November 28, 2007
Is Apple becoming Big Brother?
Analysis of:
Apple's War on Customers | www.technewsworld.com
This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Implications: Did Apple go too far by iBricking its phones and does the future look like?
Analysis: The article points out that open system came from the closed systems giant IBM while closed systems came form the counter-culture Apple. The closed systems concept has now jumped from Apple Computer to Apple Consumer. It can be seen in the iPod and iTunes marriage and now the iPhone and the close tie to one carrier. Now Apple has gone one step further by taking a hammer and smashing the customers phone for adding a third party ring tone or even trying to use it on a competitive carrier. Will this backfire? Not yet. Most people did not “hack” their phone and the number was very small. Those that were affected will be in some class action suit will win a new phone or some coupon. But we need to skip the phone and look beyond. Rumor has it that Apple will release a new lightweight solid-state computer at MacWorld in January. No CD or DVD reader. How do you load software? Well one of two ways and expensive external DVD sold by Apple and iTunes. Yes, iTunes selling software. Great another revenue stream for Apple and yes that is correct, but also another controlling mechanism for Mr. Jobs. He has caused havoc in the music world, he is about to cause havoc in the software world. If this new computer and software delivery system works, as planned Apple will within a few years drop all software from their stores and do everything on line via iTunes. A new form of control, note to software developers, your software will have to approved by Apple and will be sold by Apple. In a way like music and by the way they will want extra margins from you to carry your product on line. Don’t want to pay, well try and sell you software outside of iTunes. The odds are stacked against you. Just as Apple has the built for iPod program with its royalty payments, it will have a computer software program. So Mr. Jobs and his control of the iPhone is only a stepping-stone and the other shoe will drop into place at MacWorld.
Analysis: The article points out that open system came from the closed systems giant IBM while closed systems came form the counter-culture Apple. The closed systems concept has now jumped from Apple Computer to Apple Consumer. It can be seen in the iPod and iTunes marriage and now the iPhone and the close tie to one carrier. Now Apple has gone one step further by taking a hammer and smashing the customers phone for adding a third party ring tone or even trying to use it on a competitive carrier. Will this backfire? Not yet. Most people did not “hack” their phone and the number was very small. Those that were affected will be in some class action suit will win a new phone or some coupon. But we need to skip the phone and look beyond. Rumor has it that Apple will release a new lightweight solid-state computer at MacWorld in January. No CD or DVD reader. How do you load software? Well one of two ways and expensive external DVD sold by Apple and iTunes. Yes, iTunes selling software. Great another revenue stream for Apple and yes that is correct, but also another controlling mechanism for Mr. Jobs. He has caused havoc in the music world, he is about to cause havoc in the software world. If this new computer and software delivery system works, as planned Apple will within a few years drop all software from their stores and do everything on line via iTunes. A new form of control, note to software developers, your software will have to approved by Apple and will be sold by Apple. In a way like music and by the way they will want extra margins from you to carry your product on line. Don’t want to pay, well try and sell you software outside of iTunes. The odds are stacked against you. Just as Apple has the built for iPod program with its royalty payments, it will have a computer software program. So Mr. Jobs and his control of the iPhone is only a stepping-stone and the other shoe will drop into place at MacWorld.
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