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Report: iPhone could make or break Apple's bank - Page 2

post #41 of 132
Maybe the iPhone will break Apple's bank by stuffing it
full of so much money the doors blow out.
post #42 of 132
Quote:
Originally Posted by IQ78 View Post

What is being said here doesn't make sense, as many others have mentioned. Here's a few simple reasons why.

1) If you cannabilize one of your other products with one that makes you more money, then you are doing your job. If you do it with one that makes you less money, then you have problems. Cannabilization can hurt you if a lower margin product eats away at your higher margin products. I mean geez, is this stuff really that hard for analyst to figure out?

2) As stated, they expect the iPhone to maybe gain 1% of the mobile phone market? Doesn't that like leave 99% of the mobile phone market as potential iPod customers even if you make the poor assumption that every iPhone customer won't buy an iPod? How do they lose here, because the only way they could eat away more iPod market share is to grow the 1% to so 5%, and if they do that (which they won't) then they'll nearly own the world.

Am I missing something here?

IQ78

Well said. The term is UP-SELL. Marketing folks know it, you should too. iPods are commodity items with commodity profit margins. Apple is looking to increase their profit margins while expanding the total market size. Everyone has a cell phone. If apple can deliver on the hype, they will have a market leading high profit high volume phone. Win-win-win.

This isn't any underpants-gnome marketing plan. Apple want to sell to a larger market and cell phones are where it's at.
post #43 of 132
Quote:
Originally Posted by jamezog View Post

I'm just wondering - how many people out there currently have either a smartphone or a phone that has "decent" music playback features, AS WELL AS an iPod? Chances are, there's a good piece of the market that will end up having an iPod (especially once the widescreen iPod comes out) as well as an iPhone. They're similar devices, and there will likely be some cannibalization, but I don't think it'll be significant.

Besides, do these "analysts" REALLY think that Steve didn't consider this yet?

Apple themselves could be aware of risk. Companies don't always take the safe path.

They could be thinking that the upside is more than the downside.

But, they could be wrong.
post #44 of 132
Quote:
Originally Posted by Appleinsider

The UBS specialist used this reasoning to justify issuing a "hold" rating on the stock, as the promise of the future gadget was offset by its potentially volatile side-effects.

Quote:
Originally Posted by tundraboy View Post

I am tired of hearing the same old analyst's canard that company X's new product B is a mixed blessing because it might cannibalize sales of their other product A. This refrain has been played so often that people have started to believe it. The fact is, successful manufacturers are constantly seeking to cannibalize their own sales with new product because if they aren't doing it, then somebody else will beat them to it. Cannibalizing your own sales means that you're consistently developing new, more advanced, and more desirable products.

You want a company that doesn't do a good job of cannibalizing its own product? Take a look at Motorola and it's boom and bust cell phone cycle.


BINGO! You hit the nail exactly on the head.

And you're right, it is SO very tiresome to hear some idiot analyst get panicky because Apple is doing the EXACT RIGHT THING here. While it's very debatable as to what extent the iPhone will cannibalize iPod sales (my guess is 'not that much', especially once a touchscreen 6G iPod comes out), it's crystal clear, as you state, that if Apple didn't cannibalize it's own products, someone else would do it for them. Duhhh, analysts.

The sad thing? If Apple DIDN'T come out with the iPhone, we'd likely have this exact same UBS halfwit crying about how Apple is "blind to threat of multifunction devices" and we'd be hearing about how music cellphones are going to eat the iPod's lunch. In fact, we WERE hearing that before the iPhone was announced. So to cry about iPhone potentially hurting Apple is just dumb, REALLY dumb 'analysis'.

I personally am all too happy to point out when Apple's straying off the path, but this is so obviously not one of those times. The iPhone had to be made, so that Apple had a presence in both dedicated players and multifunction devices, and Apple created a damn good, game-changing product, every bit the equal of the iPod. Just ask Motorola, Nokia, Samsung, Microsoft, and all the others that are scrambling to respond to it.

