The Impact of iPhone to its competitors

Apple Inc. did not take long in letting the whole world know that they exist and other mobile-phone companies should be aware of them. After they introduced the first-generation iPhone, a year later, Apple Inc. amazingly ate a big part of the share in mobile-phone market and already faced competition with the Research in Motion. On the other hand, AT&T, the exclusive service provider for the iPhone in United States, used the smartphone to lure the customers that were currently using T-Mobile and Alltel during that time. And now that the Apple Inc. will sooner sell the 3G iPhone in the market, not only that the handset makes but the wireless carriers as well may suffer.

iPhone

One of the impacts that iPhone will give to its rivals is that the companies should be able to retain their users. With all the features of the 3G iPhone that is very suitable for high-end users, carriers must now think of new wireless plan promotions so that they can entice their customers to stick around. According to TNS Media Intelligence, Verizon Wireless is aware that they will sooner or later compete with something big. Therefore, the company’s budget spent for advertisements increased as much as thirty percent.

On the other hand, the handset makers are now having headaches. Not only that they have to create something that is as fantastic as the 3G iPhone but also sell something that is as low as the price of the latest iPhone which is $199. At the same time, the device should also deliver the same features (or more) of the 3G iPhone that most consumers are interested about.

And although there were handsets that trying (and really trying hard) to mimic the external features of the iPhone, the simplest thing is that, it can never be the Apple’s smartphone. According to JupiterResearch, people would not compare Apple device to another Apple device. But they would still see another product that can never be compared to the 3G iPhone.

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