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Was the choice of EDGE over 3G for the iPhone genius on Apple's part?

Apple's choice of the slower EDGE chips might have been a stroke of genius. If you are building the world's best smartphone, you want the fastest data speeds available right? Common sense would dictate that faster equals better but it might not have been th case for the iPhone...Here are some reasons why EDGE makes more sense...at least when Apple originally released the iPhone.

1. Cheaper hardware - allowing Apple to charge less.
2. Less power drain on the iPhone. Allowing slim design and all day usage.
3. AT&T could charge a reasonable rate for wireless - 3G would cost much more.
4. More money on sales for Apple repeat buyers when 3G is released
5. 3G Infrastructure didn’t exist in most cities in the US - it would have largely gone unused.

Here's the full Computerworld story...

 

Some videos of the iPhone taking on 3G smartphones below. 




What People Are Saying

AT&T was not Apple's first

AT&T was not Apple's first choice. Anyone in
business who travels knows that Verizon has a much better network. They rejected Apple because of Apple's high demands on how and where the phones could be sold, wanting percentage of monthly fees etc. In hindsight it may have been a mistake for Verizon but it shows that AT&T/Cingular was not Apple's first choice and for good reason.

If USA=world, this would have value, but...

...but Europe has moved on. 3G means 3rd generation, whereas EDGE is 2nd generation on steriods. Think of it like this: your grandpa used to send his letters by mail, and they would arrive 5 days later, which was just fine at the time. Your dad uses airmail, which took 3 days to arrive at the destination, which was ok at the time. Now, you are forced to use UPS, which delivers the next day, which is pretty fast. but I use e-mail, and am able to get it to anyone else within a few seconds.
No, this isn't a real life speed comparison. But Europe has moved on to the next level of technology. 3G is it, and if Apple continues to think for US markets alone, it will fall behind.
Just look at the iPhone sales in the UK, France, Germany... They're much much lower then they are in the US. Pricing schemes are way higher compared to other players in the market as well (here you get a 3G phone for free with a 2 year €25/mo subscription, as opposed to the €400 for the iPhone and a €50/mo subscription).

The US was behind the times, which Apple has taken advantage of in the best way possible. But to conquer the rest of the world, they need to think outside the US boxes.

Seriously, Seth's comment's

Seriously, Seth's comment's at times border on the idiotic. This is the same guy who thought that the reason Steve Jobs only used a single mouse button was b/c it would confuse ppl to click on the "right" button. Seth you're full of yourself

My apologies, it wasn't Seth

My apologies, it wasn't Seth it was another commentator. My bad Seth I owe you a couple of cold beers

really? When/where did I

really? When/where did I say that? I don't think I've ever thought, let alone said that

Not good reasoning and here

Not good reasoning and here is why: 3G is reverse compatable, it doesn't cost more if it is the only tower available and at the time of launch, late last June, 165 major/mid-major markets were covered.

Think...why not push the wifi part? That is the honest part of it all. What is the 700Mhz band going to do for AT&T, being that they already purchased Aloha Communications and have nearly 200 million of 300 million people covered with what could be the largest wi-fi network ever?

Apple was smart, AT&T was smart. These companies, no matter how many haters there are out there, are smart and generally will cover their customer's butts far better than the leaders in these industries. Can you take a photo and bluetooth it off of a Verizon phone? No, not most of the time. AT&T allows for that kind of stuff. Apple is well known for allowing only the highest standards alongside of being somewhat "open".

Only bad part that I have found with my iPhone is that the antenna on the iPhone is not as strong as a: RAZR, a Blackberry or a good Nokia. I live in a non 3G area where fewer towers are on top of one another, but with that said, I have used the other phones listed and didn't drop calls on Cingular/AT&T, the iPhone is not as strong and I have had a few dropped calls in a few months. Not bad, not what I am used to.

Keep researching, there is more there than what you put out there...FC

speed

Real world testing revealed that 3g wasn't much faster in actual usage, and consumed a lot of energy (battery life).

Those are all good reasons

Those are all good reasons but #3 is the one everyone seems to miss. Apple is able to negotiate a very reasonable "all you can eat" data plan, knowing that the speeds are too slow to use it as a primary internet connection or instead of wi-fi. At 3G speeds, ability to charge a flat rate may break down.

Compare this with the other actions that Apple took that had many scratching their heads:

- They wouldn't allow 3rd party programs to be written for the iPhone until they worked out the SDK, citing potential damage to the network. Many thought that was odd, since other phones had 3rd party programs just fine. But what they really meant in all likelihood was that the AT&T network's all-you-can-eat data plan would no longer be viable if 3rd party programs didn't adhere to a standard of minimal automated network access, and they needed time to write a system that locks it down.

- They don't allow "tethering" to the iPhone--you can't use it as a modem for a laptop, as you can many other phones. Again, those are phones where you are charged per unit data, or a higher price for data.

Many people do not make the connection between the quality of internet experience on a device and the amount of usage, and therefore cost to the network provider. Data costs can be fixed and low where the experience in some other way limits usage. A 3G iPhone with tethering and unlimited 3rd-party apps would almost certainly not be able to get away with a flat rate data plan. And if there is one thing Steve Jobs knows really well, it's what people want. People do *not* want to count kilobytes, feeling a mini cash register go off in their head making them feel reticent and guilty to use their beautiful phones with the best mobile browsing experience. I think he correctly saw that it would be a significant barrier to purchase.

Very Good Point

I've commented a few times on this, and I'll be interested to see what Apple does with the SDK.

Some other evidence of AT&T's controls, also, is the lack of iChat (which would seem an obvious thing to add to a cellular phone) and the fact that iTunes only works over WiFi. In the case of iTunes, it might be a speed issue (does anybody really want to download music from iTunes at 200Kbps?), and I'll admit that I don't know this for certain but it certainly "makes sense."

AT&T offers iPhone customers a flat rate for data. But I assume that AT&T has some say over what data goes over their network for that flat rate. Web surfing? No problem. Mail? No problem. But where Apple's services collide with services that AT&T sells? (iChat vs. SMS, iTunes vs. AT&T) Problem.

If this is true--and it's a big if, I'll admit--the SDK may either block third-parties from using AT&T's network or they may have to submit applications to Apple which will vet them through AT&T to determine whether or not they will be allowed to use AT&T's network.

Disagree with several points

#3 - Wrong - AT&T does not vary their data-plan rates by speed, or between EDGE and 3G.

#5 - Wrong - all major urban areas in the U.S. have 3G coverage - the vast majority of users are inside AT&T 3G coverage areas.