What is Apple doing with the Iphone?

Apple Inc. (Nasdaq: AAPL) has done a superb job of becoming the strongest tech company in the world. It has created a true environment of market dominance with its Ipod Music and Media Players. With a great product like the Ipod, and Apple's know-how marketing strategies, the Ipod has been either a product that you own, or someone very close to you has one. And be honest, even if you don't have one, you want one. Apple, many years ago now, placed their Ipod into the world market. And as with any new product, consumers didn't quite know what to do with it. That didn't last long. For argument's sake, I am going to say that Apple got it right with its first Apple Ipod version. If they didn't, the modern day consumer would have screamed from the rooftop that the Ipod is a piece of junk and to stay away. However, as with all other Apple Innovations, they made a great product with great utility. And unlike their mac computers, the Ipod would be the standard, not something only designer and developers use. Even pc users would flock to buy the Ipod. But now, now that Apple has sold their Ipods, and sometimes more than one to consumers, it was time to attack another market.

Why shouldn't your Ipod not play and organize music video, movies and t.v.? Why shouldn't it be your daily organizer, phone number collector,and yes, your telephone.

Now born is the Apple Iphone. Let us very soon send this new product out into the world and become a dominant force in the cellular phone industry. But wait, Cingular, now the new AT&T (NYSE:T)has exclusive rights to be the only provider of the new Iphone. Don't get me wrong, I am not underestimating AT&T's super strength as a telecommunications powerhouse. However, there are still many of us that simply cannot get AT&T to sign us up. Contrary to what AT&T would like you think, they are not everywhere. That means, that the Apple Iphone cannot not be had by all for many years to come. Well at least four. And who knows, maybe AT&T will own all other companies in the nere future and this won't be an issue. But don't count on. That would be bad on many levels. So why would Apple, a leader of tech innovation accept that its new offering cannot possibly be available to all consumers? This seems a bit contrary to any market domince plan.

One theory is that this was the plan, lets see how people will react to the Iphone. Will they flock to it is much as we think they will/ Heck, from reading many articles about it, and looking at the pictures, the Iphone is certianly different. There are no physical buttons. Everything is controlled by touch screen, and that is pretty cool, but maybe the average consumer won't like it. They have perhaps decided to test the market. And the market that AT&T can provide is quite extensive.

Or perhaps Apple has created something that is not completely whole. Meaning, perhaps there are still a lot of bugs to work out. Think about, with a worldwide telecommunications systems engaging different technologies, there are many variables that may just need to fall into place with actual consumer use. So maybe version 1 will suck, Apple knows this, and not making it a offering to all will lower their exposure and perhaps their embarrassment too. The Iphone in New Hampshire, may react differently to an Iphone being used in Washington State. (but don't count on using it in most of New Hampshire just yet) The U.S. is well behind Europe and the developed countries in Asia when it comes to mobile phone technology.

People, and the markets are waiting to see what Apple will do next. Recently, Apple has been a victim of its own success. We expect Apple to make new cool computers. This is nothing new. We expect Apple to come out with a new, cooler version of the Ipod. The old one worked well, and still works. Why do I need to buy the new one? I know, there are lots of reasons. But are they strong enough reasons. And yes, for some it has been. But with the Iphone, you are truly getting something different.

Now we need to find out if this different product is a good product.

Will it work?