Apple says iPhone competitors still fail to compete
As smartphone companies attempt to catch up with the first-generation iPhone, Apple executive Tim Cook said during Monday's earnings report that his company remains multiple steps ahead of its competitors.
"Frankly I think people are trying to catch up with the first iPhone two years ago," Cook said. "We've long since moved beyond that."
Apple was faced with outstanding demand for the iPhone 3GS during the September quarter -- something that even caught the hardware maker by surprise. Cook admitted that the company was forced to change its orders for components in response to consumer needs.
"I think it shows there is an intense appetite for Apple's latest technology," he said, "and we were very pleased with the result."
After the iPhone debuted in 2007, competitors rushed to emulate the touchscreen capabilities of the device. So far, numerous competitors have emerged, but all have failed to capture the buzz of the iPhone.
Google's smartphone OS has made attempts to chip away at the iPhone share, but so far has been largely unsuccessful. The latest Android handset attempting to steal some of the iPhone's buzz is the Motorola Droid, which was leaked in pictures Monday. Apple CFO Peter Oppenheimer said his company is not concerned by any of the competitors' offerings they have seen thus far.
"We are continuing to focus on delivering state-of-the-art products at price points our competitors can't match," Oppenheimer said, "and will provide increasing value to our customers."
During the last quarter, Apple sold 7.4 million iPhones, a record setting pace that was 7 percent higher than the same period in 2008. It amounted to $2.297 billion revenue.
Sales are predicted to grow even further, as the device launches in China on Oct. 30. It will start with 1,000 points of sale and expand further over the next several months.
The average sale price of the iPhone in the fourth quarter was just over $600, a number that reflects a mix of high iPhone 3GS sales.
In addition, over 50 percent of the Fortune 100 are deploying a pilot program of the iPhone, Apple announced Monday, and over 350 higher education institutions have approved iPhones for students and faculty.
"Frankly I think people are trying to catch up with the first iPhone two years ago," Cook said. "We've long since moved beyond that."
Apple was faced with outstanding demand for the iPhone 3GS during the September quarter -- something that even caught the hardware maker by surprise. Cook admitted that the company was forced to change its orders for components in response to consumer needs.
"I think it shows there is an intense appetite for Apple's latest technology," he said, "and we were very pleased with the result."
After the iPhone debuted in 2007, competitors rushed to emulate the touchscreen capabilities of the device. So far, numerous competitors have emerged, but all have failed to capture the buzz of the iPhone.
Google's smartphone OS has made attempts to chip away at the iPhone share, but so far has been largely unsuccessful. The latest Android handset attempting to steal some of the iPhone's buzz is the Motorola Droid, which was leaked in pictures Monday. Apple CFO Peter Oppenheimer said his company is not concerned by any of the competitors' offerings they have seen thus far.
"We are continuing to focus on delivering state-of-the-art products at price points our competitors can't match," Oppenheimer said, "and will provide increasing value to our customers."
During the last quarter, Apple sold 7.4 million iPhones, a record setting pace that was 7 percent higher than the same period in 2008. It amounted to $2.297 billion revenue.
Sales are predicted to grow even further, as the device launches in China on Oct. 30. It will start with 1,000 points of sale and expand further over the next several months.
The average sale price of the iPhone in the fourth quarter was just over $600, a number that reflects a mix of high iPhone 3GS sales.
In addition, over 50 percent of the Fortune 100 are deploying a pilot program of the iPhone, Apple announced Monday, and over 350 higher education institutions have approved iPhones for students and faculty.
Comments
I can only hope this is the dawn of multi processing on the iPhone, and many other goodies to come!
...The average sale price of the iPhone in the fourth quarter was just over $600, a number that reflects a mix of high iPhone 3GS sales.....
They calculate that average to include subsidies, right? If so, what's the published number for that? Or if not, how is it calculated? It's confusing to see a $600 average price for a phone that has 3 models that sell (in the US) for $99 to $299. I'm having trouble coming up with a scenario for $600...
