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As I predicted, forecast, warned, advised and flat-out told, you, all of you, collectively, months and months and months ago, Verizon today announced an iPhone 4 compatible with its own network, to be available early next month.
The Verizon iPhone includes the 5-Mpixel HD camera, A4 processor and ‘retina’ display of the existing iPhone 4, but runs only on Verizon’s CDMA network vs. the GSM networks of AT&T and other iPhone carriers outside the U.S. As readers know, I dropped my iPhone 4 for an HTC EVO 4G at Sprint because I was fed-up with AT&T’s lousy service in terms of customer, billing and network. I really do like the HTC EVO. But, I am mostly concerned about usability and productivity. So, I’ll be evaluating Verizon, to be certain.
Current Verizon customers will be able to pre-order the new iPhone online “on or around” February 3 – first-come, first served – with availability on February 10 through Apple stores, Verizon stores and online. Pricing with a new two-year contract is $199 for a 16GB version or $299 with 32 GB. Verizon has not yet specified data plan pricing, but a data plan will be required. A 3G Mobile Hotspot app will provide WiFi for up to 5 devices through the Verizon iPhone. For a $35 restocking fee, Verizon customers can exchange a phone purchased within the last 30 days to buy an iPhone. [See also: Verizon iPhone FAQ.]
This changes several things. Maybe a lot of things. Especially in terms of market share. Google thinks they are competing with Apple for the cellular device proliferation. I’ve posted some interesting statistics with the valid forecasts. And, you’ve read the passionate Nicholas Johnson, saying that Android devices rule the market (they are awesome, but they don’t rule anything). Here about some of all that, here: being part of the solution evolution revolution. But, go to “search” on this blog, it’s over to the left, and punch-in: “Android”, for more.
But, let’s just see how another service-provider in North America changes things. Verizon is the preferred choice for business and cellular devices. Big Blackberry country, that. But, let’s see how many Verizon users jump on the iPhone (that had an opportunity to go with an Android device, but didn’t, mind you).
NOTE: The iPhone’s reported customer loyalty levels were the highest in the survey, while Research in Motion was second at 35% (for its Blackberry OS), Google Android was third at 28%, Nokia was fourth at 24% and Microsoft was fifth at 21%.
Loyalty remains an important factor for a company looking to gain share in the highly competitive mobile phone market. Me? I believe strong customer stickiness and a brand image synonymous with innovation has enabled Apple to grab mobile phone market share despite heightened competitive pressure.
So… As I’ve already stated on this blog, and I’m right, Apple is going to hit $1000 inside the next ten years. Along the way, it’s going to hit $418, and fairly soon. That’s roughly 25% ahead of the current market price (today). As an aside… I estimate that iPhone operations constitute the majority of the company’s stock value (54%).
Peace be to my Brothers and sisters.
Brian patrick Cork
Here’s another example of how Apple eats everyone’s lunch, while making them think they like it…
One of my Andoird-toting, and still, sophomoric, BEANS called, and rather triumphantly, I’ll add, advised me that research firm Canalys estimates that Android had thirty four percent (34%) of the U.S. smart phone market in the second quarter, compared with thirty two percent (32%) for the BlackBerry – and, a “measly” twenty two percent (22%) for the iPhone.
“dude, people that care and matter are choosing android and numbers prove it. they speak for themselves”.
Fair enough said (and says) I – and, then reminded him, evenly, mind you, that the Apple iPhone is hamstrung by its exclusive relationship with AT&T. And, currently Android and BlackBerry (main stream whores, to be sure) phones are sold by many carriers.
I also, and boldly, predicted that the numbers will likely shift (one could reasonably assert dramatically) once the iPhone is available with other carriers. T-Mobile is imminent, as is Verizon – and, that particular race only represents North America.
NOTE: Ironically, now that the law and the man that are one has ruled that jailbreaking iPhones is fine-and-dandy, you’ll see the iPhone adopted even more aggressively. …just watch.
