Wall Street Journal Claims Verizon Gets iPhone

The Wall Street Journal has published an article claiming that Verizon will announce the release of Apple’s iPhone on their network at an event Tuesday. In fact, Verizon has announced a special media event for Tuesday, January 11, 11 AM Eastern. This is a pretty strong claim to make by a respected news source. Add the fact that Verizon did schedule an event in a style reminiscent of Apple, and this seems to be very credible.

Now the questions are how much will Apple be involved in this event, including will Steve Jobs make an appearance, and when will the “vPhone” go on sale? Given the fact that Apple has instituted a vacation black-out for its employees, it seems likely that the phone will go on sale towards the end of the month. Like I said prior, this should be an interesting few weeks.

Something is Up Apple’s Sleve

So it appears that Apple has declared a vacation blackout for the last week of January and first few weeks of Februrary. Then AT&T announces they have cut the price of the iPhone 3GS in half. Perhaps this is a total coincidence, but it does seem oddly timed. Regardless, this is shaping up to be an interesting few weeks ahead.

Apple Predictions

A market research analyst gave some predictions on Apple today. Here are some highlights:

  • 95% chance of iPhone on Verizon, expected in March
  • 90% chance of iTunes Cloud Service
  • 5th Generation iPhone with “near-field communications” (NFC) capability

Will we see these predictions come through? Happy new year!

How To Do Nothing, Yet Screw Up Everything

So the FCC voted to implement some “rules” in the name of “net neutrality”. Note that these FCC “rules” are not “laws” because they were not passed by elected representatives. But even though just 3 unelected bureaucrats voted for these rules, they can be enforced by government agents with guns. Just a little food for thought.

In typical political fashion, the passing of these rules managed to please almost no one except the politicians that backed the rules. Those opposed to government regulation of the Internet are obviously displeased. But even proponents of government regulated net neutrality aren’t happy with these rules, claiming they don’t really do anything. Yet, of course, those on the FCC that proposed or voted for these rules claim that they’ve just saved the Internet. This is even though most people have never heard of net neutrality or have any fear of the terrible things that the FCC claim were threatening the Internet.

So note this day in history. It is either the beginning of the end of the free Internet as we knew it – or the start of a revolution against government regulation.

Bureaucratic Nonsense

According to news reports, the FCC is set to pass a controversial (and likely unconstitutional) set of “rules” regarding the regulation of Internet access in the name of protecting “net neutrality”. As I wrote about in my previous article, I find that any regulation of the Internet will begin a slide down a slippery slope of ever increasing government intervention. However, a quote by an FCC commissioner shows just how out of touch some politician/bureaucrats are.

Michael Copps, said FCC commissioner, stated that he wanted to ensure that the Internet “doesn’t travel down the same road of special interest consolidation and gate-keeper control that other media and telecommunications industries — radio, television, film and cable — have traveled.” He concluded, “What an historic tragedy it would be to let that fate befall the dynamism of the Internet.”

Interesting. I wonder why radio, television, and cable have not been so “dynamic”? Could it be … oh, I don’t know … GOVERNMENT REGULATION? So this guy wants to “protect” the Internet from the fate of the other media by regulating it in the same way the other media was regulated? Yeah, let’s take something that has flourished just fine without regulation and smother it with government “protection”.

I think we all need to protect the Internet from brainiacs like this guy.

Force is NOT Neutrality

The issue of “Net Neutrality” is one that I’ve been personally grappling with in my mind for a long time now. For those of you not familiar with the term “Net Neutrality”, a very quick explanation is the idea that Internet providers should not be able to restrict their users from any content on the Internet. For a more thorough explanation, please search Net Neutrality on Google.

I certainly agree in principle with the idea of Net Neutrality. I personally want complete and unrestricted access to the entire Internet. I would not appreciate an Internet provider restricting what I can see on the Internet, or prioritizing traffic in a way that negatively affected my experience. However, I can not agree with the idea of having government enforce Net Neutrality on Internet providers. Especially if the regulations were created by an unelected bureaucracy such as the FCC.

