On Episode 468 of the Waves of Tech, we are chatting about a host of interesting and relevant tech topics. The California Consumer Privacy Act in set to take effect in 2020 which provides some level of protection and leverage for consumers when it comes to the personal data collected by companies. John Legere is stepping down as T-Mobile CEO after a tremendously successful six year run in which he brought the dying telecom company into relevance. Motorola is set to release a modern version of the Razr, the foldable phone that will tug at the nostalgic heart strings of some listeners. There are some new data points in the latest cord cutting trend that are worthy of sharing and debating.
California Consumer Privacy Act of 2020
Back in June 2018, we talked about the passage of Assembly Bill 375 – titled the California Consumer Privacy Act – which is aimed at privacy, data collection, and consumer rights. The bill goes into effect in January 2020 and captures companies that serve Californians, take in at least $25M in revenue, collect data on 50,000 people, and a few other caveats.
- Many in the industry are calling this privacy act the Californian “GDPR-light”
- Companies that collect more than half their revenues from the sale of data are subject
- It’s a good law, but sadly was only written in 7 days with little effort and collaboration
- Provides a means for consumers to sue and collect damages from companies
Famed T-Mobile CEO Stepping Away
After six years at the helm of the once struggling T-Mobile brand, John Legere (pronounced ledger) is stepping down. T-Mobile was one of the bottom feeders in the telecom industry with little to no credibility to stand on. Legere made headlines at his first CES press conference in 2013 calling AT&T’s network “crap” and eventually being removed from an AT&T party in 2014.
- Legere manufactured the acquisition of Sprint at the price of $26.5 billion
- T-Mobile grew in part to their dedication to senior and veteran discounts offerings
- His bold nature is what was needed to break T-Mobile into the competitive space
- Legere is a veteran of the space, working for the former Ma and Baby Bells of the 90s
Nostalgia Called on Vintage Cell Phones
Motorola made some news this week with the reintroduction of the Razr, the once extremely popular foldable phone that owned a sleek and crisp design. Current folding cell phone technology has not been proven to be successful but may have a place in the market. Many dp hold on to some nostalgic memories of the mid-2000s era.
- Motorola has a preliminary price tag of $1,500 on a single unit via Verizon
- Razrs are set to be available in stored beginning January 9th
- Motorola has a single digit percentage of market share compared to Apple/Samsung
Cord Cutting Continues Upward Trend
Whereas this news comes of no surprise to not only the industry but the viewer, cord cutting continues to be a significant trend in entertainment. Over the past 15 months, cable providers have lost over 5 million paying customers. Much of that is in part to the various options for on-demand and the lack of incentives from cable providers themselves.
- Cable won’t disappear anytime soon in part to customers’ preference for familiarity
- AT&T and DirecTV are significantly struggling and reporting massive net losses
- On-demand services are simple, streamlined, non-controversial, and basic
- As broadband service ramps up, expect more attrition from cable companies
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