…and that’s why
- Posted by Leigh Drogen
- on June 7th, 2010
If you weren’t already convinced that AT&T $T had put the clamps on its customer’s data usage last week because of fear from new iPhone usage, Apple’s $AAPL annoucement today should close the deal. Apple announced the iPhone4 today you can get your tech porn fix here.
New features include multitasking, HD video recording, new 5 mega pixel camera, awesome new display, new body design, upgrades to the mail feature, and so on.
But wait, there’s more…
Apple included a front facing camera and a nifty new app they are calling Face Time. This is the video chat we’ve all been waiting for, Star Trek ish kinda stuff. Now I was never a Star Trek fan growing up, I was a huge Star Wars fan though. But I think we’ve all waited for the day when we carry around a little pocket sized device and make video calls to our friends and loved ones. Step back for a moment and just realize how big of an advancement this really is, I think sometimes we are a little jaded by all the technology around us and we don’t quite realize the advancements we are making in the moment.
Oh but there’s a catch, you can only use Face Time over WiFi. Why you ask? Because AT&T can’t handle the data, that’s why. They didn’t even try to give you the opportunity to use the cellular network, they just knew right away that if they had let it happen, New York and San Francisco would have ground to a half overnight.
As well, NetFlix will now have an iPhone app, but good luck using it over the cellular network and eating up your data plan in only a few full length feature films. I’ve already heard people say that they will avoid using certain apps on the new phone because of the data charges.
It’s already beginning people and it hasn’t even been a week. Steve Jobs is going to have to pull a rabbit out of the hat here to save his master plan for reinventing the way that the world consumes media and communicates, because AT&T is like the 10 car pileup on a racetrack that he is driving into at 170 miles an hour. I doubt he’s hoping that they get that crap cleaned up by the time he hits it, he’s got to have a plan here to magically levitate over that crash, or run his own race on his own racetrack. Ok enough with that metaphor.
The point here is that we aren’t even a week into this new paradigm in mobile data usage fees, and we’ve already seen huge repercussions. My advice, if you’d like to use all of the amazing apps that are going to be connected to the new iPhone and iPad, plan your life around wireless networks. I’m just kidding, well, maybe.
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Leigh Drogen is the founder and chief investment officer of Surfview Capital, LLC, a New York based investment management firm employing an intermediate term long/short momentum strategy. More »
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