Verizon cuts smartphone prices to $99 – and this could be good for appstores .

Verizon cuts smartphone prices to $99 .

In the previous post, I said that increasingly we will see people buy a combination(package) of apps and devices.

The Verizon trend is likely to catch on. It’s hard for device manufacturers to make money on $99 retail. So, I suspect that we will start to see people buy devices and apps together.

This is interesting and apps could be a real a differentiator going forward

See also the approach with the INQ1. Cool social media phones and we see a trend where the software(and Web services) becomes more important than(and integrated deeply with) the hardware.

Qs is: Are phones becoming more like consoles?

In a sense, they always were. (given for free) but the difference is: Are the ‘titles’ (mobile apps) going to make a difference when people buy phones – similar to titles on gaming consoles?

Consider this – I start to use specific apps. so when my next upgrade comes I want to use those apps and also more..

Substitute ‘consoles’ by ‘phones’ and ‘games’ by ‘apps’ .. and you have an interesting scenario ..

Thoughts?

Comments

  1. Aage says:

    Besides Iphone, which have both the brand and the App infrastructure (and volume), this is a very unlikely path. Said that I do think Internet Content (sometimes in the format as Apps) will be a major driver when people bye phones in the future. Our belief is that you need a universal mobile interface (UMI) to easy access and share all Internet. As well as a simple way for Internet vendors to go mobile without thinking on handset or carrier – just using existing services
    Read more at: http://universalmobileinterface.wordpress.com/
    Or this is an example of you going mobile with Open Garden: http://tinyurl.com/n6eq7y

  2. Who owns the customer? That’s the question that always gets asked and most people would rightfully say that nobody “owns” the customer. On the other hand, carriers especially in the US and Verizon in particular have always acted like they own the customer. You get choice, as long as you are happy with what they have pre-selected for you… We don’t need 27 different poker games, we just need one good one. And we decide what is good, dear customer. In many respects the current app stores are the same, they just happen to be under different dictatorship;-) The console business has always been like that, if Nintendo/Sony/MS doesn’t want your game on their platform, it’s not on their platform.
    The same models are getting into the PC business as well with the netbooks and there the same battles are starting to emerge. Do you buy your netbook from Verizon/AT&T or HP/Dell/Apple? Who “owns” the customer or more approriate who owns the customer relationship and the experience?
    Looking at all these developments, seems like the battlefield with Apple, Google, Sony, Nokia, Microsoft, Vodafone, China Mobile and a few others will be just as interesting to watch in the future as it is now…