Gearing up for CES...and the Adult Expo?

It's not even Christmas, yet everyone in this industry is already gearing up for the 2009 International CES in Las Vegas. You're weeding through hundreds of e-mail product pitches and meeting requests. Setting up booth tours and plotting out a daily plan that allows you to cover as much ground as possible, and meet as many clients (and potential clients) as a day and evening will permit. Are you attending, and have you created a schedule yet?

Judging from e-mails requesting that I come see a nifty new gadget, or advising that on-site interviews can be set up with key manufacturer executives, it's clear that there will be plenty to see at the show. The most puzzling e-mail request I received, however, originated from an exhibitor at the Adult Expo, which runs concurrent to CES, inviting me to register, and visit their booth at that show. Two things initially crossed my mind. First: where do they see a tie-in between my industry and theirs? And second: how on earth did this person gain access to my e-mail address since the two expos have nothing to do with one another other than sharing the same city as their venue?

The person was pitching an iPhone application that optimizes adult films for viewing on the portable device's screen. Ahhh, now I get it. There is a clear tie in. Still: would traditional CE journalists cover this?

In many ways, when you think about it, the adult industry is a huge part of the consumer electronics industry. A few years ago, people were even predicting that X-rated films could very well be the deciding factor between which format won the high-definition DVD war - Blu-ray or HD DVD. In fact, this particular firm claims to have been filming in HD for the past 5 years! There are lucrative opportunities there, that's for certain. But you're walking a fine line if you consider covering this side.

With that said, while the Adult Expo won't be on my radar during CES (as if we don't have enough ground to cover already!), it'll be interesting to see how that area of business could eventually become further entwined with CE; especially with HDTVs, the Internet, and downloadable content making waves as the way of the future for content of pretty much every kind. Yes, including the adult kind.

As for CES, many still wonder whether attendance at the show will be down. It probably will be, but I doubt to very noticeable proportions. Exhibitors will have booked their booth space a year in advance, which means there will be just as much product on the show floor. From an attendee perspective, we'll most definitely see fewer feet roaming the aisles. But it will still be a packed show floor. And if some of those people decide to take the Adult Expo up on their offer and mosy on over to those exhibits at the Sands Convention Centre, so be it. But rest assured that the only scantily clad "booth babes" you'll see in the mainstream media will be holding a gadget of some sort, or standing nearby a line of flat-panel TVs.

How Bold is the BlackBerry?

While I'm not actually a smartphone owner myself (I know, it's hard to believe, isn't it?) I do find myself somewhat excited about the upcoming launch of the BlackBerry Bold. As the latest incarnation in the BlackBerry family, this model looks sleeker, sexier, and has some exciting new features that might not rival the iPhone, per se, but it will pique current BlackBerry users' interests.

For one, it will have integrated WiFi, which is an important features for Canadians. Why? We arguably spend more on data than most other countries do, so to be able to log on to a WiFi network whenever one is nearby and surf without using cellular minutes is a huge advantage. Even in a paid WiFi network, like a coffee shop or certain airports, you might find the pricing to be more affordable.

A nicer, crisper screen, and a revamped interface are two other potentially new features. One advantage that the new breed of touch-screen devices has over the BlackBerry is the fact that the screens are larger, and therefore much easier to use when navigating Web pages or documents. While the screen might not be bigger, better resolution could make a world of difference for some.

This new device launch comes at an opportune time for BlackBerry: just as there are loyal Apple/iPhone followers, so, too are there loyal BlackBerry users waiting for the latest and greatest. The latter group just isn't as vocal! Can the Bold meet their expectations as a valid step-up from the currently available Curve and Pearl? Time will tell.

One thing's for sure: if you're an avid business user that's constantly on-the-go, and who sends tons of e-mails and text-based messages to colleagues, the BlackBerry is likely still your number-one choice. But when it comes to cool, intuitive web browsing, and fun apps, the iPhone may just have RIM beat. Now if only we could combine the best of both worlds...

Stay tuned for more information tomorrow once I've had a closer look at the Bold.

What's Had More Influence: the iPhone or the iPod?

The iPhone has stirred up the wireless industry like no other mobile device has. We haven't seen this much hoopla surrounding a product launch since, well, since the iPod came to market back in 2001. It's incredible that Apple has managed to challenge existing industry standard with not one, but two of its portable devices; especially since the company's history is as a PC manufacturer! But which product will have more of an impact on tech society as we know it: the iPod or the iPhone?

