T-Mobile Targets AT&T: Wants iPhone 4S Users

by Holly Shoemaker

T-Mobile wants in Apple's iPhone, but not the iPhone 5. T-Mobile has targeted AT&T iPhone 4S owners who no longer want to renew contracts with AT&T. While this does not receive a lot of press, and T-Mobile does not sell the iPhone, owners have had the ability to switch to T-Mobile for years. To date, the company has about one million iPhones on its network.

What Models Work?

T-Mobile does not support Sprint and Verizon iPhone 4 models. However, those who have the iPhone 4S on either of those networks  have the ability to switch too.

Good Move?

The answer is a mixed bag. Switching will likely come with a speed sacrifice – it takes about 50 times longer to download files using an iPhone on T-Mobile’s network. However, T-Mobile offers the best price and an unlimited data package. T-Mobile has worked to improve speeds, which was reflected in the Consumer Reports Buyers Guide 2012 rankings.

I suggest those considering a switch stop into Best Buy. Because that company sells plans from different carriers, it can access coverage areas quickly and at one time, allowing consumers to see how close they are to cell phone towers. Consumers may also access coverage maps online. However, I found that some Best Buy associates offer unbiased advice in this area, and it was helpful when I needed a wireless device. I now connect my Android phone on T-Mobile's network to my hotspot device through Verizon. T-Mobile has the best smartphone data plans and Verizon offers the fastest and most reliable connection to the Internet.

iPhone 5 Reveal Fails to Wow, but Stock Hits Record High

 by Holly Shoemaker

As expected, Apple revealed the iPhone 5 yesterday. While the listed features did not come as a surprise to many, two stood out – the weight of the phone and the screen size. The smartphone will have a four-inch screen, but will be 18 percent lighter than the iPhone 4S.

Why Change the Screen Size?

Despite the ruling against Samsung in the United States, and the new addendum to an additional lawsuit against Samsung, that company still remains Apple’s biggest competitor. A larger screen makes Apple more competitive with other Android phones, and Samsung has increased the size of its Galaxy S phones each year. It is a bit ironic that Apple did that as it has consistently accused Samsung of copying its moves.

Other News to Know

• Price – The phone will cost $199 with a two-year contract. The iPhone 5 will become available September 21, 2012 in the United States and in eight other countries.
• Connectivity – The phone will have the capability to connect to data networks in the United States. However, the phone will not come with a standard connection port.
• Operating system – The iPhone 5 comes with the latest version of the iOS. Other users may download it beginning September 19, 2012.

Concluding Thoughts

I said last week that perhaps Apple had iPhone 5 insecurity. Many have said that the product lacks a "wow factor." Despite the criticism, the market favorably responded to the announcement. Shares of Apple’s stock hit an all-time high today at $685.50.

JP Morgan said that the sales could boost the U.S. Gross Domestic Product (GDP) by .05 percent. The company expects Apple to sell eight million devices in Q4 2012. Time will tell how accurate this becomes.

Does Apple’s Latest Lawsuit Addendum Show iPhone Insecurity?

by Holly Shoemaker

It seems that the ongoing lawsuits in the smartphone and tablet markets will not come to an end anytime soon. Apple’s latest action against Samsung makes me think the upcoming iPhone may not be enough to stop the popularity of the Galaxy S III.

At the end of August, Apple asked the Court for a new jury trial. Apple filed an additional 21 lawsuit infringement claims, stating that Samsung repeatedly copied Apple’s designs and innovation techniques. This is not an addendum to the earlier court ruling against Samsung, which excluded the Galaxy S III, as that trial and verdict only applied to older products. The amended complaint stems from a different lawsuit filed in February. To date, Samsung's flagship device has provided the most competition to Apple’s iPhones.

Concluding Thoughts

I still maintain these monopoly efforts stifle competition and do nothing for consumers. It also reinforces the concept that ideas cannot to be improved upon, which of course is counterintuitive to how companies thrive. I am not advocating that companies have the means to pursue whatever avenues they want, but this keeps going too far. The Galaxy line of smartphones pushed the Android Market further, and the Galaxy S III excited consumers in ways Apple has done in the past. Apple should have news to celebrate next week with the upcoming release of the iPhone 5. This latest move makes me think the iPhone 5 is not as strong as Apple thinks.

