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Um, the smartphone has one advantage over the PC or laptop or server - it will get broke and replaced every 2 years (or less) like clockwork. Phones are small,
by programminggeek 13y ago
Um, the smartphone has one advantage over the PC or laptop or server - it will get broke and replaced every 2 years (or less) like clockwork.
Phones are small, easy to drop, and you carry them with you everywhere. Also, with contracts they have a built in 2 year replacement plan. They are the disposable tech.
So, in terms of pure growth, maybe that is slowing or will slow down, but that doesn't mean people will stop buying smartphones, it just means that they will be a large, sustainable, profitable product worth selling for a good long time.
That might get boring to write about, but there will be a lot of successful companies making a lot of money selling phones for a long time.
- w1ntermute 13y agoWithout the contract model, I think that the rate of phone replacement will drastically decrease. Although some people do break their phones, I know plenty of people who don't.
- pekk 13y agoThe contract model isn't going anywhere.
- w1ntermute 13y agoIf T-Mobile continues improving its network and people realize that they don't need to get a new phone every 2 years, things could start to look very different.
- fpgeek 13y agoAbsolutely. The contract model clearly isn't going anywhere. Outside the US, the contract model has had trouble taking root in many developed countries. And it has been flat-out rejected in the developing world. Of course, given those issues and noting some cracks in its home market (T-Mobile, more prepaid users)...
- xixixao 13y agoAnd those contracts aren't as prevalent outside of the U.S.
- r-s 13y agoIn Canada most people have contracts as well.