27 December 2006

Apple ‘iPhone’ could disrupt mobile service distribution channel

Apple ‘iPhone’ could disrupt mobile service distribution channel

Tuesday, December 26, 2006 - 10:32 AM EST

"New hardware isn't the only way Apple can shake things up in the mobile industry. The company has the ability to disrupt the entire distribution channel, which is currently controlled by cellular service providers," Daniel Eran writes for RoughlyDrafted.

"The control maintained by service providers has slowed the advance of hardware features and the emergence of new competition for service," Eran writes.

"Apple's position as a hardware maker with retail stores and software expertise allows it opportunities unrivaled by other phone makers like Motorola, software middleware providers such as Microsoft, and services providers that simply resell subsidized phones in an effort to sell minutes," Eran writes. "In 2007, Apple has the capacity to flip the entire mobile world on its head, with the same quiet speed it has used to reinvent itself as a specialized Intel PC maker. It will be fun to watch."

Eran explains how, once again, Apple could be poised to disrupt the status quo in his full article in the above title. It's a thought provoking and insightful article.

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