I put a 'Hold' on accepting any more advice this particular UBS dumbass.

PS- The AppleInsider headline ("iPhone could make or break Apple's bank") was also overstated and sensationalist. Don't get too desperate for hits, guys.




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post #45 of 132
Quote:
Originally Posted by cherrypop View Post

The headline suggests the the iPhone has the potential to bankrupt Apple. That's absurd at face value.

MAYBE IT IS POSSIBLE... hmmm

SCENARIO:

Apple iPHONE goes on sale. 30 people buy them and start talking crap about the iPHONE which spreads like WILD FIRE. Next thing you know, everybody is talking crap about Apple in general. They have the first APPLE HATERS CLUB (aka... the AHC). They have their first meeting at Commiskey Park (now U.S. Cellular Field) in Chicago where they create a huge pile of Apple products, in fact, a huge pile of EVERY apple product.

They set fire to iPILE and the whole world forgets Apple ever existed... just like disco.



Dear God,

Do not let the AHC form.

Love,

ME
post #46 of 132
Quote:
Originally Posted by solipsism View Post

And I here that the French have put together a Renault and a Zune.



I would hope so, but since it uses a different OS I have no way of knowing if they were able to keep it that simple. I've considered that they found it easier to make all the software changes in iTunes instead of altering how the iPhones transmits/recieves audio info.


The iPhone actually has an emulation layer built in; it emulates the pixio stuff. Rest easy. All taken care of.
post #47 of 132
Quote:
Originally Posted by solipsism View Post

I would hope so, but since it uses a different OS I have no way of knowing if they were able to keep it that simple. I've considered that they found it easier to make all the software changes in iTunes instead of altering how the iPhones transmits/recieves audio info.

The audio and video is currently sent as an analog signal out certain pins, that's not hard to get that right. Keeping the control system shouldn't be that hard, I don't think the signalling is that difficult to reproduce on a different piece of hardware.
post #48 of 132
Quote:
Originally Posted by RnSK View Post

The iPhone actually has an emulation layer built in; it emulates the pixio stuff. Rest easy. All taken care of.

If we weren't talking about an Apple product, I wouldn't be taking your word at face value.
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post #49 of 132
What a bore, you guys have all put holes in this guy's propaganda, nothing left for me.
post #50 of 132
it is reported that battery life is a bit on the low side (40 min). Why? power loss (static leak)? LCD driven to black all the time? Is the phone hot? (shouldn't be if it is handheld)...any idea? thx.
post #51 of 132
Quote:
Originally Posted by 1st View Post

it is reported that battery life is a bit on the low side (40 min). Why? power loss (static leak)? LCD driven to black all the time? Is the phone hot? (shouldn't be if it is handheld)...any idea? thx.

Where did you read that? I don't think anyone outside of Apple and Cingular's CEO have had any real time with the phone. The official remarks are that the battery lasts for up to 5 hours for talk, video and browsing & up to 16 hours for audio playback.

In years past Apple tended to exaggerate the longevity of their batteries, but the last 2-3 years Apple has been very accurate, often being slightly under the actual time.

http://www.apple.com/iphone/technology/specs.html
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post #52 of 132
The iPhone will have voice dialing. Cingular offers voice dialing through an online server access. You just speed dial *8 (or say voice dial) and you asked to speak the person's name and phone number (mobile, work, home or whatever). The address book info is updated on their website. The information can be uploaded or updated by exporting the data from Address Book to the site.

Pretty nice feature. Hopefully they'll improve upon the updating feature before iPhone arives - it's a little cumbersome.
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post #53 of 132
Quote:
Originally Posted by solipsism View Post

Where did you read that? I don't think anyone outside of Apple and Cingular's CEO have had any real time with the phone. The official remarks are that the battery lasts for up to 5 hours for talk, video and browsing & up to 16 hours for audio playback.

