Company / division: Best Buy

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    Essential Gets Additional Funding from Amazon’s Alexa Fund, Tencent (Aug 9, 2017)

    Essential, Android founder Andy Rubin’s fledgling smartphone outfit, has announced additional funding from companies including Tencent and Amazon, but still refuses to say exactly when its smartphone will go on sale, saying only that a date will be announced in a week or so. It’s also announced that Amazon and Best Buy will be the retail partners for launch, while Sprint was announced earlier as the exclusive US carrier partner. If you’ve read any of my previous pieces on Essential, especially the first one, you’ll know how skeptical I am that an effort like this can succeed. The market is so mature at this point and the distribution and other battle lines so clear that breaking in with yet another Android phone will be a real challenge, one further exacerbated by what’s going to be limited distribution on the weakest carrier in the US. The funding is therefore intriguing, because it suggests these backers see something in the phone that I don’t. Importantly, it’s Amazon’s Alexa Fund specifically that’s making that company’s investment, something the Journal piece I’m linking to here doesn’t dig into at all, but which suggests that the phone will major on Alexa integration, something hinted at earlier by Andy Rubin as part of a statement about the phone’s ecumenical approach to voice assistants, but not made explicit. And backing from both Foxconn and Tencent is intriguing in the context of a phone that’s mostly being launched in North America for now. Recent conversations I’ve had suggest Amazon’s smartphone sales business is going very well, but of course many of its sales are of the kind of low-end prepaid handsets people buy outright anyway rather than the higher-end premium hardware Essential will be selling. I continue to be very bearish on Essential, but at least it sounds like we might finally see the hardware hit the market soon.

    via WSJ

    Facebook closing 200 Oculus VR Best Buy pop-ups due to poor store performance – Business Insider (Feb 8, 2017)

    One of the biggest challenges VR faces at this point is suggestions that it’s somehow failing to take off despite a big push into the mainstream, and that’s a narrative Business Insider has pushed before. This is where narratives are dangerous – the fact here is that VR is that VR is still in its infancy as a mainstream technology – other than the mobile flavors, it’s expensive, requires other expensive hardware, and there’s not a ton of content there beyond gaming. But if the narrative instead becomes that it’s fizzling as it attempts to break into the mainstream, that is a lot more damaging than merely talking about a technology that has small but growing adoption. VR can, however, already be fairly compelling as a demo, which is why it’s a blow that Facebook is closing these Oculus demo stations, because VR is really impossible to grok without trying it in person. But those trying to sell VR have to be very careful not to oversell it to mainstream users – it still has quite a long way to go before it crosses the chasm, and making it seem bigger than it is feeds this dangerous narrative.

    via Business Insider

    Best Buy launches cord-cutting campaign with website & how-to video – Rich Greenfield (Jan 10, 2017)

    This move by Best Buy is both notable and clever – notable because it swings one of the biggest consumer electronics retail brands behind cord-cutting, and clever because Best Buy is selling far more than just online subscriptions here. It’s using the cord-cutting umbrella to sell lots of gear too, from wireless routers to antennas, and even offering to help with installation through Geek Squad and how-to videos. Stuff like this is just going to accelerate cord-cutting even further, pushing it closer to a tipping point where it will cause enormous disruption in the TV industry.

    via Rich Greenfield on Twitter