Amazon Stays True to Profit Model; Peculiar Showcase Tablet Prior to FCC Approval

by Holly Shoemaker

As expected, Amazon announced its new Kindle lineup on Thursday. The standout item, designed to compete with Apple's iPads, but at a lower price point, is the Kindle Fire HD 8.9" 4G LTE Wireless for $499. Amazon expects the item to ship on November 20, 2012. However, there is one issue with the device – it has yet to receive Federal Communications Commission (FCC) approval.

Potential Roadblock?

I received the email from Amazon shortly after the company’s announcement on Thursday. The email said the following, “The 4G device has not been authorized as required by the FCC. This device is not, and may not be, offered for sale or lease, or sold or leased, until authorization is obtained.”

The FCC must approve tablets and other devices before companies start selling them. The FCC checks to ensure electronics do not interfere with signals and that they adhere to safety standards. Amazon expects to receive approval by the November 20, 2012 shipping date, but its move to announce a non-approved tablet seems unusual. At the same time, the company clearly has faith in its direction and expects to receive the required approval in time.

My Additional Findings

Amazon has once again updated its “Compare Kindles” section and the Kindle Fire HD is now available for $199 with16 GB of storage, and the tablet will start shipping on September 14, 2012. The Kindle Fire has a list price of $159, which will also ship on September 14, 2012.

e-Readers Not Forgotten

Amazon also introduced the Kindle Paperwhite, showing consumers the company still believes in its e-readers. E-readers still provide a good choice for those mainly interested in online books.

Concluding Thoughts

Amazon designed the Kindle brand for expansion. Its ability to offer different price points depending on a user’s needs and budget should appeal to a larger consumer base. While that in itself differentiates Amazon from Apple, Amazon has remained true to its profit model. While Apple makes more money off its devices, Amazon remains focused on content and accessories, showing that it understands the company’s revenue stream. Owning a device is only the start – customers need to build libraries, stream video and download apps, to name a few, to truly get the most out of owning a tablet.

Apple Device Codes Hacked? Not So Says FBI

by Holly Shoemaker

A hacking group, known as Anonymous, posted claims this week that it accessed 12 million Apple device codes, also known as unique device identifier numbers (UDIDs), from an FBI computer. Now, Apple and the Federal Bureau of Investigation (FBI) have said the claim lacks merit.

Anonymous said it accessed the data in March by hacking into an FBI laptop. The group claimed the flaws in Java allowed hackers to obtain the IDs. Hackers have taken advantage of these security flaws in the past to infect Macs and PCs. Yesterday, the FBI confirmed that its laptops were not used and that no one from the FBI gathered this data. Apple also said it did not provide any organization with the account information.

Security Breach?

At this time, the FBI has said it does not consider this a serious security breach. In looking at the information, it does mostly come across as a bunch of rants, although it appears hackers have posted some actual user devices and unique codes assigned to iPhones, iPads and other devices.

Are Device Codes Threatening? 

By themselves, hackers cannot really do much with the device codes. The issue of privacy comes into question when the UDIDs are viewed with sensitive information like addresses and phone numbers. In this case, it does not appear Anonymous has that additional information, or at least, the group has not posted that.

Apple took proactive measures against hacking prior to the incident. The latest version of software for the iPhone and other devices will have a feature that replaces UDIDs. That should provide better security protection for users.

Amazon Stops Directly Selling Kindle Fire: Hotter Version Expected

by Holly Shoemaker

On Thursday, Amazon announced that it sold out of its Kindle Fire. This has caused many to speculate the company halted production to make way for a new model.

While Amazon never reports how many models of which Kindle it has sold, the company reported that it garnered 22 percent of the tablet market share over a nine-month period. This makes it the second most popular tablet after Apple’s iPad.

My Findings

I checked out Amazon and sure enough, consumers may buy the Kindle Fire from other sellers, but not directly from Amazon. In the “Compare Kindles,” section, Amazon no longer lists its $199 price for the Kindle Fire. More news to follow next week as Amazon should debut some new brand items at a scheduled event.

End of the e-Reader Market?

Overall, tablets have contributed to a decline in e-reader market share. ABI research reported that e-readers peaked last year and estimates that in 2012 e-readers will have sold 11 million units worldwide, down from 15 million in 2011. Still, for consumers who mainly want to read books on a device, e-readers provide a viable alternative to tablets. For those looking to decide between a tablet or e-reader, the Consumer Reports Buying Guide 2012 rankings should assist.