AT&T Rolls Out $50 Mini-Laptops

O2 follows suit after AT&T accuses gadget of data gluttony

(NEWSER) - Slammed for poor signal and dropped calls, AT&T has blamed its troubles in part on the iPhone’s heavy data usage—and now UK provider O2 is also pointing a finger at the gadget, PC World reports. O2 users have been plagued by similar problems, and “where we haven’t met our own high standards then there’s no question, we apologize,” its CEO told the Financial Times. More»

(NEWSER) - The Obama administration is looking into the country’s top telecom companies, including AT&T and Verizon, to determine whether they’ve abused their market power with anti-competitive actions, sources tell the Wall Street Journal. The Justice Department is concerned that, among other things, the big players are locking out competitors through exclusive agreements with phone producers, as in AT&T’s iPhone deal. More»

Paying for content, not hardware, is the key

(NEWSER) - There might be hope yet for the media industry, “because the tech industry is screwed too,” writes Simon Dumenco for Advertising Age. With light, cheap netbooks squeezing the profit out of the hardware, makers are partnering with media providers (ie, Acer selling netbooks for $100, plus 2-year AT&T contract) to sell subscriptions that subsidize the ever-closer-to-free prices. More»

Increasingly, consumers are turning to the iPhone for music, Web browsing and calls

(NEWSER) - Lower-income households are snatching up iPhones at a faster rate than their more financially flush counterparts, reports the Wall Street Journal, potentially attracted by its multiple uses—and single fee. By relying on the “Swiss-Army knife kind of device” to make phone calls, listen to music, and access the Internet, consumers save on the cost of individual gadgets as well as broadband connections. More»

Company posts 22% increase in net income for Q1 despite dip in landline earnings

(NEWSER) - AT&T posted a 22% increase in net income during the first quarter, thanks to strong growth in its wireless unit. Its wireless earnings nearly doubled, while landline earnings dropped 2.1%. The company’s net income was $3.46 billion (57 cents a share), compared to $2.85 billion (45 cents a share) a year ago, reports the Wall Street Journal. More»