In years past Apple tended to exaggerate the longevity of their batteries, but the last 2-3 years Apple has been very accurate, often being slightly under the actual time.

http://www.apple.com/iphone/technology/specs.html

=======

http://www.theinquirer.net/default.aspx?article=38757
post #54 of 132
Early adopters will pay he full whack price but that will only be a few.

Unless the price comes down significantly the iphone will flop and they wont even meet half their target let alone 1%.
post #55 of 132
Anything written about Apple in The Inquirer or by John Dvorak about Apple should be taken with a ton of salt. Dvorak has admitted to writing negative things about Apple for the attention.
post #56 of 132
Quote:
Originally Posted by bavlondon2 View Post

Early adopters will pay he full whack price but that will only be a few.

Unless the price comes down significantly the iphone will flop and they wont even meet half their target let alone 1%.

Sorry. But that's crap. I've talked to WAY too many people I know personally who can't wait to buy the iPhone.

And the price is never going drop. The features and capacity will continue to rise in order to keep the pricing the same. Have iPods really ever dropped in price? It was $400 when it debuted and it's $400 today. That's always been Apple's M.O.

Just because you're broke and can't afford one doesn't mean you should whine about it.
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post #57 of 132
Quote:
Originally Posted by Northgate View Post

And the price is never going drop. The features and capacity will continue to rise in order to keep the pricing the same. Have iPods really ever dropped in price? It was $400 when it debuted and it's $400 today. That's always been Apple's M.O.

Are you trying to make a point that's the opposite of what you are saying here? There is no $400 iPod right now. $400 was the original price for the only model, now there are six models. In functionality and capacity, the closest comparable model to the original is the $200 nano.
post #58 of 132
Quote:
Originally Posted by TenoBell View Post

Anything written about Apple in The Inquirer or by John Dvorak about Apple should be taken with a ton of salt. Dvorak has admitted to writing negative things about Apple for the attention.

Dvorak is a putz. He's like the Ann Coulter of tech.

Proud AAPL stock owner.

 

GOA

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Proud AAPL stock owner.

 

GOA

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post #59 of 132
Quote:
Originally Posted by Northgate View Post

Sorry. But that's crap. I've talked to WAY too many people I know personally who can't wait to buy the iPhone.

And the price is never going drop. The features and capacity will continue to rise in order to keep the pricing the same. Have iPods really ever dropped in price? It was $400 when it debuted and it's $400 today. That's always been Apple's M.O.

Just because you're broke and can't afford one doesn't mean you should whine about it.

"Nancy GohringFri Feb 23, 11:47 AM ET

Consumers aren't willing to pay what Apple may ask for the iPhone, but if the price drops they'll switch their mobile service to AT&T in order to get it, according to results of a survey released Thursday.

Online market research firm Compete Inc. surveyed 379 people in the U.S., most of whom had heard of the iPhone and have shopped for an iPod, to find out how interested they are in the device to produce the uncommissioned report. The iPhone is a combined music player and cell phone that Apple plans to start selling in the U.S. in June.

Among the 26 percent of respondents who said they're likely to buy an iPhone, only 1 percent said they'd pay $500 for it. When Apple introduced the iPhone in January, it said it would cost $500 on the low end.

Forty-two percent of those who said they're likely to buy the phone said they'd pay $200 to $299.

The iPhone will be available only to subscribers of Cingular Wireless, now part of AT&T. In a blow to the operator's competitors, 60 percent of those in the survey who said they were likely to buy the phone said they'd switch their mobile operator in order to get it.

While the iPhone has been discussed as a competitor to other handsets like Research In Motion's BlackBerry, the two serve very different markets, said Andy Neff, an analyst at Bear Stearns who participated in a conference call to discuss the results of the study. "Even though there's talk about this as an alternative to RIM, it's not a corporate product," he said. Instead, the iPhone is an indication of a broad shift toward smartphones and the emergence of niches within the category, he said.

The analysts were split on what price they think the device will ultimately retail for. Operators recently haven't been discounting phones in the similar price range as the iPhone, said Phil Cusick, an analyst at Bear Stearns.

