The Next iPhone: Are We Ready for 4G?

When the fanfare of the iPad launch begins to diminish, eyes will begin to look to the fast approaching summer and seek an updated iPhone. Though rumors of the iPhone 4.0 OS are circulating, there’s been little talk about what could be next for the iPhone hardware. Will it take design cues from the iPad with an aluminum enclosure, though that would feel in some ways to be a step backwards? More importantly, is the time right for the iPhone to take the leap to 4G?

A Bit of History

Three years ago when the handset launched, the iPhone was a 2G device. As a quick bit of history to what all of these G’s mean, Wikipedia offers the definition that the naming conventions “generally refer to a change in the fundamental nature of the service.” For example, 2G represented the switch from analog phones to digital ones (the iPhone was never analog). 3G brought multimedia support (recall how the iPhone 3.0 OS didn’t bring MMS support to original iPhones). True 4G networks represent all IP packet switched networks and as a result, consumers benefit from increases in data speeds.

3G is based on two parallel infrastructures of circuit-switched and packet-switched networks. To get a quick idea of the difference, a circuit switched network involves securing a circuit from the origin to the destination. Packet switching involves segmenting the comment into individual packets that can be routed individually (and even take different paths) to reach the destination where they are then reassembled in order. From a technical perspective, this is a much better utilization of resources as capacity isn’t wasted on circuit switching when the circuit may not be in continuous use.

The general idea behind 4G is to provide “a comprehensive and secure all-IP based solution where facilities such as IP telephony, ultra-broadband Internet access, gaming services and streamed multimedia” can be provided to users. Pulling this off, however, involves meeting standards set forth by the International Telecommunication Union. To be in compliance and really be operating at 4G standards, the cellular system must have “target peak data rates of up to approximately 100 megabits per second for high mobility” like mobile access and up to 1 gigabit per second for low mobility, like local wireless access. That’s a very high bar compared to current standards, even compared to what most of you probably have for broadband at home.

The Road Ahead

On the road to 4G, you might encounter something called 3GPP Long Term Evolution (LTE). Though it technically doesn’t comply with all of the 4G specs (mostly in terms of speed), you’ll still see this branded as 4G. Since last year, that’s where most networks have been headed. LTE promises to bring some speed improvements (and hopefully latency improvements too, as that’s a big issue that really affects how the true speed is perceived).

With the increase of iPhone users on AT&T’s network in the U.S., there are places across the country where strains are felt during heavy usage times. This reality mixed with the expensive cost and rollout of 4G service means that carriers will continue to invest in their 3G networks, which is a win to everyone. In fact, iPhone 3GS users are capable of taking advantage of the HSPA 7.2 megabits per second speeds if in a compatible market. Trials for this began last year and the technology is still being rolled out over this year.

AT&T announced in February that its next-generation 4G network wouldn’t be available until 2011, though trials would begin later this year. So will the next iPhone be the iPhone 4G? Most likely. The iPhone 3GS was released before AT&T’s networks had upgraded to offer the faster speed and I predict a similar case with this year’s iPhone model. Will Apple call it the iPhone 4G? Especially considering there aren’t plans for a 5G or 6G network in immediate future? That remains to be seen but if I had any say in the matter, I’d prefer it to just be called the iPhone.

 

http://theappleblog.com/2010/03/22/the-next-iphone-are-we-ready-for-4g/

Flurry: iPhone Games Are A $500 Million Industry In The U.S. And Taking Share

If you look at the top paid and top grossing apps in the iTunes App Store, the Games category dominates. People pay for games, but exactly how much do they pay? A new report coming out later today from mobile app analytics company Flurry puts a number on the iPhone/iPod Touch videogame industry. In 2009, Flurry estimates that $500 million worth of games were sold through the App Store in the U.S., up from $115 million in 2008. Compared to the overall U.S. console and portable videogame market, the iPhone/iPod Touch now represents 5 percent of total videogame sales. (These figures include console games such as PlayStation and Xbox, but not online or social games). Games represent 37 percent of Flurry’s total U.S. App Store 2009 revenue estimate of $1.36 billion.

