Greg's bite: Verizon 4G iPhone, Microsoft stock downgrade
TweetFollow Us on Twitter

Greg's bite: Verizon 4G iPhone, Microsoft stock downgrade

By Greg Mills

Verizon iPhone rumors are making enough waves that it's starting to seem this may actually jell in some form.

Apple is so famously secretive on product development and new product launches, you sort of need to take Apple related rumors with a grain of salt. Sometimes, rumors pan out, and sometimes they don't. Steve Jobs is famous for punishing parts companies that leak accurate information about what they are doing.  

Some folks don't understand the copycat problem Apple has with Microsoft and a scad of other players who have made an industry of knocking off everything Apple does and diluting the market. Add the suspense and drama Jobs weaves into new product launches and you have a marketing program Apple's competition dreams about. Millions of dollars of free advertising and favorable spin are a major benefit. (iPhone 4's "Antennagate" being an exception to the rule.)

"MacDailyNews.com" ran a story yesterday with disclaimers that the story might be unfounded rumors, but that the tips came from a normally reliable source. I suspect the rumors are mostly true as the details leaked make sense and fit in with what else we already know.  See http://macdailynews.com/index.php/weblog/comments/27813/ .

Apple's exclusive deal with AT&T is getting long in the tooth and, by some estimates, Apple will sell 10,000,000 more iPhones the first year by also selling through Verizon. At up to US$600 a pop, that is an amazing sum of money, even for Apple. It is a well known fact that Android has thrived on the market that consists of people who prefer an iPhone but can't or won't switch to AT&T.  

With Android being the only really viable modern alternative smart phone platform to the Apple iOS, Apple must continue to grow market share to stay ahead of the pack. As I mentioned before, AT&T won't lose so many customers to Verizon they will go into a serious decline, but there will be a correction in new iPhone sales related to losing the exclusive deal with Apple. Actually, people with poor AT&T service who stay will see some benefit if the bandwidth load drops off due to new Verizon iPhone activations. There will be a lot of used iPhones on the market for a while that run on AT&T's 3G network

Secondly, as I mentioned in Saturday's Greg's Bite article, building an iPhone based upon the other main format for cell phones will allow Apple to sell iPhones to a lot of additional cell phone providers around the world.  What did surprise me was that the rumors are for a LTE capable iPhone. This is a multiple radio band iPhone that can run on both the 3G and 4G networks. If that part of the story is true, it would allow the iPhone to leverage amazing speeds, when the 4G networks are actually up and running.  

Clear loaned me a 4G hot spot device that they recently launched with great gusto and made promises for coverage and fast service that, in my mind, are more than a little wishful thinking. It seems like the cell phone companies have artists draw coverage maps with wide felt tip markers when a fine point pen would be more accurate.  

My test of the Clear hot spot was that the network wasn't mature enough to make the contract with Clear worthwhile -- and I live only a mile from a new tower. The real problem with doing business with Clear is that you have to also date Clear's ugly siamese twin sitter, Sprint, to go out on a date with the beautiful Clear. When you can't get the 4G network, most of the Clear Hot Spots revert to 3G, which in this case means an additional contract with Sprint. That is certainly a killer problem as far as I am concerned. Clear is in financial difficulties which have been dumped into Sprint's lap.  

From what I have been able to read the hand-off from 4G to 3G on the Verizon network has had problems that Apple and Verizon are working on. While going from one cell tower to another during an uninterrupted call is sometimes seamless on a mature 3G network, dropping from 4G down to 3G seems to have some unexpected issues.  

It takes a long time and a lot of money to launch a cell phone network, and that reportedly has Job's undershorts in a twist. I was amazed to read that some European cell phone companies have been asking Apple to help them get their networks up to speed to support the broadband hog we all love. If the rumors are true, Apple might actually be helping AT&T and Verizon with loans to get the 4G networks up sooner, rather than later.  

The long and short of it: expect the Apple iPhone 5 to be a dual band phone when it comes out for Verizon soon -- and later in the spring when AT&T launches its version. Having both flavors of iPhone, Verizon's  CDMA and AT&T's GSM running 4G, when it is available will certainly be easy to sell when Jobs takes the stage.  Keep in mind that if you have invested in apps that run on your AT&T iPhone, your activation of a Verizon iPhone will transfer those apps to your new Verizon iPhone. 

