Drew Gibson wrote:

> Although Apple may wish it was otherwise, they have to conform to the
> business model and methods of the mobile phone business. To get in the
> door they have had to sell their soul to the telco/devil (eg AT&T in US,
> O2 in UK).

Not really. They could have just sold the iPhone unlocked, as is done in
 Asia and elsewhere, and let people make their best deal on a service plan.

However, they chose to go in the other direction. Usually in North
America you have a choice of paying full price for the phone unlocked,
or of getting a steep discount in return for a phone lock and a
contract. With the iPhone you have the worst of all worlds -- paying
full price AND still getting a locked phone and a contract.

Considering the design of the Mac and OS X, Apple has demonstrated that
it is quite comfortable with business models involving customer lock-in.

They *did* have other options. They could have appealed to the large
market of people whose phones need to be replaced (average life of a
cell is 18 months) but did not want to re-enter a long-term contract.

> If they wish to continue doing business, they have to be seen
> to respect and enforce the "exculsivity" of the agreements.

Motorola, Nokia and others have been quite capable of living up to their
exclusivity deals without bricking phones that have been unlocked.


> Remember
> that telcos regard their customers with all the respect that a child
> regards his collection of marbles. They don't care if some get sat on,
> stepped on or dropped in dog sh*t, as long as they have more than the
> other guy. Your wishes as a customer are something to be worked around,
> not accommodated.

Apple was not obligated to play that game; but, on the contrary, they
were more than happy to participate.

- Evan

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