In just the portable videogame market, the numbers are even more stark. The iPhone and iPod Touch are making serious inroads against the Sony PSP and Nintendo DS. Games running on the iPhone OS went from 5 percent of portable game revenues in 2008 to 19 percent in 2009. The iPhone OS took 9 points of software revenue market share away from the PSP last year (which went from 20 percent to 11 percent) and 5 points from Nintendo DS (75 percent to 70 percent). It is eating up the portable games market.

There are 30,000 games on the iPhone and growing. If you are a gamer and already own an iPhone, you have to be pretty dedicated to also carry around a PSP, Nintendo DS, or some other single-purpose game machine. When it comes to mobile gaming, fully-featured, general-purpose computer phones are hard to beat.

 

http://techcrunch.com/2010/03/22/flurry-iphone-games-500-million/

First Looks: Magazines on the iPad

Last week, a video of online magazine VIVmag's iPad app made the rounds on the web. Featured in The New York Times as a taste of digital reading's future, this extraordinary, interactive video-infused 'zine was beautiful to watch, but left many others questioning if the expense of creating tablet-ready content like this was actually feasible. For some, that answer - surprisingly - may be yes. According to Jeanniey Mullen, CMO of the magazine's distributor, Zinio, the cost was not as expensive as you may think - it was "not even $100,000," she said. But $100 grand to create one copy of an online magazine? That's far beyond the reach of many micro-publishers. And yet, for them too, the iPad introduces the possibility of reaching a wider audience than ever before.

According to the Times article, the VIVmag iPad version will continue to feature interactive content and video in every issue. For them, it's less of a problem to do so than it would be for other publishers. Although the costs of hiring models, filming against a greenscreen and editing video may seem exorbitant, VIVmag was already an "all digital" magazine from the start. Creating their digital content costs approximately the same as creating a normal print magazine - they just employ different people to do the digital version of the analog jobs. Much of the magazine is templated, too, allowing the company to reuse the same basic structures to display new content in later issues.

VIVmag received quite a bit of press - almost as much as Wired did for their so-called "iPad app." But Wired's app isn't iPad-ready just yet. Built with Adobe AIR technology, the app won't run on the iPad in its current state due to Apple's policies. Still, both of these high-end creations demonstrate the potential for all-digital magazines on the new form factor of the tablet PC. However, incredible tablet-based magazines like these won't be limited to publishers with big budgets.

Magazine with Music Downloads and More

Take, for example, Digital Americana, an interactive literary and culture magazine made especially for the tablet experience. Like VIVmag, Digital Americana will also mix in video with their other content. In fact, they'll offer articles, graphics, videos and music plus extra, downloadable content included in the per issue price.

Part of the magazine's content lineup for their first issue will include exclusive author interviews, a featured musician with playable music tracks, a filmmaker interview and their award-winning short, a featured animator with exclusive commentary, a playable cartoon, five pieces of chosen fiction-reading from American writers and "bonus extras."

From the interactive table of contents, accessible from anywhere in the magazine, you can navigate through the available sections. A quick layout view lets you hop from page to page and you can choose to scan the magazine in landscape mode, too, if desired.

Not Just a Magazine, a Tool Too

The online designer community, Mobile Love, is also turning their niche resource into an iPad "magazine" app. Not only will their iPad app include video alongside the magazine's text, it will offer an included iPhone wireframing tool, which can be used to create iPhone applications. After designing an app, there's a button at the top which will allow the designers to request a quote from a developer if they want to have their application built. (You can see this in action in the video demo here.)

Blogs Become Mags

Video-enabled, highly interactive magazines aren't the only types of new magazine experiences coming to the iPad, either. Another developer has the idea of turning your favorite web blogs into your own, custom digital creations. Called "Blogazine," this new iPad app will let you virtually flip through blog articles in chronological order.

