Apple Should Release the iPod phone Based on VoIP

I was reading this article over at Slashdot ( http://slashdot.org/~Eugenia%20Loli/journal/125773 ) after the author sent me her link and it got me thinking. Apple should build a VoIP based phone and market it as a convergence device with the iPod. This would be a fantastic idea and it really fits the bill as far as Apple’s typical business practices go.

This is an emerging market in which Apple could be a big fish and essentially take control as it did with the iPod and portable music. As it stands there are only a couple of players, the main one being Skype which does not have the marketing power or user base that Apple garners. It is also a market with enormous growth potential and one which allows Apple to do an end run around the mobile phone networks, without actually competing with them. As a byproduct, with the iPod phone having WiFi built in, it would allow for wireless music downloading at no extra cost and the use of said music as ringtones, a massive market on its own among the younger age groups.

I envision an iPod nano style device but slightly thicker, including 1Gb of storage (is this where the iPod shuffle 1Gb has disappeared?), WiFi, Bluetooth 2.0 (wireless headphones and mic combo) and all the functionality the iPod already has. As for input I would either see a ring of buttons (think Nokia 3650) or maybe just the iPod clickwheel, using the numbers already saved by Address book and a more rudimentary input for new numbers.

By marketing this device under the iPod brand Apple would gain a number of advantages. The first would be the halo effect the name has, getting it a great deal of press and recognition among consumers. The second would be that people would not expect the handset to be subsidized as they do with phones, because its an iPod ... right. Last, it could keep the form factor the iPod already uses, giving it a cool and clean look when compared to most other handsets.

This would be an ideal time for a product launch like this with the density of WiFi ever increasing in cities and Google well on the way to building free WiFi networks all over the shop. Because many homes also have WiFi now it kicks the land line phone operators into touch too. Admittedly WiFi coverage is nowhere near that of the cell phone networks as it stands, but thats what makes this plan so perfect. Because this would be an iPod, Apple can plug this as its primary use. VoIP could be a cool extra like video or photo .. for now. But in 5 years WiMax will be as popular as WiFi now but the coverage will be exponentially larger. By then all iPods will have this functionality with their wireless headsets and Apple would truly be placed to take the telecommunications industry by storm.

Comments

[PXLated]

Graet idea other than almost nobody except for geeks & semi-geeks even know what VoIP is. Bet if you walked into an Apple store and pulled the average customer aside, 8/10 will give you a puzzled look. The iPod didn't break new ground in educating the public, everyone immediately knew what it was for. Doing their own iPod/cell phone with WiFi would be easier (other than dealing with the carriers) to cell to the public. Throw in VoIP capabilities for the geeky and maybe they'd have something. ;-)

[T.D. Shadow]

Picute the same device, but instead of a built-in iPod, the nano snaps onto the back of it a la iTrip for the nano.

[won]

I hope Apple chooses xMax instead of WiMax.

[r Boylin]

I think you're on the right track. You didn't mention an iSight camera and video conferencing. Apple's technology for this is predicted to spread to the new portables, why not the Wi-Fi iPod?

With Wi-Max coming as well Jobs should throw that in too. As far as controls I would guess that a joystick central button on the click wheel would allow more quick switching of activity types.

Someday we might have an iPod with the ability to double as a remote with previewing capability of channels or videos, etc.