there's a apparently t-mobile has
been doing this for a while but at least
for this for a limited time right now if
you sign up for their 10 or 5 gigabyte
plan data plan you can ask for mobile
hotspot feature and they'll tack it on
for free you just need to ask for it
they're not actively advertising it
there's no national campaign for it but
if you know to ask for in the stores
though they'll give it to you apparently
they've been they've been offering this
not this specific plan but promotions
like this for a while now
so dr. us to kind of keep track of these
promotions and let you all know where
they are can you order a four-by-four
animal style on top of that you know
what they did they'd if they offer that
I bet you they're subscriber numbers
with job Oh mr. yeah I got can you order
coronary bypass on tour by four by four
with my galaxy s2 yes well just kidding
i don't think i've ever heard that but
I've always what do you call wanted to
miss P fries what's the name for that ah
surprise are we so Libya doggie I don't
know I didn't know I had that they'll
pass them back through the the deep
fryer to crisp about a little bit like
Belgian style is that Belgian style oh
yeah was hoping belgian-style came with
like a waffle underneath and some oh man
that also come with me I think that's
Doug's dad that's true too um so
actually we knew about this a little
while ago but there was a report that
leaks out that Sony might be going
windows phone 7 and this is of course
sony that was sony ericsson before sony
bought out the ericsson portion and now
it's just Sony and it's very confusing
for everyone yeah I got an email back
from a representative from Sony and they
said that they do not comment on rumors
and if they were going to they never a
comment release a product they would do
it through the appropriate channels so
everyone's just kind of having fun with
this prototypes at a news company nokia
WP spotted and everyone's kind of if it
is happening people are excited for this
Sony hardware with the windows 170 s if
it's not then it's just fun to see what
could have been so basically it's a
picture I see and if they're very clear
buttons for windows phone and then
there's a very very very faint sony
ericsson insignia on it yeah but this
which could mean something or could not
mean something right but the president
of Sony Bert Nordberg he said that he's
only interested in Android he's curious
about he was curious about Windows Phone
but he says he was uncomfortable with
the kind of reaching outside of any OS
that's not android so maybe it's not
that's kind of a weird quote you know
I'm uncomfortable with anything that's
not android I know like I said he's
curious about Windows Phone like he's
just kind of sleeping i'm curious yeah
he's like oh that's nice like and then
just my papa it's a curiosity this
windows you know he's checking it out
like rocky back on his heels cigar and
mouth I don't no idea what this guy
looks like so we do have a couple
reviews from this last week I took a
look at the Samsung Galaxy attain 4G for
metropcs it is not released yet but it
is coming out soon it was a phone that I
first saw at well we all four side at
CES which was just last week in fact
this episode if it weren't for him was
going to be sort of like the CES like
break down but but it became much more
exciting than that all this es was very
exciting but this phone basically it's a
metropcs so it's a no contract carrier
it's going to be two hundred dollars
after a fifty-dollar mail-in rebate
which is pretty good because it's about
the same price as there are other 4G LTE
phones which this is and it's an android
phone as well so it's about the same
price point but the most expensive one
right now is a hundred dollars more so
the features are pretty middle of the
road it is a android 2.3 gingerbread no
word on whether or not it will be
upgradable but i'm not really expecting
a lot of ice cream sandwich funds for
metropcs for quite a while especially
because there aren't really any that
were announced during CES either that's
anything new so ice cream sandwiches a
little bit slower to come but that said
it does have a 3.2 megapixel camera on
the back 1.3 megapixel camera on the
front one gigahertz processor 3.5 inch
screen so it's going to be pretty
compact it's almost exact same size as
the iphone i think it's pretty nice it
definitely doesn't have everything so if
you're a metropcs customer and you're
interested in any Android phone that's
got a few more features but that will
still be newer then like the LG Esteem
right now then you can keep your eyes
posted for the LG Connect 4G and Lynn is
taking a deeper dive look into that one
so that is a
the rundown on that phone and then Brian
took a look at a really interesting
phone that's right yeah but is it um
well it's called the maze you and thanks
yeah and this Maisie oh ok may sue is a
company that's based in hong kong i
believe and basically they they've got
gotten a lot of notoriety for making
devices that pretty much mimic iphones
and apple products so they had the m8
before this one and you know basically
the these phones and particularly the MX
is almost it looks very I very similar
to the iphone 3gs or 3g or even an ipod
an old ipod it's a ripoff it looks
almost exactly the same doesn't it yes
and and you know anything well it is
subtly different um basically when I
first saw this I was I was really like
oh my god you know what what is this
this looks so shady you know first of
all the device is only available in
mainland China so it's kind of difficult
to get a hold of and I was skeptical you
know but then once I start to actually
check it out I realized that you know
this the you know this actual phone and
software's is running Android it's
actually running a gingerbread 32 to 35
I believe and it's actually running a
skin on top which is made to look almost
exactly like or very similar to iOS with
the whole app tray layout and and the
way the icons look and everything but
I've actually seen you know these this
skin and in this sort of software
actually on SD what do you call it on
SDA developers right so you know they
they actually have a lot of these roms
that people put on their phones you know
and they you know put them the solve
ailable for enthusiasts so it's actually
something that people actually want this
this type of interface so uh you know
it's something that
actually is pretty slick and once you
pick it up it you actually think wow
it's actually I could actually really
use this um it's actually powerful it
has a you know 1.4 get hurts cortex a9
dual-core CPU it's got a big 4 inch
screen it's it's actually higher res
than qhd matter of fact has a very
similar same pixel count as the retina
display just in a larger screen so it's
not 3.7 inches it's four inches but the
phone phone itself feels pretty nice I
do have an engineering sample that I
checked out you can take a look at the
hands on post I wrote on Friday but it's
actually a pretty slick device has 8
megapixel camera of HD 1080p video
capture and all that good stuff so as a
matter fact it's a Penta band device too
so if you put in a microSD card from
either eighteen t or t mobile it should
accept the you know that and let you
roam on 3g and or you know 3.5 v
depending on where you're located so
it's actually i was quite surprised by
it and I kind of like it awesome um but
we're not gonna see it here in the US I
know I still love to see all of these
phones and sometimes it's he s you're
roaming down the halls and you see
things you know you see a lot of things
about phones that look like knockoffs
and if it doesn't matter if we never get
to see them it's just good to know that
they're out there and that somebody will
see them and if anything is I'm sure you
can probably buy it you know through you
know sort of a gray markets and things
like that oh yeah do you know all about
the grey market Brian oh I don't know
anything about it's only in whispers um
so we do have to wrap things up but I
did want to say that the LG spectrum was
also released this week for verizon we
took a look at that at CES if you're
interested go check out the site watch
our video and also the blackberry curve
37 somebody help me 37 6 another so and
there's so many girls
phone for verizon I got that's the first
thing you should do is CEO in solid
eight the names just get rid of the
number system like we don't care I bet a
wall street like they don't care vision
I don't start paying attention if we
just gave them names like blackberry
curve v4 verizon blackberry curve global
I don't know something like yeah
shortening names you know and actually I
just for the record cuz I know I'm going
to get a ton of mail about this it's
actually xda-developers his name that
form yes i have another peanut butter
moment on there so peanut butter a
moment what is this when you're you know
Tungus look every mouth and really wanna
you know glass of milk yes it's me older
moment i like that i will start adopting
it anyway um we do take reader emails
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other podcasts at podcast cnet com Roger
thank you for joining us and thank you
everyone for this discussion and we'll
see you next week on dialed in bye
everyone
well guys what
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