The concept is easy to grasp - blogs become magazines. From a centrally located button, you can tap to change from one blog to another. Another feature lets you quickly share an article on Facebook or Twitter. The app will soon arrive for the iPhone too, but it's on the iPad where it will really shine.

Can't Build Your Own iPad App? Zinio Does It for You

For publishers big and small who, for whatever reason, can't or don't want to build their own iPad or tablet application in-house, digital magazine distributor Zinio will be introducing an iPad application which provides readers with easy access to digital subscriptions and an online "newsstand." The company, which has been around for a decade now, got started by offering magazine reader software for desktop computers. Now that the mobile revolution has taken hold, Zinio has expanded their offerings to include subscription and reading experiences for magazine customers which are accessible no matter what device you use: Mac, PC, iPhone, web or mobile web and soon, iPad, plus - who knows? - maybe one day Kindle, too. Zinio's goal is to make it simple for publishers to get their content out there on any form factor, screen size or platform.

To get an idea of what these iPad mags could look like, check out National Geographic's latest issue: "Water: Our Thirsty World." According to the NatGeo website, this edition features the "complete content from the print edition, plus extra photo galleries, rollover graphics that animate features like maps and time lines, video profiles of photographers who contributed to the issue, and other interactive features." When the iPad launches, it will also have the same interactive content as is available now in this digital edition, explains Mullen.

Another Zinio partner preparing for the iPad is Sporting News, a multimedia company catering to sports fans. Their newly announced iPad app will have interactive full scoreboards, stats, rotating image galleries, sports video highlights from CineSport and guest columns from athletes, coaches and industry executives. Other benefits of the iPad platform include search, bookmarking, clipping and social sharing to sites like Facebook and Twitter.

iPad: Magazines Transformed?

While these iPad magazine demos are exciting to look at, there's one big question hanging over everyone's head: can the iPad save the flailing magazine industry? For companies like Zinio, the hope is to encourage advertisers to buy across multiple magazines based on categories, instead of just sticking with the most popular print titles. Kia recently did just this and placed their TV ad in 45 copies of Zinio's digital mags. This cross-platform digital buy was the equivalent of one print buy in a physical magazine. But this makes us wonder: will this be enough income for digital publishers to thrive? It's too soon to tell, but in the meantime, we're about to discover a whole new way of reading.

 

http://www.readwriteweb.com/archives/first_looks_magazines_on_the_ipad.php

Average Price for iPhone Apps Keeps Falling

According to a new report from app store analytics firm Distimo, the average price for the most popular iPhone apps worldwide dropped 15% between December 2009 and February 2010. The price for the most popular iPhone apps in Europe is higher than anywhere else in the world. While the average price for popular apps in North America is $2.43, European iPhone users pay an average of $3.86. Given the different pricing tiers, strategies and tastes across countries, it's hard to fully explain these price differences, but it looks like iPhone users in North America are more price sensitive than users in other countries.

Turn-By-Turn Navigation Apps

No matter the country or continent, navigation apps always represent the most expensive app category. Here, too, Europe leads the charge. According to Distimo, this can be explained by the simple fact that almost all the popular navigation apps in Europe cover different regions (TomTom Western Europe, Eastern Europe, UK, etc.). This skews the average price compared to the U.S., where a number of $0.99 cent apps like MotionX GPS Drive and the MapQuest Navigator are very popular and where companies like Navigon have only recently started to sell regional versions of their navigation apps.

Some Caveats

We should note that we aren't quite sure how and if Distimo adjusted its stats for currency fluctuations. In an email to VentureBeat, Distimo's founder Vincent Hoogsteder also noted that turn-by-turn navigation apps "raised the average price in December, so that the current drop is more of a correction."

Given all of these caveats, we have to take this data with a grain of salt, though its clear that the average price for the most popular apps in Apple's app store continues to fall. For developers, the constant decline of the average price for an iPhone app must be somewhat unsettling. Even though prices have fallen since December, however, Distimo's report also shows that prices have remained relatively stable since January.

 

http://www.readwriteweb.com/archives/average_price_for_iphone_apps_keeps_falling.php