AT&T’s CTO artfully avoids the issues

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Speaking at the MobileBeat2010 conference in San Francisco on Monday, AT&T’s Chief Technology Officer John Donovan discussed convergence, the “consumerization of enterprise,” and the surge in mobile broadband, all while artfully managing to avoid the meat of the main issues faced by the carrier.

In a keynote entitled “What the boom in connected devices means for carriers,” Donovan, whose firm has faced vociferous criticism about the poor quality of its iPhone strained network, managed to blame the “flood of new chipsets, phones, and applications,” for all of the mobile world’s problems, although he did grudgingly admit a network component shortage had played a role too.

“It’s been a wild ride for us in the mobility space the past few years,” Donovan gushed adding, “we’re seeing a proliferation of devices that’s unprecedented.”

The surge in mobile data usage is perhaps a case of ‘be careful what you wish for,’ in AT&T’s case, with Donovan admitting, “When you provide mobility to people they consume it,” and noting the firm was carrying roughly half of all the mobile smartphone data in the US.

Retreating to safety behind a tsunami of banality, Donovan began citing “pretty profound growth rates,” and declared “we think this video wave is really starting to become big.”

Left uninterrupted to continue on his trail of trite, Donovan noted “We’re in the beginning of the growth curve, mobility is the foundation for consumption. There’s always a preference for mobility.”

Not content to leave it at that, he went on to say that mobilization was “shortening the distance between intention and action,” and that “people don’t want to search on a mobile device, they want to find.”

According to Donovan, we’re all becoming lazy, too. “People would rather sit on the couch and use their mobile than get up and use their computer,” he proclaimed.

Venture Beat’s host reporter then ventured a predictably hackneyed question about AT&T’s main challenges, to which Donovan answered it was  “hard to narrow down to one choke point.”

“I’ll tell you the things it’s not been,” he dodged, slickly soundbiting, “it’s not been a capital problem, it’s not been conviction or commitment, because we have both.”

To that he added that AT&T would “move heaven and Earth” to satisfy customers’ insatiable urge for data, however much those urges may grow.

Indeed, Donovan noted the US was still in phase one, the “traditional data world,” poised to enter phase two or “application readiness,” followed by an unquantifiable phase three in 2014 which would see the amount of data usage in 2008 round down to zero in comparison.

Asked how the firm avoided being a dumb pipe, Donovan said his firm had to pay attention to everything from the apps all the way down to the chip, “because you can have a great experience on the software side, but a bad experience on the network and ultimately that leads to a failed device.” Hmmmm….we wonder whether Donovan would class the iPhone as a failed device, then.

Without any prompting, Donovan bizarrely felt the urge to add “We’re not a monopoly,” before going on to say AT&T wanted “healthy competition” and for “people to come in and try things.

“Sometimes they work, sometimes they don’t. We have to compete, we have to compete with everything we do, we’ll compete to some level on the app layer, more on the enablement layer, a lot on the network layer,” he said.

Speaking of layers, the AT&T CTO certainly seems to have a few of his own, telling the audience he was carrying no less than four devices on his person including an HTC Android, iPhone, Blackberry and a body sensor which monitors all his body stats constantly.

The more devices mature and evolve, however, the more the services that accompany them need to adapt, Donovan explained, noting that billing mechanisms still had a way to go before they reached the optimal model of, say, knowing when a device was being used for personal or enterprise use and billing accordingly.

Monetization of apps, said Donovan, was another area that required more attention and thought. “Until we find a healthy system where everyone gets paid and friction is low, we haven’t really reached the tipping point [of going from walled to open]” he told the audience adding, “the ecosystem has to mature for benefits to be spread evenly.”

But AT&T sees itself as something of an enabler with Donovan declaring “We need to be great at what we do, which is to provide the oxygen that allows everything to live.”

“We’re going to do a lot of things,” he said cryptically adding “We’ve historically been more of an invention lab than an innovation lab.”

Banal or not, there was certainly no faulting Donovan’s patriotism, as he slapped down a suggestion that Japan was perhaps more advanced in all things mobile.

“The US has been a clear leader when it comes to phones, designs and applications,” he snapped, adding “acceleration has been very healthy.”

12 Responses to “AT&T’s CTO artfully avoids the issues”

  1. Steve White says:

    Wow. You would think from the tone of this article that Sylvie Barak and John Donovan have had a nasty falling out or something. Stood up on an interview, dumped for another reporter? Couldn’t upgrade her iPhone without paying a fee?

    I expect more professional reporting from RCR Wireless.

  2. Sylvie Barak says:

    Actually I don’t own an iPhone, Steve. Sorry you take umbrage with the style of the article, but this is RCR Unplugged, an edgier take on RCR that tells it as it is. Donovan failed to impress and came across as a cardboard cut-out spewing soundbites. Would it have been more professional to flatter him for that?

  3. Ron Verlin says:

    “An edgier take on RCR…” ROTFL.

    In other words, an outlet for industry trade reporters to vent their frustration by zinging the suits they’re forced to cover every day.

    Congrats, Sylvie. I look forward to your next industry presentation.

  4. Jaimee Steele says:

    I congratulate Sylvie for providing perspective and analysis to this talk, in lieu of parroting press releases and flattering executives to ensure access. I congratulate RCR for mixing up its format to prompt industry dialog–it’s certainly needed. Really, I think this anger is displaced–it seems Sylvie isn’t the one venting her frustrations here.

  5. Huley Brown says:

    Typical bait and switch to get mediocre reporting. Nothing edgy about this. It was about as edgy as a funeral.

  6. Mark Addison says:

    Well done! This article was certainly more enjoyable than the talk itself. I think Donovan forgot that he was addressing a mobile industry audience and not a Wall Street audience at this conference. He has an annoying habit of stuffing industry buzzwords into every sentence, so Sylvie gleaned the essence quite well, actually.

  7. Sylvie Barak says:

    Sorry you felt that way Huley, then again, you should have added the disclaimer that you are an AT&T employee… so perhaps it’s not as fun when it’s YOUR funeral.

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