Apple’s iPhone could push consumers to mobile commerce
The iPhone, revealed by Apple CEO Steve Jobs yesterday at MacWorld 2007, unites three key technologies that could jar consumers into using their phones to go beyond downloading music and onward to shopping and conducting other transactions on the go. The handheld device unites mobile phone, large-screen iPod and Internet communications into one unit.
Jobs touts the iPhone as a revolutionary device, but consumers might not begin massing in the streets before a few more milestones are reached, says Tamara Mendelsohn, a senior analyst with Forrester Research specializing in e-commerce.
“The iPhone does a couple of things,” Mendelsohn says. “It will help consumers to move along the path to mobile commerce because it provides an interface that’s easier to use and interact with than some of the current mobile interface devices. And it will encourage consumers to further incorporate mobile devices into their lives.”
It’s not likely to be the big bang that iPod was, she cautions, for several reasons. “The price point means it’s not geared to the mainstream buyer,” she explains. “There are some barriers outside Apple’s control, including relationships between mobile communications operators and credit card companies.”
A recent Forrester survey revealed that only 3% of respondents had ever made a purchase with a cell phone using a mobile payment service. There is interest however, Mendelsohn adds, largely among younger users that already use cell phones for multiple tasks. Some 12% of those who had not used a cell phone to make such a purchase would consider doing it in the future.
The iPhone is scheduled to be available in June in the U.S. and priced at $499 for the 4GB model and $599 for the 8GB model.
The new phone will enable users to pull together multiple features including placing calls with a touch of a fingertip to a name or number, syncing with PCs, Macs and Internet services to keep contact lists current, and Visual Voicemail enabling message screening without listening to messages.
The device includes a camera, iPod with touchscreen controls, e-mail account access, and includes an SMS application with a full soft keyboard and Wi-Fi and EDGE technology for data networking.
Apple also introduced technology to wirelessly deliver iTunes audio and video, such as movies and television programs, and other digital content from home computers to home televisions--for $299.
Apple Computer Inc., which Jobs says shall henceforth be named Apple Inc. to reflect the company’s broader focus on consumer electronics, will begin taking orders Tuesday for the new TV interface, with general availability scheduled for February. The device includes a 40GB hard drive capable of storing up to 50 hours of video, 9,000 songs, 25,000 photos or a combination of the three. It can deliver high-definition 720p output.
Apple TV will connect to a range of widescreen TVs and home theater systems and comes standard with HDMI, component video, analog and optical audio ports. Using high-speed AirPort 802.11 wireless networking, Apple TV can auto-sync content, such as downloading a changing list of unwatched movies, from one computer to a TV. Or it can stream content from up to five additional computers to a TV.
Coupled with iTunes access, Apple TV users can choose from more than 250 feature-length movies and 350 TV shows in near DVD quality, four million songs, 5,000 music videos, 100,000 podcasts, and 20,000 audiobooks.
Apple is No. 15 in the Internet Retailer Top 500 Guide to Retail Web Sites.
David Moriarty, director, data mining, Apple, who will speak at the Internet Retailer Conference & Exhibition, June 4-7 in San Jose in a session entitled Web Security: Identifying and Avoiding the Scam Artists .
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