Apple's Monster 2015 Event - A Few Observations

Last night saw one of the longest keynote announcements from Apple. At over 2-hours, it packed in updates to all their major product categories except computers. John Gruber has a nice summary of the event that you should read.

I wanted to share a couple of observations:

New iPad

When the original iPad was unveiled in 2010, I wrote that this was a computing device for the GAAKS - Grandparents, Aunties, Average J at work, Kids and Students. Over the years, the iPad evolved into a highly capable computer, replacing the use of a PC for many. But for some segments, it was still a media/reader accessory to the traditional laptops. While the iPad offered the great advantage of touch and easy access, it lacked some of the features that power users normally sought. In the business world, it's surely the physical keyboard. In some of the creative fields, perhaps the ability to have precision inputs. The size of the screen and the tablet's computing power were also "weaknesses", for many.

Apple has now made a major push into the enterprise, through partnerships with IBM and Cisco. So it was but natural that iPad would evolve into a device targeted at professionals. The iPad Pro appears to address the "shortcomings" of the previous iPads with its larger screen (13") and a processor that is superior to that of most PCs! More interesting were the two input accessories that were launched - the Smart keyboard and the Pencil. One would need to experience them before getting to a verdict but the videos and demos were superb. 

There had been demands that Apple make MacBooks (laptops) or iMacs (desktops) with touch screens and they refused to move in that direction, even though several other hybrid PCs were out there in the market. "And, of course, over the years we've experimented with all the technology, but we found it just wasn't good. ... We're not all that interested in building one," said Craig Federighi, Apple SVP of Software Engineering. So what they did was to take a device that was great in the touch interface and added computing power and accessories to enable the power users.

Of course, it does leave a question around the laptop market. Apple has never shied away from cannibalizing its own products and I am intrigued about the impact the iPad Pro will have on the Apple laptop family, in particular, Macbook (12" - newly introduced) and Macbook Air (11" & 13" - most popular for regular use).

iPhone Upgrade Program

As expected new iPhones were launched and even though it was the year for incremental improvements ("S" series), there were many interesting changes. The 3D Touch adds a new dimension to the interface and while it hasn't been a major factor in (my) Apple Watch experience, I can imagine that the iPhone would benefit from it. The camera, as usual, got a huge bump and reinforces the fact that today, the best camera for most (>95%) people is in their pocket. 

What I found most interesting, however, was a new retail scheme that Apple announced (initially USA only). The iPhone models, since inception, have been defined by the carrier(s) - AT&T version, Verizon version, etc. and the pricing announcements are for subsidized contracts (starting $199). Many of the US carriers are now moving towards reducing / ending phone subsidies with the introduction of installment schemes. Apple announced its own monthly payment plan but with a wonderful twist.

(This is my understanding of how the scheme works -- will update as I learn more about it.)  
A customer can buy an unlocked iPhone on a 24-month installment plan. At the end of 12 months, when the next iPhone is launched, s/he can upgrade to the latest one, without any additional cost - just extend the installment period by an additional 12 months. 

The 16GB phone with the extended warranty costs $700 (incl. taxes); say, the average customer upgrades every two years. The resale value of a 2-year old iPhone would be about $150. So, the net cost is $550 for using an iPhone for 2 years. 

The monthly installment is $32.41 (about 20 months to recover the upfront cost). Over a similar two year period, the customer spends $778, but has the advantage / benefit of getting the latest phone every year.
 
So, the customer gets a new iPhone every year at a cost of $389 vs. having to pay $550 (net) for a phone every two years. On the other hand, for those who like to upgrade every year (ahem!), the net cost is $380 after getting a $320 trade-in for a year-old phone. For them the Upgrade program makes great sense because they don't need to pay upfront nor do they need to take the risk / effort of getting a poor resale value in future.

There are two major benefits for Apple, though, if many customers opt for this program:
1. Far more customers will be on the current hardware cycle, thus making the iOS updates / Apps more efficient; 
2. This is a strong lock-in... at the end of 2-years, the customer may or may not upgrade to the latest iPhone or could switch elsewhere. But, with this rolling installment scheme, it is very likely that a customer would take the latest iPhone every 12 months because it does not have any additional cost - just 12 more months of commitment. The rolling subscription plan could be a great lock-in mechanism.


