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My As-of-Now iPhone Opinion Piece

by Jody Mitoma on May 15, 2008 at 1:54 am



Apple iPhone

Introduction:

Apple Inc. (website) announced their exclusive innovative first-time attempt at a cellular device on January 9th, 2007 – at the corresponding years MacWorld presentation. The company calls it, the iPhone.

The iPhone was first available later that year, on June 29th, 2007, in the United States of America. (see here)

The device was then later announced available for purchase in the United Kingdom, Germany, and France in November 2007, and in Ireland and Austria in March 2008. (see here)

It’s been announced by Rogers Wireless (see here) that the iPhone will not be available in Canada until later within the 2008 year. Rogers Wireless (and Fido – which is owned by Rogers Wireless) is the only company that can take the initiative to bring the iPhone to Canada. Lucky for us, Rogers has finally made up a fair deal with Apple Inc., bringing the iPhone to Canada most likely sometime just after June of 2008.

Why should I go with the iPhone?

The iPhone is one amazing little device, ladies and gentlemen. Not only is this thing a cellular phone, it is also an Internet-enabled multimedia device with a multi-touch screen, an iPod (media player), a gaming device, and a camera – all in one. The iPhone offers Wi-Fi and EDGE Internet connectivity. (The next generation iPhone will offer 3G Internet speeds – see here.)

This device is more-so a multi-touch screen media and gaming device than it is a phone. As you’ll notice through the iPhone commercials (all commercials can be easily viewed here), Apple Inc. rarely talks about the iPhone’s actual phone capabilities. This is because they want to stress to you, as a potential buyer, how the device is actually so much more than that. You’ll notice at the end of most of the iPhone television ads, Apple has the narrator say something like “…all, on your phone.”, which is usually the first time anything about a phone is ever mentioned in the entire television advertisement, too – before the ad fads to a black screen, then displays the text “iPhone”, then the Apple Inc. logo.

The iPhone was named Time magazine’s Invention of the Year in 2007. (see here)

What’s to come for the iPhone?

Have I not caught your interest yet? You’re one tough cookie! Alright fine, keep reading.

On March 6th, 2008, Apple Inc. announced the forthcoming of what is known as the iPhone’s SDK (Software Developers Kit). (see here) The kit allows for programmers to easier produce applications and games for the iPhone (and iPod Touch). The kit was released for public download later that day, and has been updated five times since. Now on the fifth SDK beta, Apple has recently announced the developers kit has been downloaded over 200,000 times worldwide. (see here)

So what does that mean exactly? Well, say a mere 50% of the 200,000 developers whom have downloaded the iPhone SDK actually went out and released something later this year. That would, in turn, mean that we’d have approximately 100,000 applications and games available for download through Apple’s forthcoming App Store – to be released later this year – in June. However, that isn’t all there is to it. It is known that cellphone game developer; Gameloft, is working on releasing at least 15 games for the iPhone this year alone! (see here) So, keeping this in mind, and knowing that there are hundreds (possibly even thousands) of other iPhone developers out there working on more than one project, this means that if 50% of the iPhone SDK developers were to actually release something for the device later this year, we’d have more than 100,000 applications and games by years end. Even if only 10% of the developers actually released something, that would still leave us with over 20,000 games and applications. Now, how do you like them apples? (Please excuse the pun.)

Upcoming App Store Exclusive Releases:

So, like I mentioned above, Apple is releasing what they’ve called the App Store. It is being rumored that this App Store is to be released in an iPhone (and iPod Touch) firmware update – known to be versionated at 2.0. (A big jump from previous firmware versions). It is also being highly rumored that firmware 2.0 will be available through an iTunes update sometime in June of this year.

Have a look at our App Store Exclusive’s page (here) for a list of all known upcoming iPhone games and applications that are to be released via Apple’s App Store on the iPhone.

