Tag Archives: Steve Jobs

The iPad’s Disruption Of The Windows PC Market

Windows PC vs iPad
Chart via Horace Dediu

Now we can actually confirm that the day the iPad was introduced, Personal Computing changed forever.

Two years earlier, 2008 was the year of the netbook. Analysts would doubt whether Steve Jobs was right to dismiss netbooks when he insisted Apple would never launch one.

And once a gain his genius was spot on. In 2010 the iPad created a new category that made netbooks completely irrelevant. The rise of the netbook signaled a need for light computers with long battery duration and just powerful enough for everyday use. Now we know the answer was not going to be just a smaller PC.

The inevitable growth of broadband pipes and services in the cloud are a perfect fit for tablets, phablets and smartphones to become a more and more frequent replacement of laptops in our daily life. In emerging markets the leapfrog to wireless broadband and mobile computing is a reality. It will only accelerate the trend the chart shows.

Microsoft has a big problem with mobile and tablets. Windows 8 is a compromise to address tablets and desktops, but it is not working neither of them. Microsoft faces disruption in the personal computing space they used to dominate. Compromises have never worked well in face of disruption.

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Connecting the dots: Why the iPod changed the world?

Via Business Insider.

“You can’t connect the dots looking forward; you can only connect them looking backwards.”
                   Steve Jobs, Stanford Commencement Address, 2005

In 2006 it was clear that mobile phones and MP3 players would converge. Nokia, the smartphone leader at the time, already incorporated mp3 players in their phones. In Japan, KDDI had the most advanced mobile music service in the world, selling millions of songs per month downloaded from mobile phones.

For Apple, the iPod was at risk. At that time the iPod had become the product that had turned around Apple. iPods were more than 50% of Apple’s revenues in 2006 — see chart. Nokia was set to go for the iPod. Apple had to defend. The iPhone development was a matter of survival. Eat or be eaten.

Before the iPhone was unveiled in 2007, anyone would have bet that handset makers (and telcos) were in better place to win the race for the converged phone/MP3 player.
Few would have bet that a company with no experience in mobile would succeed to put a solid product in place so quick. In the early 2000s all main handset makers came from telecom vendors: Nokia, Ericsson, Siemens, Alcatel, Motorola, NEC coped the top of the charts. Even Sony had to join forces with Ericsson to play in the field. Microsoft venture into smartphones had given expensive and unstable smartphones after many years of experience with PDAs.

Then the genius of Steve Jobs made it. Leveraging on Apple’s core competency in making computers, they made a leapfrog. With no legacy to respect, unlike Nokia.

Today the iPhone is more than 50% of Apple’s revenue. It was the stepping stone without which the iPad had not had the form and success it had in changing personal computing forever.

The iPod today is less that 5% of Apple’s revenues. It went from 50% in 2006 to less than 5% in 2012. Had Apple failed to win the battle for the convergent phone/Mp3 player, Apple would have not even survived with a leading product such as the iPod.

It’s the perfect model for a market dominant player to lead disruption. It was the leader in the MP3 segment who drove its cannibalization and won. Cannibalize to survive. Easier said than done.

Connecting the dots
If Jobs wouldn’t have bet on the iPod—which at the time was not an obvious product for a computer maker—, Apple would not have been in such a good position to enter mobile and reinvent it. And without the iPhone experience, the iPad wouldn’t have been the hit that has changed personal computing. In hindsight, without the iPod, the tablet might have not existed as we know it.

 

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Thank You Steve Jobs

A genius.
Thank you for making the World a better place and inspire millions of people.

25 Years of Mac

This is the keynote in which Steve Jobs introduced the Mac and the famous 1984 ad directed by Ridley Scott. The ad would be aired only once during the Super Bowl, and cost Apple $1.5 million.

The original Macintosh was released on 24 January 1984. Known as Macintosh 128k, it was priced at $2495 and powered with a Motorola 68000 microprocessor. The Macintosh brought a true disruption to computer user interfaces, with revolutionary applications at the time as MacPaint, to draw with a mouse, or MacWrite, the first WYSIWYG word processor. You can have a feel of it with the demo of the first Macintosh by Steve Jobs in January 1984:

Read/WriteWeb has a nice compilation of pictures of all Macs until today. It is a great overview of computer history through Apple machines.

Last quarter Apple shipped $2.52 Macs enjoying one of its sweetest moments as the icon brand for consumer computers.

Steve, get well soon!

iPhone 3G at $199!


Rumors confirmed. Apple announced the iPhone 3G. It will be available in 22 countries on 11 July and more than 70 countries by the end of the year. In US, the 8GB version will cost $199 and the 16GB only $299. Both have built-in GPS.

The entire keynote of Steve Jobs at Apple site. The press release below:

Apple Introduces the New iPhone 3G
Twice as Fast at Half the Price

SAN FRANCISCO, June 9 /PRNewswire-FirstCall/ — Apple(R) today introduced the new iPhone(TM) 3G, combining all the revolutionary features of iPhone with 3G networking that is twice as fast* as the first generation iPhone, built-in GPS for expanded location based mobile services, and iPhone 2.0 software which includes support for Microsoft Exchange ActiveSync and runs the hundreds of third party applications already built with the recently released iPhone SDK. In the US the new iPhone 3G is priced at a stunning $199 for the 8GB model, and just $299 for the 16GB model.** iPhone 3G will be available in more than 70 countries later this year, beginning with customer availability in 22 countries — Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Italy, Japan, Mexico, Netherlands, New Zealand, Norway, Portugal, Spain, Sweden, Switzerland, UK and the US — on July 11.

