/ 6 July 2007

How can iPhones be as successful as iPods?

By delivering on their promise, and changing the definition of a cellphone. That’s what the original iPod managed in the MP3 player world, filled to that point with players of limited features, lame design and duff PC integration.

The cellphone industry is, of course, more mature than the MP3 player industry was in 2001. But it faces similar problems.

For years the trouble with cellphones has been that they’re principally just phones. Everything else was stuck on — a bit of Wap here, music there, some rubbish web browsing next, shoddy integration with your computer maybe.

All the features may be there, but how often do you use them? The most obvious new feature of my Nokia is that it crashes more than the older ones. At a glacial pace, compromise after compromise has been forced upon progress.

For example: wonder why your cellphone doesn’t really work with your computer? Blame your network’s fear of “sideloading” — where you bypass their expensive airtime by downloading goodies over the cheap, wired internet to your PC, then transfer them to your phone via a cable. Wonder why phones are so difficult to use? Blame cellphone retailers, reluctant to let you play with real phones, thus placing all emphasis on form factor. After all, if more of us experienced Motorola’s menus before buying, do you think sales would go up … or down?

Apple, starting afresh, has the opportunity to get it right. A lot depends on the first iPhone. Functionality may matter less at this stage — looks and buzz can make this an emotional, not rational, purchase. Half a million sales in the US opening weekend, despite a chunky price tag and iPhone being attached to a poor 2G network, suggest Apple’s mission here has been achieved.

As soon as networks see that iPhone’s buzz means customers will switch providers to use it, Steve Jobs’s game is on. As with the music business, he can start to dictate terms — force networks to get out of the way, move the market’s discussion away from how-thin-can-you-get towards Apple’s home turf of features and PC/internet integration, while maintaining Apple’s vertically integrated approach. It’ll make money every step of the way.

Reports suggest iPhone is far from perfect, and vertical integration brings all the dangers of monopoly. But if Apple does as it did with iPod, and continues to buff and shine its new object of desire, there’s little doubt there’s another market there for the taking. And few buyers will be complaining about the extra power — power they’ll actually be able to use — in their pocket. Say hello to iPhone. – Guardian Unlimited Â