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Numbers, Volume 38 – Christmas Leftovers Edition

Christmas Day

While we “don’t do numbers” here at RedMonk, I come across many interesting numbers each week. After a Christmas and New Year’s hiatus, the Numbers are back. Most of these are left over from before said hiatus. Nonetheless, enjoy!

…and, don’t forget our Green Numbers series over at Greenmonk!

The New Boob Tube

Survey results published by Harris Interactive suggest that adult Internet users are now spending an average of 13 hours a week online. About 14% spends 24 or more hours a week online, while 20% of adult Internet users are online for only two hours or less a week.

To put things in perspective: Harris surveyed 2,029 adults by telephone for an entire week in July and October 2009, and has been doing these types of polls since 1995.

Harris concludes that the average hours spent online have increased from 7 hours from 1999 to 2002, to between 8 and 9 hours in 2003 to 2006, and surged after that.

Clogging the Tubes

  • Globally, the average broadband connection (primarily residential subscribers and some business users) generates approximately 11.4 gigabytes of Internet traffic per month.
  • Per connection per day, this amount is roughly equivalent to downloading 3,000 text e-mails, 100 MP3 music files or 360 text-only e-books.
  • Globally, the average broadband connection consumes about 4.3 gigabytes of visual networking applications (advanced services such as video, social networking and collaboration) traffic per month.
  • Per connection per day, this amount is roughly the equivalent of approximately 20 short-form Internet videos or approximately one hour of Internet video, whether streamed on its own, embedded in a Web page, or viewed as part of video communications.

Android vs. iPhone

[T]he App Store is still destroying Android. Despite a lot of momentum and buzz behind Google’s vaunted, developer-friendly mobile OS, it really isn’t holding a candle to the iPhone OS. App Store downloads are 13 times greater than the Android Market. Additionally, the fact that the already-mature App Store saw a 50% monthly growth rate versus the Android Market’s 20% is impressive. One would think that the App Store growth would plateau at some point, but it doesn’t show any signs of leveling off just yet.

iPhone: Big in Japan

Pork Chop Head

New data released this week from Tokyo-based research company Impress R&D shows the iPhone 3G taking 24.6 percent of the [Japanese] consumer smartphone market. The iPhone 3GS, released this year, accounts for another 21.5 percent. Most of those gains came at the expense of the Sharp WillCOM W-Zero 3 Advance, a phone with a 3-inch screen and a slide-out QWERTY keyboard. In 2008, the phone was the most popular in Japan with 26.8 percent of the smartphone market. This year, its share tumbled to 14.6 percent while the iPhone 3GS was introduced, and the iPhone 3G saw a slight gain of 0.9 percent.

Facebook in Asia

Asian countries continued to see more Facebook growth in November, gaining 3.86 million people to end at 63.5 million monthly active users…. Indonesia was on top, with 1.68 million new users. The country currently has the largest number of Facebook users in the region with 13.9 million monthly actives. However, this is still only 6.1% of its 229 million people.

Localizing Online Communities

Does it pay off? You bet it pays off. When you look at the emerging markets where we have made an investment in some local dialect, the growth, it rises in the first 12 months by over 40%, every single time.

In addition to the video of the interview, see the full transcript.

Email in the Cloud

Rackspace Email & Apps division, a provider of cloud-based applications, now has more than 1.6 million paid mailboxes through its hosted email products. Rackspace offers hosted email and Microsoft Exchange services through its Email & Apps division. Rackspace offers the email hosting service as an alternative to in-house email servers.

Cemented ERP

“Survey respondents said that the inability to easily modify their ERP system deployments is disrupting their businesses by delaying product launches, slowing decision making and delaying acquisitions and other activities that ultimately cost them between $10 million and $500 million in lost opportunities,” according to the survey report. (That’s a substantial gulf in “lost opportunities,” but we’ll chalk that up to the size differences in companies surveyed.)

That related impact is costly: 21 percent of respondents reported declines in stock price; 14 percent suffered revenue losses tied to delayed product launches; and 17 percent encountered declines in customer satisfaction.

Over the past few weeks, there’s been some good commentary around this general idea – “enterprise software is broken”:

“For better or worse, this is how tech M&A sector has trended over the last few years.”

It’s generally been a quiet year for technology merger and acquisition deals with the 2009 value total for tech M&A activity reaching $142 billion, according to recent data from technology investment research firm The 451 Group. To provide context, the second quarter of 2008 alone saw $173 billion in tech M&A deals. The median deal size in 2009 was $40 million, contrasted with a median of $43 million in 2008 and $100 million in 2007.

From January to November 2009 there were only 31 technology transactions valued at $1 billion or more, and The 451 Group reports that all of the high-multiple deals took place in the second half of 2009, resulting in M&A spending running 50 percent higher than in the first two quarters. Notable deals include Dell’s purchase of Perot Systems and Cisco Systems’ pair of $3 billion acquisitions in October.

Basically, the big companies get bigger while smaller, often niche players act as acquisition feeding grounds dependent on the number customers and/or users they acquire as well as how well they fit into a bigger company’s strategy.

Re: Merry Christmas

ICE at the Gaylord Texan

Intermedia surveyed some 200 small and midsize businesses to learn IT pros‘ holiday work plans. The results differed largely from a similar study conducted in 2006, which showed 84% of high-tech workers intending to travel to the office during the holiday season. This year’s results found that 42% of those polled plan to make the drive into work, while a majority of IT pros said they would telework, checking in on e-mail and other work issues from home this holiday season. Eighty-two percent of business managers intend to log in remotely, and 75% of IT staffers will also telecommute, the Intermedia survey found.

Eat That, Economic Crater!

excluding a couple of pending deals, @RedMonk grew 14.84% in ’09. in the worst economy we’ve seen since the 30’s. very proud of the team.

Disclosure: see the RedMonk client list for clients mentioned and such.

Categories: Enterprise Software, Numbers.