Apple will not recieve follow on revenue from its new iPhone partners

Apple will not receive follow-on revenue from most of its new telecom partners according to SEC filing Form 8-K for APPLE IN. This is a very interesting development for several reasons.  It means that Apple is stuck in their original agreements with AT&T, O2, Orange, Tmobile, etc.  It also means that the old model wasn’t optimal for Apple and it is going for a new model where it is no longer taking a cut of monthly revenues.

The new carriers will be doing the writeoff themselves for the new countries.  How this will affect Apple’s sales model is unclear.  Will they sell them in the Apple stores for the $199 price?  Will they still be Jailbreakable and/or downgradable?

So many questions… From the SEC Filing:

Item 8.01. Other Events

Apple Inc. ("Apple") Chief Executive Officer Steve Jobs announced today at Apple’s Worldwide Developer Conference that Apple has sold over 6 million iPhones to date, including over 700,000 in the current June quarter. Mr. Jobs also announced that the new iPhone 3G will be available initially in 22 countries, and that the iPhone 2.0 software will be available to all iPhone customers, both beginning on July 11, 2008.

Apple has signed multi-year agreements with carriers authorizing them to distribute and provide network services for iPhones in over 70 countries. These agreements are generally not exclusive with a specific carrier, except in the United States, United Kingdom, France, Germany, Spain, Ireland, and certain other countries. Under the vast majority of these agreements, Apple will not receive follow-on revenue generating payments from carriers for the new iPhone 3G beyond the purchase of the device by carriers or a commission on sales of the device by Apple. Apple will continue to receive payments from cellular network providers related to first-generation iPhones as long as they remain active on authorized networks.

Apple assumes no obligation to update any of the statements in this Form 8-K regarding the iPhone, iPhone 3G and iPhone 2.0 software.

Guardian waxes on 3G iPhone's contribution to the future of music distribution

The Guardian today is running a piece on five ways the new 3G iPhone could change the music distribution industry.

  1. Unlimited Music downloads on the mobile itunes Library?  Maybe not now but soon.
  2. iTunes is currently in 22 countries.  The iPhone will be in many more.  Expect Apple to close the gap with many more international iTunes music store releases
  3. The experience of having a mobile device that can also purchase music in a smooth package is something new and revolutionary.
  4. Subscription model – not just for unlimited tracks – but also a possible model based on "by musician" type model.  Imagine Music meets podcast.  Paid subscription.  New music as the band produces it.
  5. It doesn’t stop there.  With all of the tools avaialble on the iPhone, you can also mix and record music…or add to your favorites.  It truly is a new paradigm – in your pocket.



Samsung Omnia…even the major players are making iPhone Clones

It is starting to get slightly sad.  Microsoft is releasing emails to developers asking them not to jump ship.  Blackberry and now Samsung are releasing iPhone clones.  Samsung’s looks "bricky" with the type of screen you’d be happy with in 2006.

Oh, and this bad boy runs Windows Mobile 6.  Sure, you can install Opera Mini and have an "OK" browsing experience.  However, you are still stuck with the clunkieness of the WM6 interface and instability of the overall OS.

According to photographs released with a statement from Samsung, the Omnia resembles the original iPhone in its dark, shiny finish, curved edges and slim form.

The phone will be unveiled at the CommunicAsia trade fair in Singapore starting June 17 and go on sale in southeast Asia that week. It will be available in Europe in July.

All of this reminds us of when the Coyote pulls out the umbrella to shield himself from the fast approaching boulder.

iPhone 2's competition (Blackberry Thunder) leaked, blown off..

BGR (not to be confused with PBR) got the latest Blackberry leak on their iPhone kil..competitor.  Interesting timing.

It looks pretty similar to iPhone version 1 overall in form factor.  It has lots of buttons (see right) but most importantly, it runs the Blackberry software that millions of businesses have doing their enterprise email.  Us IT people aren’t known to like switching platforms very often so no matter how good or bad it is, it will get adopted in a lot of businesses.

If you’ve used an iPhone and a Blackberry, you know there is a world of difference in the details.  Web browsing for instance.