There's no doubt that the iPod is winning that race already. Not only because the device has been in existence for almost seven years now, but also because it has literally changed the way people listen to music and access content. Coupled with iTunes, the iPod defines a generation that surfs virtual albums on-the-go, and, arguably more important, downloads music from the 'net rather than purchasing physical CDs in store. The iPod used to be given flak as a device that encouraged low-quality music consumption and discouraged an appreciation for true audio. But with increasingly high-end docking systems, compatibility with a host of A/V receivers, and even audiophile tube amps from companies like Fatman, the iPod has been transformed into a gadget that simply encourages music in every way possible. And with the addition of photo and video playback, it has also helped fuel the shift toward portable media players, not just portable audio.

Meanwhile, the iPhone, which found its way into the U.S. market a year ago, has already shaken up the wireless industry. I'm not just talking about here in Canada, where the upcoming release of the highly-coveted gadget has caused consumer protest against high data rates. In the U.S., Apple managed to gain the kind of control over distribution and pricing of the phone that no other wireless manufacturer has been able to accomplish. Many have argued that the iPhone has begun an era where the wireless handset manufacturer has more control in what the consumer ultimately pays and receives, not the carrier.

So while the iPod has had a major impact on the industry, the iPhone, which is essentially a highly-sophisticated iPod that adds a larger screen, mobile phone, web browser, and WiFi functionality, will extend that reach. Add to these features its ability to accept third-party applications, and essentially transform into a full-fledged on-the-go computing device, and the iPhone will reach markets that the iPod merely skimmed.

The bottom line? Both of these devices have been influential to the technology sector. Perhaps 7 years from now, we can revisit this question again to see what each product has evolved into.

Happy Independence Day to our neighbours to the south!

iPhone in Canada...But How Much?

The media is a-buzz about Rogers Wireless' official announcement yesterday that it will be offering the iPhone in Canada. I'm floored by how big a deal everyone is making about this. But I do think a big reason has nothing to do with the iPhone itself, but rather the changes it could bring about in the wireless data pricing arena in Canada.

I've said many times over in this blog (as well as in the Cell Block column in Marketnews Magazine) that inflated data pricing has held Canadians back from really delving into the smartphone market, and all it has to offer. With the popular iPhone, paired with Apple's reputation of getting things its way, the introduction of this highly-anticipated device could also represent the introduction of more attractive data plans in Canada.

My inkling, although no details related to pricing have been officially announced, is that Rogers will indeed offer a more attractive data plan. But it will probably be marketed as an "iPhone plan", meaning you buy the iPhone and sign up for a three-year contract, and you qualify for this fantastic, new data plan. If you buy another device, or don't lock yourself into a contract, you'll be stuck with the existing, costly plans; or perhaps a small variation of them. Maybe I'm wrong on this, and it's all based on my own speculation, but it is indeed possible. It would make sense as a quick fix that lets Rogers sign on the dotted line for the iPhone before anyone else gets it, while also not moving too far away from its current data plan landscape. Such an offering would likely, however, wreak havoc with other smartphone makers, like RIM and its BlackBerry, as well as Nokia, and Windows Mobile-based phone makers. Will they end up getting the short end of the stick?

Given that the Advanced Wireless Spectrum Auction is set to take place May 27, 2008, however, Rogers also has another reason to examine its plans. If a new GSM carrier enters the foray, they may bring some enticing offers to the table. We all know how human nature works: as soon as a new GSM carrier is here, customers will flock to it, thinking that they'll be getting a better deal; and maybe they will be. Rogers certainly needs to look at what it offers, and think a few steps ahead to ensure that the company provides compelling reasons for customers to stay.

As for the iPhone, those who are squirming to own one should hope that the Rogers deal isn't exclusive in Canada. If going grey market is the only alternative option, we'd better hope that Rogers comes up with a darned good deal that convinces customers to go its route!

[Photo: Ted Rogers with William Shatner at the launch of video calling in Canada in early 2007. Rogers issued a statement yesterday confirming that the iPhone would be coming to Canada through its service "later this year".]

iPhone Gets Cheaper, New iPod Looks Like iPhone

Keeping with tradition, Apple announced a slew of new players at the same time that a big, industry show was taking place. I can’t say this is an entirely bad idea on the company’s part: CEDIA EXPO was a great place for many to get a first glance at these new iPods in the flesh. After all, several iPod docks and compatible devices were on display at the show, ready to be taken for a test run. That being said, I wasn’t surprised to see people with the new models in hand already! Wake up, grab a coffee, and shoot over to the store to buy the latest iPod before heading to the show. Yep, that sounds about right.

Probably the most interesting of the new models is the iPod touch, which incorporates many of the features of the popular (and still not available in Canada) iPhone, including its touch-screen design.

Oddly enough, others might disagree: the player I saw most on the CEDIA show floor was the tiny new nano that adds video to the feature set, along with a wider, 2.5-inch screen. I’m not sure why this model seems to have piqued the interest of tech-geeks more so than the other two (the third being the iPod classic, which is essentially a next-generation iPod with the Cover Flow and built-in accelerometer features of the iPhone). Isn't video still considered the least important feature of such players?