The danger in having government regulate the Internet should be apparent. Unburdened by the suffocating interventions of government, the Internet has simultaneously become both the greatest marketplace in existence and the most extensive source of information the world has ever witnessed. It is this free-flow of information that makes the Internet what I believe to be the greatest tool of freedom mankind has known. It is precisely this freedom that Net Neutrality proponents want to protect. But in a panic to protect these freedoms, some Net Neutrality proponents believe they should try to use the brute force of government to achieve this goal. They may not realize however, that once you let the government fox in the hen house, you’ll likely never get him out.

Asking the government to regulate Internet providers, even in the attempt to keep the Internet free, opens the door for further regulation. That future regulation may not serve to keep the Internet free. Net Neutrality proponents may not see it that way now, but rarely does any group take the time to consider that the tide of big government rolls with those who control it. Once we’ve allowed the government to regulate something, we’re allowing anyone with future control of government to regulate it in any way they see fit. Their agenda could be directly opposed to our intentions. And once the government has begun regulating something, rarely will they willingly give up their regulatory power.

The struggle in my mind has been satisfying my desire to ensure a free and neutral Internet but doing so without the involvement of government. It took me quite a while to fathom a way to do this, but a recent article gave me some clarity.

The company OpenDNS, which I personally use and recommend to many of my clients, was featured in an article where they claim the Internet provider Verizon is already blocking their service. I’ll allow you to read the article to find out the details of what OpenDNS is claiming, but basically OpenDNS believes Verizon wants to block their service so they can monetize DNS queries for themselves. They want the FCC to stop ISPs like Verizon from being able to do this. Verizon claims they are not blocking OpenDNS, however, so this makes for a very unclear situation.

What I don’t understand is why companies like OpenDNS can’t see that preserving Net Neutrality is something that can be done in the same spirit of freedom as the Internet itself. Hardly does a single, heavy-handed government “solution” work well. However, free people working together can develop many ways to solve problems. I can think of a few options just off the top of my head.

One very simple thing that OpenDNS can do to preserve themselves is to make their service so valuable that their customers would fight on their behalf. Any company that is trying to give their customers the best products and services possible is already 90% of the way there. If customers depend on a company’s services, they aren’t likely to sit idly by if someone tries to stop them from using those services. If certain ISPs start to block external DNS services like OpenDNS, then their customers might take their services to other ISPs.

OpenDNS could also partner with ISPs and share profits. There could be so many ways to do this that I’ll leave it up to the imaginations of the companies involved to figure out the details.

I really think that Net Neutrality proponents could do a lot more good by devoting their energy towards public education. Ultimately if customers are educated enough on the concept of Net Neutrality, they will demand it from their ISPs. Watchdog groups could monitor the ISPs and provide the public with reports on their openness. It really doesn’t seem all that hard. Worst case, if ISPs really believe they could gain additional revenue from offering non-Net Neutral services, they could offer those services at a lower cost. The market would then decide which services they want, not some bureaucrats in Washington.

The good news is that the status quo is currently Net Neutrality. It would take quite an effort for ISPs to undermine this, even more so if Net Neutrality is a concept that most customers have been educated to adopt. I believe it would take the cooperation of nearly all the ISPs in the country to decide to simultaneously undermine Net Neutrality. This would be highly unlikely. First, I can’t see where the ISPs would think that the effort required to undermine Net Neutrality would be profitable for them. Second, the level of trust and cooperation required would need to be so precise and well-coordinated, it is hard to believe that so many companies could pull it off. If any ISPs wouldn’t cooperate in this grand conspiracy, they would have the advantage of being able to offer Net Neutral services to their customers. I don’t think ISP’s trust each other enough to believe this wouldn’t happen.

In summary, the rush by some Net Neutrality proponents to have government save the Internet looks a lot like a tempest in a teapot. The greater crime would be to get Big Brother get their foot in the door now and get used to the taste of Internet regulation. I’d much rather take my chances with the multitude of privately-owned ISPs that have an incentive to keep competing with each other, than to let big government get their hands around the neck of the Internet. Don’t let the snake inside the proverbial garden. We all know how that turns out.

You Wouldn’t Like Me When I’m Angry

What follows is a simple example of why, in my experience, most people who own Apple iOS devices (iPhone, iPod Touch, iPad) claim they “love” them, while most owners of Android devices are ambivalent at best about their devices.

