Apple has long been a poster child for the wisdom of Adam Smith’s Invisible Hand. With active trade in some of its discontinued products, such as the iSight camera (which regularly sells on auction sites such as eBay for more than the original purchase price), and high-resale values for “previously owned” and “refurbished” models of its computers, the reality has been that the cost of owning an Apple over the years has not been nearly so high as its reputation for premium pricing might indicate.
The iPhone is providing additional confirmation that, despite complaints about the company’s obsessive desire to control the user experience, they must be doing something right at 1 Infinite Loop.
iPhone Atlas reported recently on the high prices still being fetched at resale by the original model phones, indicating concern over the ability to unlock and/or jailbreak the upcoming model, combined with significant demand in countries where the iPhone 3G will not initially be on sale, including Russia and China.
While the current value of first-generation iPhones may be high, with reports of the bid on 16GB phones near $600, some believe the market for the phones will stay active with prices coming down as the availability of 3G models gets closer. Michael Johnston at iPhone Alley suggests the window for high prices may be closing soon and Dennis Sellers writes for Macsimum News that active trade in the post-3G launch market for first-gen iPhones could see prices come down under $100.
With Apple and AT&T seeming to have foiled the unlocking/jailbreaking movement that flourished in the wake of iPhone’s initial release, Stateside customers who must have the speed and features of the 3G model but still have, or want, service with a carrier other than AT&T, will either have to wait and see if the new models can be jailboken or look to Apple’s deals with a different carrier in almost every country overseas, where the phones will go on sale next month. Across both ponds Apple has had to agree to a wide range of prices and options for selling the iPhone 3G, making it likely that in quite a few countries outside of the U.S., you’ll be able to buy an iPhone without a contractual agreement.
Cool tech demo for something new called “NeXTStep 3.” Could be big. Just kidding, of course. Always interesting to see Steve before his more recent, peak form. A little less suave than you might be used to. Still, NeXTStep 3 was awesome for its era - just barely shy of the first few releases of OS X.
Except that GUI. YEESH. Who on earth thought that all those floating palettes was a good idea?
Philip Barnes has uploaded a handful of vintage Apple print ads from the late 1970s and early ’80s. He’s got the “Welcome, IBM. Seriously.” spot, as well as the amazing commercial above, which makes the argument that A is for Apple, and therefore, you should use one. Sink your teeth into finances! Do you see that 16-color bar chart on that TV! It’s dope!
Greatest of all time.
I just got back from visiting a friend in San Luis Obispo, California, and he pointed me towards the Mac Superstore. I’d never heard of the place, and Apple has so thoroughly eradicated all unofficial Mac retailers that I didn’t think there were many left (sadly). But I decided to give the place a close look from the inside. What follows, here and on the jump, is a photo-tour to the coolest Apple store that the company doesn’t own - and maybe ever.
Best Doorstops Ever.
The experience at the MacSuperstore, founded in 1998 by Shane Williams, a graduate of Cal-Poly San Luis Obispo, begins before you even walk in the door. Since the weather is almost always sunny and calm in SLO, Williams and staff use vintage all-in-one Macs to hold the doors open to the faithful. I checked closely, and one door is propped by a Mac Plus while the others are SE/30s. The effect is inviting - and a bit disturbing. I last used an SE/30 in mid-1999, and it seemed pretty far from a doorstop then.
All the most interesting stuff is inside, however, so please read on.
As another year in the Apple-watching game comes to an end, I wanted to take a quick moment to look back on the year that was and search for themes. Given how much Apple got done in 2007, there were a lot to choose from, but one really stands out: Golden Convergence Strikes Back.
For those who weren’t closely watching the moves of Apple closely during the mid-’90s, this might be a new term for you, but it’s a long-time idea in Mac circles. Variously credited to Bahamut of MacEdition and Robert Morgan of Recon for Investors, Golden Convergence speaks to the idea of taking a lot of seemingly divergent technologies and suddenly integrating them into a superior and seamless whole. Originally tagged to the rumored launch of the Apple Media Player in early 1998 (never happened), Golden Convergence has shown up dramatically throughout the second coming of Steve Jobs, from the standardization of USB and FireWire down to the wide use of Mac OS X despite initial resistance by the installed base.
But 2007 was when it really blossomed. We saw Apple take dozens technologies and roll them out to multiple platforms. OS X mutated and got optimized for the AppleTV, iPhone and, later, the iPod Touch. CoverFlow, initially created for iTunes 7, showed up first on the AppleTV, then the iPhone, then the iPod Classic, Nano and Touch before becoming the centerpiece of the Leopard UI. Front Row moved from the AppleTV to virtually every Mac on the market. Flexibility bred new uses, new interactions, new consistency. Everything Apple worked on had a tighter link than ever to another Apple product.
And nowhere is this more evident than the iPhone, the most flexible platform Apple has created since the original Mac. For now, it’s officially impossible to install third-party software on it, but that will change in early 2008 with the release of the iPhone and iPod touch Software Developer’s Kit. The reason that the iPhone is great is that nothing about it makes it a phone only. Its form is built for maximum flexibility. Few hardware buttons. Multi-touch creating hardware controls where and as they are needed. It can be an Internet browsing tablet, an iPod and an e-mail reader. Nothing about its hardware design precludes any future uses. If you build it, this thing will come along.
And that right there is the essence of Apple’s new spin on Golden Convergence. Don’t design anything in hardware that locks you into a current use or goal. Instead, build an interface flexible enough to accommodate all kinds of future uses or even new businesses. The iPhone could become a very powerful gaming platform is Apple decided to steer it in that direction. It could be slightly modified into a point of purchase device. The next version, upgraded with 3G and a GPS chip, could easily become a navigation device to challenge Garmin’s product line. Get a decent CCD into it with a better lens and a flash, and it’s a decent consumer digital camera.
It’s brilliant design, and it flips on its head the way that Apple approached new technologies in the 1990s. Back then, Apple wanted to make everything: printers, digital cameras, scanners, PDAs, stereos, game consoles — everything. Now, Apple still wants to play in all kinds of product categories, but they’re setting themselves up to do that with a single device. Don’t sell everything. Sell everyone iPhones. You’ll reduce your number of SKUs while also locking people into a product that generates monthly revenue long after its purchase price has been swallowed. Every year, build in faster chips and add a few features that are locked into hardware. Do everything else via software.
Apple already started this process in 2007, and I expect to see it increase dramatically over the next five years. After all, would you rather by an Apple TV or just get a high-capacity next-gen iPhone that can wirelessly stream video to your TV? It’s the safest way to innovate, and Apple nailed it. Happy New Year, everyone!
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