NZ Tech Podcast 176: Build and hands on Windows Phone 8.1, Galaxy S5 and Gear Neo, Sony Xperia E1

NZ Tech Podcast » NZ Tech Podcast 176: Build and hands on Windows Phone 8.1, Galaxy S5 and Gear Neo, Sony Xperia E1.


We discuss Microsoft’s latest news from Build and go hands on with Windows Phone 8.1. We also take a look at the Galaxy S5 paired with the Galaxy, and Sony’s budget Xperia E1. And Kim Dotcom faces new legal action – this from seven Hollywood studios.

This episode produced and hosted by Paul Spain (@paulspain) with guests Nathan Mercer (@nathanm) and Bill Bennett (@billbennettnz).

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Pressure on IBM as hardware sales stumble

IBM blamed weak hardware sales for the poor start to its year. The company turned in  the lowest first quarter revenue for five years. Sales were US$22.5 billion.

Significantly hardware sales fell 23 percent to US$2.4 billion. IBM has struggled with hardware as it attempts to move into more lucrative markets such as cloud computing and big data. The company’s Systems and Technology business unit, the division responsible for most hardware sales, has now been in decline for more than two years.

The news is a worry for the wider technology industry. IBM is an industry barometer, where it goes, others follow.

Most of the enterprising computing old guard trailing in IBM’s wake, including Hewlett-Packard, Oracle, Cisco and EMC face equally difficult transitions away from depending on now-commoditised hardware towards cloud and similar services. 

Enterprise computing spending continues to spiral down as companies shift more and more workloads to software-as-a-service and other cloud-based technologies as they wind-down in-house IT. When they make the shift, many of the larger companies choose newer partner companies.

There’s also a move away from big projects towards smaller upgrades showing a quicker return on investment.

During the first quarter IBM sold its low-end server business to Lenovo and talked openly of selling its software defined network operation, although that didn’t happen. It also talked of investing US$1.2 billion in cloud computing.