“Verizon’s iPhone 4 will be available for pre-order Feb. 3 for existing Verizon customers, and will be generally available for pre-order beginning Feb. 10. Verizon executives said the 16-gigabyte version of the phone would cost $199 with a 2-year contract, while the 32-gigabyte version will cost $299 — the same as AT&T’s pricing. It said pricing for data plans had not yet been determined,” Jenna Wortham reports for The New York Times.
“The highly anticipated arrival of the iPhone on Verizon ends a five-year agreement of exclusivity between Apple and AT&T,” Wortham reports. “The partnership between Apple and Verizon is multiyear and non-exclusive, executives at both companies said. And it is likely to throw the smartphone market in the United States into something of a tizzy.”
Wortham reports, “Analysts say that the move could both double Apple’s smartphone market share and seriously hinder the rise of phones running Google’s Android software in the United States… In countries where the iPhone has been available on multiple networks, it tends to take over the bulk of the smartphone market share.”
Verizon “iPhone users would be able to tether up to 5 Wi-Fi devices to the phone so they can piggyback on its cellular data connection, although it declined to provide specifics on pricing for that feature,” Wortham reports. “The company did not say whether it would modify the pricing structure for its data plans, which currently allow customers to buy unlimited data. AT&T, by comparison, requires that its users pay for metered data plans.”
MacDailyNews Take: Pricing plans will follow, as usual, in order to generate a double dose of free publicity.
Full article here.
MacDailyNews Take: What we wrote two months ago works well enough today: “We’ll watch these numbers with interest as the current (calendar fourth quarter 2010) quarter will have strong U.S. multi-carrier iPhone rumors and subsequent quarters may have actual U.S. multi-carrier iPhones. You may be seeing the Android’s high water mark for OS market share in these numbers as market realities, not to mention court cases, change to work in favor of Apple iOS. After all, why settle for a fake iPhone when you can get the real thing?”
And the water is wet.
And, the earth will continue to turn. Where is the news?
They didn’t announce pricing plans? Why not?
@ Cowboy
The pricing plans are the exact same for all of Verizon’s smart phones. There is no reason to announce pricing plans, since there is no change. It’s just a new phone model available to their customers.
Except it’s not “just another phone model”. It’s the iPhone 4!
I don’t really care about Verizon. I have great AT&T coverage where I work/live.
But, as an AAPL investor, it’s great news! 😀
After the hype fades away Android will continue to gain Market share look at the rest of the world and what Android is doing in India and in China. How is Apple going to compete with $100 dollar androids without a contract? Android will destroy Apple in market share, availability, pricing, and production are all behind Android. Apple won’t care it shouldn’t care because it will make the most profit.
Perhaps their pricing plans won’t be too popular with all of us who want to switch. So they will have positive worldwide press coverage today and several weeks in the future. Once things settle down they will hit us with the pricing. But today is all good news for Verizon. Nothing negative. I just watched their president and he sidestepped pricing,LTE and the inability to multitask while you are connected with a call.
You’ve tried the rest. Now try the best.
I for one predict that after the first year AT&T will see a rise in the number of VZ costumers switching to their network for iPhones, due to VZ’s CDMA network and the inability to use voice and data simultaneously.
Sure, you’ll be able to tether up to 5 wifi devices to share the phone’s internet, until the phone rings, then it’s “everyone out of the pool”.
Android is the only option available to companies like HTC, Motorola, etc. which make handsets but have nothing to do with OS development. Windows charges too much and is too demanding on hardware to compete with the iPhone, and there are no other real options.
That’s why Android is being pushed so hard – it’s the only real hope for these companies to compete in the smartphone market. If Android distribution was shut down tomorrow (say, by a patent infringement lawsuit or Google just stopped it), several companies would die shortly thereafter. Why do you think Motorola split itself into a phone handset company and everything else company?
How is android best? It’s just a copied version with viruses of iOS.
Flea alert !!!
@peter
I think Apple favors profit over market share as any good publicly traded company should. Even if Android gets all of the “market” not owned by the iPhone, they still lose because its not a sustainable model.
“We lose money on every phone sale but we make up for it in volume.” — Android phone makers motto.
Wait, people want a Verizon iPhone?!?!? Yuck!!! Well so long! Why don’t you leave now so my perfect Att 3G will work even faster.
@ PeterPan
Perhaps you misread this:
“Analysts say that .. In countries where the iPhone has been available on multiple networks, it tends to take over the bulk of the smartphone market share.”
I prefer android operating system, I enjoy widgets, how I can change it anyway I want, and the choices I have. I understand some like the simplicity of an Iphone and the ecosystem that Apple brings, to each his/her own. I own Apple Stock and a few Macs so im all for making money.
The iPhone will immediately put downward pricing pressure on Android phones. When the iPhone 5 is released, the current iPhone will likely fall to $99 and eventually to $49 which will crowd out the low end Android phones.
This is a multi-wave tsunami. In six to eight months, it will totally change the landscape of mobile devices. Expect to see some exit this space.
Just remember that it doesn’t take Android to fail for Apple to win. Apple has already won by selling in volume and raking in the cash.
So when I am using my new Verizon phone as a wifi hotspot for up to 5 devices on their crappy CDMA network, I can’t receive calls….Why is no one asking this question? Come on, voice and data at the same time this should be a given… screw Verizon!
@Peter Pan
Yup, you nailed it. Android will continue to gain market share at the expense of RIM and others. Anyone who thinks Apple will achieve market domination with the iPhone is mistaken — that’s simply not how Apple works! They will maintain a healthy share of the market, and their profits will far outpace other handset makers.
@ PeterPan
Perhaps you misread this:
“Analysts say that .. In countries where the iPhone has been available on multiple networks, it tends to take over the bulk of the smartphone market share.”
