Apple debunks iPhone nano rumor, disses netbooks and defends its technology

By on Jan 22, 2009 at 10:42 AM
News January 22, 2009

Apple

Amongst all the financial details being discussed during Apple’s first quarter 2009 earnings conference call, acting CEO Tim Cook fielded questions on iPhone pricing, the netbook market and Apple’s ability to sustain its leadership in a crowded mobile phone market. First and foremost, Cook dismissed the idea of a low cost iPhone nano by stating,

“You know us, we’re not going to play in the low-end voice phone business. That’s not who we are. That’s not why we’re here. We’ll let somebody do that, our goal is not to be the unit share leader in the phone industry. It is to build the best phone.”

So it looks like those iPhone nano rumors could be just that, rumors – though some of his comments were certainly open to interpretation. Cook was also questioned about the future possibility of a Mac netbook. When asked about the sub-$500 netbook market, Cook responded,

“We’re watching that space, but right now from our point of view, the products in there are principally based on hardware that’s much less powerful than we think customers want, software technology that is not good, cramped keyboards, small displays. We don’t think people will be pleased with those products. It’s a category we watch, we’ve got some ideas here, but right now we think the products are inferior and will not provide an experience to customers they’re happy with.”

Those are some scathing comments about netbooks so we can apparently assume that a Mac netbook is definitely not in the works. Last but not least, Cook was asked about Apple’s ability to remain the market leader with the iPhone in light of increased competition from Android, Windows Mobile and the Palm Pre. Hit the jump to see what Apple has to say about its competition.

Cook reaffirmed Apple’s leadership in the mobile phone market and confirmed that Apple is “very, very confident with where we are competitively”. When asked directly about the Palm Pre which utilizes a multi-touch interface similar to the iPhone, Cook refused to single out an individual company but staunchly defended Apple’s technology by issuing threatening words to its competitors:

I’m just making a general statement that we think competition is good; it makes it us all better. And we’re ready to suit up and go against anyone. However, we will not stand for having our IP ripped off and we’ll use whatever weapons we have at our disposal. I don’t know that I can be more clear than that.

Those are fighting words from Apple and with the Palm Pre gaining momentum, one can only wonder if Palm may be a future target for Apple’s lawyers. In the end, it was a hell of an earnings call. If you happen to be interested at all in Apple’s Q1 FY09 results, which came in well above speculation, hit the read link.

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  • noname

    For a company that just made 2 phones so far and has already dominated the market that’s pretty amazing. But, to hear this guy running his mouth about letting someone doing the low end phones, it’s just arrogant and idiotic.

    Is Walmart a high end electronic retailer for your iPhone?

  • backbeat

    ^You cannot patent a concept. Exactly why LG had no grounds against Apple.

    …bitches

  • E21P

    Too bad no iPhone Nano, would of been good for this hard times for some ppl. More units out there

  • jonnybruha

    …What an asshole.

  • Andy

    ^who are you talking about?

  • Constable Odo

    How is the Palm Pre gaining momentum? Isn’t there just one prototype floating around? Are they talking about the windy diatribe of potential users that want the Pre? They see some prototype and assume this Pre is going to be a world beater. They had just said that about Android. I’m sure the Pre is a work in progress and certainly not ready for production as of yet. Palm is going to have to get the money just to build this thing in production quantities. It’s not going to be easy for Palm to keep financing this Pre in a battered economy and a handset market that is becoming severely contracted. If they’re talking about the Pre gaining momentum, they must mean it’s showing up on more and more sites being declared as the next iPhone killer.

    If you’ve got the patents and lawyers that can prove a company has violated those patents, then you can sue, regardless of who had it first. Palm should have used those patents years ago to stop Apple from using multi-touch, if that’s the case. Palm will probably be screwed as far as gestures are concerned, but it shouldn’t stop them from developing a decent handset. Palm can always come up with some circular gesture in place of a pinch.

  • TRV$

    I’m not well versed on IP, but HTC utilizes the circle motion for zoom in/out….