However, Apple has been known to announce a product with one price and ultimately sell it for less. Apple TV, for example, was expected to cost $399 but sells for $299, he said.

The phone may start out around $500 because early adopters will pay that, said Neff. But pricing will likely drop by $100 to $200 to target the mass market, he said"

-------------------------------------------------------------------------------------------------------

Dont assume what I can and cant afford. You only go to make yourself look childish and demeaning. (and dumb)

Go to a forum for younger iphone fans and when you learn some manners then come back here.
post #60 of 132
Quote:
Originally Posted by SpamSandwich View Post

Dvorak is a putz. He's like the Ann Coulter of tech.

No, he's not that bad. He hasn't gotten near the point of writing a book on how to talk to Mac users or books suggesting that Mac users are a conspiracy of evil.

I think the problem is that too many Mac users were painting targets onto themselves by having this psychological need to defend their platform whenever it's being ridiculed. Anyone that wants page hits can just write a story ridiculing the platform and the page hits just roll in when dozens of mac sites link to it. I don't think Dvorak can be faulted too much for exploiting those that make themselves so easily exploitable.
post #61 of 132
Quote:
Originally Posted by TenoBell View Post

Anything written about Apple in The Inquirer or by John Dvorak about Apple should be taken with a ton of salt. Dvorak has admitted to writing negative things about Apple for the attention.

Even worse than that or funnier depending on your point of view . Dvorak the Maverick (DTM) often reverses his position. He loves to bust Mac chops. Never quote DTM to support an argument because someone else can always find a diametrically opposing quote from him.

Here he is on YouTube

http://www.youtube.com/watch?v=gOHzHVF-4Mg
post #62 of 132
Quote:
Originally Posted by bavlondon2 View Post


Dont assume what I can and cant afford. You only go to make yourself look childish and demeaning. (and dumb)

Go to a forum for younger iphone fans and when you learn some manners then come back here.

That's Nancy Fohring's opinion. Nothing more. And you were comletely flippant in your original position as well. So there's plenty of 'tude to go around. Early adopters a "whack"?

I've been around here a helluva lot longer than you have. You better grow a thicker skin if you want to last.
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post #63 of 132
Quote:
Originally Posted by JeffDM View Post

I don't think Dvorak can be faulted too much for exploiting those that make themselves so easily exploitable.

Please. Does Dvorak really need apologists? He's a douche and he probably knows he's a douche... he just doesn't care.

Yes, Mac fans do set themselves up to be exploited by his ilk, but even so, if you do the exploiting, you're still a douche. Degree of difficulty in doing the exploiting doesn't really figure into it, it's the act that counts. \



http://forums.macosxhints.com/showthread.php?t=51694

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post #64 of 132
Quote:
Originally Posted by bavlondon2 View Post

"Nancy GohringFri Feb 23, 11:47 AM . Consumers aren't willing to pay what Apple may ask for the iPhone, but if the price drops they'll switch their mobile service to AT&T in order to get it, according to results of a survey released Thursday. Online market research firm Compete Inc. surveyed 379 people in the U.S.,......

I'm going to have to rant yet again about shoddy journalism. The Nancy Gohring article quoted by bavlondon2 is one more example. As I read her article, my thoughts were similar to those expressed very well by David Demaree in his article entitled Damned Lies Redux. The title is a reference to the well-known saying which was part of a phrase attributed to Benjamin Disraeli and popularized in the U.S. by Mark Twain: There are three kinds of lies: lies, damned lies, and statistics. The semi-ironic statement refers to the persuasive power of numbers, and succinctly describes how even accurate statistics can be used to bolster inaccurate arguments.

Since Demaree articulates my thoughts so well, I'll just let his words speak for themselves.

http://practicalmadness.com/2007/02/damned_lies_red
post #65 of 132
PS- Video of Dvorak basically admitting that he's a douchebag:

http://www.youtube.com/watch?v=SAWDY...elated&search=

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post #66 of 132
Quote:
Originally Posted by TBaggins View Post

Please. Does Dvorak really need apologists? He's a douche and he probably knows he's a douche... he just doesn't care.