________
Go look at India, China and Japan and how fast enjoy is rising same thing with Western Europe Android is world phenomenon not just here in the states. Apple will not be able to compete with Android in developing countries. You know China and India the two countries with the most opportunity to grow a market.
@Peter Pan
It’s okay, we don’t mind if all the Android handset makers compete in a race to the bottom. Apple operates on profits not market share.
” width=”19″ height=”19″ alt=”smile” style=”border:0;” />
@ Peter Pan: “Android will destroy Apple in market share, availability, pricing, and production are all behind Android”
So what? Android is not a singular entity/market, it’s broken up and used in different segments of the market. Everyone loves to compare a platform/OS (Android) with a single hardware device (iPhone), but guess what? If you want to base numbers off “Android” then you have to compare it with “iOS”, not iPhone.
iOS is on AppleTV, iPod touch, iPad and the iPhone. Give me totals for all these devices (all sold by the same company), and compare them with all the Android devices sold by any other company and I’m willing to bet that Apple is WAY ahead of anyone else in the world regarding platform market share and installed base. I’d even be willing to bet that iOS currently comes out ahead of all Android devices combined.
Didn’t Peter Pan live in Never-Never Land?
Android POS copy of iOS is given away for free to every SmartPhone maker who’s dumb enough to use it. How is that fair competition?
Anyone ignoring market share is misguided. It is important. Developers develop for well represented platforms (which is why there’s no software for WebOS). However, in case of iPhone vs. Android phone battle, market share is not the only determining factor for the developers.
First, iOS is NOT just the iPhone (although at this point, Android is also NOT just the cellphones either). More importantly, while iOS provides a fairly UNIFIED platform for which to develop, Android fragmentation provides significant and real challenges for developers (google it and you’ll find many testimonies to that effect). Second, every iOS device looks and works the same; most Android devices are customised by carriers, with features disabled, menus, appearance and functionality changed and modified. Also, the simplicity of distribution through the App Store can never be matched by any Android market place.
And no, Mr. Peter Pan, in the developed world, wherever iPhone is available on multiple carriers, it is OUTPACING Android by a healthy margin. India and China are clearly exceptions, for very obvious reasons (average income is not nearly enough to justify a $800 iPhone, when a $350 Android device is available).
And, in other news, water is wet…..
So what? Android is not a singular entity/market, it’s broken up and used in different segments of the market. Everyone loves to compare a platform/OS (Android) with a single hardware device (iPhone), but guess what? If you want to base numbers off “Android” then you have to compare it with “iOS”, not iPhone.
________
That doesnt matter its not Android’s fault that Steve Jobs prefers a business model goes after profit instead of Market share. Did you see the CES in a few years you wont be able to escape android it will be in your car, your alarm clock, your home appliances.
And no, Mr. Peter Pan, in the developed world, wherever iPhone is available on multiple carriers, it is OUTPACING Android by a healthy margin. India and China are clearly exceptions, for very obvious reasons (average income is not nearly enough to justify a $800 iPhone, when a $350 Android device is available).
_____
Wrong Android has been gaining market share in Japan and Western Europe not as rapidly as in the United States but still gaining market share month by month faster than the Iphone. You just don’t understand that you can’t beat the combination of Availability, Production and pricing when it comes to market share. But Apple will win the Profit war so in the end Steve Jobs doesnt care.
Why would Apple want to supply all the poor people in India who don’t have credit cards with $10 “smart” phones with no contract… let some Korean or Thai or Indonesian company make them a cheap, disposable phone that runs on some form of ‘droid to give them a pretty picture and a low megapixel camera (things many current phones throwaway phones already offer to some extent,) but nothing terribly “smart.” The ones who can afford it, will buy the iPhone, no doubt. Without the iTunes infrastructure, a smart phone isn’t that smart anyway.
Itunes is one of reasons I don’t like the Iphone I can’t get anything done with it taking time to sync with that piece of ridiculous bloat, but that is just my opinion give me stock Andriod over IOS any day. Again just my opinion. And from what I’ve see from Honeycomb Android for Tablets give me that over looking as grids and icons on a 9 inch screen. But I do love my mac!! I hope Apple makes Ios more tablet like in their next release.
@Peter Pan
They can’t get enough of the iPhone in China. Same story with Japan & Korea. In Europe sales of Apple products rose 44% in Spain, 40% in the UK, 34% in France & Italy in 2010 as compared to 2009. A significant proportion of those sales was driven by iPhone 4.
In those markets Android is available side by side with the iPhone. While the Android phone is considered to be a nice-to-have device, the iPhone is considered as a must-have device, the difference being that the iPhone is an indicator of social status in Europe, Asia & the Middle East.
The only reason why Android has gained such a large foothold in the US is due to the vacuum caused by the absence of the iPhone on Verizon, Sprint & T-Mobile. So it’s one down, two to go.
Realistically though it will take a while for the iPhone to regain its prominence in these networks but now that it’s available it will present a real challenge to Android adoption and perhaps slow it down perceptibly.
@Peter Pan: “Did you see the CES in a few years you wont be able to escape android it will be in your car, your alarm clock, your home appliances.”
I will bet you the 2 thousand shares of Apple stock that I own, that I will be able to escape Android. Believe me, that’d be a bet you’d lose dearly…
@Peter Pan
They can’t get enough of the iPhone in China. Same story with Japan & Korea. In Europe sales of Apple products rose 44% in Spain, 40% in the UK, 34% in France & Italy in 2010 as compared to 2009. A significant proportion of those sales was driven by iPhone 4.
In those markets Android is available side by side with the iPhone. While the Android phone is considered to be a nice-to-have device, the iPhone is considered as a must-have device, the difference being that the iPhone is an indicator of social status in Europe, Asia & the Middle East.
