Why I'm Not Purchasing an iPhone 3G and Why Apple is a Brilliant Company (video)

AppleNext week the Apple iPhone 3G will be released and the lines will be long. I put together the video below to cover two topics: why I am not purchasing an iPhone 3G and why Apple is a brilliant company. Here are just a few notes from the video:

I won't be purchasing the iPhone because it's too expensive and because I found it hard to type. The Web browser and mobile applications will be awesome and that I will certainly miss, but my Samsung Ace matches it in all other areas. I found the Ace easier to type on, in fact I can write entire blog posts easily on the Ace whereas I was unable to on the iPhone. The cost difference in a nearly identical comparison is nearly $800 for the year and that's just way too much to consider.

My take is that people with the iPhone beta (the current model) will likely upgrade to the iPhone 3G but Apple's ability to draw in new customers will be limited.

The other part of the video covers why Apple is such a brilliant company. They have been able to create a new product lifecycle for mobile devices. Most people keep their mobile device at least 2 years which is the typical contract term. Apple has been able to push the iPod cycle into the mobile device world. Next year there will be a new iPhone and current iPhone fans will upgrade to get the new features. And the next year, and the next. I haven't seen any major gadget blogs discussing this topic but it's worth a look. It means that iPhone users will be locked into a contract for life (in Internet years) basically.

Update: Duncan Riley has replied with a video of his own on why he will buy an iPhone.

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COMMENTS - Add New Comment
Submitted by Anonymous on July 2, 2008 - 4:47pm.

interesting point about the lifecycle - you know the fanboys will buy another one every year!

Submitted by Jason on July 2, 2008 - 6:14pm.

Hey Allen, long time no comment :) We are getting the new iPhone and not just upgrading my own. My wife will be getting the new one when she upgrades. I will then give her mine and she will give me the new one... So the the 3g did get one person to come over. But, if my wife was not eligible for an upgrade, I would not be getting the new one. I am not happy about the new rate plans though.

Submitted by centernetworks on July 2, 2008 - 6:45pm.

Hey Jason - nice seeing you round these parts :)

Yea, another question is how many people will break a contract with att or any carrier to move into an iPhone 3g now.

Submitted by dp on July 2, 2008 - 6:19pm.

Hey lame, nice sunglasses, no i'm joking, but seriously... This device is all the rave with bigger corporations. Two of my bigger clients Vintage Production and Oxy Petroleum have shown much interest in getting the new iPhone into circulation at their companies. Most are very impressed by the Sharepoint capabilities of the phone and the new mobileME, as well as the Microsoft Exchange capabilities. The 3G and GPS will make this a sale for most businesses. The iPhone was just something most these people were buying for their spouses, but now they will be able to integrate it into their workflow. Think outside of the box.

Submitted by centernetworks on July 2, 2008 - 6:46pm.

Who was it at these large companies you spoke with? was it IT or marketing or the execs, etc?

Submitted by Mr K on July 2, 2008 - 7:01pm.

Yeah, interesting points I guess. You mention highspeed internet on your Samsung and guessed it was the same as the 3G iPhone. Becareful saying things like that. 3G is 3G, it has nothing to do with the iPhone. My understanding is the bulk of US networks are 2.5G (Edge?) ... so it is slower than that offered by the handful of networks there that do offer 3G.

Here in NZ, we have 2 networks, one is CDMA with highspeed (slower than 3G though) network and one with true 3G faster speeds - the iPhone is on the 3G network

Submitted by Oh Blah Dee Blah Dah on July 2, 2008 - 9:02pm.
Submitted by Oh Blah Dee Blah Dah on July 2, 2008 - 9:06pm.

RE: ".... cost is prohibitive..." ".... I use Samsung on Sprint..."

=====================
You are the type of person that bought the Yugo automobiles to save money.

And, you insist on using Sprint, the cellular network that lost MILLIONS of user over the last 12 months due to horrible service.

Apple won't miss you, and neither will anyone else.

Submitted by centernetworks on July 2, 2008 - 9:17pm.

I was with ATT for somewhere over 8 years and moved to Sprint because of their offer - so far the service has been rock solid - I've used it in Boston, Austin, SF, NYC, Washington, Charlotte, etc. Not one issue.

 

Submitted by Jason on July 3, 2008 - 12:51am.

I actually was a Verizon FAN for years. Not just a customer, but a fan. When the iPhone was announce I laughed and so it wouldn't work. Why, the plans would be too expensive. Well low an behold they release their rate plans and I was floored. $49.95 for 450 minutes and unlimited data! So, I called Verzion and asked them if they could do anything competitive with that offer for My Pocket Pc. They said no way in hell can we match or come close. The best offer was $105 or something. So, even though I loved Verizon's service and quality of the network, I left for ATT. This is why I am a little annoyed with their new rate plans.

P.S. Im moving to Austin in August.

Submitted by centernetworks on July 3, 2008 - 6:51am.

Good luck in austin - now I have a place to stay during sxsw, right? :-P j/k

you beta tested it on cheap rate, now you pay full rate, done.

Submitted by KimH on July 3, 2008 - 1:32am.

Great blog, Allen, but I think you're off base on the iPhone. You speak of "millions of guinea pigs" for the v1 "beta" iPhone? Hmmm - have you seen iPhone customer satisfaction levels? Apple has sold 6 million iPhones already - at $400-$600. That's ain't just Apple fans.

Sprint is an outlier on low data costs (congrats on that if Sprint service is good for you), but iPhone plans are competitive generally for 3G, so your price argument is limited as well.

iPhone is the most important new platform to come along in years. Android's at least 6 months away, and for tech people who have an interest in sampling next-gen mobile computing, I think it's hard at this point to argue against the iPhone, especially with the wave of third-party apps starting next week.

Submitted by centernetworks on July 3, 2008 - 6:50am.

Thanks KimH for the compliment about CN - I appreciate it! When I say guinea pigs, if you think about it, that's what everyone was. I don't mean it so much in a bad way, but to say that they tested the phone for Apple - worked out the kinks and now are getting a "real" product.

And I agree on the platform side, no doubt about that. It's the one thing I will miss being a part of.

Submitted by KimH on July 3, 2008 - 7:30am.

"Thanks KimH for the compliment about CN - I appreciate it!"

CN rocks- representin' NYC ;-)

"When I say guinea pigs, if you think about it, that's what everyone was."

You gotta be kidding. iPhone v1 was a breakthrough product from the beginning. It was like skipping to the front of the technology line. Apparently you do tons of text entry and prefer a physical kybd for that, but for me, text entry was fine after a few days of acclimation. The overall experience has been superlative.

"[iPhone 3G users] now are getting a 'real' product."

Please. iPhone v1 is still the best gadget I've ever owned. 3G + GPS + 3rd party apps just kick it to the next level. I'll check in to CN and give you some reports on the future of mobile computing, since you won't be experiencing it for yourself...

;-)

Submitted by centernetworks on July 3, 2008 - 7:52am.

Please. iPhone v1 is still the best gadget I've ever owned. 3G + GPS + 3rd party apps just kick it to the next level. I'll check in to CN and give you some reports on the future of mobile computing, since you won't be experiencing it for yourself...

That would rock!

Submitted by Craig on July 3, 2008 - 10:00am.

Allen,

Anyone who wears those shades commands attention and respect!

Submitted by centernetworks on July 3, 2008 - 10:16am.

you know how we dooz it over here on the east side!

Submitted by Anonymous on July 3, 2008 - 11:44am.

Here's a video documenting why do people people get an iPhone

http://blip.tv/file/1045088

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