Do keep in mind, some games and applications will cost you a fee. This fee, however, is completely up to the game/app developer. Apple is pretty confident that most games and applications released via the App Store will be priceless (free), but of course, there will be a lot of the better programmed games and applications that will probably cost you about $5 or so. There is no price cap for games and applications, so don’t be surprised if there is something available for download at over $50! (If seen at all, this’ll be very rare.)

How does this whole App Store thing work out for both Apple and the developer? Well, Apple Inc. announced on March 6th – alongside the release of the iPhone SDK – that the company would keep 30% of the revenue received from the selling of the game/app, and the developer would keep the other 70% as pure profit.

For all iPhone Developers:

Isn’t this exciting? You sure are lucky to know how to code in object-c! Honestly, I wish I knew how, because Apple’s upcoming App Store has the potential to make you a fortune. Be one of the first to release a very impressive game, or very useful application, and you have the potential to become an instant millionaire. This isn’t a joke, folks.

The iPhone has been purchased approximately 5 million times since its launch in late June of ‘07. The iPod Touch has been purchased about 10 million times (this is a narrow estimate based on total iPod sales throughout 2007 and the first quarter of 2008) since its debut on September 5th, 2007 (see here). Why do I tell you this? Well, simply because the App Store will be available both on the iPhone and the iPod Touch. However, unfortunately enough, According to Apple Inc., iPod Touch owners will have to pay a “nominal” fee to download firmware 2.0. Estimates of the fee range from $20 up to $50, however my sole guess is $19.99 – which is how much the App Pack (see here) cost iPod Touch users a few months back. Now, knowing that the iPhone was bought about 5 million times worldwide, and the iPod Touch was bought about 10 million times worldwide, that brings a total sum of about 15 million iPhone and iPod Touch owners around the world. Now, I know that not all iPod Touch owners will want to pay $20 (or possibly even more) to get the firmware 2.0 update, so lets take this into consideration and cut the number of iPod Touch owners in half – just for this example. We’re now left with 5 million iPhone owners, and 5 million iPod Touch owners – a total of 10 million owners of the two devices which – for this example, lets say they all have the App Store update via firmware 2.0.

To all you iPhone SDK game and application developers – having your game or application approved by Apple Inc., and getting it uploaded onto the App Store instantly brings it to the hands and eyes of over 10 million potential buyers. Now, lets say, for this example, that you were selling your game or application for $2.00. That means, for every sell you make, you keep $1.40, and Apple Inc. takes $0.60.

Now, for the sake of this example of course, lets say you sold your game or application to 8% of the mass market of iPhone and iPod Touch owners (whom have the App Store installed). That is eight-hundred thousand (800,000) people.

Taking $1.40(profit per sale) + 800,000(buyers), you are now $1.12 million ($1,120,000) richer.

Knowing object-c and creating games and applications for the iPhone can easily bring in a full-time job income, and then some.

You can just hear the money rolling in as you sit there doing absolutely nothing.

Comparing the iPhone to other top selling cellphones:

Nokia N95 (see here) | Nokia N73 (see here) | Sony Ericsson K800i (see here) | Sony Ericsson W810i (see here)

Where can I purchase an iPhone?

You can get yourself an iPhone via the secure trusted resellers below.

- Apple Online Store (Currently Unavailable)

- AT&T 8GB | 16GB

Should I buy an iPhone right now?

Your simple answer to the question above is, no.

Why not, you ask? Well, because it is being highly rumored, and announced by many cellphone providers that Apple’s next-generation iPhone is just around the corner. Literally, the 3G iPhone will be announced sometime in June, most likely along-side the WWDC08 presentation, so, if you’re planning on buying an iPhone, your best bet would be to hold off until June 9th, which is when the 3G iPhone is rumored to be announced.

Conclusion:

The iPhone is one of the most innovative, important pieces of hardware one could hold in their pocket. This thing can play games, allow you to watch movies and videos, play music, take photographs, use as a cellphone, surf the internet, and much, much more – all, on a single device not much larger than one’s very own hand. For what you pay to own one of these suckers, you simply cannot go wrong.

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