The only reason why Android has gained such a large foothold in the US is due to the vacuum caused by the absence of the iPhone on Verizon, Sprint & T-Mobile. So it’s one down, two to go.
Realistically though it will take a while for the iPhone to regain its prominence in these networks but now that it’s available it will present a real challenge to Android adoption and perhaps slow it down perceptibly.
____________
Android is growing in Western Europe, And Yes they have the Iphone in China and and Japan.
http://www.eurodroid.com/2010/11/stats-androids-global-smartphone-market-share-rises-22-in-12-months/
Android is going very fast world wide. I know objectivity is new to some of you at MDN so ill give it time to sink in.
@Peter Pan: “Did you see the CES in a few years you wont be able to escape android it will be in your car, your alarm clock, your home appliances.”
I will bet you the 2 thousand shares of Apple stock that I own, that I will be able to escape Android. Believe me, that’d be a bet you’d lose dearly…
______
I own Apple share myself thanks to my Grandpa, God rest his soul.
Maybe MDN will stop ragging on AT&T now.
@Peter Pan
You obviously have limited understanding of statistics. The growth of Android in Asia and India especially can interpreted as more than raw numbers.
You may tout rising numbers in support of your argument but the majority of Android buyers plump for cheap, plastic phones that can be had for as little as $100 without a plan.
Now think of it this way. Why would you want to focus your market exclusively on people who buy cheap phones when they have no ability to download apps and are not the target market for advertisers.
What this means is that in the long run all Android will do is achieve lock in of the bottomost segment of the population which does not bode well for future growth.
So this will be a one time event that will be supplanted by iPhone growth as people move up the income chain.
Google doesn’t gain anything by it as advertisers will not find bottom feeding consumers lucrative and app developers will not port apps that aren’t profitable even if they’re ad driven.
This is the PC wars, take 2. Only this time, Apple has a commanding lead. Apple will NOT (IMO) have the largest marketshare, but I highly doubt that Android will clean Apple’s clock with marketshare. I predict overall about 30% Apple in the mobile market.
Apple will continue to innovate, push their products into large, lucrative markets (like healthcare) with classy, usable solutions. They will also continue to be light-years ahead of the competition with ideas, and as usual, the stragglers will scurry and climb all over each other to catch up.
Meanwhile, Android/Google will enjoy the commodity class of products, and the larger marketshare. Wash, rinse, repeat…
@Peter Pan
You obviously have limited understanding of statistics. The growth of Android in Asia and India especially can interpreted as more than raw numbers.
You may tout rising numbers in support of your argument but the majority of Android buyers plump for cheap, plastic phones that can be had for as little as $100 without a plan.
Now think of it this way. Why would you want to focus your market exclusively on people who buy cheap phones when they have no ability to download apps and are not the target market for advertisers.
What this means is that in the long run all Android will do is achieve lock in of the bottomost segment of the population which does not bode well for future growth.
So this will be a one time event that will be supplanted by iPhone growth as people move up the income chain.
Google doesn’t gain anything by it as advertisers will not find bottom feeding consumers lucrative and app developers will not port apps that aren’t profitable even if they’re ad driven.
______
I think you are underestimating the power of cheap products. Want to know why Windows has the market share, and why Walmart is so big. Price price price price. Cheap, production, availability beats wins market share its basic economics. There is a reason why there are more toyotas on the road than BMWs. Android will be the everyman operating system, and Apple just like what happened when windows arrived will have a the profit but the market share will go down.
This is the PC wars, take 2. Only this time, Apple has a commanding lead. Apple will NOT (IMO) have the largest marketshare, but I highly doubt that Android will clean Apple’s clock with marketshare. I predict overall about 30% Apple in the mobile market.
Apple will continue to innovate, push their products into large, lucrative markets (like healthcare) with classy, usable solutions. They will also continue to be light-years ahead of the competition with ideas, and as usual, the stragglers will scurry and climb all over each other to catch up.
Meanwhile, Android/Google will enjoy the commodity class of products, and the larger marketshare. Wash, rinse, repeat…
_______
That commanding lead was wipe out in 2 years. There is no commanding lead and once $100 dollar Android smartphones hit Apple will go down to the 10-15% market share bracket.
I think it is hillarious, the same people complaining about AT&T are now complaining about Verizon. It’s awful that my 2 y/o has figured out that you can’t always get what you want. Everyone knew that you wouldn’t be able use voice and data at the same time. Did you expect Verizon to flip a switch for Apple. I have had no problems with AT&T. I will probably switch to Verizon when my contract is up in 2 years to save money ( all my family is on Verizon), but we will see though. Within 2 years AT&T will probably be back to unlimited data.
@Peter Pan
No, this is not Windows vs. Mac. Say whatever you like about Microsoft, every copy of Windows sold brought in licensing revenues.
Contrast that with Google. Every Android phone sold brings Google no revenues. So from a sales revenue perspective Google has failed.
Google depends on selling your personal data to advertisers. In other words it translates key search words into ad driven revenue. But if your customers have no interest in or are not financially capable of searching for ad driven products, Google derives no income even though it has added a customer to its roster.
Secondly Microsoft has a driving motivation to spread Windows into every desktop & laptop PC due to what I call inevitability, that is to say it became the OS of choice for the majority due an ecosystem of apps that could only run in Windows. Embrace & extend.
Apple by contrast derives a lot of revenues from the sale of iPhones, $14 billion at the last count, so that will enable it to innovate better & more capable phones.
Also note that unlike Windows the iPhone/Android app ecosystem is not a zero sum game where an app developed for Windows was an app lost to the Mac.
iPhone growth is a virtuous cycle whereas the same cannot be said for Android growth due primarily to the lack of revenue seeking opportunities on the platform.