The next few months will be busy: the new iPhones are out in September, the Apple TV in October and the iPad Pro in November. I will share more observations as I get hold of some/all of them and have first-hand experiences to share :-)

A Month with the Apple Watch

It is fashionable nowadays to write about the first week or first month anniversaries with gadgets, as well as publicly break-up with them. So, let me join the fray! To be fair to myself, though, I had written about my expectations and first impressions of the iPad - therefore, this is not something new. 

This note is based on personal experiences and should not be seen as applying to everyone. I will try to highlight, objectively, why the Apple Watch works and where it needs improvement. For some, it will work more and for others, it won't at all. 

A few quick, initial comments:

First off, the Apple Watch (in its current avatar) requires an iPhone. That, in itself, is a limiting factor on whom it's meant for. Yes, you could be so impressed with the Watch that you ditch your Android or Blackberry and jump on to the iOS side but that's highly unlikely. (Although for those still on Blackberry phones, just jump on to something else, watch or no watch!)

Secondly, for those in India, it is probably going to be a while before the Watch is available locally. Unless you are willing to jump through hoops to get it from some other country, you have some time to make your decision.

Finally, I would say the Apple Watch (at its price - in INR equivalents) is for the enthusiasts, those early adopters that like to experiment with and experience new products. The inflection point should happen, I believe, this fall when the new Watch OS (and apps based it) become available. 

What worked for me

1.  Reduced the distraction of the iPhone

We have to admit it - most of us are addicted to the iPhone (or any other similar smartphone). Constantly checking for new messages, mails, alerts or tweets - our eyes remain glued to the phone. I have often, while working or in meetings, wanted to put the phone on silent and leave it in my bag, but there's this fear (or desire!) of that urgent call or message that might be missed. So, the phone remains handy and with that, its constant distraction. The iPhone is great because it allows you to do so much with it; that's also its weakness.

With the Apple Watch, my phone has been on silent mode for the most of last month. When I am walking, working or in meetings, the phone is rarely in my hand or within eye-glance. When I want to, I can now focus on the task. Let me give you an example.

I would always carry my phone in my hand while walking outdoors. Perhaps to check time (I had stopped wearing a watch) or to ensure that I didn't miss an 'important' call or message. And since the phone was handy, why don't I quickly check my Twitter feed or oh, there's a notification on FB, let's see what that is.... Before I knew it, my eyes were on the phone even as I was crossing the street or navigating broken pavements. Last week, I was walking somewhere and suddenly it struck me that I hadn't looked at my phone for nearly half an hour! It was in my jeans pocket and I had forgotten that it was there. So what changed?

The Watch has this wonderful wrist tapping mechanism of alerts. I have set it to notify me (and only me) under specific circumstances. Most calls or messages can be ignored for a while; even if a message is urgent, the most likely response is Yes or No. In an exceptional situation, I can answer the call on the Watch itself or send a voice message in response if the canned options don't suffice. 


2. Made me stand up more often

Being very active (physically) doesn't come naturally to me. My work, when I am not teaching in class, requires me to mostly sit in meetings or in front of a computer. Sitting is the new smoking, they say. And all we do is sit (or sleep!). In spite of this knowledge, our lifestyles haven't changed much. It is so easy to continue the status quo.

Unless, there's a tap on the wrist and you are told that it's "Time to stand!" Fifty minutes into an hour, if you've not stood for at least a minute, the Watch prompts you to get up and move about a bit. Standing for one minute per hour can't be such a big deal, you may think. Believe me, even a month later and after being more conscious about the need to stand, I get this alert at least twice a day. The Watch also aids the iPhone's activity tracking - I am more likely to have my Watch on when moving than to have the phone in my pocket. 

While I have not seen any dramatic fitness or weight loss results during the past month, I do check daily how active I have been. Hopefully, results will show soon. Here's an interesting post by someone who used the iOS HealthKit and the Watch to lose a lot of weight!


3.Told me the time

 The Apple Watch also tells the time. With a turn of the wrist or the raise of my arm.

The question is - are the above "benefits" worth the $350 starting price. "Not being distracted by the phone" might appear to be a double-whammy: pay a huge price for the smartphone and then get this watch to reduce distraction! True. But if you are already on the smartphone distraction boat, then the Apple Watch will feel like a liberating force. Yes, you can get activity/fitness trackers for much less, but then they are what they are: bands.

The Watch is a beautiful piece of hardware - not at all geeky. The digital crown and the various straps are very cleverly designed. Yes, it could be thinner but the Apple Watch doesn't feel out of place on the wrist. 

