Friday, April 11, 2008

iPhone 2.0 beta gets hands-on test at major financial firm

A major U.S. financial institution will test Apple’s iPhone 2.0 beta for potential use by internal end users, despite raising red flags about inadequate security on the next-generation device three weeks ago.

“I’m awaiting my device as I type,” he said in an e-mail Wednesday. The official, who asked not to be named and that the company remain unidentified because of corporate policies, said several users will test the device across various security, network and Microsoft Exchange support teams.

A clear concern is that iPhones 2.0 is likely to require using iTunes, given that the current version of the smart phone requires the Apple-built application. “We in the corporate space do not allow iTunes,” the official said. Many companies fear that network and storage capacity will be sapped with songs and videos downloaded from iTunes accounts by end users. There are also concerns that re-use of copyrighted material could violate federal laws, some analysts said.

The official said that after using the 2.0 beta version for a while, a visit is planned to discuss it with iPhone developers at Apple’s headquarters in Cupertino, Calif.

Tuesday, April 1, 2008

Could Apple sell 45 million iPhones a year?

Today the web is alight with speculation as to how Apple will sell 45 million iPhones in 2009. The catalyst for this speculation is Piper Jaffray analyst Gene Munster who continues to stand by a prediction made in June 2007 (weeks before the iPhone went on sale) that by 2009 Apple will be shifting iPhones at a rate of 45 million a year.

iPhoneHow could Apple achieve these stratospheric targets? Munster offers the following roadmap:

  • Release a 3G iPhone in 3 - 6 months
  • Expand the iPhone range to include two or three models, including a lower-priced model
  • Keep entering new countries
  • Adding new features

Even compared to iPod sales, 45 million iPhones a year is an ambitious target

45 million is a big number no matter how you cut it. Even compared to iPod sales, 45 million iPhones a year is an ambitious target. Last year Apple sold around 50 million iPods.

To me the 45 a million a year by 2009 figure comes across as wildly speculative, especially given that we know that by Q1 this year Apple had sold fewer than 4 million iPhones. Not only that but this sort of wild speculation could be highly damaging to Apple in the long run, especially as people start taking these numbers as coming from Apple rather than an analyst.

Note: Munster’s predictions tend to be all over the map. MacRumors has a list of some. Other predictions, such as the ultraportable prediction, were dismissed as dumb predictions but the MacBook Air proved his predictions to be pretty close to the mark.

But let’s assume that Apple is eager to ramp up iPhone sales. What could the company do to make the iPhone more attractive to a wider audience?

  • Price drop
  • Expand network offering/sell unlocked iPhones
  • 3G
  • Better battery/user replaceable battery
  • Better camera
  • 32GB storage
  • Expandable storage via SD Card slot
  • USB mass storage device (MSD) compatibility
  • Voice recording
  • MMS messaging
  • Chat software
  • GPS

Survey finds most iPhone owners aren't Mac users



  • 80% of iPhone owners said they were "satisfied" with the device
  • 72% of users said they use the iPhone at least once a day for e-mail
  • 55% of those surveyed said that the iPhone has increased their mobile browsing
  • Almost half of the owners changed their carrier
  • 40% of those that switched, switched from a smartphone device
  • 1/3 of iPhone owners carry 2 phones
  • 13% of iPhone owners surveyed have unlocked iPhones
  • 1 out of 10 users reported "hand pain" after use
  • 1 out of 5 iPhones were purchased as a gift
Only 20% of the users surveyed said that they had both an iPod and Mac; while only 5% said they had had a Mac and no iPod. Half of iPhone owners are under 30 years of age and students took up 16% of iPhone usage. While not surprising, the most desired new feature is applications and Exchange support. iPhone owners are of course paying more for their monthly phone bill -- the average phone bill before iPhone purchase was around $78/mo. and after purchase was around $97/mo.