iPhone - Opportunity Missed
Yesterday with Macworld Apple released a new phone dubbed obviously, iPhone. The device in itself is quite unique and will definitely change the cell phone market for some time to come. But its not the phone that I’m writing about, its the fact that they have made their phones only available with a single cellular service provider, Cingular.
Here in the US, the only way to get a cell phone is with service plan (You can buy unlocked phones through some sources such as amazon or dynamism). Yes, generally, the phones are sold at a discount and even free for the cheaper models. However the phone is locked to the specific provider and the software loaded on the phone has been customized to the to the features that the service provider wants to enable. So essentially, the phone and the service plan are a single product. Not very much choice in what is suppose to be an free market.
Apple making a phone based on its very strong iPod brand could have taken the opportunity to change the restrictive way that cellular phones are sold in the US, and given consumers more choice. The iPhone will most likely sell very well on its own. They could even sell two version of it, iPhone GSM and iPhone CDMA. By its sheer brand power, it would be a force for cellular service providers to reckon with.
Its disappointing that they chose to go this route. I’m not interested in going through the trouble of switching providers. My provider works just fine. What I want is to choose more freely what phones I can use. And not simply be limited to just those chosen for me by my provider. So I will not be getting an iPhone unless it becomes available in an unlocked version at some point. But I’m not very hopeful.
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Hello Dan, i think Apple picked Cingular right now for the strategy to reach Europe and Asia since majority of cell networks are still mainly on GSM instead of CDMA. Plus I heard CDMA licensing money is more expensive compare to GSM license. As an Apple and Mac OS X fanboys :), i support their decision. I myself will probably check out the device next month at Apple store, just trying to get a better feel and look at it instead of buying it right now at a premium price this year.
PS. thank you for your comment at visajourney.com forums, i’d appreciate for the info.
May 19th, 2007 at 2:40 amWell yes, but there are some areas Cingular doesn’t cover well and there are other GSM providers in the US like T-mobile for example. As of right now, the phone can only be used on Cingular.
I don’t have any problem with it not supporting CDMA, I just don’t like the idea that I would have to switch to a poor provider in my area, even though I’m already using a GSM network, just to get the phone.
May 28th, 2007 at 1:28 am