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On the iPhone and Apple's Meteoric Rise To the Top
zacharye writes "Friday marks five years since the world first got its hands on a smartphone that would turn the industry on its head. In five short years, Apple went from the ground floor to being the most profitable company in the smartphone business by a staggering margin. Apple and Samsung — two companies that weren't even on the smartphone industry's map a few years ago — are now the only two major global vendors making money, and the split was estimated at 80/20 in Apple's favor last quarter. That's 80% of smartphone industry profits in less than five years with just five different smartphone models under its belt during that span."
Alright gentlemen we have a fine flame war in store for you tonight.
To offset political mods, replace Flamebait with Insightful.
Steve Jobs and his team made a damn fine piece of technology: A screen large enough for web-surfing & an easy-to-use touch interface. Plus people were already thrilled with the best-selling iPod, so stepping up to an iPhone was a natural next step.
In other news: I was just reading this morning that phone sales are down for everyone (except Apple apparently). Overall retail sales in the EU have dropped 7%. Sounds like we're headed for great recession part 2. :-|
My AC stalker: " I personally agree with your posts most of the time, but that won't keep me from modding you troll"
with just five different smartphone models under its belt during that span."
That's a significant part of the reason for it, right there.
"Meteoric" brings to mind "meteor" which is something that falls down very fast and tends to burn up in the sky. (Yeah, I get that "meteor" as in "meteorology" and the notion that meteors are "fast"... it's the other properties of the word that I find horribly misplaced.)
Sorry, but it seems "meteoric rise" has been used a lot lately and it's almost as if people are being tested to see how stupid they are.
I wonder if this will continue for Apple.
iOS 6 is a yawner. Yes, what we need -- more facebook integration. Already, there is a backlash against FB. The latest Android announcement had some cool items in it including another method of protecting against piracy that does not depend on if a device is not rooted.
The Retina Display Macbook Pro has a cool screen, but cannot be repaired or upgraded.
Mountain Lion?
Jobs's RDF is gone.
What Apple needs to do is start figuring out how to get themselves enterprise-friendly without losing their consumer market. Enterprises buy stuff in such large chunks that a few good contracts are a lot better than lines around the building of hipsters.
First, redo the Mac Pro. Make a chassis that works like a tower, but can have a rack drawer attached so it can be slammed into a standard enclosure. Offer not just 8Gbs FC cards, but NICs with enough packet offloading power so FCoE is workable.
Second, make something like BES but for managing iPhones. Yes, Exchange can do a lot, but having a dedicated policy management server that can handle data transmissions, perhaps even backups of phone devices would bring a lot of revenue.
Third, the ARM processor supports worlds. In this day of BYOD, offer iPhones and iPads with a "work" partition and a "home" partition. That way, the employee only needs to type in the long password when accessing the "work" side, and the Exchange erase only blows that out. It also allows for apps to only see a subset of data, so the FB app isn't able to access work contacts.
Fourth, make an antipiracy mechanism similar to Google's LVL or new encryption mechanism in Jelly Bean. That way, apps don't have to rely on the fact a device is not jailbroken. As an added bonus, more money can be spent on features, not anti-jailbreak BS.
Fifth, make a business friendly Mac desktop that can push the Dells and Compaqs out of the offices. Take an iMac, toss the camera and mic, and sell that as a business PC with service plans to follow. Lots of cash there to be made, as most companies would switch to Macs if they could, only for the artistic value of the machines.
"Better, faster, stronger," Apple could have easily lifted those Kanye West lyrics for their press release announcing the coming of the iPhone 3GS in 2009.
*facepalm* Sorry, I know its a minor detail, but Daft Punk originally wrote "Better, faster, harder, stronger", and Kanye sampled it (with permission) for his song. They have a cameo in his video, which is an awesome tribute to Akira for those that haven't seen it.
*watches Daft Hands and Daft Bodies on youtube*
Only Apple Haters care about Steve Jobs.
The rest of us just like functional devices.
The rest of us realize Jobs didn't really matter, except that he had a talent for creating teams with amazing people.
Not to belittle that talent, but since his team is the reason Apple succeeds Apple will do fine without him.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
I am a phone geek. The cell phone that I like the best. Actually the best cell phone ever made, in my opinion is the Nokia N9. Now dead, no longer made, it's corpse used to make shitty Lumia's. It could have been the 3rd leg in the cell phone triad.
But, it isn't about technology. The people that buy cell phones aren't the real customers, but the companies that suck user information and sell it.
The Nokia N9 is like the 2002 BMW E39 M5. the last of the great road cars where you could actually shift it, and trurning off the traction control really did just that.
So, long Nokia. The N9 could have been a stellar hit.
* Carthago Delenda Est *
The summary says correctly that Apple makes 80% of the profits, not 80% of the phones. Samsung appears to be shipping the most phones, although the only numbers available are estimates of SHIPPED phones, not phones sold to consumers. For some reason, Samsung refuses to release any numbers at all.
It wouldn't be the first time that somebody in Apple went and did something behind Jobs' back anticipating a change of heart. The story of the Sony/Alps situation for the original Mac floppy drive is probably the most famous example.
Jobs loved the new Sony 3.5" floppy drive format, and decided seven months before the Mac was supposed to ship that he wanted to use it... and he wanted that to happen via an Apple/Alps developed-from-scratch clone. The team thought this was insane, so while grudgingly going through the motions with Alps, they secretly continued working on integrating the Sony drive. They kept all the meetings/negotiations/hardware secret from Jobs, to the extent that they would hide the Sony engineer visiting Cupertino in a closet whenever Jobs was nearby. This obviously greatly confused the Sony engineer, but he went along with it.
Later, when Alps told Apple that they needed eighteen months to get the thing ready, the team revealed to Jobs that they had gone behind his back and kept the Sony deal alive, and he ended up thanking them for their little rebellion.
I'm not saying that this is the same situation here, only that what Jobs was convinced was the right approach and what the Apple engineers working on the internal SDK were convinced was the right approach may not have aligned. It's pretty well documented from multiple sources internal to Apple that Jobs was obstinately refusing to consider third-party apps. He didn't want other people messing with his perfection, and he didn't think his team had the bandwidth to figure out how to make it work (in terms of reliability and integration) on top of their existing workload.