Project PDA

The rumors and speculation are over and it’s now official – Apple announced yesterday that it will launch the iPhone towards the end of 2007. And not only has Apple managed to create a device that is sexy (in true Apple fashion) but it has also introduced a number of features that really outdo the competition.

This new device seems to have just about everything all the other phone manufactures haven’t been able to get right - namely a web browser, email, calendar, SMS, an integrated address book, video player, support for Google maps, Yahoo email, and of course, an MP3 Player.

The iPhone will be running on quad-band GSM and it will use EDGE network. This means the device won’t get the best data speeds, which makes me wonder how users will stream video. However, this problem is mitigated by the inclusion of WiFi, but also makes me wonder about battery power (which is why many other manufactures have been resistant to include WiFi on devices).

The operating system will be OSX, which creates an interesting curiosity about the future plans of Apple. Essentially we will have a very mobile Mac. This also might mean Apple will do away with the Portal Player operating system used on the iPod. Perhaps this is going to be a part of Apple’s new long term strategy, which could be reflected in its name change – from Apple Computer, Inc. to just Apple, Inc.

One of the better innovations of the iPhone is the ability to visually select the voicemail you would like to listen to. According to Steve Jobs, when you have multiple voicemails you will see them pop up on the screen and then be able to choose which one you want to hear, instead of wading through them from the beginning in sequential form.

In the end it will be the consumers who will determine the success of the iPhone. If the iPod is any indication of this, then Apple may really get this one right. And if the company’s proforma’s turn out to be accurate, there will be over 10 million of these devices floating around the global economy by the end of 2008, which only accounts for about 1% of annual global shipments of cellphones.

Perhaps one indicator of what the market thinks about the future success of the iPhone can be seen in the stock prices on Apple its competitors. At the close of the market yesterday shares of RIM dropped 7.9%, Palm was down 5.7% and Apple stock was up 8.3%.
Here is how the iPhone stacks up against its competitors: