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 )

 
AAPL
$93.94
Apple Inc.
-0.49
MSFT
$44.84
Microsoft Corpora
+0.15
GOOG
$589.47
Google Inc.
-5.61

MacTech Search:
Community Search:

Software Updates via MacUpdate

OS X Yosemite 10.10 DP4 - Developer Prev...
Note: This is a Developer Preview. You must be a registered Apple Mac Developer to download this update. OS X Yosemite is Apple's newest operating system for Mac. An elegant design that feels... Read more
FinderPop 2.5.6 - Classic Mac utility, n...
FinderPop is a Universal preference pane that extends OS X's contextual menus using a FinderPop Items folder much as the Apple Menu Items folder used to do for the Apple menu. It has other features... Read more
SpiderOak 5.1.7 - Secure cloud backup, s...
SpiderOak is a multi-platform secure online backup, storage, access, and sharing solution engineered for the consumer and small businesses. You must first sign up to use SpiderOak. Running natively... Read more
Espionage 3.6 - Simple, state of the art...
Espionage offers state-of-the-art encryption and plausible deniability for your confidential data. Sometimes, encrypting your data isn't enough to protect it. That's why Espionage 3 goes beyond data... Read more
calibre 1.45.0 - Complete e-library mana...
Calibre is a complete e-book library manager. Organize your collection, convert your books to multiple formats, and sync with all of your devices. Let Calibre be your multi-tasking digital... Read more
iFFmpeg 4.3.1 - Convert multimedia files...
iFFmpeg is a graphical front-end for FFmpeg, a command-line tool used to convert multimedia files between formats. The command line instructions can be very hard to master/understand, so iFFmpeg does... Read more
Chromium 36.0.1985.125 - Fast and stable...
Chromium is an open-source browser project that aims to build a safer, faster, and more stable way for all Internet users to experience the web. FreeSMUG-Free OpenSource Mac User Group build is... Read more
pwSafe 3.0 - Secure password management...
pwSafe provides simple and secure password management across devices and computers. pwSafe uses iCloud to keep your password databases backed-up and synced between Macs and iOS devices. It is... Read more
Day One 1.9.6 - Maintain a daily journal...
Day One is the easiest and best-looking way to use a journal / diary / text-logging application for the Mac. Day One is well designed and extremely focused to encourage you to write more through... Read more
Google Chrome 36.0.1985.125 - Modern and...
Google Chrome is a Web browser by Google, created to be a modern platform for Web pages and applications. It utilizes very fast loading of Web pages and has a V8 engine, which is a custom built... Read more

Latest Forum Discussions

See All

HELMUT Review
HELMUT Review By Andrew Fisher on July 21st, 2014 Our Rating: :: TRUNDLE SIMULATOR 2014Universal App - Designed for iPhone and iPad HELMUT is a fun, fleeting time-sink that offers a momentary distraction and nothing else.   | Read more »
Walkr Review
Walkr Review By Jennifer Allen on July 21st, 2014 Our Rating: :: ORIGINAL WALKINGiPhone App - Designed for the iPhone, compatible with the iPad Walking is a bit more exciting thanks to this planet building/discovering sim reliant... | Read more »
Zombie Commando Review
Zombie Commando Review By Jennifer Allen on July 21st, 2014 Our Rating: :: MINDLESS SLAUGHTERUniversal App - Designed for iPhone and iPad Briefly fun but ultimately forgettable, Zombie Commando will scratch an itch then be... | Read more »
Swords & Poker Adventures Review
Swords & Poker Adventures Review By Jennifer Allen on July 21st, 2014 Our Rating: :: SOULLESS POKER PLAYUniversal App - Designed for iPhone and iPad Swords & Poker Adventures is a mishmash of Poker and RPGing, but it lacks... | Read more »
Warhammer 40,000: The Horus Heresy: Drop...
Warhammer 40,000: The Horus Heresy: Drop Assault Coming Soon to iOS Posted by Jennifer Allen on July 21st, 2014 [ permalink ] Coming soon to iOS will be an all-new Warhammer 40,000 tactical strategy game by the name of The Horus Heresy: Drop As | Read more »
A Life Worth Dying For Review
A Life Worth Dying For Review By Jordan Minor on July 21st, 2014 Our Rating: :: A BEAUTIFUL MINDUniversal App - Designed for iPhone and iPad A Life Worth Dying For is a fascinating portrait of a serious subject.   | Read more »
Zombie Puzzle Panic Review
Zombie Puzzle Panic Review By Jordan Minor on July 21st, 2014 Our Rating: :: THE MATCHING DEADUniversal App - Designed for iPhone and iPad Zombie Puzzle Panic puts some pretty neat undead twists on Match-3 puzzling.   | Read more »
This Week at 148Apps: July 14-18, 2014
Expert App Reviewers   So little time and so very many apps. What’s a poor iPhone/iPad lover to do? Fortunately, 148Apps is here to give you the rundown on the latest and greatest releases. And we even have a tremendous back catalog of reviews; just... | Read more »
Fallen Lords Review
Fallen Lords Review By Andrew Fisher on July 18th, 2014 Our Rating: :: FALLS SHORTiPad Only App - Designed for the iPad Fallen Lords is a decent game, but its similarity and inferiority compared to Ghost Stories makes it ultimately... | Read more »
Real Boxing’s New Combo Update is a Knoc...
Real Boxing’s New Combo Update is a Knockout Posted by Blake Grundman on July 18th, 2014 [ permalink ] Universal App - Designed for iPhone and iPad | Read more »

