Phone Providers are Officially "On Notice"
if you missed the deluge yesterday, you must have been in a cave. i’ll recap. the 3g iphone is here and it’s only $200. service and hardware providers? you’re officially on notice. you have a month to figure your shit out.
what does that really mean tho? lemme offer a couple bits of advice.
- do you make smart phone hardware? you are no longer allowed to sell it for more than $200. gone are the days of the $700 treo.
- do you run a cdma network? you’re screwed. the only way you can compete now is with a cheaper data plan AND cheaper smart phones.
ignore this at your own peril. doing so will result in a mass end-of-contract exodus. period.
p.s. apparently the world is already going to hell in a handbasket for verizon and sprint. o2 is actually giving away the iphone for free. others in the u.s. will surely follow.
UPDATE: a fleshed out version of this on business week: http://www.businessweek.com/technology/content/jun2008/tc20080615_856046.htm