The iPhone won\u2019t have enough market share to save Apple from the eventual rise of cell phones as the main mechanism for listening to music, thus relegating the Ipod to niche status<\/li>\n<\/ul>\nSomehow, this feels like it\u2019s been played out before! That said, I don\u2019t expect their competitors to catch up rapidly. It will take years, but eventually the margins will compress, the profits will decline and the stock will collapse. Of course, they will eventually build some new cool must have gadget and rise again, for a while, and the cycle will continue.<\/p>\n
Conclusion:<\/strong> I am not about to become an Apple shareholder, but I will definitely buy an iPhone as soon as it comes out!<\/p>\n","protected":false},"excerpt":{"rendered":"I just watched Steve Job\u2019s presentation of the iPhone. Steve Jobs really knows how to put on a show. The device seems great. I have not played with it and … Continue reading “”<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":20382,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[6],"tags":[],"class_list":["post-157","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-musings"],"acf":[],"contentUpdated":"iPhone: Love the Product, Skeptical about the Market. Categories - Business Musings. Date-Posted - 2007-01-12T18:38:17 . I just watched Steve Job\u2019s presentation of the iPhone.\n Steve Jobs really knows how to put on a show. The device seems great. I have not played with it and would love to see how easy it really is to type on the device, but from what I have seen and read, I really like the interface. My one gripe is that they are using Edge instead of Cingular\u2019s 3G network.\n However, I am much more skeptical of the sales projections put out by analysts. I read estimates ranging anywhere from 10 to 25 million units sold in the 2008. That does not seem credible as it\u2019s like 5-10 times the number of Treos sold a year \u2013 especially as the iPhone is very expensive. At $499 for 4GB and $599 for 8GB with a two year Cingular contract, the iPhone comes in at, or near, the top of the smart-phone market.\n Also, Apple did not have choice but to release an iPhone. I am usually not big on convergence devices, but the latest MP3 phones on the market are becoming good.\n I am also skeptical of Apple\u2019s staying power in the long run:\n They don\u2019t make any money on content sales (on the current per download business model music labels, movie studios and credit card fees account for almost the entire retail price of the content)\n Profits on the hardware are going to fall as Asian manufacturers copy the hardware with lower costs and sell it for lower prices\n The iPhone won\u2019t have enough market share to save Apple from the eventual rise of cell phones as the main mechanism for listening to music, thus relegating the Ipod to niche status\n Somehow, this feels like it\u2019s been played out before! That said, I don\u2019t expect their competitors to catch up rapidly. It will take years, but eventually the margins will compress, the profits will decline and the stock will collapse. Of course, they will eventually build some new cool must have gadget and rise again, for a while, and the cycle will continue.\n Conclusion: I am not about to become an Apple shareholder, but I will definitely buy an iPhone as soon as it comes out!\n ","Category":["Business Musings"],"_links":{"self":[{"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/posts\/157","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/comments?post=157"}],"version-history":[{"count":2,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/posts\/157\/revisions"}],"predecessor-version":[{"id":20561,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/posts\/157\/revisions\/20561"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/media\/20382"}],"wp:attachment":[{"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/media?parent=157"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/categories?post=157"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/grinda.org\/bn\/wp-json\/wp\/v2\/tags?post=157"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}