Price Scanner via MacPrices.net

Twelve South HiRise For MacBook – Height-Adju...
If you use your MacBook as a workhorse desktop substitute, as many of us do, a laptop stand combined with an external keyboard and pointing device are pretty much obligatory if you want to avoid... Read more
Why The Mac Was Not Included In The Apple/IBM...
TUAW’s Yoni Heisler cites Fredrick Paul of Network World whoi blogged last week that the Mac’s conspicuous absence from Apple and IBM’s landmark partnership agreement represents a huge squandered... Read more
Save $100 on 13-inch Retina MacBook Pros, plu...
Adorama has 13″ Retina MacBook Pros on sale for $100 off MSRP. Shipping is free, and Adorama charges sales tax in NY & NJ only: - 13″ 2.4GHz/128GB MacBook Pro with Retina Display: $1199 - 13″ 2.... Read more
Blurr it 2.3 for iOS – Quickly Blurs Selected...
Hyderabad, India based TouchLabs has announced a new update of Blurr it 2.3, their photography app for iOS users. Blurr it allows you to blur part of the image to hide potentially sensitive or... Read more
MacBook Airs on sale for $100 off MSRP, start...
Best Buy has the new 2014 MacBook Airs on sale for up to $100 off MSRP on their online store. Choose free home shipping or free local store pickup (if available). Prices valid for online orders only... Read more
Amazon Announces Kindle Unlimited: Unlimited...
Amazon.com has introduced Kindle Unlimited — a new subscription service which allows customers to freely read as much as they want from over 600,000 Kindle books, and listen as much as they want to... Read more
New Linksys Wireless Range Extenders Boost Wi...
Linksys has announced its new lineup of Linksys Wi-Fi Range Extenders. Consumers often experience a weak wireless signal in some parts of their house or apartment caused by blocking elements such as... Read more
MacBook Airs available starting at $719
The Apple Store has Apple Certified Refurbished 2013 & 2012 MacBook Airs in stock today starting at $719. An Apple one-year warranty is included with each MacBook, and shipping is free: 2013... Read more
Get the best deals on iPad minis with Apple r...
The Apple Store has Certified Refurbished 2nd generation iPad minis with Retina Displays available for up to $130 off the cost of new models, starting at $339. Apple’s one-year warranty is included... Read more
Best Buy’s College Student Deals: $100 off Ma...
Take an additional $100 off all MacBooks and iMacs, $50 off iPad Airs and iPad minis, at Best Buy Online with their College Students Deals Savings, valid through July 25th. Anyone with a valid .EDU... Read more

Jobs Board

*Apple* Computer Technician - Fairfield Coun...
Company DescriptionWe are an Apple Authorized Sales and Service Provider. We have been selling and servicing Apple computers in the Fairfield County area for over 20 Read more
*Apple* Computer Technician - Fairfield Coun...
Company DescriptionWe are an Apple Authorized Sales and Service Provider. We have been selling and servicing Apple computers in the Fairfield County area for over 20 Read more
Mac Expert - *Apple* Online Store Mexico -...
…MUST be fluent in English and Spanish to be considered for this position At Apple , we believe that hard work, a fun environment, creativity and innovation fuel the Read more
*Apple* Computer Technician - Fairfield Coun...
Company DescriptionWe are an Apple Authorized Sales and Service Provider. We have been selling and servicing Apple computers in the Fairfield County area for over 20 Read more
Mac Expert - *Apple* Online Store - Apple (...
**Job Summary** At Apple , we believe that hard work, a fun environment, creativity and innovation fuel the ultimate customer experience. We believe each customer Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.