Sony is not making it any secret that it is going into video downloading business just like its competitors Microsoft and Apple. According to Howard Stringer, Chairman and CEO of Sony, Sony will venture into this business with chosen partners. Sony will not go into it alone.

Sony is testing the service that will sell videos, music and other digital content via its Internet-connected PlayStation 3 machines. Hence, the network is dubbed PlayStation Network.

Stringers suggests that he will let any studios, music labels and gadget makers to piggyback on Sony PlayStation system as long as they support Sony’s digital rights management (DRM) technology. This would open the possibilities of having as many choices of games, videos and songs for the consumers.

By allowing other companies to collaborate in selling their products via Sony’s PlayStation Network, Sony is squaring off its competitors like Apple and Microsoft who are into this business much earlier than Sony.

In the industry, mixed experiences are encountered by Sony’s competitors. According to market research Gartner, Microsoft with its Zune is running on software not available on other gadgets. Very much like Apple’s iPod. But, iPod is having much success due to its tight integration between hardware and software over the network.

Look out for Jan 15, 2008! Steve Jobs is expected to make an important announcement regarding opening up of iPhone software during the MacWold Expo in San Francisco.

According to sources familiar with Apple’s plan, Apple will release a software development kit for the iPhone in early 2008 to allow developers to create games, business productivity applications and other applications for the iPhone.

The timing of release is due to the release of Macintosh the new operating system, Leopard, which is due to be released on Oct 26. Since iPhone was built on Mac platform, it is expected that Leopard will make iPhone more robust.

Meanwhile, Apple and hackers are playing cat-and-mouse game with each other. Each release of new upgraded software by Apple, the hackers will try to unlock the code. Until the official release of the development kit, the cat-and-mouse game will continue.

The sales of iPhone is gradually hurting the revenue of handheld computer maker Palm. Palm has reported a three-month loss after Apple launched its own smart phone. The loss for Q3 2007 is US$840,000 compared to a profit of US$16.5m for the same period last year.

Palm handheld devices have been loosing out to its competitors like Apple and Blackberry. Palm has recently withdrawn its Foleo keyboard and monitor for its Treo smartphones.

But, it launched its Centro devices, which is lightweight and cheaper, to compete with Samsung’s devices.

iPhone was launched in US on 29 June 2007. Blackberry devices are made by Research in Motion.

Apple has issued warning to iPhone owners telling them not to hack their expensive gadgets. Many iPhone users hack their phones to allow them to access other phone network services other than AT&T. They also installed other programs on their iPhone.

Apple has informed iPhone users that they are causing irreparable damages to the device’s software. Apple also warned iPhone users that modified iPhones will become permanently inoperable when the new iPhone software update is released.

Finally, Apple has released a new version of update for iPhone which would leave the phone permanently inoperable.

Now, Apple has made its move to protect iPhone and its contractual obligation with AT&T. I wonder what else the hackers will do to ‘open up’ iPhone.

Apple has slashed th eprice of iPhone by US$200 to US$399. The objtective was to make iPhone more attractive but it has received complains from loyal customers who paid full price when iPhone eight-gigabyte version was launched two months ago.

Apple CEO, Steve Jobs, has offered compensation to their loyal customers by giving them a US$100 voucher.

Steve also announced that Apple has stopped production of four-gigabye version of iPhone.

A New Jersey teenager, Geroge Hotz, spent 500 hours collaborating online with four other teenagers to develop unlocking process to hack the iPhone. The hacked iPhone can be used on T-mobile network instead of AT&T.

The whole process of unlocking takes only about two hours. This procedure involved soldering of parts and some source code changes.

 George does not intent to commercialize his discovery but intent to share it with iPhone users for free.

His next chalenge is to unlock iPhone using only software only.  

Gbox has wooed some major record labels away from Apple’s iTune. Universal and Sony BMG has signed up with GBox to start selling their music at the same prices as iTune. Each track cost only 99 cents.

Music fans can buy direct from GBox or online retailer Amazon. At the moment, this service is only available in US.

GBox service has features that users can integrate into their blog. Navio System, maker for GBox, is providing a plugin for users to place on their blog to setup their wish list songs so that their friends can purchase for them.

This service is also providing songs without DRM (Digital Rights Management) for songs from Universal Music artists.

GBox will continue to explore new means of selling songs like in social networking sites like MySpace.