The Steve Jobs master plan - iPhone hacking

When Steve Jobs and company first envisaged the iPhone, a few things surely came to mind. First, Apple wanted a phone with an appealing design and advanced functionality. In essence, the company wanted a device that was nothing like its predecessors. And while it achieved this feat, Apple was still in need of a carrier. It went to Verizon and others, but it was AT&T that was able to offer it what it wanted: Revenue sharing on activations and service plans. Basically, Apple was able to sell the device, make a profit and even capitalize on the iPhone's popularity through AT&T service plans.

And while some may claim the iPhone's real bread and butter is in the AT&T service plans, I disagree. To say that Apple has too much to lose in allowing iPhones to be hacked is a severe misconception.

The rationale for that viewpoint seems to make sense: Apple is getting a cut of every service plan, and with millions of users, the revenue benefits are nothing to scoff at. But what it loses sight of is Apple's real intention.

AT&T is a means to an end. Apple wanted to make a splash in the cell phone business and needed a carrier to do so. The revenue generated from plans is a bonus and was only possible because of the significant leverage Apple wielded before the iPhone's release. The iPhone is not the be-all, end-all of Apple devices--it's a gateway.


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