“Just one year after launching the iPhone, we’re launching the new iPhone 3G that is twice as fast at half the price,” said Steve Jobs, Apple’s CEO. “iPhone 3G supports Microsoft Exchange ActiveSync right out of the box, runs the incredible third party apps created with the iPhone SDK, and will be available in more than 70 countries around the world this year.”

iPhone 3G gives users ever faster access to the Internet and email over their cellular network with quad-band GSM and tri-band HSDPA for voice and data connectivity around the world. iPhone 3G supports Wi-Fi, 3G and EDGE
networks and automatically switches between them to ensure the fastest possible download speeds. The new iPhone 3G also makes it easier to multi-task with simultaneous voice and data communications, so with iPhone 3G you can browse the web, get map directions, or check your email while you are on a call.

iPhone 3G includes the new iPhone 2.0 software with both the iPhone SDK and key enterprise features such as support for Microsoft Exchange ActiveSync to provide over-the-air push email, contact and calendar syncing as well as remote wipe and Cisco IPsec VPN for encrypted access to corporate networks. The iPhone SDK allows developers to create amazing applications that leverage the iPhone’s groundbreaking Multi-Touch(TM) user interface, animation technology, accelerometer and GPS technology on the world’s most advanced mobile platform.

iPhone 3G includes the new App Store, providing iPhone users with native applications in a variety of categories including games, business, news, sports, health, reference and travel. The App Store on iPhone works over cellular networks and Wi-Fi, which means it is accessible from just about anywhere, so you can purchase and download applications wirelessly and start using them instantly. Some applications are even free and the App Store notifies you when application updates are available. The App Store will be available in 62 countries at launch.

Additional features available with the iPhone 2.0 software include the ability to do real-time mapping and track your progress with GPS technology, mass move and delete multiple email messages, search for contacts, access a new scientific calculator, turn on parental control restrictions for specified content, save images directly from a web page or email them to your iPhone and easily transfer them back to your photo library on your Mac(R) or PC. iPhone 3G delivers an amazing 10 hours of talk time on 2G networks and 5 hours using 3G, with up to 5 to 6 hours of web browsing, up to 7 hours for video playback and up to 24 hours for audio playback.

iPhone 3G takes advantage of MobileMe(TM), a new Internet service that pushes email, contacts, and calendars from an online “cloud” to native applications on iPhone, iPod(R) touch, Macs and PCs. With MobileMe email, messages are pushed instantly to iPhone, removing the need to manually check email and wait for downloads, and push keeps contacts and calendars continuously up-to-date so changes made on one device are automatically updated on other devices. With iPhone, you can even snap a photo and post it directly to a MobileMe Gallery to share with friends and family.

iPhone 3G will be available in the US on July 11 for a suggested retail price of $199 (US) for the 8GB model and $299 (US) for the 16GB model in both Apple and AT&T’s retail stores and requires a new two year contract with AT&T for qualifying customers. iPhone 2.0 software will be available on July 11 as a free software update via iTunes(R) 7.7 or later for all iPhone customers. For further information about iPhone 3G pricing and availability in the US and internationally, visit http://www.apple.com/iphone.

* Based on 3G and EDGE testing. Actual speeds vary by site conditions.

** Based on iPhone 3G (8GB) and first generation iPhone (8GB) purchases. Requires new two year AT&T rate plan, sold separately.

Apple ignited the personal computer revolution in the 1970s with the Apple II and reinvented the personal computer in the 1980s with the Macintosh.
Today, Apple continues to lead the industry in innovation with its
award-winning computers, OS X operating system and iLife and professional applications. Apple is also spearheading the digital media revolution with its iPod portable music and video players and iTunes online store, and has entered the mobile phone market with its revolutionary iPhone.

NOTE TO EDITORS: For additional information visit Apple’s PR website (http://www.apple.com/pr/), or call Apple’s Media Helpline at (408) 974-2042.

(C) 2008 Apple Inc. All rights reserved. Apple, the Apple logo, Mac, Mac OS, Macintosh, iPhone, Multi-Touch, MobileMe, iPod and iTunes are trademarks of Apple. Other company and product names may be trademarks of their respective owners.

Steve Jobs Keynote 2008

2008 Apple’s keynote has introduced great products: MacBook Air, iTunes Movie Rentals, AppleTV Take 2, new applications for iPhone and iTouch, and Time Capsule.

Keynote highlights in nine minutes from YouTube:

If you only have 60 seconds to view the 90 minutes keynote, click here.

For the full keynote go to events.apple.com

Music DRM is dead

log sony bmg
At last, the Music industry seems to start accepting that Internet and mp3 have changed the way people consume songs.

The announcement that Sony BMG will launch a DRM-free music download service, confirms the death of Music DRM. Last month Warner Music announced that they would sell DRM-free music through Amazon. Some months earlier, EMI and Vivendi Universal did similar announcements. The four biggest labels finally abandon DRM, the technology that users renamed as Digital Restrictions Management, instead of the original Digital Rights Management.

The push to kill DRM came from Apple itself in early 2007. When pressed to license iTunes DRM to other mp3 players, Steve Jobs refused, as licensing would mean leaking vital info that keeps DRM unbroken. Furthermore, he advised labels to remove protection instead. Steve Jobs reminded labels that they were already providing unprotected music whenever they sold a CD. 

A few months later, DRM’s death it is a reality.  Music labels are in a better position now than previously with Apple’s near-monopoly on music download. Amazon and the labels going direct will be a strong competition to Apple.

Both the consumers and the Music industry will win.