Fjord's first annual mobile trends. Compiled by Christian Lindholm and team. Fjord creates new digital services. Our clients include leading global companies such as Nokia, The BBC, and Yahoo. Learn more at www.fjordnet.com

1. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 8 mobile trends for¬08 Compiled by Christian Lindholm Jan 2008

2. 1 Beauty is back Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Pretty graphics and fun transitions are now basic requirements to compete. We expect several companies to struggle to upgrade their platforms, particularly Nokia S40. Sony Ericsson is leading this mid range and Apple is the overall benchmark.

4. 1 Beauty is back Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Samsung has made good progress with F700

5. 2 Chained islands are the new walled gardens Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Multiplatform single sign-in experiences will emerge, proclaiming openness. This will simplify mobile services, but the openness is editorial openness. Nokia OVI, Yahoo Go 3.0, Orange World and Apple iTunes And iPhoto are examples.

7. 2 Chained islands are the new walled gardens Edition 1 Christian Lindholm 2008 Fjord. All rights reserved

8. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 3 Mobile net becomes useful iPhone & iPod Touch, combined with predictable browsing cost combined with high volumes of 2 inch screens with good browsers energises content industry to remake mobile sites.

9. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 3 Mobile net becomes useful We still believe that content has to be optimised for small screens. Even a 2.8 screen is too small for comfortable keyhole browsing (panning on a big page). Usage patterns on mobile mimic those of the Internet: Google, Yahoo & BBC are the worlds most used mobile sites. (source Opera). The penetration of 2" colour screens and full Nokia browsers are reaching meaningful numbers. We expect 50M by end of 2008 (Fjord estimate). iPhone energises the mobile content community, from big to small providers. iPod Touch seems to sell well, people who have it, love it – surprisingly no one comments on its size. Internet¬s big names will lead. Google is the benchmark mobile browser based service. Yahoo! is bringing Go to the browser. Opera Mini does over 2BN page views per month. AJAX enriches mobile experiences. Discovery, cost of usage, latency are the major barriers of adoption. In 2008 we expect most progress on the cost front.

10. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Yahoo One Search on the right track, problem with search is the transcoded longtail 3 Mobile net becomes useful

11. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 4 GPS is the new camera The cost of GPS chips is dropping fast and the fusion of maps/navigation in mobiles, and the dream of monetising location based services makes GPS the next killer app after the camera.

12. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 4 GPS is the new camera The cost of GPS chips are falling rapidly, new low-power mobile optimised chips are emerging. Lots of good opportunity for simple value add: directions, travel guides. We expect significant progress in this field, with lots of announcements during 2008. We think that GPS will become as common a feature as the camera became. One key reason is that a monetisation opportunity is combined with end user benefits. This domain provides fruitful ground for innovation. Maps can at best be a start of communication, or a metaphor for the experience. We expect more than half of the phones will have GPS chips in 5 years. Google, Yahoo and Microsoft are all betting big on Local services. Nokia’s investment In Navteq in the fall of 2007 was seen as a tipping point. Yellow pages is a meaningful business, it will migrate to a map-based experience.

13. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Onboard provides the stepping stone… 4 GPS is the new camera

14. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 5 Touch screen, the year of the bad! Apple has set a very serious benchmark. Others follow faster on that trend than ever before, however with inferior technology.

16. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved N810 is still the best used with stylus Finger & touch is a great match LG dropped Synaptics 5 Touch screen, the year of the bad!

17. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 6 Google slows down to Telcom time Google is putting more effort into mobile and gets slowed down to telecom time. They will have little or no impact with Android in 2008. Operators are sceptical and the technology is immature.

19. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 6 Google slows down to Telcom time

20. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 7 Dawn of the Casual Computer iPod touch is a casual computer, an entertainment driven multipurpose device that provides a great internet experience, AND is pocketable.

21. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 7 Dawn of the Casual Computer A casual computer is a new computing paradigm. It¬s the first one after the laptop to make computers mobile. Now they become pocketable. Unlike PDAs casual computers are connected, and they are bought for entertainment purposes rather than to manage time better. We expect to see an acceleration in 2008, with several interesting launches. This is a real greenfield of innovation as the devices can be built on Linux and utility can be varied. Nokia is building a new operating system in front of our eyes. It leverages open source, which cuts down development costs, and can increase quality. Apple has managed to leverage components of OS X and build the iPod Touch. This is a platform that will be opened up and we expect a massive surge of applications to emerge for it. The Intel effort around the Ultra Mobile PC UMPC is significant. Asus’ efforts around Eee PC has brought down the price point for a laptop to $300. Microsoft is expected to be a big loser, as their brand & User Experience is utility, not entertainment driven.

22. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Text input is hard Wrist is not the right place 7 Dawn of the Casual Computer

23. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Mobile handset business has always been about low-end. Volumes are huge and still growing. Market is dominated by Nokia. Sony Ericsson and Samsung are increasing efforts. 8 Go down or go out

24. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved 8 Go down or go out Nokia is becoming a more motivated and competitive company in the low end. SonyEricsson and Samsung are increasing efforts. SonyEricsson with lifestyle driven devices, Samsung with a pure cost focus. We expect the low end in 2008 to be the primary battlefield. It is not only about cost. Style and functinality plays a greater role. Low end phones will not be Internet friendly in 2008. Functionality gets low end optimised, like multiple phonebooks. Motorola was a big looser with the Moto phone in 2007. The big lesson to learn was; Low end should not mean low style.

25. Edition 1 Christian Lindholm 2008 Fjord. All rights reserved Low end is more than cost… 8 Go down or go out