Yes, Mac fans do set themselves up to be exploited by his ilk, but even so, if you do the exploiting, you're still a douche. Degree of difficulty in doing the exploiting doesn't really figure into it, it's the act that counts. \

No, I don't think that he he really cares. The problem here is that trolling Mac users is so easy and profitable that the only way to change his behavior is convince Mac users to not take the bait so easily.
post #67 of 132
Quote:
Originally Posted by Northgate View Post

Sorry. But that's crap. I've talked to WAY too many people I know personally who can't wait to buy the iPhone.

And the price is never going drop.

Huh? The price for the top-of-the-line iPhone may not drop much, but knowing that the vast midrange of the market will never pay those prices, would not Apple eventually release other models of iPhone that are cheaper?

The iPod parallel is pretty obvious... the top-of-the-line iPod is still priced relatively high, but Apple introduced the Mini, Shuffle, and Nano to expand the iPod into lower-price points. Extremely successfully, too.

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post #68 of 132
Quote:
Originally Posted by JeffDM View Post

No, I don't think that he he really cares. The problem here is that trolling Mac users is so easy and profitable that the only way to change his behavior is convince Mac users to not take the bait so easily.

Precisely!
post #69 of 132
Quote:
Originally Posted by lfe2211 View Post

I'm going to have to rant yet again about shoddy journalism. The Nancy Gohring article quoted by bavlondon2 is one more example. As I read her article, my thoughts were similar to those expressed very well by David Demaree in his article entitled Damned Lies Redux. The title is a reference to the well-known saying which was part of a phrase attributed to Benjamin Disraeli and popularized in the U.S. by Mark Twain: There are three kinds of lies: lies, damned lies, and statistics. The semi-ironic statement refers to the persuasive power of numbers, and succinctly describes how even accurate statistics can be used to bolster inaccurate arguments.

Since Demaree articulates my thoughts so well, I'll just let his words speak for themselves.

http://practicalmadness.com/2007/02/damned_lies_red

Evryones entitled to their own opinion. The article you posted is nothing more than a generic one so stop using such garbage to bolster your own fantasies.

The fact is that the price of the iphone is way too expensive for a phone with such outdated feaures. Ill admit the touch interface is second to none but its not even 3g, the camera doesnt even have a flash or autofocus and the useage time is poor.And an internal battery? What a joke. (I i suppose its not your fault you guys are sow to pick up 3G let alone HSDPA)

I wonder if it will even get through a day. Is this why a standbytime was never announced, only a talk/useage time. Im sure the FCC report will show all but what im pointing out is that whilst its a nice device majority of people wont pay $500 for a phone with a 2 year contract. We dont even have 2 years contracts in the uk lol

And the most high end of all phones are only built to last a year or so. With Apples track record in faulty ipods will the iphone last 2 years?

These things should have been addressed before Apple went ahead with the launch.
post #70 of 132
Quote:
Originally Posted by JeffDM View Post

No, I don't think that he he really cares. The problem here is that trolling Mac users is so easy and profitable that the only way to change his behavior is convince Mac users to not take the bait so easily.

That's an impossibility. Dvorak's trolling technique (which isn't even brilliant, btw, a nine-year old could do much the same thing) will always work on any platform, product, etc. that has a passionate user base.

For Dvorak's trolling not to work, Mac users would have to not be passionate about Macs. It's the inherent downside of having products that you actually really like and enjoy using.

As lame as Dvorak's doucebag antics are, it'd be infinitely worse if they provoked no response whatsoever.

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post #71 of 132
Quote:
Originally Posted by bavlondon2 View Post

We dont even have 2 years contracts in the uk lol

No, what you have is 18 month contracts and much-higher-than-US-prices for minutes. Which is why you Euro folk are so into texting... talking is too expensive over there.