@ Peter Pan
“I think you are underestimating the power of cheap products. Want to know why Windows has the market share, and why Walmart is so big. Price price price price. Cheap, production, availability beats wins market share its basic economics.”
True. But here in the states the price difference is much more negligible. And there is another big difference-
When the Mac was still much more expensive than the PC, people didn’t have a chance to know what they were missing. They had no clue what you got for the extra money you had to spend on a Mac. And as I said, that difference was a big number.
Now, everyone knows what an iPhone is, they know what they’re getting… and since iPhone 4’s start at 200 bucks on both carriers, there is no significant barrier to adoption as there used to be with the Mac. The difference between a mediocre $100 phone and a clearly superior $200 phone is almost within impulse-buy territory.
So in short, you’re right, but you’re wrong.
@Peter Pan, you are a sport for sticking through all the anger coming at you for expressing an opinion. I see your points, may not agree but I see them.
Apple making many on, let’s call it, significant market share, is what we are hoping for long term, what the final % of the market that turns into is what makes capitalism interesting. I also believe that being the high end handset manufacturer is not a bad place to be, look at cars, Porsche, Ferrari, etc are no where near the numbers Toyota and ford put out, but are sought after, profitable, third party upgradable machines.
I also think we should start seeing some handset makers fall by the wayside this year, I’m very curious if RIM can hold a decent market share.
@Peter Pan
No, this is not Windows vs. Mac. Say whatever you like about Microsoft, every copy of Windows sold brought in licensing revenues.
Contrast that with Google. Every Android phone sold brings Google no revenues. So from a sales revenue perspective Google has failed.
Google depends on selling your personal data to advertisers. In other words it translates key search words into ad driven revenue. But if your customers have no interest in or are not financially capable of searching for ad driven products, Google derives no income even though it has added a customer to its roster.
Secondly Microsoft has a driving motivation to spread Windows into every desktop & laptop PC due to what I call inevitability, that is to say it became the OS of choice for the majority due an ecosystem of apps that could only run in Windows. Embrace & extend.
Apple by contrast derives a lot of revenues from the sale of iPhones, $14 billion at the last count, so that will enable it to innovate better & more capable phones.
Also note that unlike Windows the iPhone/Android app ecosystem is not a zero sum game where an app developed for Windows was an app lost to the Mac.
iPhone growth is a virtuous cycle whereas the same cannot be said for Android growth due primarily to the lack of revenue seeking opportunities on the platform.
____
Eventually what will happen is that you will have 2-3 handset makers that will control the hardware production. And as for making money Android on the software side is developed by Google, and the only thing Google cares about is advertising money. Android is all about Google securing its search future on mobile devices without having to pay lets say Apple to put Google on their product. And the experience of an Apple phone and Android is not that big that the average consumer will take the more expensive product. Android does not have as high of the consumer satisfaction as IOS but its right up there. What Google has done is put out an operating system equal to that of ios in many peoples eyes for free. Competition is always good, the Iphone 5 will probably get a dual core chip this year and thats all because Android has forced their hand because of competition. Iphone is on Verizon now because of Android. Apple added multitasking (No matter how reversed it may be) because of Android. Android is getting super amboled screens and Nova screens because of Apple’s retina display in the end the consumer wins.
There is now no way an iPhone 5 will be coming within the next 6 months.
“And the experience of an Apple phone and Android is not that big that the average consumer will take the more expensive product.”
This is the bit you’re most wrong about. People are not as ignorant as they were in 1987.
“And the experience of an Apple phone and Android is not that big that the average consumer will take the more expensive product.”
This is the bit you’re most wrong about. People are not as ignorant as they were in 1987.
______
People will always be ignorant when it comes to cheap prices.
Oh, and Peter, if this is all true, then why didn’t cheaper MP3 players take over the market, leaving the iPod in the dust…?
The answer is that a mobile device is a very intimate object…. you have it with you all the time and are constantly handling it. You have a much closer connection with its functionality than you did with an old clunky PC. And as I said, consumer are MUCH more savvy than they were in the Mac vs. PC era.
So, in short, still wrong.
Oh, and Peter, if this is all true, then why didn’t cheaper MP3 players take over the market, leaving the iPod in the dust…?
The answer is that a mobile device is a very intimate object…. you have it with you all the time and are constantly handling it. You have a much closer connection with its functionality than you did with an old clunky PC. And as I said, consumer are MUCH more savvy than they were in the Mac vs. PC era.
So, in short, still wrong.
____
Simple reason no one had the hardware or software power to compete with the Ipod. And other than the Zune no one had close to the quality of the Ipod. But its different now Android has already proven it can challenge IOS in the smartphone market. And the Combination of Google, Samsung, Moto, HTC and many others is a strong one.
So in short in not wrong im just expressing my opinion an opinion that is held by the vast majority of experts.
“So in short in not wrong im just expressing my opinion an opinion that is held by the vast majority of experts.”
