http://apple20.blogs.fortune.cnn.com/2009/02/04/the-great-ipod-migration/
Apple is trying to take over the world one smart phone at a time. The company practically has a monopoly on personal mp3 players with their various types of ipods, and now they want to make a bigger dent in the cell phone market. The article says that the current problem with the iphone is the expense. Not only do customers have to buy the $199 phone, but they also have to purchase the internet and data service which is over $70 a month. I have a blackberry and the internet cost is only $30. An extra $40 a month can really add up, especially if you are a college student.
According to the article, Apple is going to come out with two new models that combine different elements of the iphone, but not every feature in order to cut down on costs. I think their idea of an iphone nano will be extremely successful. A combination phone and i-pod without the internet will be perfect for both younger and elderly consumers who wouldn’t utilize the e-mail part of the phone. Many like a simpler model when it comes to their phones and I believe these new options will appeal to those who might have been originally intimidated by the idea of a smart phone.
Apple’s main problem is the fact you can only have one of their phones using AT&T. Everyone in my family and several of my friends would probably have iphones if they were available through other wireless services. Apple should look at what the blackberry creators have done to further their own success. Blackberry offers their phones through many different providers with only small differences at each place like the color of the phone.
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It's definitely the $70 a month that stops a lot of people from getting an iPhone. I do think though that mp3 players will become a part of cell phones, instead of stand alone products, whether it be an Apple product or some other product.
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