In the mid nineties the company launched the Newton hand held personal digital assistant, and in 2001 the company launched the successful iPod which was a device that offered music, as well as some gaming and storage functions. Finally the case highlighted that Apple already had some telecommunications experience in a joint venture with Motorola launching the ROKR which was an iTunes compatible mobile device. With the natural progression of technology, market penetration and with online infrastructure (Notably iTunes) it is the case that people were already familiar with Apple’s hand held devices and software applications and as such there was massive positive reception of the phone upon its release.
Why it May be Beneficial: It is the case that carriers are often the point of sale for the devices, in addition to this many carriers have to handle customer care issues as well as make constant upgrades to their infrastructure networks to accommodate changes in technology. Furthermore it may be the case that manufacturers work in close conjunction with the carriers to develop software and applications that are mutually beneficial.
Why it May be Detrimental: It is simply the case that by partnering with a company that has the latest and most advanced technology already brings a significant amount of business for a carrier. It is also the case that by having exclusive distribution rights (As is the case with iPhone and AT&T mobility) the company may gain competitive customers but there may be a conflict of interest between the two companies, in that the specialization of the Apple is software and hardware development and those carriers are simply the service companies. Lastly by locking in a partnership with one carrier for a long period of time it is the case that the future partnership with the company is unknown and other carriers may be better suited to accommodate the needs of customers and Apple.
According to the case ...
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