Here’s what some other experts have to say…
===============================================
• “We are not at all worried. We think we’ve got the one mobile platform you’ll use for the rest of your life. [Apple] are not going to catch up.” – Scott Rockfeld, Microsoft Mobile Communications Group Product Manager, April 01, 2008
• “Microsoft, with Windows Mobile/ActiveSync, Nokia with Intellisync, and Motorola with Good Technology have all fared poorly in the enterprise. We have no reason to expect otherwise from Apple.” – Peter Misek, Canaccord Adams analyst, March 07, 2008
• “What does the iPhone offer that other cell phones do not already offer, or will offer soon? The answer is not very much… Apple’s stated goal of selling 10 million iPhones by the end of 2008 seems ambitious.” – Laura Goldman, LSG Capital, May 21, 2007
• Motorola’s then-Chairman and then-CEO Ed Zander said his company was ready for competition from Apple’s iPhone, due out the following month. “How do you deal with that?” Zander was asked at the Software 2007 conference. Zander quickly retorted, “How do they deal with us?” – Ed Zander, May 10, 2007
• “The iPhone is going to be nothing more than a temporary novelty that will eventually wear off.” – Gundeep Hora, CoolTechZone Editor-in-Chief, April 02, 2007
• “Apple should pull the plug on the iPhone… What Apple risks here is its reputation as a hot company that can do no wrong. If it’s smart it will call the iPhone a ‘reference design’ and pass it to some suckers to build with someone else’s marketing budget. Then it can wash its hands of any marketplace failures… Otherwise I’d advise people to cover their eyes. You are not going to like what you’ll see.” – John C. Dvorak, Bloated Gas Bag, March 28, 2007
• “Even if [the iPhone] is opened up to third parties, it is difficult to see how the installed base of iPhones can reach the level where it becomes a truly attractive service platform for operator and developer investment.” – Tony Cripps, Ovum Service Manager for Mobile User Experience, March 14, 2007
• “I’m more convinced than ever that, after an initial frenzy of publicity and sales to early adopters, iPhone sales will be unspectacular… iPhone may well become Apple’s next Newton.” – David Haskin, Computerworld, February 26, 2007
• “There’s an old saying — stick to your knitting — and Apple is not a mobile phone manufacturer, that’s not their knitting… I think people overreacted to it — there was not a lot of tremendously new stuff if you think about it.” – Greg Winn, Telstra’s operations chief, February 15, 2007
• “Consumers are not used to paying another couple hundred bucks more just because Apple makes a cool product. Some fans will buy [iPhone], but for the rest of us it’s a hard pill to swallow just to have the coolest thing.” – Neil Strother, NPD Group analyst, January 22, 2007
• “I can’t believe the hype being given to iPhone… I just have to wonder who will want one of these things (other than the religious faithful)… So please mark this post and come back in two years to see the results of my prediction: I predict they will not sell anywhere near the 10M Jobs predicts for 2008.” – Richard Sprague, Microsoft Senior Marketing Director, January 18, 2007
• “The iPhone’s willful disregard of the global handset market will come back to haunt Apple.” – Tero Kuittinen, RealMoney.com, January 18, 2007
• “[Apple’s iPhone] is the most expensive phone in the world and it doesn’t appeal to business customers because it doesn’t have a keyboard which makes it not a very good email machine… So, I, I kinda look at that and I say, well, I like our strategy. I like it a lot.” – Steve Ballmer, Microsoft CEO, January 17, 2007
• “The iPhone is nothing more than a luxury bauble that will appeal to a few gadget freaks. In terms of its impact on the industry, the iPhone is less relevant… Apple is unlikely to make much of an impact on this market… Apple will sell a few to its fans, but the iPhone won’t make a long-term mark on the industry.” – Matthew Lynn, Bloomberg, January 15, 2007
• “iPhone which doesn’t look, I mean to me, I’m looking at this thing and I think it’s kind of trending against, you know, what’s really going, what people are really liking on, in these phones nowadays, which are those little keypads. I mean, the Blackjack from Samsung, the Blackberry, obviously, you know kind of pushes this thing, the Palm, all these… And I guess some of these stocks went down on the Apple announcement, thinking that Apple could do no wrong, but I think Apple can do wrong and I think this is it.” – John C. Dvorak, Bloated Gas Bag, January 13, 2007
• “I am pretty skeptical. I don’t think [iPhone] will meet the fantastic predictions I have been reading. For starters, while Apple basically established the market for portable music players, the phone market is already established, with a number of major brands. Can Apple remake the phone market in its image? Success is far from guaranteed.” – Jack Gold, founder and principal analyst at J. Gold Associates, January 11, 2007
• “Apple will launch a mobile phone in January, and it will become available during 2007. It will be a lovely bit of kit, a pleasure to behold, and its limited functionality will be easy to access and use. The Apple phone will be exclusive to one of the major networks in each territory and some customers will switch networks just to get it, but not as many as had been hoped. As customers start to realise that the competition offers better functionality at a lower price, by negotiating a better subsidy, sales will stagnate. After a year a new version will be launched, but it will lack the innovation of the first and quickly vanish. The only question remaining is if, when the iPod phone fails, it will take the iPod with it.” – Bill Ray, The Register, December 26, 2006
• “The economics of something like [an Apple iPhone] aren’t that compelling.” – Rod Bare, Morningstar analyst, December 08, 2006
• “Apple is slated to come out with a new phone… And it will largely fail…. Sales for the phone will skyrocket initially. However, things will calm down, and the Apple phone will take its place on the shelves with the random video cameras, cell phones, wireless routers and other would-be hits… When the iPod emerged in late 2001, it solved some major problems with MP3 players. Unfortunately for Apple, problems like that don’t exist in the handset business. Cell phones aren’t clunky, inadequate devices. Instead, they are pretty good. Really good.” – Michael Kanellos, CNET, December 07, 2006
• “We’ve learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They’re not going to just walk in.” – Ed Colligan, Palm CEO, November 16, 2006
@Peter Pan
iPhone is in Verizon most definitely because the exclusivity agreement between Apple & AT&T was at an end, not because Android is there. In fact you could argue the reverse: that had Apple launched the iPhone on all the networks simultaneously, Android would have been a pale shadow of itself.
The question about multitasking is all wrong. Apple developed multitasking arguably because the iOS hacker community had brought multitasking to the iPhone & shown that it was feasible. But since the iPhone OS was developed from OS X, multitasking would have been a natural progression. Apple just needed time to get it done right.