1. Receive a much needed display update... 480 x 800 is now the norm on the most advanced smartphones these days. (Note: 2.5 times the 320 x 480 of the iPhone 3GS).
2. Attain acceptable battery life... 3 to 4.5 hour of talk time is what mine gets - at best.
3. Allow multi-tasking of the apps I've installed, as opposed to only those 2 or 3 of Apple's choosing.
4. Update that archaic grid-based GUI, that looks like the 3 year old design it is.
Understand, Apps are nice, but the iPhone still lacks much of the core smartphone functionality that numerous non-Apple units have had for years already.
Stop resting on your laurels Apple and Step It Up... The iPhone is hardly State Of The Art Any Longer.
Update that archaic grid-based GUI, that looks like the 3 year old design it is.
Yeah -- down with pesky dino grids! Apple should just throw all the buttons in random places and let us try to find them like Easter eggs. Better yet, give them all exotic animal shapes that change every time you turn on the phone. That would be different!
The iPhone IS state of the art. If not, what is? Offer us a few others that are more so?
And they think they're proving Apple wrong. And they think they're proving Tim Cook wrong. But really all they're proving is they still don't get it in the way Apple got it three years ago
It's not only about the features, it's about the experience.
Stop resting on your laurels Apple and Step It Up... The iPhone is hardly State Of The Art Any Longer.
It seems a bit like you've missed out on the core focuses that enable Apple products to become so successful. Apple designs products for the masses—products which almost everyone can pick up, use, and enjoy.
What are you going to do with a 480x800 display? It would be foolish to make the device larger, so instead all the existing content is rendered a little more crisply? At the cost of battery life and increased cost? Not worth it on that scale, especially from the perspective of Apple and the normal consumer (who is not represented here).
Battery life is great depending on how you use it.
You complain about battery life and go on to complain about multi-tasking? I would love to have the ability to set apps to run in the background, but that's fine because I understand the consequences of allowing it. The 3GS could probably handle it pretty well (though it would be bad on earlier models due to memory constraints). A further souped up iPhone down the road would be an even more excellent candidate. Regardless, regular users wouldn't understand why their phone was tearing through battery life, and the people who do understand it would still bitch about battery life, even as they've got ten programs running in the background.
The GUI is fine. It is easy to use. You're lecturing the wrong company about GUI design. Talk about an arm-chair CEO.
They calculate that average to include subsidies, right? If so, what's the published number for that? Or if not, how is it calculated? It's confusing to see a $600 average price for a phone that has 3 models that sell (in the US) for $99 to $299. I'm having trouble coming up with a scenario for $600...
I don't think Apple uses subsidized prices in its calculations for iPhone ASPs. For one, when you buy an iPhone in the US, you actually pay sales tax on the full price of the phone, not the subsidized price. But effectively, you the customer pay $99-$299+full tax out of your pocket, and then AT&T pays Apple the rest of out its pockets. But to Apple, it doesn't matter who is paying the bill, or in what portion, so long as the full bill is taken care of somehow. So Apple must be accounting for the full selling price of the phone to AT&T, rather than subsidized price. This would also translate to easier accounting for international sales in countries where no carrier subsidies are provided as you can use the same accounting methods for all sales worldwide, in which case you need only account for currency fluctuations, which affects Apple ASPs. I guarantee you the weak dollar right now and the 46% contribution from international revenue is helping Apple's earnings and revenue in US dollar terms.
I want it.
But Sh$&t this phone is incredible and there is nothing on the market that comes close. I actually prefer surfing the net on my phone than using my laptop.
I also don't understand the gripe about multi-tasking... The phone multitasks just fine. I bounce easily fro multiple inboxes, browsers...heck I usually surf and write e-mails while on the phone.
Amazing device...
I don't think I am asking too much.
http://www.youtube.com/watch?v=oHDwKT564Kk
I want it.
