Record $19bn raised

The US government has raised a record $19.6 billion in an auction as bidders sought a prime segment of the US wireless spectrum, says AFP.

Federal Communications Commission chairman Kevin Martin said in a statement that the 700MHz auction, which began on 24 January, had closed last week after 261 rounds of bidding.

Martin did not identify the companies that had bid for the licences for the 1 099 frequencies in the 700MHz spectrum being abandoned as television broadcasters complete a federally mandated switchover from analogue to digital by early next year.

Boost Mobile, a prepaid wireless brand aimed at younger users, will begin running advertising on its mobile handsets, says Forbes.

Mobile advertising isn't new, with research firm eMarketer estimating that US advertisers spent $900 million on mobile ads last year, a figure it expects will grow to nearly $4.8 million in 2011.

However, Lowell Winer, director of emerging products for carrier, said Boost's difference is that the bulk of its 4.6 million subscribers are under the age of 30, the key demographic for many advertisers.

A fresh chill is blowing through the once-scorching mobile phone market. This time the source is Sony Ericsson, which last week warned of a steep profit shortfall, reports CNN Money.

The company cut its current-quarter profit forecast to less than half the year-ago level, citing a slowdown in consumer spending on its mid-priced and high-end phones.

Sony Ericsson says it now expects a pre-tax profit of about $276 million, down from $571 million a year ago. Analysts had been looking for a profit as high as $315 million for the first quarter ending 31 March.