Apple’s approach to multitasking is on an OS managed basis which allows apps to run in the background only when needed. Apps are put in a saved state and frozen if background processes are not called upon.
Now the way Android implements multitasking is to allow backgrounded apps to draw on CPU resources whether needed or not so you end up being penalized by battery drain. Android’s solution is to have a task manager to kill apps which by the way is laughable on a mobile device.
Apple’s way is more elegant as the OS mediates and decides which app should receive CPU resources which is then time limited to complete backgrounding actions.
Peter and others: Remember a couple of things:
1. iPad development PRECEDED iPhone development
2. the ‘phone’ was dubbed the ‘killer app’ by Steve Jobs, not the killer piece of hardware.
Too many of us are focused on just the phone aspect of this whole debate. Let me offer a different perspective: The phone was a Trojan Horse for Apple. Apple’s take on this is simple- expand the mobile PLATFORM. Just like the PC wars were about expanding the Windows, MacOS, etc platforms, this too is about expanding the mobile platform. And again, Apple is way ahead of the game- they have now commanded a huge lead in the ‘pad’ market with the iPad, and I’m sure they’re already working on the next big thing, of course until another platform comes up (living room anyone?). So Google is definitely all about expanding their Android mobile platform, because they’ll make more money in advertising that way (besides, why on earth would they spend so much time and money on an idea that wouldn’t make money for them).
The hardware makers, including Apple, stand to make money (a lot of it) by selling their respective products. Apple will take the high road, and leave all of the others to fight for the commodity market. That’s their MO.
@Peter Pan: That commanding lead wasn’t ‘wiped out in 2 years’. The smartphone market in the US is where your data originates. That’s Apple on ONE carrier. This says nothing about iOS PLATFORM and worldwide market share.
jdoc gets it.
@ Chrissyone, no one knew what the Iphone was or what the smartphone market would become and as you can see a large number of those quotes are from heads of companies who were running scared. But the Smartphone market is more defined now. People know what an Iphone is, what the new up and coming Android can do and RIM’s hold on the business sector is. And most predictions by well know experts say that Android will win out the Market share war when all said and done and they make very very very good arguments why and Ive been making the same arguments on this thread. I’m just bringing a little reality and perspective to MDN. Even Steve Jobs sees the threat Android holds in terms of Market share if you think Iphone 4 would have been as good, or the Iphone would of gone to Verizon without the pressure form Android you are lying to yourself. Android is the fist operating system that is rivaling IOS even though Apple had a 2 year product start. Competition is good thanks to Android, Iphone fans will have dual cores this year, and thanks to Apple an Android user like me has the chance to use Android and have a great shinny screen to look at and touch.
@Peter Pan
iPhone is in Verizon most definitely because the exclusivity agreement between Apple & AT&T was at an end, not because Android is there. In fact you could argue the reverse: that had Apple launched the iPhone on all the networks simultaneously, Android would have been a pale shadow of itself.
The question about multitasking is all wrong. Apple developed multitasking arguably because the iOS hacker community had brought multitasking to the iPhone & shown that it was feasible. But since the iPhone OS was developed from OS X, multitasking would have been a natural progression. Apple just needed time to get it done right.
Apple’s approach to multitasking is on an OS managed basis which allows apps to run in the background only when needed. Apps are put in a saved state and frozen if background processes are not called upon.
Now the way Android implements multitasking is to allow backgrounded apps to draw on CPU resources whether needed or not so you end up being penalized by battery drain. Android’s solution is to have a task manager to kill apps which by the way is laughable on a mobile device.
Apple’s way is more elegant as the OS mediates and decides which app should receive CPU resources which is then time limited to complete backgrounding actions.
________
Wrong on so many counts its not even funny. Apples Multitasking is a joke compared to Androids. And Android Multi-tasking as of Android 2.1 does not need a task killer. What android does with multitasking is delegate its resources if it running out of memory it shuts an app down and saves its present state and transfers the resources to the app you are currently using.
And what are you talking about? Iphone ATT exclusivity was suppose to end in 2012. What apple saw was Android about to run away with market share so they decided they had to get on another network.
Once again compared to the Multitasking of Webos and Android, Apple is a joke. But Apple has other advantages other those systems. But Multitasking along with notifications is not one of them.
@Peter Pan
Android strikes me as unfinished. When you look at a creation designed by I.M. Pei, take the Paris Louvre for example, and something created by Home Depot, you get what is known as functionality without the aesthetics. Not a nice experience – clunky, stuttering, obese, inadvertent shutdowns. That’s Android.
Slapping Android on a piece of hardware manufactured by Samsung is most definitely not the same as an iPhone designed from the ground up because a very important ingredient is missing – elegance & polish – the way the whole thing works as a unit.
Android may mimic the look & feel of the iPhone but what it can’t do is deliver the experience which by the way is not measured by dual core A9 CPU or anything like that. It’s what it can do given the resources it has and in this iOS uses its given resources more efficiently than Android for the undeniable polish.
@Peter Pan
Android strikes me as unfinished. When you look at a creation designed by I.M. Pei, take the Paris Louvre for example, and something created by Home Depot, you get what is known as functionality without the aesthetics. Not a nice experience – clunky, stuttering, obese, inadvertent shutdowns. That’s Android.
Slapping Android on a piece of hardware manufactured by Samsung is most definitely not the same as an iPhone designed from the ground up because a very important ingredient is missing – elegance & polish – the way the whole thing works as a unit.
Android may mimic the look & feel of the iPhone but what it can’t do is deliver the experience which by the way is not measured by dual core A9 CPU or anything like that. It’s what it can do given the resources it has and in this iOS uses its given resources more efficiently than Android for the undeniable polish.