By the way… Don’t bother even thinking this wasn’t part of Steve Jobs’ plan all along. He made you think jailbreaking a phone was naughty, and thus, fun. You were fighting the man in your own
self-defeating defiant way… All the time working like hell to make the iPhone work for you (and better for us Apple shareholders).
Jobs put a phone in your hand you not only didn’t know you could not live with out; he made you improve it, and it’s application, in ways he did not have to pay for with corporate coffers. And, those Android guys are working so hard to make their phones as good as the iPhone. It’s fun to watch. Especially when all that effort helps increase Apple’s share price.
Oh thank God for the delicious irony.
There are so many ways to count, and discount, BEANS. But, it’s the mistake you make twice I’ll try and steer you from. Learning what an open-mind is remains an endless and wildly gratifying part of life’s journey.
Peace be to my Brothers and Sisters.
Brian Patrick Cork
It will happen eventually – the iPhone will become available to Verizon, and other North American carriers.
That is hardly an issue, unless you are part of the AT&T organization, I suppose. And, the iPhone won’t likely find shelf-space at Sprint because of the on-going iPhone vs. Palm Pre smack-down (read: candid colored Apple). And, as readers of the Blog know full well, I am of the considered opinion that the Pre is by no means an iPhone killer – or, really even much in the way of competition. On the other hand, and it’s challenging for me, as an Apple evangelist, to admit that a Blackberry product (read: The Macberry) is proving more helpful in my quest for world domination than the iPhone.
However, grudgingly returning to my point, a better question than whether the iPhone should move to Verizon is whether the iPhone should move to the consumer.
When might the hapless denizens of our United States wake up? In the rest of the world (well… perhaps outside of Sub-Sahara Africa, and that’s called the “dark continent” for more reasons than even I can go on about) I can easily buy any mobile phone (except the iPhone), then buy a SIM card from any carrier in that country, and shove it (gently) into the phone, and be in business, as it were. If I don’t like the service or coverage, I place my vote and dollars into motion and buy another SIM card from a different carrier that works best for me.
I am hardly qualified as a product specialist; I am a Subject Matter Expert (SME) on consuming, however. I am also a significant controller of Apple stock. And, I do have some influence in-and-amongst those halls, and with a few analysts (who read this Blog, for example).
Apple could likely sell far more iPhones this way – and, the (other) consumers would finally have some real choice: Buy the phone you want; get the service you desire; and, change, either or both, as you see fit.
Peace be to my Brothers and Sisters.
Brian Patrick Cork
Wireless carriers in the United States work with major cellular manufacturers to exclude or disable certain functions on phones sold in North America.
The carriers thwart functions such as personal ring tones, photo sharing and Wi-Fi capability to push customers to the carrier’s fee-based services. They, in essence, hold you and your cell phone hostage while generating an enormous margin of profit via early termination fees.
As a result, U.S. consumers can do less with their cell phones than people in most other countries – and, we often pay more for similar services.
U.S. wireless carriers are unlikely to drop their lucrative strategies without a fight. So, it’s up to legislators and regulators to encourage a truly competitive cell phone market. One way they can do that is by enacting the wireless equivalent of the rules that have governed land-line phones since the 1960’s. These rules give consumers the right to attach any device they wish to their telephone network as long as it does no harm (maybe this is where Google got it’s “Do No Evil” and open-architecture philosophies from). This clearly led to innovations such as the facsimile (fax) machine and computer modems (which in facilitated the exponential growth of the internet).
Phone locking, long-term contracts with stiff early-termination fees, and hobbled handsets stymie competition and consumer choice. Consumers Union, the nonprofit publisher of Consumer Reports, thinks that U.S. cell phone users deserve the same advantages as consumers around the world.
Some good news…
AT&T announced last month that they will open their platform to any wireless device from any manufacturer and not require a contract (in some cases). It looks like Verizon is preparing to follow suit.
For more information, you can visit a watchdog group called Hear Us Now at their website at the following coordinates… www.hearusnow.org.
Peace be to my Brothers and Sisters.