iPhone and European Contracts - Financial Regulations & Business
During the past few days, both the mainstream press and blogosphere have been going crazy about rumours of contracts being signed for distribution of iPhone in European countries. Vodafone, O2, T-Mobile, Orange, 3, Carphone Warehouse… is there anyone that hasn’t been mentioned?
One thing is certain: if any contracts had actually been signed in the UK, they would have had to be announced by press release. Public companies listed in the UK are obliged by law to pass on information that could affect their share price without delay, and to the market as a whole. That means - no whispering to the press or anyone else.
So - if it hasn’t been announced, the chances are that it hasn’t actually happened. And, in business, if the deal hasn’t been signed, anything can (and often does) happen. Deals are really never done until they’re done…
What does that mean? Well it means that even sources that are “close” to the deal can’t possibly know for sure who will end up getting the contract. This thing is in play right up until Apple physically signs the piece of paper…
Of course - once a deal has been signed, then they have to draft the press release, which means lots of eyeballs (including people outside the companies involved)… and lots of potential for leaks. But that’s an overnight thing. If more than a day passes between a rumour starting, and no press release being forthcoming, you can be sure no contract has actually been signed; and therefore that Apple has made no final decisions on carriers. They might not have even have decided whether or not to do an exclusive deal, or if it’s an exclusive deal, what period of exclusivity to go for. I’d be surprised if Apple signs another 5-year deal like the one they did in the US with AT&T - Apple were in a weak position before iPhone came to market. They’re not anymore. So, if anyone wants a five year exclusive deal this time around, they’re going to have to stump up some serious cash…
Asam Bashir wrote:
Hey have you seen Nokia’s counter-offensive,
http://www.electronista.com/articles/07/07/05/nokia.n95.8gb.leak/
And Verizons approach seems to be to satisfy Mac cravings by offering iPods,
http://www.electronista.com/articles/07/07/05/lg.vx8550.at.verizon/
Meanwhile,
http://www.theregister.co.uk/2007/07/05/iphone_hack_project/
Seems like a win-win situation for Apple, more sales of iPods and more sales of the AT&T phone for people wanting to use it without AT&T.
I always wonder if Apple makes these things easy on purpose, for the advantage it gives to mindshare. I think most companies accept a certain level of piracy as they understand that early-adopters tinkering with settings often provide the kind of publicity that money can’t buy…..
Posted 05 Jul 2007 at 5:29 pm ¶
simon wrote:
Yep - seen the Nokia thing. Seems to have a 320×240 LCD. Not good enough, I don’t think.
The Verizon phone is an LG that will be available everywhere I’d have thought. It looks nice; although I’d be concerned about the OS/OE… LG seems to manages to make their software signficantly worse than Nokia or Sony Ericsson. Not sure why.
Re: hacked iPhones… I guess very few people will want a hacked iPhone, so lost share of contract revenues there won’t worry Apple.
I’m really interested to see if iPhone will be 3G when it comes to Europe at the end of the year. If it’s just EDGE, and they price it stupidly at say £399 ($800) with 2-year contract lock-in, I think Apple might have a big problem.
On the other hand, if it’s the latest HSDPA, I think it would do well at £399 plus contract, although £299 would be a much smarter way to price it.
Bottom line is; lots of people in Europe really expect 3G these days. The success of iPhone in Europe is far from a done deal… It’s in Apple’s hands.
Posted 05 Jul 2007 at 7:09 pm ¶
Asam Bashir wrote:
It needs to be HSDPA for sure, so they can get to the third round, the Asian iPhone..
Nokia N95 isn’t even a contender, I’d sack the product managers, two hour battery life and no keyboard, interesting for a few hours. Seems like Nokia needs a revolution to happen now and a design genius that actually knows what a good user interface should be.
I wish my Nokia E65 stops crashing and rebooting randomly, about 10 times a day, why does it take them so long releasing firmware.
Posted 05 Jul 2007 at 8:28 pm ¶
Marc wrote:
For the first time in 5 years I won’t be upgrading my phone at the end of my contract next month. My MDA Vario (aka HTC Wizard) did, and still does everything I need! Good two days batter, wifi, GPRS, keyboard, email. Oh and it makes phone calls!
I think I will see if I can get a cheaper monthly fee instead.
Posted 08 Jul 2007 at 7:51 pm ¶
Asam Bashir wrote:
http://www.macnn.com/articles/07/07/11/apple.worth.vs.ibm.intel/
Posted 12 Jul 2007 at 11:47 am ¶