_____
Well Android is 2 years behind iOS but I think its very polished not as polished as ios. As an Android user I can clearly see that ios does scrolling, smoothness, Apps better than Android. Android is catching up on Apps. But Android has advantages over ios also, like multitasking and the notification system. And with android getting the services of the guy who design Webos I think we will start to see Android not just be the system that gets things done but the system that is more easy to use and more pleasing to look at.
@ Peter Pan
I don’t disagree with you that Android is putting pressure on the iPhone, nor that Android is a more compelling platform than most of the other competition that Apple has faced.
What I disagree with is your idea that this is all about price, and will be like a repeat of Expensive Mac vs. Cheap PC. It won’t. In my view it’s much more like the MP3 wars which Apple won, not on price, but on usability.
But as of today the experiment has officially begun. If Android really can hang on, this will be the test. Personally, I have talked to 4 friends already today who will be in line to dump their Droids, with one even paying the ETF, which is even more than the $100 difference between phones.
AND… don’t assume that iPhones will be the same price forever, either. You can get an iPod for, what, 50 bucks now? Not a very nice one, but they don’t have any problem selling shuffles. iPhone prices will come down and model lines will expand, just like the iPod. And the app ecosystem, bolstered by the inclusion of the iPad and other future devices, will keep attracting developers to a synergized platform free of the fragmentation of Android, which, as you said yourself, is more about ads than apps.
@Peter Pan: That commanding lead wasn’t ‘wiped out in 2 years’. The smartphone market in the US is where your data originates. That’s Apple on ONE carrier. This says nothing about iOS PLATFORM and worldwide market share.
___
Android is not only gaining here in the states but world wide I posted the stats earlier android is more rapidly worldwide than the iPhone.
@ Peter Pan
I don’t disagree with you that Android is putting pressure on the iPhone, nor that Android is a more compelling platform than most of the other competition that Apple has faced.
What I disagree with is your idea that this is all about price, and will be like a repeat of Expensive Mac vs. Cheap PC. It won’t. In my view it’s much more like the MP3 wars which Apple won, not on price, but on usability.
But as of today the experiment has officially begun. If Android really can hang on, this will be the test. Personally, I have talked to 4 friends already today who will be in line to dump their Droids, with one even paying the ETF, which is even more than the $100 difference between phones.
AND… don’t assume that iPhones will be the same price forever, either. You can get an iPod for, what, 50 bucks now? Not a very nice one, but they don’t have any problem selling shuffles. iPhone prices will come down and model lines will expand, just like the iPod. And the app ecosystem, bolstered by the inclusion of the iPad and other future devices, will keep attracting developers to a synergized platform free of the fragmentation of Android, which, as you said yourself, is more about ads than apps.
______
Yeah I agree its not all about price, but you act like Android is not a great product, in the U.S most Android Phones are the same price as an Iphone with a contract and some are even more expensive. Android as a product can compete and worldwide where they don’t have the messed up carrier system that we have Android is still gaining market share at a very fast pace. In the end to each his/her own I like the competition. I own Apple stock. Apple going to Verizon will only make Android step up its game, and beast phones like the Motorola Atrix will only make Apple do the same.
Peter, Peter, Peter,
Mac vs PC all over again. Yes, if PC is using Windows 95 with all 60,000 bugs intact and Mac is using Snow Leopard. Oh, throw in the Apple vs Microsoft lawsuit without the bought and paid for, Microsoft loving Judge.
How good are those Droids going to sell when the Android OS will cost $200 per phone to pay the patent infringement damages?
@Peter Pan:
“Android is not only gaining here in the states but world wide I posted the stats earlier android is more rapidly worldwide than the iPhone.”
Again: 1. This does not take into account the total iOS platform. And if you think that the other hardware manufacturers aren’t interested in expanding their platforms, then you need to look again at the most recent CES, where every electronics manufacturer worth their weight in salt (and some that weren’t) had some soft of iPad knock-off.
2. The only two platforms to grow were Android and iOS. So Android is growing at the expense of the other manufacturers, not Apple.
Taking this information into account, Apple still has a commanding lead. But then again, it may not matter- Apple has already moved on to the next market…
@Peter Pan:
“Android is not only gaining here in the states but world wide I posted the stats earlier android is more rapidly worldwide than the iPhone.”
Again: 1. This does not take into account the total iOS platform. And if you think that the other hardware manufacturers aren’t interested in expanding their platforms, then you need to look again at the most recent CES, where every electronics manufacturer worth their weight in salt (and some that weren’t) had some soft of iPad knock-off.
2. The only two platforms to grow were Android and iOS. So Android is growing at the expense of the other manufacturers, not Apple.
Taking this information into account, Apple still has a commanding lead. But then again, it may not matter- Apple has already moved on to the next market…
_______
Well its comparing Android Phones to ios Phones and worldwide Android Phones are growing at a faster rate its not just here in the U.S.
“Yeah I agree its not all about price, but you act like Android is not a great product”
Android *ins’t* a product. It’s a platform that takes control away from users and developers and puts it back into that hands of the carriers. Some individual Android phones are approaching ‘pretty good’, but that doesn’t do anything to help the platform succeed. The more specific Android phones do well, the more they pull the ecosystem apart as carriers move to differentiate them from one another. It’s exactly the opposite of synergy. It would be better for Android if there was only one Droid phone, really, then app makers could standardize and cut development costs.
But again, this isn’t about apps, it’s about selling ads. It wasn’t very long ago that the whole internet was supposed to work this way… Remember? Free internet access as long as you could put up with advertising covering your browser windows and popping up everywhere? Seemed like a good idea at first, but savvy internet users wouldn’t put up with the compromised usability forever, and free-internet went the way of Thin Clients (which we could also talk about…).
Anyway, we’ll see, and we’ll se very very soon.