Anyway, slightly off topic, I thought it would be funny to look back to July, when I discussed confusion about an alleged nano that would be modeled after the iPhone. It looks like these reports weren’t entirely untrue, but could be a case of broken telephone: there is now a nano with video, and indeed an iPod that's modeled after the iPhone, but they are two separate devices, neither of which have cellular functionality. Put them together, and, well, the reports were still wrong, but you never know...

Speaking of the iPhone, Apple has reduced the price of the 8GB model by $200 to US$399, and will only sell the 4 GB version “while supplies last”. This is good news for those who haven’t invested in one yet; but bad for existing customers who have already forked over the extra $200 bucks. To ease the pain, Apple says it will give any current iPhone customer a US$100 store credit toward the purchase of any product at Apple’s retail or online store. However, this only includes customers who are “not receiving a rebate or any other consideration”. I’m not sure what this means, nor do I know the intricacies of the U.S. cell phone plans. I just hope for their sake that existing customers get something back: it's not right to be punished for being an early-adopter!

iPhone Hacked

It was only a matter of time: as if like clockwork, a group of hackers have reportedly cracked the iPhone, and figured out how to use it on networks other than At&T: the network it should exclusively operate. I’m surprised it took them this long!

The difference between this method of hacking into the device and others reported on the ‘net over the past few weeks, is that the process is reportedly very quick, and does not require highly technical operations to complete. "No need to open your phone. No need to solder," says the Website. The group, named iPhoneSIMfree.com, claims that all that’s required is to install the developed software on the iPhone, and it should function on other carrier networks. According to the site, individual, per license units will be available starting next week.

This is big news for consumers north of the border who have been patiently waiting to get their hands on the “revolutionary” device: the iPhone is currently not available in Canada, or any other country but the U.S., for that matter.

Of course we'd like to think that most consumers will wait until the iPhone is legitimately available in their country. As for Canada, although no official launch date has been announced, all signs point to Mr. Rogers being the likely partner. And the sooner this happens, the less hacking we, and Apple, will have to endure.

iPhone “nano” Rumours Shut Down

On Tuesday, I reported JPMorgan predictions that Apple had a smaller, lower-priced iPhone already in the works, modeled after the popular iPod nano player. It turns out that this information was based on a report issued by one JPMorgan analyst, Kevin Chang, and was shortly thereafter refuted by another analyst from the same firm, who questioned Chang’s sources.

According to Reuters’ latest report, a U.S. spokesperson for JPMorgan sided with the second analyst, Bill Shope, on the debate. Shope admitted that a cheaper iPhone would undoubtedly reach the market at some point in time, but launching one so soon after the inaugural model would be “unusual and highly risky”.

Shope's report described a second-generation iPhone (which has not been confirmed by anyone at Apple) as likely being the complete opposite of what Change predicted: a higher-end version, with higher speed connections. Apple’s iPhone currently operates on AT&T’s 2.5G network rather than the faster 3G standard.

It’s amazing that a product that doesn’t even exist has already caused so much controversy and debate. Way to go, Apple, on always being able to spark up so much interest and debate about your products...even before their mere existence has been confirmed!

Is a Second-Gen iPhone Already in the Works?

Rumour has it that Apple may already be working on its second-generation iPhone. JP Morgan predicts that the next iPhone will be slimmer and, most important, cheaper: pretty much a “nano” version of the smartphone that has captured the U.S. nation by storm (and has had Canadians salivating in anticipation).

The firm’s source for this information, according to Reuters, is a patent application Apple recently filed. The description was for a multifunctional handheld device equipped with a circular touch pad control.

Would a slimmer, smaller iPhone have the same appeal as the sleek and stylish just-released unit? After all, one of the iPhone’s most significant advantages over other “smartphones” is the oversized, touch-screen display that permits easier scrolling through things like web pages, e-mails, and music collections. A nano-like iPhone would have to forego many of the features and benefits of its larger sister due to size restrictions; but on the flip side, it would appeal to a whole new market that wants more affordability. Right now, the iPhone will cost U.S. customers a pretty penny at a hefty $500 for the 4 GB version and $600 for the 8 GB. Either way, if the iPod is any indication, there’s little doubt that a smaller version would be received just as well as the first-generation iPhone.

Of course Apple isn’t talking, so this rumour is still just that: a rumour. Nevertheless, iPhone Nano does have a nice ring to it…

iPhone’s on its Way

I thought I’d wake up this morning to reports flooding the Internet of smiling customers with their nifty new iPhone. I was sadly disappointed to discover that it isn’t going to hit U.S. stores until 6 p.m. tonight. Wow, does Apple ever know how to drag out suspense: better than any reality TV show ever made!

