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January 12, 2007 Ripple effects of iPhone Posted by Tommi at 01:34 PM | Categories: Devices

ripple_effects.JPG

I have tried to avoid this overly-talked-about subject, but can't help since Jari asked so kindly:

It would be fantastic to hear a bit more about your thoughts on the iPhone, the (positive) challenge it throws on S60 and Symbian to innovate and improve intuitivity etc.

Sure.

However, I have to be extra careful with my words, for three reasons:
- It's not polite (nor wise) to bad-mouth your competitors
- I'm not allowed to comment about Nokia's competitive response, strategical or tactical
- I don't want to make a fool of myself by doing false predictions

Moreover, I think all that needs to be said about iPhone (at this stage) has already been said, and said well. Here's my shortlist of great posts to get you started: Engadget and Engadget Mobile, Mobile Opportunity, MobileCrunch, Open Gardens, and iLounge (the last quoting Mr. Jobs saying: “You don’t want your phone to be an open platform”, about which some of us might disagree).

Question: what do I think about this myself?

As I commented in Jouni's MRKTNGman blog, I consider iPhone as one of the greatest things that has happened in a while for the whole mobile ecosystem - including Nokia and S60. I don't know if it's going to be successful or not, but at least the ripple effects will be huge.

Question: who will win?

Since I'm very much biased here, I have to refer to authorities. My favorite strategy thinker, the legendary Harvard Business School professor Clayton Christensen, said in his 2003 book Innovator's Solution (page 34):

A sustaining innovation targets demanding, high-end customers with better performance that was previously available. Some sustaining innovations are the incremental year-by-year improvements that all good companies grind out. Other sustaining innovations are breakthrough, leapfrog-beyond-the-competition products. It doesn't matter how technologically difficult the innovation is, however: The established competitors almost always win the battles of sustaining technology. Because this strategy entails making a better product that they can sell for higher profit margins to their best customers, the established competitors have powerful motivations to fight sustaining battles. And they have the resources to win.

Powerful words.

Apple iPhone if clearly a sustaining innovation, using Mr. Christensen's terminology. And if he's right, the dynamics of innovation are on our side. Let's see what we can do :-)

Question: aren't you tempted to do at least some mockery?

Yes, I'm tempted. For example, I would like to quote what my favorite venture capitalist thinks about "1% strategies". But I won't. Apple has created a remarkable product, i.e. something worth making a remark about. I like to have such a worthy competitor around - makes things more interesting around here.

Watch this space.


Permalink |

Comments

Tommi... This is a really nice and diplomatic article ;)

I'm too curious to see what will happen to the open platforms and how close Apples platform will stay since they only do this to "protect the network operators" as Mr. Jobs states.

Alex2

Posted by: alex2 | January 12, 2007 03:05 PM

Or, for those that *do* want a chuckle and a scathing write-up, see our own Ewan's piece - "Introducing the i7650"....

http://www.allaboutsymbian.com/features/item/Just_One_More_Thing_Its_the_i7650.php

8-)

Steve

Posted by: Steve Litchfield | January 12, 2007 05:55 PM

Ciao

I pleyd too on this review game for the iPhone, my thoughts is Apple MCNO:
http://www.biskero.org/?p=1062

Alessandro

Posted by: Alessandro | January 12, 2007 07:43 PM

Tommi, thanks for responding to my request! It is along the (thoughtful and very much agreed-by-me-too) lines I expected.

--Jari

Posted by: Viipottaja | January 12, 2007 07:46 PM

Nice theory about sustaining innovation and how the established competitors win... I guess that was what Creative, Sony, Rio, iRiver etc. thought when the iPod thing started. :o)

Posted by: Sebhelyesfarku | January 12, 2007 09:03 PM

One thing I find quite surprising about the whole iPhone discussions I have read over the last few days is how many compare it to S60, and how few compare it the Nokia N800 internet tablet, which in my view seems to be a much closer match in many respects: touchpad, few keys, much higher screen resolution, emphasis on web browsing experience. [btw: I am a bit surprised that the N800 still uses Opera rather than WebKit as its browser engine - funny to see that iPhone and S60 would share the same browser, while the N800 is the odd one out in this regard.]

Of course, the N800 does not have built-in GSM connectivity, but overall I would personally expect a potential Nokia entry for the title of "iPhone-contender" to come from the Maemo camp rather than the S60 segment.

Posted by: Marcus Groeber | January 13, 2007 08:46 PM

My opinion? I have none... simply because it isn't something that would interest me. When asked this question at CES that was my reply. You can't force someone to judge or make an opinion if they are totally not interested in the device.

I will say this much... I'm glad that its finally out because this will get rid of months and months of rumors and Google searches!

Posted by: Darla Mack | January 13, 2007 08:50 PM

Looks cool but... I was always a dedicated Nokia fan thru many years but went across to the dark side and succumbed to Blackberry a couple of years back. I have recently returned to a Nokia E61 for one major reason - the fundamental thing I need from a phone is sensational phone quality. I get that from Nokia but not BB(plus I love lots of the other E61 features). I wonder how Appple will go in that space???

PS - I do travel to lots of places in Africa, S America and Australia

Posted by: Gaz | January 15, 2007 01:14 AM

> Nice theory about sustaining innovation and how the established competitors win...
> I guess that was what Creative, Sony, Rio, iRiver etc. thought
> when the iPod thing started. :o)

Well, I wouldn't call them established, because the mp3 player market was still in its infancy when iPod thing started. Just compare current music player sales volumes with the volumes in 2001 (when the first iPod was launched).

On the contrary, the overall mobile phone market (as Mr. Jobs defines it) grows relatively slow, and there are quite powerful established players.

Anyway, it'll be interesting to see how everything will eventually play out.

Posted by: Tommi Vilkamo | January 15, 2007 10:35 AM


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