Microsoft's obvious failure to launch a timely touch screen tablet os to support its normal "hardware partners" is a subject I have been blogging about for a while now. A Goldman Sachs analyst confirms my point in a recent research note and has downgraded Microsofts expected revenue growth for next year to be half the growth seen this year.  She also discounts the newly released Windows Vista 7 Mobile OS as likely to only ramp up Microsoft's overall mobile OS presence in the market from 7% to 10%.  This, the same day Goldman Sachs raised Apple's stock target price to $430.

By anyone's expectation, with all that Microsoft has put on the line, a 3% market share in the burgeoning smart phone market is peanuts. The stale, existing 7% of the market using the obsolete Windows Mobile OS is actually bound to drop dramatically over the next year, as business users get new phones, which might leave some room for a bit more than 3% for the new Mobile Vista 7 OS. Any way you slice it, with Apple and Android surging, Microsoft is striking out in the important mobile OS market.

A number of additional ominous signs are that Microsoft's "partners" are bailing out of the Titanic, seeing the large iceberg clearly ahead, while captan Ballmer takes a nap. Intel has set up a dedicated table group to split its support between Microsoft, Nokia and Google's three tablet OS projects under development. Microsoft is no longer the dominant player. HP bought Palm, in many respects due to the lack of a viable tablet OS from Microsoft. These hardware partners in the PC world are going separate ways due to the giant vacuum at the top at Microsoft.

A further bit of bad news for Microsoft, my fund raising efforts to provide money for a tongue reduction surgery for Mr. Ballmer and iPads for Bill Gates' iOS deprived kids has come up dry.  I guess it is the bad economy.  

That's Greg's bite for today.

(Greg Mills, is a Faux Artist in Kansas City. Formerly a new product R&D man for the paint sundry market, he holds 11 US patents. He's working on a solar energy startup, www.CottageIndustrySolar.com using a patent pending process of turning waste dual pane glass into thermal solar panels used to heat water. Greg writes for intellectual web sites and Mac related issues. See Greg's art web site at www.gregmills.info ; his email is gregmills@mac.com )

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Latest Forum Discussions

See All

Is GO Gear the Pokemon GO map app you...
Now that we've settled into something of a Pokemon GO status quo, the number one desire of most players can best be summed out by modifying a quote from Rod Tidwell of Jerry Maguire: "Show me the Pokemon!" [Read more] | Read more »
Rodeo Stampede update: Mountains, new an...
The Savannah and Jungle were just the beginning in Rodeo Stampede. Get ready to head for the Mountains. I think I heard that in a beer ad once. [Read more] | Read more »
COSMOS RINGS (Games)
COSMOS RINGS 1.0.0 Device: iOS iPhone Category: Games Price: $5.99, Version: 1.0.0 (iTunes) Description: This game cannot be played without the Apple Watch.Released anniversary sale until August 31,2016 PST! A tragic tale of time's... | Read more »
How to get started selling on Mercari
As far as ecommerce has come over the last decade or so, there's still a tremendous opportunity to make it easier for people to buy and sell goods. That's especially true when it comes to shopping apps, which should only continue to increase in... | Read more »
Human Anatomy Atlas 2017 Edition - Compl...
Human Anatomy Atlas 2017 Edition - Complete 3D Human Body 1.0.24 Device: iOS iPhone Category: Medical Price: $24.99, Version: 1.0.24 (iTunes) Description: | Read more »
Heroes of Normandie (Games)
Heroes of Normandie 1.5 Device: iOS Universal Category: Games Price: $14.99, Version: 1.5 (iTunes) Description: The game does not support iPhone 4s and below | Read more »
Why you should never power up Pokemon in...
There's no question that candy is dandy in Pokemon GO. You need big quantities of it to evolve your Pokemon, and when combined with stardust, it can be used to power up your favorite pocket monsters as well, making them more formidable for the gym... | Read more »
Webzen launches 3D MMORPG MU Origin on i...
Mu Origin is featured time and time again at the very top of App Stores in China, and within the top five worldwide top-grossing charts on Google Play.Its popularity in Korea and China, featuring more than 120 registered players in China and 6... | Read more »
Severed (Games)
Severed 1.0 Device: iOS Universal Category: Games Price: $5.99, Version: 1.0 (iTunes) Description: LAUNCH DISCOUNT ON NOW!! ENDS AUGUST 4! ==== Take control of a one-armed warrior named Sasha, wielding a living sword on her journey... | Read more »
CSR Racing 2: How to master Live Races
Getting better at racing the AI in CSR Racing 2 is a pretty straightforward process. You run enough races with a particular car to get its shift timing down, continually improve it by buying upgrades whenever you can, and add any fusion parts you... | Read more »