For those who have to work their regular 9-5 job today, it’s good news. Or not. ABC News reporter Gene Lewis says he’s been in line at a NYC Apple store since yesterday, and is still only 53rd on the list. His last report as I write this, written at about 6 a.m. this morning, estimates that there’s about 180 people in line. I don’t even want to think of what the line will look like come 5 p.m. tonight! Apple says the purchase limit is two devices per person (why not one?); and, for the lucky few who get their hands on one, the company will hold free workshops on how to get the most out of the device starting tomorrow morning.

All U.S. Apple stores will remain open until midnight tonight; but my guess is this will serve little purpose, as the iPhone will probably be sold out before the stores even reach the end of their lines. In other words: don’t think you’ll be able to strut into an Apple store around 11:30 p.m. and magically grab one off the shelf!

ABC’s Lewis humorously refers to the iPhone as the “Jesus phone” in his play-by-play coverage (which is worth a read just to hear the reactions the people in line are getting from passers-by). This reminds me of a hilarious skit I saw on MAD TV a few months ago where cast member Mike McDonald portrayed Steve Jobs introducing the iPhone to a highly reactive, cult-like, audience. The idea was to make it look like Jobs was being worshipped as some sort of evangelist. It’ll give you a good laugh as we gear up for the actual introduction of this highly-anticipated device.

The 4 GB model will be available for US$500; and the 8 GB for US$600.

Lines Form for iPhone?

You never know what to believe, but sources on the ‘net claim that line-ups are already forming outside of the gorgeous New York City Apple store, as anxious customers await the launch of the much-anticipated iPhone. The device won’t actually hit stores until June 29 – three days from now!

I’m getting a case of déjà vu, as we saw a similar situation mere months ago when the Sony PlayStation 3 and Nintendo Wii gaming consoles hit the market. Will the hysteria turn into disappointment once consumers shell out the $500 or $600 the unit will cost? Or will people by praising Mr. Jobs for providing them with the phone/music and video player/digital camera/Internet browser that they’ve been waiting for all their lives? One thing's for sure: Jobs certainly knows how to create hype around a product!

When it comes to pricing plans, sources say that they will cost anywhere from $60 to $100/mth (on top of the actual iPhone purchase price, of course); and, in an interesting twist, customers can sign up through iTunes rather than in-store. Mac fanatics everywhere are undoubtedly clasping their hands and gritting their teeth in delight right about now.

So far, the only negative comment I’ve heard about the iPhone relates to the difficulty one might have in locating one for purchase. I’m not convinced of its leader status just yet (after all, I don't even own an iPod!), but I’m willing to keep an open mind. As for us Canucks, hold tight, because there’s still no confirmation that the device will even see the light of day north of the border.

What Does RIM Think of the iPhone?

I attended the Canadian Telecom Summit yesterday, and, during the Q&A after his keynote address, Research in Motion (RIM) Co-CEO John Balsillie was asked the dreaded question: what do you think about the iPhone, and are you worried that its “revolutionary” new interface will resonate better with consumers than RIMs? Balsillie’s ballsy answer? “Apple is just one more entrant into this huge market.”

Balsillie feels pretty confident about the Blackberry's approx. 55-60% market share, and rightfully so. He even mused that the iconic device has not only made him look forward to red lights and longer bathroom breaks, but has also “liberated people from boring meetings”.

I have to agree with him: with respect to his confidence in RIMs grasp on the market, that is, not the red lights and bathroom breaks. The Blackberry has become such a universal term (just like the iPod!) that it would be tough to penetrate the kind of hold it has achieved on the market, whether you're Apple, Nokia, or any player in the arena, for that matter. In his introductory speech, KPMG’s Peter Doyle mused that running a “Google” search for the word “blackberry”, will generate 48,700,000 responses, none of which have to do with the fruit for which the word was previously known. He also informed the audience that, in 2006, the Webster’s dictionary named “crackberry” as the word of the year. How do you like them…blackberries? It’s a success story unlike any other, short of Apple’s own iPod. Ironically, Apple will now find itself on the other side of the coin, fighting for market share in an area for which it has never been associated.

It was refreshing to hear Balsillie’s response to the inevitable iPhone question. He was confident, but not cocky. In fact, he actually went on to praise Apple for recognizing a music player as a software application on a phone, and not just as a standalone device.

Balsillie did admit that wireless is a tough business to penetrate, and noted that, no matter how funky an interface, what really matters is what you can actually do with a device. He’s certainly got that right. As the old adage goes, it’s what’s inside that counts. Both the Blackberry and iPhone pack a lot of punch, so let’s see how this race develops.

Apple’s iPhone will hit the U.S. market on June 29.