, the executive vice president.
How exactly does this work, i recognition technology?
It is basically a way to know where you are looking on the computer screen.
It takes a picture of your eyes and it can calculate the direction your eyes are reading.
Is it just like, you look at your phone and it can tell whether it is you are not?
It is sort of like fingerprinting technology.
But it is much more than that.
You look at an area of the screen and it detects where your eyes are pointing.
You look at an area and did can interact with that area.
-- and you can interact with that area.
Normally, you drag your mouse and that entire movement would be unnecessary.
Sam, obviously you are the guy that looks at all of these devices.
You have been to samsung headquarters in south korea.
What is your take on the new s five?
How tricked out is he going to be?
Are you optimistic about this i recognition technology?
No, i'm a little skeptical.
I recognition technology has -- eye tracking technology has enabled to tell when you are looking or looking away and if you did look away, it would cause the video you're watching at that time.
That has already been the case.
There was another that was going to automatically scroll the webpage as you looked toward the bottom.
That was not the case.
They have tried facial recognition on existing smartphones.
The problem is, it always takes a little longer than you want, which ultimately renders the feature somewhat useless.
Cori, samsung is continuing to up its game with apple, with all of these new features, but my question is, does it matter?
How many people use all the bells and whistles on a samsung phone, things they don't have on an iphone?
One of the main appeals is meant to be to developers.
Maybe an app developer will use something that the average consumer will not.
I don't think we have seen something that a killer app has taken advantage of in these added capacities in the same way that we have -- sort of one of the big takeaways at the ces show was bluetooth technology.
That seems to be taking off as part of a broader ecosystem.
I think bells and whistles is it.
The main innovation in smartphones has already happened.
These things tend to be on the periphery and not exciting consumer developers and businesses.
Not in the same way the creation of these phones initially did.
And you are not seeing these things coming from apple.
Apple was conspicuously absent from the consumer electronics show.
Sam, did you get the sense that apple is behind because they don't have a watch or a phone that can do all these one million other things?
I think apple's history has shown that it doesn't have to be the first player in any given market.
When you look at mp3 players, or smartphones themselves, or even tablets.
Apple was never the first one there.
They were, however the ones that made the product so desirable and acceptable to a large number of people that it effectively created the market for that product, even if other products had existed prior.
Oscar, compare the sort of level of technology on a samsung galaxy x for -- this samsung galaxy s four.
Compare that to a dallas es fight.
-- a galaxy s five.
There is very much the eye tracking technology.
It detects that you are looking at the phone, but not where you are looking at the screen.
That is a very large difference.
If you really want to make use of it, in many ways you have to know where you are looking at the screen.
I want to talk a little bit about watches.
Because the samsung galaxy gear is already out.
It has gotten mediocre reviews, but samsung has already started saying they will put out another generation of it soon.
Sam, are you more optimistic about that?
A could not be much more less desirable than when it came out.
The original galaxy gear seems like something samsung bid to say, hey, we are here first.
We are planting a flag.
As to a viable product that people actually want, that is not the case.
Samsung has seem to acknowledge some of that by saying that the next version will be far less clunky.
I think that was the word they might have used.
Also in the case of wearables, nobody has really figured out the best way forward to make something truly compelling.
Samsung also revealed the connected home.
Is apple going to have the last laugh?
I think what we are seeing is that the phone is starting to become the center of where people innovate, but not just with apps.
But with other devices.
We saw some clues with the ces show.
In might be in the home.
There are all kinds of opportunities for hugs -- hubs to happen here.
The pace of change right now is really massive and having a dominant share now does not mean much five years from now.
There is the opportunity to innovate and find some greatness in ways that others haven't. eight years ago, nokia had a 50% market share in the u.s. and they are now essentially zero.
In terms of smartphones, blackberry was the dominant divider.
They are getting down to the single digits.
Change happens fast with this technology.
I do want to talk a little bit about this patent settlement discussion that apple and samsung have supposedly been ordered to do.
We obviously went through a big trial last year.
There was a $1 billion verdict.
These patents are potentially even more far-reaching because they are functional versus design patents.
Talk to us about the potential talks that will happen between these two companies and whether it will matter.
Apple and samsung went down this road before in 2011. they pursued mediation and it went absolutely nowhere.
I think there are a lot of people watching this who remain fairly skeptical about this go around.
They're in mind that all of this litigation, these court decisions, judgments among some of which have been radically reduced, by the way, from $1 billion, are all part of the larger negotiation happening between apple, samsung, qualcomm, and other companies that will eventually result in licensing agreements.
The trick is, using the courts and using litigation to effectively negotiate the cost of those licensing agreements down.
That is what is happening here.
I don't think there will be any big blockbuster settlement coming out of this.
I think it will all slide into, you will pay this much for this and i will pay that much for that and it will all work out and we will all be fine.
We will all be watching.
Thanks for joining us for this
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