> Most people don't want to spend $700 on a mobile phone
Until quite recently, Apple hasn't been in the "most people want" business. Their marketshare has been going up, but I'm not convinced that they've totally changed direction from high-end.
The carrier locking has always struck me as a bit of a detour. If you look at Jobs statements circa the original iPhone he's clearly aiming at crushing the subsidized market. They've experienced a setback since then, but I don't think they're defeated.
The real story here is that all this time, we thought the renegotiations surrounding VOIP were about getting Skype et al in the app store. In reality, they probably really slipped terms in to allow Apple to do VOIP calling (even if it's only over WiFi, I doubt they were allowed to under the old noncompete clause...)
Suddenly, AT&T's rapid reversal on iPad pricing makes sense. AT&T must have gotten wind of FaceTime.
Until quite recently, Apple hasn't been in the "most people want" business. Their marketshare has been going up, but I'm not convinced that they've totally changed direction from high-end.
The carrier locking has always struck me as a bit of a detour. If you look at Jobs statements circa the original iPhone he's clearly aiming at crushing the subsidized market. They've experienced a setback since then, but I don't think they're defeated.
The real story here is that all this time, we thought the renegotiations surrounding VOIP were about getting Skype et al in the app store. In reality, they probably really slipped terms in to allow Apple to do VOIP calling (even if it's only over WiFi, I doubt they were allowed to under the old noncompete clause...)
Suddenly, AT&T's rapid reversal on iPad pricing makes sense. AT&T must have gotten wind of FaceTime.