Friday, December 15, 2006

The iPHONE??


I personally think that Asians are the largest consumer demographic of cellular phones and that we are the most frequent purchasers of them. Especially when it comes to a new model product launches that come out on the market. And what do jooksings do to be the coolest cats on the block? What we do is we always get it before that phone is ever released in North America because we always know someone going back to Hong Kong, or if we don’t we just go to Ebay (Did I mention that I overpaid like 10 times for my Razr)!

On that note, I thought I’d have to talk a little bit about the buzz product of the industry. Apple’s iPhone. No one has seen this phone yet and no one is even sure if it even exists. But the buzz in the industry is that Apple is developing its own phone that will be compatible for their iTunes. Their first iTunes capable phone was produced by Motorola, their “Rokr” model. It didn’t sell very well, nor had too many positive reviews. Could this have been a marketing tactic by Apple? I mean, release their iTunes capabilities (its just software) with an industry leader in the market (Motorola pays for the hardware manufacturing costs), get poor reviews, and have consumers begin demanding/expecting Apple to just come up with their own product that looks and operates better? My opinion….hell ya it was planned! Who doesn’t want to drive up consumer anticipation for a product, and have a growing demand for it so when the product finally comes out…it fly’s off the shelf! We see it all the time with technology gadgets…AHEMM-PS3! WHE-WiiEEE! Cough cough!

Industry experts feel that Apple faces a challenge because in North America, cellular phones are purchased usually through the service providers opposed from directly from the manufacturer. The article also notes that the possible introduction of the iPhone would effect iPod sales. That’s what Darren Chervitz says (he’s the research director at Jacob Asset Management so he definitely knows what he’s talking about).

Disclaimer: I do not own Shares in Apple (Although I should have….dammit met my broker too late!!)

Personally, I think Apple should do this. Launch the iPhone in Hong Kong/Asia. Everyone Asian will buy the next thing….I mean I know people who have an MP3 player, Ipod, Ipod Nano, and now an Ipod Video, at the same time they also own the Motorolla Razr, the Slvr, the Sony Ericson camera phones, and even the Newest Motorolla V3i (compatible with iTunes & video capable) (they’ve purchased all these in the past 2 years by the way…no joke…they really do have these). As for the challenge of jooksings getting their hands on this phone before it comes out here in North America,…it is NO challenge! Hellooo! Chinese New Year coming up! There’s like only 2 degrees of separation of knowing someone going back to Hong Kong in the next 2 months. But really, do I believe iPod sales will decline? Nope, none at all. By the time the phone hits North America (if Apple follows my strategy here *wink*) Apple should be selling more iPod Video’s than their Nano’s!

What do you think? Am I wrong on this one? Or do Asians really only care to use that same free phone offered by the service providers (great tactic by the providers by the way)? I think not…but what do you think? Leave a comment or two. Or let us know if you will be going to Hong Kong soon…maybe the iPhone will be released by then and you can hook me up!
Owen Ma