According to an article in Bloomberg Businessweek, it appears that Verizon – like AT&T – may be getting ready to implement a tiered data plan of their own, eliminating their popular prix fixe unlimited data option in the process. If this ends up being the case, it would mean the two largest wireless providers in the US will both be working to discourage bandwidth consumption on their networks, something that could end up being a big drag on the development of mobile services and other non-phone mobile technologies.
The irony here is that both of these carriers were willing to sell unlimited data plans when they knew that the devices they were offering them on couldn’t really make use of it. Now that mobile devices have finally started to catch up, those plans are being eliminated. On top of that, as carriers continue their rollout of 4G/LTE networks (which theoretically can offer significantly higher speeds), folks will simply find themselves running over their usage limits more quickly and racking up whatever overage charges their carriers’ may assess (which can sometimes be frighteningly expensive).
What’s desperately needed in the wireless space is innovation. The structural monopolies enjoyed by incumbent carriers make it easier for them to cut out any meaningful competition that could impact their businesses. The status quo favors them, so any change in the fundamental structure of the market isn’t welcome. They understand that their businesses depend in large part on preserving these advantages, making them less then ideal agents of change in this space.
Ultimately, the real innovation needed here will, by it’s very nature, be disruptive. It will upsets the marketplace and redefine today’s accepted terms of business. Given the nature of how wireless spectrum is managed, innovation will also involve more than just new technologies and algorithms. It will require a reconsideration of the regulatory and licensing frameworks that currently govern the deployment of wireless infrastructure, and demand a fresh look at the way access to the airwaves is allocated. It may also require that a larger chunk of spectrum be allocated specifically in support of the development and deployment of more creative wireless data solutions. There is some incredible research being done in this area, but it needs a path to commercialization if it’s going to get the funding it needs to become viable.
We will never see the promised wireless revolution take hold if the only options available to consumers are congested networks or capped and overpriced plans.
Change urgently needs to happen.
Both the iPhone and iPad are a big part of my digital life. To put it mildly, I was a bit upset when AT&T announced yesterday that – effective next week – they are doing away with their unlimited data plan options across all of their smartphones and devices.
Outside of the release of the iPad itself, the revelation that it is powered by a custom Apple chip (handling both general and graphics processing chores) could be the most significant thing to come out of last weeks event. While the A4 chip will almost certainly make it into the 4G version of the iPhone, I also expect the A4 (or some variation of it) to also be at the heart of the next generation of AppleTV. This would likely be as part of a move of ATV onto the same OS platform as the iPhone/Touch/iPad, and would probably allow the box itself to be re-engineered to better support HD video (eg – real 1080p) and also to open it up to running games available from the App Store. As a big fan of the existing AppleTV, I see this as something that is long overdue. (I expect it to be announced before mid-2010.)
Apple’s iWorks has been around for quite a few years now, and has matured into a full productivity suite offering word processing, spreadsheet, and presentation applications. While no where near as popular as Microsoft’s Office suite, each component of iWorks is well thought out and a pleasure to work with. Unlike Office on a Windows tablet computer, the new iWorks isn’t simply an extension of the previous version that makes it usable without a keyboard. Instead, iWorks on the iPad has been designed from the ground up to work in a touch environment. From the way various functional menus are displayed to the way task specific virtual keyboards appear in different contexts, every element of the product is designed to be part of a native touch experience. While I will need to spend some quality time with the new iWorks before passing judgment, it does appear that Apple has learned a great deal from iterations of the user experience they developed for iPhone apps, and have done a good job scaling it to more comprehensive applications on larger displays.
I think the fact that Apple chose to build a completely separate ‘iStore’ for books is interesting. By approaching print publications as truly unique forms of media with unique content and marketplace dynamics, Apple stands a good chance at reshaping the ebook market and really challenging the current dominance of Amazon’s Kindle platform. I believe that what was shown at the iPad launch is simply the most basic starter functionality for this store. I see it ultimately having different business and functional models to address some unique opportunities found in this marketplace. For example:
