After five consecutive quarters of robust growth, the research concern VentureOne found, the amount venture capitalists invested fell 15% in Q3 2004 to $4.6 bln, from $5.4 bln in Q2 2004. According to PricewaterhouseCoopers, Thomson Venture Economics and the National Venture Capital Association, venture investing in Q3 fell by 26%, in dollar terms, from Q2. The 601 deals that venture capitalists consummated from July through September were the fewest in any quarter since 1996.

At the height of the Internet boom, venture firms collectively invested $23 bln to $29 bln a quarter. That figure plummeted to less than $5 bln a quarter by mid-2002 and held steady in the $4 bln range through Q3 of 2003. But venture investing jumped 36% from Q4 of last year to the second quarter this year, to $5.9 bln, the MoneyTree survey showed.

Overall satisfaction among wireless mobile phone owners has increased 5% over 2003 - the first time a significant increase has been achieved on a year-to-year basis since the report?s inception three years ago - according to the J.D. Power and Associates 2004 US Wireless Mobile Phone Evaluation Study. The study measures satisfaction of customers who have owned their mobile phones for less than two years based on five key factors that impact overall wireless handset performance. In order of importance, these are: features (27%); durability (23%); physical design (19%); battery function (16%); and operation (15%).

SANYO ranks highest in overall customer satisfaction with wireless cell phones, consistently performing significantly above the industry average across all five factors. SANYO performs particularly well in the areas of features, operation and physical design. Following SANYO in the rankings above the industry average are Samsung and LG, respectively.

Average reported handset purchase price in 2004 is $99 - an increase from $88 in 2003 and the first increase since 1999. Average replacement cycle for a typical handset is 18 months. Camera phone ownership has more than tripled, increasing from 4% in 2003 to 15% in 2004. More than one-half of all handsets purchased in the past year have color display screens (57%) - three times higher than in 2003 (17%). The 2004 US Wireless Mobile Phone Evaluation Study measures customer satisfaction among the eight largest wireless handset manufacturers and is based on responses from 13,458 households.

Affluent-Dynamics, a research company specializing in surveying affluent investors with the assets of $1 mln and above, found little difference in expectations regarding the upcoming US Presidential Elections. Affluent-Dynamics says 53% of affluent investors think that the American economy will do better over the next 12 months if President George W. Bush wins in November, against 48% if Sen. John Kerry does. Wealthy individuals are sophisticated people who have been around the block, and “they don’t see the two guys as that significantly different,” says Neil W. Benedict, Affluent-Dynamics’ managing partner.

Affluent investors are mostly worried about the growing U.S. budget deficit, the rising cost of health care and rising oil prices - all of which rank above terrorism as a worry, even though terrorism often ranks above economic issues in other surveys. Two-thirds of those surveyed expressed at least some concern over the sustainability of U.S. economic growth. That finding is at odds with their outlook for investment returns. Affluent investors expect their investments to grow by 7.3% over the next 12 months and by 9.4% per year over the next five years.

A report last fall by the Henry J. Kaiser Family Foundation, a health policy research organization, found that half of all 4- to 6-year-old children have played video games - on hand-held devices, computers or consoles - and one in four played several times a week. Of children 3 or younger, 14% have played video games.

IDC claims the number of non-brand computers sold in Brazil using black market or illegal components will rise to 74.5% in 2004, up from 70% in 2003 and 59% in 1999. In China the black market components accounted for 73% of computers sold in 2003, down from 85% in 1999.

In 2004 the insurance industry is expected to spend $19 bln on IT products and services, including telecom services and equipment, applications/software, computer hardware, network hardware, IT personnel, and outsourcing/hosting. This is expected to grow at an average annual growth rate of about 3%. Insurance firms are increasing the need for areas in IT such as connectivity, storage, and security. This being said, it is not surprising that insurance firms spend thousands of dollars on information technology every year. In-Stat/MDR estimates that the average insurance firm will spend roughly $85 thousand on information technology in 2004. In-Stat/MDR expects growth in per-firm IT spending in the insurance industry to escalate slowly with small business and middle market firms expected to increase their expenditures more significantly in the future.

In-Stat/MDR estimates that middle market firms will spend approximately $4.3 bln on wireless voice services in 2004, a 16% increase from 2003, and translating to $41 per user per month. Per user monthly rates are only expected to escalate in the future for this market. However, wireless voice service usage is already showing signs of maturity in this market, as well as others, where rates are falling (due to competition and multi-user discounts) and new subscriber growth is slowing. As a result, growth in this category of expenditure is expected to slow through 2008, at which point, mid-sized businesses are expected to spend roughly $7.1 bln on wireless voice services, a 12% annual increase.

Across size of business, the greatest percentage of wireless voice services spending is expected from firms with 100 to 249 employees, accounting for 55% of the total for this market. This sub-segment is estimated to spend approximately $2.4 bln on wireless voice services in 2004, an 18% increase from the year before. These smaller firms are expected to experience the highest growth over the next five years, in part, because the effect of corporate contract discounts are less pronounced at this level. By 2008, firms with 100 to 249 employees are expected to spend roughly $4 bln on wireless voice services, a 13% annual increase.

Those who shop online prefer the offline channel to a large degree. Only 15% of those who shop online report that the Web is their preferred channel. A whopping 82% say that although they shop online, traditional stores are their preferred place to buy. Web shoppers spend more monthly on consumer goods than their counterparts who do not shop online - about 26% more.

Those consumers who shop online still spend much more per month in traditional stores, Forrester found. They order, on average, about $92 worth of products online per month and spend $256 in traditional stores. The average age of Web buyers is slightly lower than non-Web-buyers - 43 compared to 46 years old. Their household income, however, is higher - almost $68,000 per year compared to just under $51,000 per year. Slightly more than half of Web buyers - 52% - are female. Over half of online shoppers have broadband at home. 15% of those who shop online report that the Web is their preferred channel. A whopping 82% say that although they shop online, traditional stores are their preferred place to buy.

As the PC market matures and the amount of digital content available to the consumer and the desire to store it continues to increase, the number of devices integrating hard disk drives in consumers’ homes will explode, according to In-Stat/MDR. As a result, the high-tech market research firm expects that, while hard drives in the CE segment represented about 5% of the total hard drive market in 2003, they will represent about 33% of the market by 2008. With this segment representing a variety of opportunities for storage companies, shipments of CE with integrated hard drives are expected to represent a very attractive 67.1% Compound Annual Growth Rate (CAGR) over the 2003-2008 period.

Total compensation costs for civilian workers increased 0.9% from June to September 2004, seasonally adjusted, the same as from March to June 2004, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. Wage and salary costs increased 0.7%, while benefit costs rose 1.1%, the smallest increase in benefit costs in 2004. The Employment Cost Index (ECI), a component of the National Compensation Survey, measures quarterly changes in compensation costs, which include wages, salaries, and employer costs for employee benefits for nonfarm private and State and local government workers.

Rises in benefit costs accounted for a little less than 40% of the increase in compensation costs for civilian workers from June to September 2004. Among State and local government workers, benefit costs contributed 55% of compensation gains during the June-to-September period, with defined benefit retirement costs accounting for one-fourth of the gain in compensation costs. Among private industry workers, benefit costs were about three-tenths of compensation gains during the quarter, comparable to the% of total compensation costs contributed by benefits.

Techdirt points to a Reuters story on Internet awareness in Bulgaria. Out of country’s 8 mln people 77% have never been online, and 23% do not even know what the word Internet means. However, 20% use Internet frequently, Alpha Research says.

Pew Internet surveyed Americans on their primary sources of getting political news and information.

Television is the primary news source for political information, but broadband users increasingly get their information online. Three-quarters of all Americans (78%) say television is a main source of campaign news. Some 38% of Americans say newspapers are a primary source; 16% say radio; 15% say the internet; and 4% say magazines. (These figures don’t add up to 100% because respondents were allowed to give up to two answers.) In addition: 83% of respondents say TV is where they get most of their information about the war in Iraq. 69% of respondents say TV is where they get most of their information about the issue of gay marriage. 59% of respondents say TV is where they get most of their information about the issue of free trade. 31% of Americans with high-speed connections at home identify the internet as a main source of campaign news. This rivals the share of broadband users who say newspapers are a main source (35% do) and far exceeds the 15% who identify the radio as a main source of campaign news.

31% of Americans with high-speed connections at home identify the internet as a main source of campaign news. This rivals the share of broadband users who say newspapers are a main source (35% do) and far exceeds the 15% who identify the radio as a main source of campaign news. Internet news is mostly used as a complement to more traditional media. Still, a large number of people have gone to non-traditional Web sites to get information. Of those who get news online on an average day, 90% also got news from a newspaper or TV. Of those who ever get news online, 99% also get news from a newspaper or TV. The Web sites of major media organizations continue to dominate as sources of online news about politics and public affairs.

But political news sites not associated with a major news organization are beginning to get a foothold for internet users, particularly those with broadband at home. Some 24% of home broadband users are going to alternative online sources. Some 24% have visited the web site of an international news organization, and 16% say they have visited a more partisan alternative news organization’s site. Use of these alternative sources is almost always accompanied by use of other more mainstream sources. Nearly 100% of the users going to the alternative sites we asked about also use some other mainstream source. Again, this supports the idea that internet users, especially those with high-speed connections, are not organizing their searches to avoid arguments that would conflict with their views.

