Free iPhone 3GS Could Be AT&T's Savior and Secret Weapon - Even They Were Surprised

The iPhone 3GS is more than two years old.  And yet, it continues to wreck havoc on the mobile landscape.  And now, with the iPhone 3GS free with a two-year contract, it is apparently selling so well that AT&T is out of stock.

According to AT&T during its financial call, “we have another device that I think is going to dramatically change those people that are on smartphones and quick messaging devices, the [iPhone] 3GS, which is free with a 2-year contract. We’ve seen a tremendous, tremendous demand for that device even though it’s a generation old. And actually, we’re getting more new subscribers coming on the 3GS on the average than other devices. So we also have an inventory sold out on that device.”

Yup, out of stock.  And get this.  The iPhone 4 and the 3GS were responsible for more than 56% of AT&T's activations in the last quarter - a quarter that Apple has said which the sales of iPhone were affected by the rumors of pending upgrade from Apple.

That was at a time when the 3GS was still $99.  It was not until last week that the 3GS went free.

I don't know just how big of a quarter that Apple thinks it'll have this Christmas.  The 3GS maybe 28 months old, it bought off the Palm Pre, dozens of Android devices (some made to look like the 3GS to confuse customers), start the slow downfall of the Blackberries, and kept Windows Phone with a couple of percentage of marketshare.

Apple decide its tenure isn't over yet. And why would Apple retire it?  The 3GS does not have the most impressive specs anymore.  But when it comes to providing actual mobile computing experience, it still has a lot to offer.

The iPhone 3GS is capable of running the iOS 5.  Obviously, it won't run all of the new iOS 5 features but it will benefit from some of the iOS 5 improvements.  My question is will it be able to run iOS 6?

And what new features can it continue to benefit from future iOS upgrades? However, judging by the folks who are buying the 3GS, I'm not sure they care to have all the latest and coolest bells and whistles.  They now have an iPhone.

And as Steve Jobs once said "It's like giving a glass of ice water to someone in hell".

Via Cult of Mac,

First iPhone 4S Commerical - It's About Siri, Obviously.

Here is the first iPhone 4S commercial from Apple. Obviously, it's about Siri.

It's good but I think it doesn't tell a story like some the FaceTime commercial but it was able to deliver the message about Siri.  You don't hear from Siri until the end of the commercial.




Don't have an iPhone 4S and you're on the fence?  Does this commercial convince you?

Source:  Mac Daily News, Appleinsider.

Location-Based Services With Friends Could Be Fun - If You Avoid All A Sense of Creepiness From The Service Providers

I wish I had this when I was in high school.  Checking in, broadcasting my locations to my friends, find out where my friends are, and generally socializing with them over our mobile devices.  I think I was sociable enough when in high school and college that I could get a kick out of this.

I started thinking about this when I was using Find My Friends and Latitude with Dave the Mobile Sage, my brother, and a couple of other friends.  It was fun because I trust these folks.  And when my mom gets her updated iPad 2 next week, she'll be able to check up on her adult children to know that they are safe.  Mom are that way and always will be.

Obviously, there are times when you don't want people to know where you are at all times so you can hide from them if you like.  The settings for both of Apple and Google's services are easy enough.  What you kinda have to worry about is if you forget to play with the settings.

More at Greenjava.

iCloud: Others Have Done Cloud But Apple's Ecosystem Is Going To Be Where Cloud Takes Off

We are starting to see some signs of life with iCloud integration.  I don’t mean just with Apple’s apps like Mail, music, or photostream.  Nor am I talking about Pages or Numbers.  It’s the third party apps that are starting to come out that is interesting and I figure Apple’s iCloud could be huge for the app market.

There is Remember the Milk and Goodreader, two apps, that I can think off right off the top of my head.  I’m sure there could be other docs related apps that will take advantage of the storage feature in iCloud.

Personally, I’m looking for a way to upload videos that I take.

And looking through my list of apps, I can see a few that I would like to have immediately.  I have a few art apps like Brushes and Sketches that I sometimes like to dabble on.  Wouldn’t it be nice to be be able start start something in the iPhone and move it over to the iPad or desktop version?

In some ways, I iCloud is an extension of what I already can do with Evernote and Springpad but I want it for more than just text syncing.

If want create something on Garageband on the iPad, I also want to be able to see it immediately on my Mac.

And that is the essence of iCloud after all.  And furthermore, some people might noticed that some of their mobile app versions are a bit dumbed down than their desktop apps.  It’s the developers fault.  And if they want iCloud syncing, they need to make sure parity of features is essential.  Otherwise, it makes no sense for an user to create a file and not be able to fully edit it on their iOS devices.

In looking at my list of apps that I’ve bought over the last two years, I can see other examples where developers can integrate iCloud with their apps.  And what’s cool is that Apple is givng developers an opportunity to push mobile use in a new direction.

I can’t wait to see what we’ll see in the coming months.  In fact, I've got a brilliant app idea where iCloud could play a crucial role. Of course, I need to learn to create an app first.

Note: If you're on iOS 5 or Mac OS X 7.2, you really need to register for an iCloud account.  It's free and you've got nothing to lose.  You'll begin to see what I'm talking about here.