Here’s a typical scenario: A small business director asks his IT guy "why can’t we have an iPhone" (he just spent $20,000 on BBY infrastructure/clients and training).  IT Director: "Here!  Have a blackberry thunder, it is pretty much the same thing!"

Sorry to Mr. Small Business Director….

Speaking of drinks (PBR), does anyone else think the "blackberry thunder" sounds like a bad drink?  Maybe 2 parts blackberry schnapps and 1 shot of Rumpleminze?  OK, obviously the weekend is hitting.  Back to work!



More iPhone video recorder evidence?

Apple’s latest round of job postings includes a Input Device Firmware Engineer who is responsible for the iPhone’s Multi-Touch firmware.  One of the prerequisites?

Familiarity with video camera, displays, or input technologies.

Obviously, if they are recruiting now for this position, the next iPhone doesn’t necessarily carry this functionality.  However, recent rumors have pointed to such functionality.  In fact, low quality video recording is currently available on generation 1 hardware through jailbroken Apps so it isn’t a huge stretch.


iChat, Videoconferencing for iPhone…Windows?!


Videoconferencing on iChat has never worked perfectly for us….especially over Jabber and to AOL users on Windows.  According to Crunchgear all that can now change.  They found a little blurb in some "leaked" photos (which frankly look about as real as any we’ve seen – but are probably not real):

Video just became a little more fun. Start a real time video chat with other AT&T subscribers via 3G networking, or with iChat buddies via WiFi. The video calling revolution has begun.

Now available on iPhone and – Windows!

Steve Jobs announced that AOL IM would be available in iPhone 2 at the SDK preview earlier this year.  Video on the iPhone and iChat on Windows however is a bit surprising. 

The video capabilities coincide with earlier reports that the 3G iphone will indeed have video capture capability – which would be nice.

Seriously.  If real, this makes sense.  Go Apple!

iPhone will lead in mobile TV

Apple’s next-gen iPhone is going to light a fire under the mobile TV market, with the potential to become the de facto standard for mobile TV among consumers.  We know Sling will make an appearance at some point….but that isn’t all.

"The iPhone could become the mobile video delivery device of choice for many consumers, by providing a compelling mobile TV and video proposition before mobile broadcasting networks, such as DVB-H become widely available", said Analysys Mason analyst, Mark Heath, in a report titled, "iPhone Shows the Way for Mobile TV".

The analyst notes that while many operators already offer mobile TV using their 3G networks, such services suffer poor quality and coverage problems. That’s partially because 3G only supports "relatively low penetrations of mobile TV users," the analyst said.

But research reveals iPhone users are already accessing television and video content more widely than users of other mobiles – suggesting the future addition of 3G support in the device will kick-start mobile TV consumption.

The iPhone’s high-quality widescreen, low battery consumption and substantial memory will make the device perfect for such uses; while the iTunes Store is already expanding the reach of TV shows to mobile devices. 

Chief advantage for Apple is the future iPhone’s ability to support multiple methods of delivering TV and video content, including sideloading (ie. iTunes), WiFi and 3G, minimising the amount of TV and video traffic that needs to be carried on 3G networks.

"If the iPhone is able to achieve significant worldwide market share, it will be well-positioned to have a significant impact on the way mobile subscribers purchase and watch mobile TV and video content," added report co-author, Dr. Alastair Brydon.

O2 to deep discount 3G iPhone

Yet more news this morning on the upcoming 3G iPhone, which Apple’s exclusive UK network O2 plans to sell at a discount price, with special upgrade deals for existing customers and more.  It’s the latest hot iPhone rumour to speculate upon Apple’s launch plans for the device, with Macworld UK claiming the product will cost £100 for a new customer agreeing an 18-month contract.

O2 is also predicted to be preparing to sell the iPhone in the UK to pay-as-you-go customers, who will have to pay £269 to get hold of the device. For well-heeled users, the company will offer a free iPhone to customers choosing the most expensive tariff. Even better, existing iPhone users will be offered a free upgrade to the new model.

It all sounds too good to be true to us, but that’s what the veteran Mac website is claiming, citing sources overheard in some bar.

We’ll know soon enough…