Quote:
And the most high end of all phones are only built to last a year or so. With Apples track record in faulty ipods will the iphone last 2 years?

Don't see why not. I own 2 iPods, both have lasted quite awhile, including my 1G Mini which I got 3 years ago. But my Nokia 6256i cellphone? Busted, blown-out hinge after only 16 months.

Let's just say that when it comes to cellphones, the durability bar is set pretty slow. Apple would have to do very poorly not to meet or beat the standard established by the existing major phone makers.

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post #72 of 132
Good points there. Lets hope for their sake they do. Although does the 2 year contract mean that Apple wont have a sucessor to the iphone for 2 years?

I hope the iphone has other basic feaures found in most phones such as being able to play 3gp/mp4 as well as video recording on the camera. As you lot are lucky to get it first when do you expect to see the full specs for it?

More importantaly when will it be FCC approved?
post #73 of 132
i don't think they'll wait that long to introduce new features. with efforts like this i believe most of the time goes into getting the first one out and getting your foot in the door. now that they're "established" they'll be able to roll out different models much more easily and faster.
post #74 of 132
Quote:
Originally Posted by TBaggins View Post

That's an impossibility. Dvorak's trolling technique (which isn't even brilliant, btw, a nine-year old could do much the same thing) will always work on any platform, product, etc. that has a passionate user base.

For Dvorak's trolling not to work, Mac users would have to not be passionate about Macs. It's the inherent downside of having products that you actually really like and enjoy using.

No, that's the downside of being so personally invested in a computer. An insult against the computer is taken as a personal insult. It's stupid to do, regardless of platform. One thing that is not Dvorak's fault is people that don't want to become emotionally or mentally mature enough to know how to avoid being troll-baited like that.

Quote:
As lame as Dvorak's doucebag antics are, it'd be infinitely worse if they provoked no response whatsoever.

I disagree, I think the causality is the reverse. If he's ignored, then he will go away or write about something else instead. In contrast, giving him vitriol and multiplying page hits will encourage him to do it again and more often. Dvorak has absolutely no reason to break this loop. He doesn't care what you or I think unless it hits him in the pocket book. I think this adage fits: "Fool me once, shame on you, fool me twice, shame on me...".
post #75 of 132
Quote:
Originally Posted by JeffDM View Post

No, that's the downside of being so personally invested in a computer. An insult against the computer is taken as a personal insult. It's stupid to do, regardless of platform. One thing that is not Dvorak's fault is people that don't want to become emotionally or mentally mature enough to know how to avoid being troll-baited like that.

One person's emotional immaturity is another person's enthusiasm or passion. It really depends on how you personally choose to view it. I myself find NASCAR fanatics to be inappropriately into a boring sport, but I'm sure we could come up with many valid perspectives on that contrary to mine.

To me, the ironic thing is, given Apple's past near-death experiences, we probably wouldn't even be having this discussion if not for it's fans' passion (Dvorak would say 'fanaticism'). Apple would've ceased to exist.


Quote:
I disagree, I think the causality is the reverse. If he's ignored, then he will go away or write about something else instead. In contrast, giving him vitriol and multiplying page hits will encourage him to do it again and more often. Dvorak has absolutely no reason to break this loop. He doesn't care what you or I think unless it hits him in the pocket book. I think this adage fits: "Fool me once, shame on you, fool me twice, shame on me...".

Well, that's an idealistic sentiment, and no doubt if all 22 million plus Mac users followed it, Dvorak would be a lonely boy indeed. All I'm saying is that its highly unlikely that anyone will ever get the entire (enthusiastic, passionate) Mac base to not respond. It's a nice 'what if' scenario though.

So, since that probably isn't going to happen, we may as well have some fun with the trollish likes of Dvorak and the other assorted douches of his ilk. The Joy of Tech cartoon was a fun example of that.

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post #76 of 132
Quote:
Originally Posted by bavlondon2 View Post

Good points there. Lets hope for their sake they do. Although does the 2 year contract mean that Apple wont have a sucessor to the iphone for 2 years?