59% of all internet users have gotten news from a major news organization, with nearly three-quarters of broadband users having done so. 18% of internet users have gone to the Web site of an international news organization such as BBC or al Jazeera; one-quarter of home broadband users have done this. 11% of internet users have gone to alternative news sites such as AlterNet.org or NewsMax.com; one in six home broadband users have done this. 10% of internet users have gone to Web sites of liberal groups such as MoveOn.org, with 15% of broadband users having done this. 10% of internet users have gone to Web sites of conservative organizations such as the Christian Coalition. Some 10% of broadband users have done this. Taken together, 30% of all internet users have been to at least one of the four latter non-mainstream media sites. Notably, supporters of John Kerry are more drawn to non-mainstream sites than Bush supporters: 36% of Kerry supporters have been to a non-mainstream media site for political news. 29% of Bush supporters have been to a non-mainstream media site for political news.

Some 31% of those queried in Pew Internet survey believe that free trade has been mostly good for the U.S. economy and American workers, while 41% believe free trade has been mostly bad for the economy and workers. As of early July, 26% of internet users had gotten news about the debate over free trade online or through email. That represents over 33 million people. Of all the arguments being made in favor of free trade, the most well-known was that free trade improves U.S. relationships with other countries (77% of Americans had heard that). The most well-known anti-free trade argument was that it allows companies to lay off American workers and send their jobs overseas (89% had heard that argument).

People have heard the argument that gay couples should have the same legal rights as heterosexuals when it comes to economic benefits and the argument that sanctioning gay marriage would hurt the sacred religious institution of marriage. 70% of Pew Internet survey respondents said they opposed gay marriage and 26% supported it. As of early July, 35% of internet users had gotten news about gay marriage online or through email. That represents over 44 million people. People were more likely to have frequent exposure to the arguments against legalizing gay marriage than for it. On average, respondents heard 2.3 arguments challenging legalization frequently, versus only 1.9 arguments supporting it frequently.

Of all the arguments being made in favor of gay marriage the most well-known was that gay couples are entitled to the same legal rights as heterosexual couples when it comes to things like health insurance and inheritance (85% of Americans had heard that). The most well-known argument against gay marriage was that marriage is a sacred religious institution that should be between a man and a woman (97% had heard that argument).

Some 53% of the respondents to Pew Internet survey said they thought the decision to go to war was right and 39% thought it was wrong. As of early July, 53% of internet users had gotten news about the Iraq war online or through email. That represents over 67 million people. People had heard more of the arguments for and against the use of military force against Iraq. A typical respondent heard at least occasionally 7.1 out of 8 arguments Pew queried. Of all the arguments being made in favor of the war, the most well-known was that Saddam Hussein was a brutal dictator who murdered and tortured his own people (98% of Americans had heard that). The most well-known anti-war argument was that the Bush administration had misled Americans about Iraq having weapons of mass destruction (87% had heard that argument).

More than 40% of those who use the internet have gotten political material during this campaign, according to the Pew Research Center for The People & The Press, more than 50% higher than the number who had gotten such information in the 2000 campaign.

In October 2004, 44% of respondents favored President Bush and 39% supported Senator Kerry. As of early July, 42% of internet users had gotten news about the campaign online or through email. That represents more than 53 million people. Of all the arguments being made in the campaign the most well-known about Bush was that he misled the public about the reasons for going to war with Iraq (94% of Americans had heard that argument) and the most well-known about Kerry changes positions on issues when he thinks it will help him win an election (70% had heard that argument). Those who are partisans of either candidate are more likely to have heard many arguments about the race ? both pro and con ? than those who do not yet strongly support either candidate. The partisans are clearly paying attention to all the back-and-forth of the campaign.

According to analysis by Frost & Sullivan, Cisco now leads the business telephony market in Australia, with a 19.9% market share. The analysts covered all phones systems sold to businesses, including key telephone systems, traditional Private Branch Exchange (PBX), IP enabled PBX and Pure-IP telephony. In IP Telephony, Cisco continues to be the leading vendor in the Australian business voice market, holding a 47% market share, according to Frost & Sullivan.

Gartner says data center virtualization will increase from its current usage rate of 59.4% among large enterprises, to 93.8% over the next year. Just 6.3% of delegates at a Gartner conference on utility computing said they had no plans to implement virtualisation in their data centres over the next two years. Some 40.6% of delegates have already deployed server virtualisation technology, 37.5% are using it for storage and 28.1% have applied it to their networks.