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Apr 24, 2006

Apple iPhone Insights

Rumors have been circulating for months about Apple venturing further into the mobile technology market by launching their own cell phone. The rumored iPhone would likely be a cross between an iPod and a phone, similar in concept to Motorola's ROKR E1 and SLVR phones that include a mobile version of Apple's iTunes music software but which only store about 100 songs. One of the problems with the idea, however, is that Apple has a habit of maintaining a large measure of control over the quality of not only their products but also of the services that go along with those products - which could lead to lots of head-butting with cell phone service providers.

One option for Apple, that was described in a Chicago Tribune article published this weekend, was for Apple to actually setup shop as a wireless provider. This would give them complete control of the phone, all features, and service. And, it's something that is becoming more common as companies outside the major carriers in the US begin purchasing airtime wholesale from established carries and reselling it under their own brand and with their own services and contracts, an approach known as operating as a mobile virtual network operator or MVNO.

Several companies have already established themselves as MVNOs and many are doing so in order to deliver a mobile media experience without needing to build an infrastructure - the most recent of which is ESPN Mobile, along with more veteran operators like amp'd mobile. Certainly, this approach is perfect for what Apple would be marketing if they are indeed prepping an iPhone.