I hope the iphone has other basic feaures found in most phones such as being able to play 3gp/mp4 as well as video recording on the camera. As you lot are lucky to get it first when do you expect to see the full specs for it?

More importantaly when will it be FCC approved?

I don't recall reading anything about Apple's contract with ATT that would prevent them from releasing other iPhone models... only that any iPhones made by Apple over the next 2 years will be ATT/Cingular exclusives in the US. If anyone has any info contrary to that, please pipe up.

Far as FCC approval goes, this is a good page to watch for it on. The iPhone is not listed yet, so we're still waiting, apparently:

http://www.phonescoop.com/phones/new.php?m=f

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post #77 of 132
Quote:
Originally Posted by TBaggins View Post

I don't recall reading anything about Apple's contract with ATT that would prevent them from releasing other iPhone models... only that any iPhones made by Apple over the next 2 years will be ATT/Cingular exclusives in the US. If anyone has any info contrary to that, please pipe up.

Far as FCC approval goes, this is a good page to watch for it on. The iPhone is not listed yet, so we're still waiting, apparently:

http://www.phonescoop.com/phones/new.php?m=f

.

The only shame is that whilst the 4gb model will be $400 that will still be £400 for us whoch means we pay more for the technology than you guys will do.

But hopefully our version will be 3G.
post #78 of 132
Quote:
Originally Posted by TBaggins View Post

I don't recall reading anything about Apple's contract with ATT that would prevent them from releasing other iPhone models... only that any iPhones made by Apple over the next 2 years will be ATT/Cingular exclusives in the US. If anyone has any info contrary to that, please pipe up.

Far as FCC approval goes, this is a good page to watch for it on. The iPhone is not listed yet, so we're still waiting, apparently:

I tend to agree with the Appleinsider link below. The deal is probably a 5 year exclusive deal.
http://www.appleinsider.com/article.php?id=2447
PS: I'm surprised that the FCC approval hasn't gone through yet.
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post #79 of 132
Quote:
Originally Posted by solipsism View Post

I tend to agree with the Appleinsider link below. The deal is probably a 5 year exclusive deal.
http://www.appleinsider.com/article.php?id=2447
PS: I'm surprised that the FCC approval hasn't gone through yet.

I'm happy I waited to read all the posts before replying.

I also seem to remember the 5 year contract bit.

People are assuming that because ATT is offering a 2 year contract to their customers, Apple must have a 2 year contract with ATT. One thing has nothing to do with the other.

It takes a while for the FCC to finish their approval process (assuming that it DOES get approved, not everything does, first time around).
post #80 of 132
Quote:
Originally Posted by solipsism View Post

I tend to agree with the Appleinsider link below. The deal is probably a 5 year exclusive deal.
http://www.appleinsider.com/article.php?id=2447

I dunno... some analysts seem to have a different take on it:

Will The iPhone Be Available Through Other Carriers?

Apple and Cingular have inked a multi-year exclusive contract for the iPhone. However, it is unclear whether this deal applies to this iPhone model only or all future models released throughout the duration of the contract. We believe Apple will release new iPhone models quickly (as the company has with the iPod) and these devices will eventually be open to other wireless carriers, possibly even before the Cingular contract expires. With this expansion to other carriers comes expansion of the addressable market beyond Cingular's 58m subscribers. Certainly Apple will use other carriers abroad; the company indicated that it plans to expand iPhone distribution to Europe in the Q4 of FY07 quarter and to Asia in FY08. Apple will need to develop other versions of the iPhone for these markets (CDMA, etc.), which the company will likely also sell to other U.S. wireless carriers just after or even before the exclusive deal with Cingular ends.


http://www.appleinsider.com/article.php?id=2452

There does seem to be some confusion here. My guess? The details of deal have been kept intentionally vague. so that Cingular/ATT can put one spin on it while Apple puts another. Kinda like most political treaties.

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