Let’s say you wanted to play the super popular game Angry Birds. If you own an iOS device, *any* iOS device including the first iPhone or iPod Touch, you can download and play Angry Birds from the Apple App Store. You do need to make sure your device is running version 3.0 or higher of the iOS software. But you likely are already running version 3.0 or higher because the upgrade process is suggested to users when they sync their iOS device with iTunes. The upgrade process, including a backup, is pretty automated and generally users just need to click OK a few times. However, if you need help with this process, you can call Apple’s AppleCare line, generally considered one of the best support services by any technology company.

However, if you own an Android device, buy a hat and get ready to hold on to it. First, you need to make sure that you don’t own one of the 17 devices that is not supported by Angry Birds, including some very popular devices such as the Droid Eris, T-Mobile G1, and HTC MyTouch 3G. Because there are so many different types of Android phones, developers have a hard time writing their software to work properly on all of them.

Also, you need to make sure you are running Android version 1.6 or higher. If you aren’t running version 1.6 or higher, you just need to follow a few “easy” steps (completely depending on which device you have) such as making sure you have all the vendor and carrier updates for your phone first, manually backing up all the data on your phone, making sure you have enough space on an SD card on your phone (you do have an SD card in your phone, right?) and making sure your phone is on a good Wi-Fi network. Oh and just so you know, depending on your device and carrier, you might be updating to the latest version of Android, 2.2, but not all phones and/or carriers support it, so you might be updating to version 2.0 or 2.1.

I hope your hold on your hat hasn’t loosened, because if you need help with all of this, you are the the mercy of “your friendly, neighborhood” tech support from your network provider (who doesn’t love calling their cell phone company!). If they run into any problems, they just might blame the phone vendor because the cell phone company doesn’t make the phone, they run the network. You might get lucky and get help from your phone vendor, but again they don’t make the software that runs on the phone, Google does. Of course, Google doesn’t provide support to end-users – that is the responsibility of the phone vendors or the network carriers.

Having fun yet? Or maybe you feel like one of the Angry Birds – smashing your head against a brick wall?

When in Rome …

A well-known security expert that works for the anti-virus company Sophos has stated that he uses Macs at home. While the fact that many high-profile technology experts own Macs for their personal use should really come as no shock to people who follow technology news, it could be quite surprising to the masses who still use Windows on their home computers.

Graham Cluley, a senior technology consultant at Sophos who also writes a well-read security blog for the company, was interviewed for a story on their new anti-virus software for Mac. In that article, the author was trying to determine if the software was really necessary, given that Macs are known for being resistant to viruses. Cluley stated that, “I use Macs myself at home. There’s no doubt that they are exposed to less of a threat than Windows PCs.”

Again, this shouldn’t be shocking news, but by Apple’s own study, Windows still has 80% of consumer marketshare. A lot of those 80% likely do not know the advantages of Macs in the security area. As I’ve written before, the virus problem on Windows is the “elephant in the room” for Microsoft and one of major reasons that Apple’s share of the consumer market has risen to 20%. If more people hear that high-profile technology experts are using Macs, especially those that work for anti-virus companies, that 20% will grow at a faster rate. As the saying goes, “When in Rome …”

Apple Music Events: They’re Not Just for iPods Anymore

Apple recently hosted their yearly “music event”. As expected, they introduced new iPods. However, this particular event had a lot of little nuggets of tantalizing information. Now that I’ve had some time to digest it all, I’ll be writing a series of articles on these nuggets. However, I thought I’d quickly touch on a few topics.

Steve Wozniak was in attendance. Steve Jobs seemed genuinely surprised and delighted. Does this have any significance? When was the last time Woz attended any official Apple events?

It’s interesting that Apple introduced printing into the upcoming iOS 4.2 update for November. My guess is they got enough complaints about the iPad not being able to print, especially from business users, that they added it into this update. I felt that by not including printing originally, Apple was trying to make a point that the iPad was in many ways a replacement for paper. Perhaps the world just isn’t quite ready for that yet.

Steve Jobs made it a point to emphasize that an iPod Touch is an iPhone without a contract. Why would he do this? If he was simply trying to make clear that the iPod Touch is an iPhone without the phone, it seemed like overkill. It also seemed like he slowed down and wanted to really drive this point home. Was Steve taking a jab at AT&T? Or was he swinging at the entire wireless industry? Or perhaps he was foreshadowing something else altogether.

