April 2007 Archives

In my opinion Apple's decision regarding third-party iPhone application development needs to be based on their target market.

The closed-architecture option will satisfy the $50 flip phone user who is looking for a device with additional capacity and enhanced feature-set. These individuals have accepted the closed environment, and will likely remain satisfied with this phone for several years after the purchase. Unfortunately, they are also accustomed to being rewarded with a new phone when they renew their contract every two years. This will probably be the more difficult sale for Apple.

On the other hand, Palm and Windows Mobile Pocket PC owners are familiar with the $400 price tag. Looking at the price alone, this would likely make for an easy sale. However, the limitations of the closed-architecture Apple is considering will not impress these individuals. I work with someone who runs several third-party applications on a Windows Mobile 5 PPC device. This person has told me he is impressed with the design and interface of the iPhone but would not consider the purchase unless he knew he could get a replacement for his eWallet application. In this case, a $30 password tracker will reduce Apple’s iPhone sales by one. A possible solution would be for Apple to develop a replacement for every eWallet type application out there. How long do you think it would take Apple to recreate the 12,691 software titles listed on Handango for the Windows Mobile Pocket PC and 10,385 applications for the Palm? They had better start hiring some more developers!

Why are so many people ready to spend their hard earned money on a phone they haven't touched yet? Here are some possible reasons we can think of:

1. The device is made by Apple :-)
2. The fancy OS X interface can not be matched by any other device on the market today (the Windows Mobile OS is going nowhere) -- it's time to invest in the future.
3. Easily sync with Macs and Windows computers using iTunes.
4. Could it be -- a device that is fast and works as promised? We think that will be the case!
5. The belief that Apple will update the phone with additional functionality without requiring users to purchase the next generation. Windows Mobile users... this is what you have all dreamed about and Microsoft has never delivered.