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July 10, 2008May 18, 2020

iPhone Owners May Not Need Apple’s New 3G Model

The Apple iPhone will account for 6.3 million of the 18.1 million touchscreen phones sold in the U.S. this year, for an impressive 35 percent market share, according to Strategy Analytics.

“We expect the release of the heavily subsidized 3G iPhone 2.0 on July 11th to catalyze a healthy spurt in touchscreen volumes during the second half of the year,” said Strategy Analytics analyst Bonny Joy.

The only question is, which version of the iconic phone will you own? Doubtless, many first-generation iPhone users are likely to upgrade to the latest 3G model. But some analysts are suggesting that, unless you want the speed boost and the GPS capabilities, you may not need to spend money on the new device.

“Most of the original challenges with the iPhone were software-related, not hardware-related,” said Michael Gartenberg, an analyst at JupiterResearch. “Yes, people would be happier with longer battery life and a replaceable battery, but Apple fans can deal with a non-replaceable battery. With the software update Apple is issuing, you don’t necessarily need to buy a new iPhone.”


Examining the 3G Possibilities

Gartenberg is not saying the iPhone 3G doesn’t offer some compelling upgrades. The new iPhone 3G is twice as fast with built-in GPS for expanded location-based mobile services. But the iPhone 2.0 software that includes support for Microsoft Exchange ActiveSync and runs hundreds of third-party applications is compatible with first-generation iPhones.

More than 500 native iPhone applications are available for immediate purchase and download at Apple’s App Store, and more than 125 applications are being offered to iPhone customers for free. Many of these new applications take advantage of the iPhone’s large display, multi-touch user interface, 3-D graphics, built-in accelerometer and location-based technology.

The iPhone 2.0 software update includes enterprise support, contact search, complete iWork and MS Office document-viewing support, the abilities to delete or move…

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