My Own Earnings Prediction For Apple's 1Q 2012 (Oct-Dec)

Earlier, I said would come up with my own estimates for Apple's current quarter earnings.  The reason I am doing this is because I want to prove just good or bad my numbers compared to the overpaid Wall Street guys who have been so clueless about what makes Apple tick - they've miss massively by underestimating Apple.  But what's different about this past quarter is that they got ahead of themselves and ended up punishing Apple for it.

By the way, you know that guy who stuck with his prediction that we'll seen an iPhone 5 just a day before Tim Cook and company denied him? I focused on this dude because not only was he so boldly wrong, he came back the following week to make more predictions about Apple bringing a smaller iPad to compete with the Kindle Fire. His name, Brian White of Ticonderoga Securities, was off and historically, far worse than his peers.

Before, I give my numbers, let's examine White's.

• Apple earned $28.3 billion - White went with $30.78B
• Apple sold 17.1M iPhones. White went with 21.97M iPhones
• Apple sold 6.6M iPods. White went with  7.16M iPods
• Apple sold 11.1M iPads. White went with 15.56M iPads
• Apple sold 4.9M Macs. White went with 4.24M Macs.

Dude did not come close in any category.  I don't know where the dude gets is earnings estimates from but I know this.  My numbers cannot be worse than his.

For next quarter, Apple said they'll make $37 billion, and that was above Wall Street estimates. And since I'm new at this, you'll have to allow me a small range to start.  I'm going with:

• Apple to earn between $41.4 to $42.5 billion
• Apple to sell 30.4 to 34.8 million iPhones.
• Apple to sell 14.5 to 15 million iPads.
• Apple to sell 5.2 million Macs.
• Apple to sell 15 million iPods.

So, keep those numbers hand and we'll see just how my numbers (figuratively pulled out of my "you know") are compared to these "professionals".  For the record, White thinks Apple will only come in with $37.9 billion.

Note:  As for the smaller form factor iPad - I've been advocating this for a better part of a year.  And so have many others.  So if and when Apple does come out with a sub-10" iPad, I'll mentioned that White was in the right.  Of course, it's like they said - a broken clock is right twice a day.

Another Note:  I reserve the right to play with my predictions as news becomes available, just like the analysts do.  In particular, we don't know when China will get the iPhone 4S yet.  China is Apple second most important market.

Apple and Google’s Billions In The Bank – It’ll Stay There, Microsoft and Others Likely To Do the Same

One of the thing that Apple, under Steve Jobs’ guidance, is its uncanny ability to be so surgical in its where they put their innovative energy and what specific technologies to innovate and bring to the market.  At the same time, this uncanniness also extends to its ability to time it just right to bring the technology to market.  Which brings me to the $80+ billion that Apple has stashed away in various accounts and long/short-term investments.

While some companies have caved into pressures to buy back stocks to boost values or to give some of that money back for whatever reasons, Apple has resisted this call.  And as a mobile fan, you have that to continue.  No money for stock buybacks or dividends.  Some today but in today’s heated war in computers and mobile, you want companies to build up huge war chests to go after opportunities.

This goes for Google as well as Microsoft.  Google isn’t issuing dividends or giving money back to the shareholders in other ways.  I predict that Microsoft will probably stop doing it for a while.  They need their billions and here’s why.

For all those who are clamoring for Apple to open up its wallets, they simply don’t get it.  What Apple, Google, Microsoft, and others are doing is fighting for not only specific markets.  It’s not only about mobile dominance.  It isn’t trying to get ahead in the video or music market.  Nor is it about clouding around with new server farms or apps.

It’s about fighting to shape the future.  This is the vision thing that everyone says Steve Jobs is so good at.  This is about Larry Page’s vision for the future surrounding Google’s webapps.  It’s also whatever vision that Microsoft has.

I have had some personal experience in this matter.  Our businesses issued dividends to our partners from time to time but those are quite rare. We build up cash and when needed, we invested them in difficult times, to secure supplies and our positions in the market, and always knew that when opportunities presented themselves, we could always seize the moment.

This is the same for my personal finances.  So, I get why these tech giants are doing with their cash.  I just don’t get why the “always wrong” and overpaid Wall Street guys don’t.

As China Become A Bigger Mobile Computing Market, Look For Their Influence On The Rest Of The World's Mobility

Apple CEO Tim Cook said the obvious during Tuesday afternoon's financial call with analysts:  China is huge.  It is now the second biggest market for Apple outside of the United States.  For Apple, it means sustained growth and greater demand for its products.

For mobile warriors outside of China, look for this to influence how Apple and other companies design their porducts to cater to Chinese mobile warriors.  And I think that will end up trickling down to the rest of us.  For instance, the QWERTY keyboard has such an influence on the world that it is difficult to imagine using anything else.

Apple has a layout that allows user to write in the Chinese characters with their finger.  I think other companies like Microsoft could conceivably do the same or allow the use of a stylus.  And obviously, dictation with greater access in iOS 5 will move things along.  Google has done quite a bit with Translate, the mobile app that allows users to type in words for direct translations.

And more than that, app developers will increasingly take notice of who their users are and cater them accordingly.  Already, the app market in China is one of the biggest in the world.

On top of that, launch schedules can be greatly influenced by China's growing mobile market.  I fully expect Apple, Samsung, and, in particular, HTC to grant greater emphasis on China.  In the past, mobile devices would not make their ways into China until months to even a full year after they've been launched in the US and elsewhere.  You can bet on that to change.