    ……following that train of thought (swipe is IP, Circle motion is IP) at some point we’ll be drawing a rhombus to zoom in on a Blackberry Tornado in 2 years. now where is the convenience in that. At some point, you would have to assume, to expand the experience for ths customer, and to drive competition between handset manufacturer’s/OS developers they would let some of this $h!t go so that we, the consumer, can finally get a device that satisfies all of our (slightly unnecessary) needs.

  • http://Davidthande.blogspot.com David Thande

    The big question I have to ask? Has anyone ever spoken on an iphone? The low-end quality he was talking about if directly aimed at the iphone! Its terrible, hardly a phone! Its sad to see grown men bicker over the children’s device ( a’la-gameboy ) who’s number one application mimics passing gas in a room. Bravo Apple! Bravo! Smart Phone! Hahahaha!

  • http://www.thecellguru.com/phones/iphone Robert

    I hope whatever competition comes for the iPhone supports A2DP, its pretty crazy such a music centric phone doesn’t support A2DP profile. The devices that try to add it don’t work when its in normal phone mode either.

  • Mr. Hi-Definition

    @ BG

    Didn’t I say that the iPhone Nano wasn’t coming out? I believe that me and you both agreed that this just didn’t make any sense for Apple to dump money into and it would seem that we were both correct.

    Silly Gizmodo, Blogging Tech is for BGR…

  • backbeat

    @Robert: Just because the bluetooth technology standards exist does not mean it _should_ be done. A2DP is a horrible audio standard which cannot be sufficiently shored up by the headset. This is my rationale and it is Apple’s.

  • celz

    Apple doesnt even know what its doin with its patents. Remember a month or two ago when they filed for a lwft swipe as delete and a right swipe as space lol that gesture is maybe a decade old lmao… they need to make an apple version of touch flo 3d let it provide a real today screen, multitasking, cut and paste, and a few other business features call it the business pack and rape their customers an extra 40 bucks. Because the novelty of having an iphone will be gone this time next year. And there isnt much hardware wise they can upgrade. All it needs is a 3mp cam but u can barely tell the diff from 2. Apple is just pissed cuz the palm pre works and its pretty. So to keep up they will have to make their phone work. And by the way they should sue CNN lol cuz there magic map has a zoom pinch function well maybe its not covered cuz u use two hands to pinch lol.

  • backbeat

    ^Your lack of fundamental comprehension of IP law and concerns is only surpassed by your schizophrenic hatred of an inanimate object.

  • celz

    @ backbeater

    Did u read my post or are u just filling your reply with big words in a desperate attempt to sound smart? I never mentioned IP law, I did laugh apples ridiculous attempt to patent a touchscreen gesture that is almost a decade old and is on tens of thousands of phones. And if you knew anything about IP law you’d be laughing with me. And I dont hate the Iphone if I was an avid ipod user I would get one. But I do hate when ignorant people say its the best phone… Its the best at games and being an ipod… Thats it, its a great phone Ive reccomended it to alot of people. But Opera, skyfire, and other webkit browsers are just as good, and the g1 is very user friendly. The Iphone sucks at anything else a phone can do.

  • backbeat

    @single-celz who said: “the only way to upgrade the Icrap”

    Who also said: “And I dont hate the Iphone”

    No hate? Then what’s your excuse? Haven’t reached puberty yet?

    If you had any exposure to the fundamentals of IP, you’d know that it is no laughing matter for the patent holder when the same design achieves the same function in a competing product. I’m not defending Apple nor hanging Palm out to dry since none of us know what Apple’s particular concerns are. I’m simply aware of what IP issues are as well as their significant costs and values to the patent holder.

    Go kid someone else, kid. ;)

  • Me

    What a crock. I’ve was a tech head long before the internet, and I love my netbook for everything is is and isn’t.

    It has some limitations in performance, but it’s still a fully functional computer that is ultraportable (I’m a bike commuter). It boots really fast, and really performs quite well for office and internet applications. I don’t need Photoshop and Illustrator all the time (much less HD video), and when I do, I’ll lug my fully-featured 14″ laptop. (I hate big laptops. 17″ screens are never portable without a luggage cart.)

    And it set me back only $360, lasts 5.5 hours for most work I use it for, and was over $1400 cheaper than the overrated Air.

    And I really like my G1 more than the trendy iPhone.

    But I’ll never give up the iPod…

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