Apple finally revived the Apple TV at this event. Which is somewhat interesting because Apple calls this their yearly music event. Everything else discussed at this event was music related, yet the Apple TV is obviously geared towards movies and TV shows. It simply could be the fact that this was good timing for Apple to release an updated Apple TV prior to the holiday shopping season. But it could also be a sign that Apple has finally figured out how they want to position the Apple TV. And maybe they feel the mainstream market is now ready to receive the Apple TV in earnest. The next few weeks and months should tell if Apple is really ready to take the Apple TV out of “hobby” status.

Steve Jobs also took a subtle swipe at competing devices. While discussing what consumers have taught them about the Apple TV thus far, he said, “They don’t want a computer on their TV. They have computers. They go to their widescreen TVs for entertainment, not to have another computer. This is a hard one for people in the computer industry to understand. But it’s really easy for consumers to understand. They get it.” This is a good point that I believe has relevance beyond the home media market.

When Netflix announced their app for the iPhone a few months back, I was a little surprised that Apple allowed it, since it seemed to compete with their iTunes movie service. So you can imagine my surprise when Apple themselves announced Netflix support in the Apple TV. Suddenly it seems Apple is very cozy with Netflix. What could this mean?

Finally, there seems to be some tension between Apple and Facebook over Apple’s new Ping social network. I noticed during Steve Job’s speech that Ping showed that you could log in with your Facebook ID. I even mentioned to my wife that this was a great move on Apple’s part. Yet the next day I read reports that this feature was not available. Sure enough, this feature was not available, even though it still mentioned FaceBook on Apple’s web site. Something interesting is going on behind the scenes and I can’t wait to find out what that is.

So stay tuned as I tackle some of these topics in more depth very soon.

Antenna-Gate Heating Up

Just the fact that it has been given a “-gate” moniker shows that the publicity regarding the alleged antenna flaw with the new iPhone 4 has reached widespread proportions. Already this week has been hot and heavy with iPhone 4 antenna-related news and today seems especially heavy.

It all started on Monday with Consumer Reports stating they can’t recommend the iPhone 4, even though it is their highest rated smartphone, because their testing shows there is a reception problem. This started off a renewed wave of interest in the story and the next few days were full of articles and bloggings giving opinions, suggested fixes, speculation on the possible problem, as well as conspiracy theories. On Tuesday Consumer Reports stated that they believed Apple should fix the problem for free, which then triggered outcries for Apple to recall the iPhone 4. There were even bookies giving odds on the probability of Apple actually doing a recall.

Today’s news is that an Apple engineer warned of a possible problem with the antenna early in the design phase. As well, reports are that current shipments of the iPhone are delayed possibly due to Apple deploying a manufacturing fix for the problem. Other reports are that iOS 4.01 may be released today, containing the signal strength indicator fix that Apple has promised. Finally, Apple has called a press conference for 10AM Pacific Time Friday morning. This of course, is just sending the press into a frenzy as they try to guess what might be talked about at this press conference.

As much as has been made of this problem, based on my reading I believe that there may actually be a problem – but at the same time it is likely being blown out of proportion.

Firstly, while there are many reports of the problem, there seem to be just as many people who are not reporting any problems. Of course, with the sheer volume of iPhones sold, even a small percentage of problematic phones could be a very large number. So the question is how many iPhones are actually affected? It will be interesting to find out the answer, if we ever do.

Consumer Reports’ testing seems to prove there is a significant signal loss, which they believe could cause dropped calls, if the phone is held in a certain way. Consumer Reports tested 3 different iPhones, which they claim they bought all in New York City, albeit at different stores. Of course, if those 3 phones were made in the same factory, then it could be that they found a flaw coming from a manufacturing flaw in a particular factory. It will be interesting to hear how Apple responds to Consumer Reports’ claims.

Finally, even with all the bad publicity, Apple is still selling the phones like hotcakes. Apple’s stock has taken a small hit, but many analysts are claiming that this is simply an opportunity for investors to get in on Apple stock while the price is down. There is the saying that “there is no bad publicity” and as long as Apple deals with the situation correctly, perhaps that saying will hold true this time as well.

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