” width=”19″ height=”19″ alt=”wink” style=”border:0;” />
“Yeah I agree its not all about price, but you act like Android is not a great product”
Android *ins’t* a product. It’s a platform that takes control away from users and developers and puts it back into that hands of the carriers. Some individual Android phones are approaching ‘pretty good’, but that doesn’t do anything to help the platform succeed. The more specific Android phones do well, the more they pull the ecosystem apart as carriers move to differentiate them from one another. It’s exactly the opposite of synergy. It would be better for Android if there was only one Droid phone, really, then app makers could standardize and cut development costs.
But again, this isn’t about apps, it’s about selling ads. It wasn’t very long ago that the whole internet was supposed to work this way… Remember? Free internet access as long as you could put up with advertising covering your browser windows and popping up everywhere? Seemed like a good idea at first, but savvy internet users wouldn’t put up with the compromised usability forever, and free-internet went the way of Thin Clients (which we could also talk about…).
Anyway, we’ll see, and we’ll se very very soon.
_____
Samsung Galaxy S phones are really good products, so are the nexus phones. HTC makes very very fine phones. So i disagree. There is nothing my Nexus S can’t do that an Iphone can in fact it think it does more. And there are two ways you can look a fragmentation.
1. Its bad it doesnt create a great ecosystem
0r
2. It offers choice. I want an android I can have a 3.2 inch, a 3.7 inch 4.0 inch,4.3 inch. Moto phone, HTC, Samsung. One with or without a physical keyboard.
Many ways to look at it.
I think Android put the power in my hands. I can pick what phone I want, what price, what carrier, if I want stock android or if I don’t. If I want flash or if I don’t. I want porn on my phone I decided. Some want simplicity and a controlled system some want different. Android is a great software.
The greatest wildcard in this whole story is the patent litigation. There is a very good reason why Android is as good as Peter Pan claims: It is extensively copied from iOS. So many parts of that user interface are practically cloned, it is no surprise people like it so much.
Some of Apple’s patent filings from late 2005 and 2006 have finally been approved recently. Many of these are precisely for thes UI elements that now exist in these Android devices. Time will tell, but if there is any logic and justice, Apple will be rewarded.
This is the exact argument I have heard from Linux people for the last decade, and according to them, we’d all be using Linux on the desktop by now.
It’s also the same argument Microsoft made with PlaysForSure music players… Choice Choice Choice!
We all know what people chose.
What you want isn’t what the mass market wants.
This is the exact argument I have heard from Linux people for the last decade, and according to them, we’d all be using Linux on the desktop by now.
It’s also the same argument Microsoft made with PlaysForSure music players… Choice Choice Choice!
We all know what people chose.
What you want isn’t what the mass market wants.
_______
People chose windows and People are choosing Android at a faster rate than they are choosing the iPhone. In the end to each his/her own
Some are choosing Android. Many (if not most) are settling for it.
Not any more.
@Peter Pan
Here’s a telling statistic. If Android growth is as robust as you say why is it there are only 4.3 million Android users on the Verizon network vs. 11.2 million iPhone users on the AT&T network with another potential 6 million iPhone sales to come on Verizon this year alone.
Perhaps Android isn’t doing as well as it says in the charts. Who audits Android numbers? Google has no idea how many units have been sold. Activations do not equal sales.
Ask yourself another question. How much revenue does Google generate from Android? The last I read they’re not even breaking $1 billion a year. Apple makes that much in a month just selling iPhones.
It’s a pissing contest where Google is pissing into the wind.
No, Android isn’t even a platform. It’s a bunch of platforms lumped in together under a single brandname. Adding to the fray, many of these platforms aren’t compatible with one another.
So to say that “Android” is outpacing iOS is a rather disengenuous. iOS is royally beating each individual Android platform. It’s only when you count them together as a whole that they look like they’re mustering some kind of competition, the fact that they’re available on a much wider scale than the iPhone/iPad and are being given away for free on an almost 1:1 basis also helps to foster the illusion.
What Android is really competing against is itself, thanks to the infighting between multiple versions, multiple carriers, and multiple handsets. All while Google is at the mercy of vendors who may or may not decide to customize Android to the extent that Google’s services are entirely cut out of it, closing off the only avenue they have to profit from it. It’s a bubble waiting to explode.
And by the way, people never chose Windows. It was forced down their throats because Microsoft is a predatory monopolist unafraid to violate business ethics or break the law when either stands in their way of creating a choiceless monoculture.
> Analysts say Verizon’s iPhone likely to hurt sales of Android phones
Gee, them analysts are soooo smart.
Android is capable, but far from complete. And things just have a feel to them, windows 2000 feels and animates different, iOS and android feels and animates different.
Literally everyone I know that has an android device also has an iPod touch, or old iPhone they carry with them….
iPhone ftw
Another thing mist people don’t know over 2000 feet altitude AT&T doesn’t work, but verizon works much much higher
If you are a private prop pilot it’s the difference between your phone working and not 95% of the time
So we will only see a CDMA iPhone5 this summer for Verizon? Wow! I don’t want an Android phone but it will run on the 4G LTE Verizon network before summer. That means the iPhone will be more than a year behind Android on using 4G. That is poor planning on Apple. They were too long in getting to Verizon. They should have had a CDMA phone at least a year ago. Then they could offer the LTE iphone5 this summer. That’s just a fact. It’s what all the analysts say not just my opinion. I love Apple but they stumbled on this one. It also allowed Android to gain market share which does matter in business.
I would imagine most non corporate BlackBerry users will switch to the iPhone.
The Blackberry is still the best at email and texting, but fails at everything else.
Not being able to escape the hemorrhoid, that’s a scary thought. When is the iPhone coming to t-mobile?
Set your life easier take the business loans and all you require.