Every man and his dog in the mobile and music content sector has been yelling about the iphone and its cutting edge program. I will happily consent that the iphone has raised the bar in terms of simplicity program and integration of a very good music player into a mobile phone. But does this mean it is most likely going for world domination as some commentators state? Even with the soon to be released 3G version upon our doorway I believe the answer is a firm NO!

There are way too many barriers in the present mobile marketplace for the iphone to drive significant puncture levels in the short to medium term. Lets get behind iphone 14 128gb. the shiny shine of the iphone and look at the economic factors to get a real picture of its potential to dominate the mobile phone landscape in terms of actual units being sold on a global basis.

Firstly, in most markets outside the US, individuals are used to receiving their phone for free — effectively subsidised by the network operators, when tied into a monthly contract for voice and data usage. This is not the case with the first incarnation of the iphone; in fact it has come with a hefty premium price tag. Already I view this premium price tag as a serious disincentive for long-term growth potential.

Now lets look at the key growth areas in terms of phone subscribers. During 2007 90% of global mobile prospect was gained in the emerging markets. The traditional markets of the western side are already watching above 110% puncture levels and are beginning see stagnation in terms of growth. With such a high premium price tag the iphone is more unlikely that to be able to drive puncture levels in emerging markets as they are traditionally low to mid-range mobile mobile phones — albeit many are in possession of significant and growing cell phone markets as well.

The emerging markets are running out 3G networks almost everyday because it is cheaper to launch a 3G network than build in-ground broadband cable structure. Already in South america 36% percent of ancestors first experience of the internet is via the mobile phone — expect you’ll see this rise significantly over the next year in all “emerging markets”.

Traditional phone manufacturers and operators all agree that the “emerging markets” are where real growth lies. In these markets the mobile phone has come to top because it is cheaper to own a mobile phone than the usual computer help. So reasonably limited priced iphone is unlikely to have an easy time breaking into the high prospect growth markets.

Global mobile phone prospect levels exceeded 3. 2 thousand in early 08. Almost 1. 8 thousand of these mobile phones are MP3 FORMAT capable and this figure is growing at an extremely fast rate. iphone had targets of selling just 10 million in its first year of release — a hook in the haystack in reality. Even if apple were to bring in tiered feature equalized versions with related tiered pricing — equating in order to reduce iphone phone prices (which in my view they will no doubt do). Would this actually dimple the market shares of Nokia, Motorola and Sony Ericsson in the short to medium term? I seriously doubt it.

Yes in the united states we have seen the iphone make a large dimple into the market share of cell phone manufacturer CASING, who had dominance in the cell phone market both in the usa and on a general global level. But does this imply the same will occur in the broader traditional markets and more important the “emerging markets” message?

Undeniably from a program and design perspective the iphone wins against any other phone definitely! However most phone manufacturers and network providers also have digital music stores, which are also built-into their product/service offerings. So competition for a mobile phone solution built-into a retail music offering is and has been packed for a while. Person satisfaction is no doubt highest with the iphone — verified by the 50% increase in mobile internet surfing and content consumption when compared to other phone types.

Yet will this be all you need to dimple the puncture numbers of the current phone incumbents whoever market share easily drowns out that of the iphone? Nokia sees phone growth in emerging markets as the key to its continued market share dominance. It seems apple is still firmly focused on the over activated traditional markets and it remains to be seen if this is a good market to only be focused on in the short to medium term. Even the people at apple do not seem to be considering the emerging markets. They should be because yearly phone versus. PC growth is above a relation of 4: 1 and the majority of this year-on-year mobile phone growth is in these emerging markets.