Tuesday, January 11, 2011

This is Your Father's iPhone

[Editor's note: see additional analysis on the topic at StreamingMedia.com]

After years of desire and months of speculation, today Verizon Wireless announced that the iPhone would be available on their network in February. This is of course really good news for those who either can’t get or don’t want ATT service here in the US. Verizon said that they have been working on supporting the iPhone since 2008, so, they are anticipating a great success for them and their customers with this thoroughbred device in their stables. All current iPhone features will be available in the Verizon iPhone, with two notable exceptions.

First, there is the network technology this device will be using. During the almost constant tea leaf analysis that was occurring over the past several weeks in anticipation of this announcement, there was debate over which network technology would be built into the Verizon-flavored iPhone. That speculation has now been put to rest.

The Verizon iPhone will be CDMA and EVDO only, making this iPhone a device built for Verizon’s legacy 3G network. What this means is that you cannot use data while you are on a voice call, unless, perhaps your iPhone has a WiFi connection. Good for the home or office, but not while you are out and about, which is where most iPhones are used. For those of you keeping score at home, the iPhone on non-CDMA carriers such as ATT’s 3G GSM network in the US can use voice and data at the same time, which, I believe is a large part of the iPhone’s functionality appeal. You don’t have to hang up your voice call to check your email.

When Apple’s Tim Cook was asked why the phone was not taking advantage of nascent Verizon’s 4G network (aka LTE), he basically said that folks really want a Verizon iPhone, and will be willing to make the functionality trade-off. Mr. Cook also stated that incorporating LTE into the current iPhone design would not be possible without design trade offs they were not willing to make. Given the comments that Verizon’s Lowell Macadam made about being the hub of collaboration, there will likely be an LTE version of the iPhone in the future so that it can be a true collaboration hub. Until then, this phone will be a single tasking device, unable to truly multitask.

Second on the feature front, there is one interesting bright spot in today’s announcement. The Verizon iPhone provides WiFi hotspot functionality for up to five devices, which is a feature that is not available on other carriers. This will allow WiFi enabled devices, such as the iPad’s that Verizon has been selling since late 2010, to be able to use the iPhone’s Verizon 3G data connection to get on the Internet. So, expect there to be a much demanding by current non-Verizon iPhone owners to bring this connectivity feature to their phones.

During Q&A, Verizon and Apple indicated that this is a non-exclusive agreement with Verizon, so, one could expect that Sprint could get the phone after some period of time here in the US. And, there are a handful of carriers overseas that don’t use the GSM technology the iPhone has sported to date, so, they will likely get their own iPhone in the not too distant future.

All in all, it is certainly good news that the iPhone has come to Verizon, as many more people can experience the game changing benefits of this device. However, the lack of data connectivity when on a call almost makes the Verizon iPhone feel like “your father’s iPhone,” not “your son or daughter’s iPhone.” After all, what twenty something wants to hang up to tweet? Anyway, ATT should not be sweating the shift in the gravitational pull of the iPhone from another carrier. Yet.