Price Scanner via MacPrices.net

Second-Quarter Tablet Shipments Fell 4.8% –...
The latest report from the global market research firm TrendForce finds that worldwide tablet shipments for this second quarter totaled 33.54 million units, representing a quarterly drop of 4.8% and... Read more
Global Smartphone Sales Volumes Mark Second S...
According to preliminary results from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, vendors shipped a total of 343.3 million smartphones worldwide in the second... Read more
Apple TVs on sale for $20-$40 off MSRP
Best Buy has 32GB and 64GB Apple TVs on sale for $20-$40 off MSRP on their online store. Choose free shipping or free local store pickup (if available). Sale prices for online orders only, in-store... Read more
Mac minis on sale for $50-$100 off MSRP
B&H Photo has Mac minis on sale for $50 off MSRP including free shipping plus NY sales tax only: - 1.4GHz Mac mini: $449 $50 off MSRP - 2.6GHz Mac mini: $649 $50 off MSRP - 2.8GHz Mac mini: $949... Read more
Clearance 2015 13-inch MacBook Airs available...
B&H Photo has clearance 2015 13″ MacBook Airs available for $300 off original MSRP. Shipping is free, and B&H charges NY sales tax only: - 13″ 1.6GHz/4GB/128GB MacBook Air (MJVE2LL/A): $799... Read more
Apple certified refurbished iPad mini 4s avai...
Apple has certified refurbished iPad mini 4s now available for up to $120 off the cost of new models. An Apple one-year warranty is included with each iPad, and shipping is free. The following models... Read more
Notebook Makers In No Rush To Adopt USB-C – R...
Digitimes’ Cage Chao and Joseph Tsai note that while the USB Type-C interface is enjoying growing popularity among smartphones and tablet makers, notebook and all-in-one (AIO) PC vendors (other than... Read more
iMacs on sale for up to $250 off MSRP
B&H Photo has 21″ and 27″ Apple iMacs on sale for up to $250 off MSRP including free shipping plus NY sales tax only: - 27″ 3.3GHz iMac 5K: $2049 $250 off MSRP - 27″ 3.2GHz/1TB Fusion iMac 5K: $... Read more
12-inch 1.1GHz Retina MacBooks on sale for up...
Amazon has 2016 12″ 1.1GHz/256GB Retina MacBooks on sale for up to $100 off MSRP including free shipping: - 12″ 1.1GHz Space Gray Retina MacBook: $1199 $100 off MSRP - 12″ 1.1GHz Silver Retina... Read more
Bare Bones Software Releases Free TextWrangle...
Bare Bones Software has announced the release and immediate availability of TextWrangler 5.5, a significant update to its powerful, free, general purpose text editor for Mac OS X. TextWrangler is a... Read more

Jobs Board

*Apple* Solutions Consultant - APPLE (United...
Job Summary As an Apple Solutions Consultant, you'll be the link between our future customers and our products. You'll showcase your entrepreneurial spirit as you Read more
Lead *Apple* Solutions Consultant - APPLE (...
Job Summary The Lead ASC is an Apple employee who serves as the Apple business manager and influencer across a number of Reseller locations. The Lead ASC's role Read more
*Apple* Retail - Multiple Positions, Charles...
Job Description:SalesSpecialist - Retail Customer Service and SalesTransform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Retail - Multiple Positions, Willow...
Job Description:SalesSpecialist - Retail Customer Service and SalesTransform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Evangelist - JAMF Software (United S...
The Apple Evangelist is responsible for building and cultivating strategic relationships with Apple 's small and mid-market business development field teams. This Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.