Ha ha that reminds me of the James Bond gadget he uses when getting shot at. Other than for Bond what other use would it be?
Let's think back to the first iPhone...
- No app store
- No 3G
- No GPS
- No MMS
- No copy and paste
It gave a very good web browsing experience over WiFi and had fantastic media capabilities. It also had massive shortfalls. The iPhone has come a long way in two years.
If offered a first gen iPhone running OS 1.0 or a HTC Hero running Android, how many people would seriously pick the iPhone? Not me for sure.
That's all good and well, but I ask when will my iPhone finally..
1. Receive a much needed display update... 480 x 800 is now the norm on the most advanced smartphones these days. (Note: 2.5 times the 320 x 480 of the iPhone 3GS).
On "most" smart phones? Please post what numerous (i.e. more than one) smart phone that uses that resolution.
2. Attain acceptable battery life... 3 to 4.5 hour of talk time is what mine gets - at best.
It already does that. Just turn off WiFi and don't use your iPhone for anything other than making a phone call.
3. Allow multi-tasking of the apps I've installed, as opposed to only those 2 or 3 of Apple's choosing.
You want that plus have enough power for 3 to 4.5 hours of talk time? Carry a 12V car battery with you then. Can't have it both ways with a small footprint like that.
4. Update that archaic grid-based GUI, that looks like the 3 year old design it is.
Archaic? Compared to what other bleeding-edge smartphone? Currently, RIM and WM are the main players and they don't have anything near as elegant as what MOSX has. And Android is still trying to figure out how it should look like.
Understand, Apps are nice, but the iPhone still lacks much of the core smartphone functionality that numerous non-Apple units have had for years already.
Still lacks much? Hmm.. Apple's current sales figures just proves (yet again) that you're in the serious minority.
Stop resting on your laurels Apple and Step It Up... The iPhone is hardly State Of The Art Any Longer.
This is the same rantings of someone who needs daily "ohh, new and shiny" stuff only to be bored with it after five minutes of playing. It's an elegant and productive way to use it. Thankfully, Apple is continuing to innovate and will continue to do so even in the midst of all the static being given off by folks that think they know what's better for the masses.
What's your holdup? If your iPhone is such an archaic, non-functional device, sell it on EBay and go with the other models you think are so superior.
Ah... the room got really quiet suddenly....
That's all good and well, but I ask when will my iPhone finally..
1. Receive a much needed display update... 480 x 800 is now the norm on the most advanced smartphones these days. (Note: 2.5 times the 320 x 480 of the iPhone 3GS).
2. Attain acceptable battery life... 3 to 4.5 hour of talk time is what mine gets - at best.
3. Allow multi-tasking of the apps I've installed, as opposed to only those 2 or 3 of Apple's choosing.
I love how you complain about the battery life between comments about it not having a power draining higher resolution display and 3rd-party app multitasking. Do you not see the irony?
Stop resting on your laurels Apple and Step It Up... The iPhone is hardly [I
State Of The Art[/I] Any Longer.
But yet, everybody and their dog is trying, without fail, to duplicate it's success. hehe, go figure!
I own an iPhone 3GS, and wouldn't swap it for anything else on the market, but to say that the competition is still catching up with the original iPhone is ridiculous.
Let's think back to the first iPhone...
- No app store
- No 3G
- No GPS
- No MMS
- No copy and paste
It gave a very good web browsing experience over WiFi and had fantastic media capabilities. It also had massive shortfalls. The iPhone has come a long way in two years.
If offered a first gen iPhone running OS 1.0 or a HTC Hero running Android, how many people would seriously pick the iPhone? Not me for sure.
But currently the first gen iPhone is running 3.2 not 1.0!!
I believe he meant the first gen iPhone device in its current features not two years ago.
Its true. No deyning it.
Maybe in time . . .
Look at the lost souls on Neowin who still don't get it . . .
http://www.neowin.net/news/main/09/1...s-expectations