Scott, thank you for your comments.  This post was really illuminating
to me, as I am not in the smartphone market and thus do not pay much
attention to it.  Your analysis is much appreciated!

Apple controling the end user's experience is nothing new; wasn't that
primarily the point of products like the iMac and iBook where you
could make some broad choices (how much memory, color, etc.) but
otherwise you got your product as-is?  At the time I never really
thought of it like that but over the years that has really made itself
clear for me.

~Luke

On Jan 20, 9:44 am, Scott D Hamilton <[email protected]> wrote:
> On Thursday, January 19, 2012 8:16:46 AM UTC-5, Serv wrote:
>
> > nothing in that article suprises me. The mistake Apple made was being
> > EXCLUSIVE to AT&T for too long. Put the iPhone on Verizon or T-Mobile (a
> > near miss AT&T aquisition) and they sell the crap out of the phone.
>
> Apple's exclusive time at AT&T was hardly a mistake. It was the key to
> Apple's strategy, and why Apple still has the three best selling phone
> models on the market and is taking the majority of profits 
> available<http://www.asymco.com/2011/07/29/apple-captured-two-thirds-of-availab...>
>  even
> if they aren't selling the majority of phones.
>
> Apple came into the market with the intention of offering an Apple
> experience to consumers directly. That's completely contrary to the way the
> phone business had been done. Traditionally the phone manufactuers would
> allow the carriers to dictate what went on the phone, both in terms of
> software and ugly physical logos. Apple wanted complete control, and back
> in 2007 Verizon wasn't willing to give it them. So Apple made the exclusive
> deal with AT&T, and AT&T had no say in what went on the iPhone. And as a
> result AT&T's growth and profits 
> surged<http://seekingalpha.com/article/199920-at-t-s-growth-spurred-by-iphon...>.
> That allowed Apple to take their "hands-off, the end user is our customer,
> not the carrier" deal to Verizon and Sprint later on. The other carriers
> had to take Apple's terms, or AT&T was going to eat their lunch. The
> post-2007 churn rate was scaring the hell out of Verizon in particular. As
> a result, Apple has prospered beyond anyone's predictions.
>
> Android takes the opposite tack. Android is "open" -- to the carriers. So
> my T-Mobile Android phone had a (crappy, buggy, crashy) phone app written
> by T-Mobile, a UI T-Mobile customized (to suck and crash), a bunch of
> T-Mobile crapware I couldn't delete, etc. My understanding is Verizon is
> the same way. I like some things about Android I like and I'm glad there's
> competition, but so long as the carriers are in control of Android phones
> the consumer's experience will suffer.
>
> >   In our circle of friends in St Pete Dr Jen and I are the only Android
> > users...but we refuse to become Apple-ites like most of the St Pete geeks.
> > Nothing at all wrong with Apple products (if you can swallow the purchase
> > price), but our carrier (Verizon) didn't sell the iPhone when we needed new
> > phones so we bought the competition and have been pleased...at least i have!
>
> I'm glad you're pleased, but Android's carrier-first attitude is going to
> screw you, if not now, then later. The big issue is updates. Apple pushes
> updates out to consumers as quickly as possible, because Apple want to keep
> its customers up-to-date and happy. Android puts the carriers in charge of
> updates, and the carriers have you in a contract and therefore have little
> incentive to update your phone's software. So even though your phone is
> capable of running Android 4.0 (Ice Cream Sandwich), Verizon will probably
> not push it out to you. They want you to get a new Android phone with the
> associated contract extension. Here's the state of Android updates
> visualized.<http://theunderstatement.com/post/11982112928/android-orphans-visuali...>

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