Commentary

iPhone: Open To New Features

In case you're not familiar with S60's slogan, "Open to new features" is it. Yesterday's announcements from Apple were a watershed moment for the iPhone and the mobile computing industry. While many are now asking if the iPhone will replace RIM in the enterprise, we should be looking more at Nokia, its S60 platform, and whether or not it can ever regain its footing in the United States.

In case you're not familiar with S60's slogan, "Open to new features" is it. Yesterday's announcements from Apple were a watershed moment for the iPhone and the mobile computing industry. While many are now asking if the iPhone will replace RIM in the enterprise, we should be looking more at Nokia, its S60 platform, and whether or not it can ever regain its footing in the United States.Nokia launched an amusing ad campaign last June in NYC just prior to the iPhone's launch. It poked fun at the iPhone for being so locked down and unable to run third-party applications. Nokia's S60 smartphone platform -- the most widely adopted across the world -- is all about openness and great new software made by others. Nokia was also advertising the N95 at the time, its own converged multimedia computer that competes with the iPhone in a number of ways.

Well, after yesterday, the N95 and S60 have one less leg up on the iPhone. With the arrival of the iPhone's new enterprise features and SDK, it also will be "open to new features." Nokia does, however, have a major head start. Its Forum Nokia Pro developer organization is robust, well-formed, and an integral part of the business. Thousands of developers are registered and work on S60 applications. Applications for S60 devices are available now, and have been for years. The support is there. I download great and useful applications to the S60 devices I have all the time.


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The question is, can Apple whip up the same developer support? We already know what a thriving community the iPhone hackers have created. Myriad unofficial applications already are available for those willing to unlock their iPhone. Will Apple be able to convince them to go legit and make official apps that are distributed through the iPhone Apps store? (By the way, that's a brilliant move, one that Nokia needs to duplicate ASAP).

Enough developers will support the iPhone with applications to make it a competitive threat to Nokia, in the U.S. market anyway. It will continue to stumble overseas until is adds 3G radios and GPS. Which I expect it will receive in June, close to the time that iPhone 2.0 firmware is made available. With the rumors that Infineon is making new 3G chips for Apple, the timing all falls together well.

Nokia is still looking for solid footing in the U.S. market. It has yet to capitalize on the openness of its S60 platform with U.S. consumers. Because most of the N Series and E Series phones that run the more advanced version of S60 often need to be purchased at full price through third-party channels, adoption has been hampered in the United States. U.S consumers just aren't as familiar with S60 as they are with the iPhone, even though the iPhone has really only been around for less than a year.

This is actually Nokia's big break. It needs to ride this wave of hysteria regarding the iPhone SDK and run targeted marketing campaigns to show that its phones already offer this functionality. Can Nokia, or will Nokia? Only it can answer that question.

At every Nokia press conference I've ever attended, an American journalist always stands up and asks Nokia CEO Olli Pekka-Kallasvuo when Nokia will take the North American market seriously. He always responds that recapturing marketshare here is one of Nokia's main concerns. I have yet to see the firm take action to prove it.

Nokia, now is the time: Time to put up, or shut up.


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