Author: Denny

Emerging markets are continuing to exhibit positive growth, but as a whole it is declining in developed regions.

According to the Worldwide Quarterly Mobile Phone Tracker from the International Data Corporation (IDC), smartphone sales are declining as expected. Many forecasts pointed to an overall slowdown of mobile phone sales in 2016. This is linked to a reduction in sales in developed regions.

Despite the positive growth that continues in emerging markets, it isn’t enough to keep the entire marketplace’s pace.

The report showed that much of the smartphone sales currently occurring in developed regions is in replacements. The rate of new users has decreased substantially as penetration within these populations is now very high. The report predicted a 1.6 year over year growth of smartphone shipments in 2016. This, upon the shipment of 1.46 billion units by the end of the year. That may appear to be a healthy number, but it is a fraction of what it was last year. In 2015, the year over year growth rate for smartphone shipments was 10.4 percent.

As a whole, developed markets are expected to see a negative growth rate in smartphone sales.

The report took the United States, Canada, Western Europe and Japan into its definition of developed markets. Within that region, the IDC predicts a -0.2 percent compound annual growth rate (CAGR). Emerging markets were made up of Central and Eastern Europe, the Asia Pacific Region (except for Japan), Africa, the Middle East and Latin America. They are expected to see a 5.4 percent CAGR throughout the forecast period of 2015 to 2020.

Senior IDC research analyst at the Worldwide Quarterly Mobile Device Trackers, Jitesh Ubrani, said “Growth in the smartphone market is quickly becoming reliant on replacing existing handsets rather than seeking new users.” Ubrani also stated that from the point of view of the tech side, innovation is “in a lull.” Consumers have greatly reduced their inclination to purchase the latest device with all the newest bells and whistles. Instead, they are satisfied with mobile devices that are “good enough.”

Telcos have been working hard to breathe life back into their smartphone sales. Programs such as trade-ins and buy-backs are geared toward shortening lifecycles and increasing the inclination to purchase early replacements.

The popular mobile messaging app will now be giving the social network its user data for ad targeting.

WhatsApp privacy is the catch users have been waiting to find. Mobile app users have wondered why WhatsApp suddenly changed from a premium application to a free one. The cost may not be in currency but will instead be in shared user data.

Facebook owns WhatsApp but has, until now, kept its fingers out of the user data files from the application.

Now, Facebook will be changing the level of WhatsApp privacy available to users. The mobile will share user data with Facebook for ad targeting purposes. Initially, it appeared that while there are certain controls being added to the mobile app’s settings, it isn’t possible to opt out entirely.

However, once a user has accepted the new terms and conditions for use of the app – a requirement for being able to use it – the mobile application automatically adds a new option within the settings for the account.  There, users can choose to opt out of the information sharing – a permanent choice that cannot be changed after it has been made.  That said, unless the users opt out, the mobile application will start sending some of the data in the account with the parent company.

This massive change was announced in a large update to the WhatsApp privacy policy.

A recent WhatsApp blog post said “[B]y coordinating more with Facebook, we’ll be able to do things like track basic metrics about how often people use our services and better fight spam on WhatsApp.” Facebook will be better capable of showing more relevant advertising and improved friend suggestions, said the blog post.

Beyond Facebook itself, WhatsApp will also be sharing user data with the entire “Facebook family of companies.” This may include other Facebook acquisitions and firms, such as Oculus Rift, a virtual reality firm. That said, Facebook also owns Instagram, the photo sharing network, which may mean information will be shared there, too.

Among the user information to be shared under the new WhatsApp privacy policy is even the phone number used for account verification. This has already caused many users to bristle, with displeased comments appearing over Facebook and Twitter. There are certain pieces of information that consumers are more and less comfortable sharing openly. A telephone number does not typically fall within the category of the data they are pleased to see shared with unknown recipients.