There's a lot that needs to improve with the Apple Watch to make it attractive and value for money for a wider audience. Most of that change is software based, so it can happen without having to wait for the next hardware iteration of the device. The new OS that was demonstrated at WWDC appears to address many of the problems and also opens the Watch up for innovation by app developers. I am waiting to see some good apps that go beyond a miniature version of the iPhone app. My friend Sajith Pai has an interesting idea about leveraging the signaling prowess of the Apple Watch. Time will tell. (Oops, sorry, I couldn't resist that!)


One more thing: I believe the Apple Watch will have serious implications for watch manufacturers, maybe not so much for luxurious, hand-crafted Swiss watches but for the mid-range quartz watches that are in the $50-300 range. How so, when the Apple Watch starts at $350? 

The Apple Watch may focus on its well-crafted, premium segment but it is helping shape a new market category. It's a matter of 12-24 months before competitors and imitators create wonderful looking, good enough, Android-based smartwatches. The traditional watch will then be left with just price as a competitive variable. Try competing on price with Micromax and Xiaomi. 


(Updated: Earlier I had referred to Canvas as distinct from Micromax. Thanks Farhan for pointing it out.)

Strategy Lesson from Steve Jobs

Referencing John Gruber's post on Working Backwards to the Technology.

This is a wonderful story about the core of Apple / Jobs' philosophy. The post quotes from a 1997 video of Steve Jobs, soon after he returned to Apple and started to change its strategy:

Jobs:

What about OpenDoc? What about it? [Audience laughs.] It’s dead, right? Let me say something that’s sort of generic. I know some of you spent a lot of time working on stuff that we put a bullet in the head of. I apologize. I feel your pain. But Apple suffered for several years from lousy engineering management. I have to say it. And there were people that were going off in 18 different directions doing arguably interesting things in each one of them. Good engineers — lousy management. And what happened was you look at the farm that’s been created with all these different animals going in different directions and it doesn’t add up. The total is less than the sum of the parts.

And so we had to decide, what are the fundamental directions we’re going in? And what makes sense and what doesn’t? And there were a bunch of things that didn’t. And microcosmically they might have made sense; macrocosmically they made no sense. And you know, the hardest thing is… you think about focusing, right? You think, “Well, focusing is saying yes”. No, focusing is about saying no. Focusing is about saying no. And you’ve got to say no, no, no. When you say no, you piss off people.

Everyone who wants to understand strategy should know this. Focus (or choices) is really about saying No. Particularly when there are so many things that one can possibly do (or one is already doing). Even at the cost of pissing off some people.

And if you click on the link at the end of that post, you will come up with this Apple video. Almost every company has a vision, mission, values statements typed out on posters and screen-savers, but unfortunately, their employees or other stakeholders don't know what it means. But this video, in 90 seconds, tells all of us what Apple stands for.



Apple doesn't (still) care about India

In spite of its increased marketing and distribution activity in India, I don't believe Apple cares much about India, or cannot change enough to be more successful in the market.

Yesterday, Sanjay Bafna, editor of TelecomTalk tweeted about the iPhone 5s "official" pricing for India (Nov 1 launch).

I was quite surprised when I saw the prices. At Rs 52,500, the 16GB iPhone would be amongst the most expensive smartphones in the country. Not only that, it reflects a 20+% premium to its price in USA.

The unlocked 16GB phone is priced at $649 in the US; add about $40 for tax (varies by state). At today's exchange rate, that's Rs 42,675. Some states in India like Maharashtra charge higher VAT (12.5%) for mobile phones, so adjusting for that, you would get Rs 45,150.

The rumoured price is therefore a 23% premium on what it would cost in the US and about 16% premium over what it should cost (logically) in India. (I am assuming that shipping from China to India is not more expensive than China - USA.)

Recently, there was a lot of discussion about how Apple is looking to rapidly expand its presence in India. I don't think that adding to its distribution chain in 50 smaller towns is going to help much at these price levels. Undoubtedly, there are many rich Indians who live in rural India and they seek the latest / premium products but there is also a value consciousness amongst most Indians. Those who can afford to spend Rs 50-60K on a phone will have someone get it for them from the US.

Also, take the 64GB iPhone, for instance. At Rs 72,500, it would be more expensive than the 128GB 11" Macbook Air (Rs 67,900)!  

I love Apple products and am fully invested in their eco-system. Yet, I would think hard before purchasing an iPhone in India. I understand that the iPhone positioning is that of a premium product and it doesn't seek to compete on price. Apple doesn't need to do special pricing for India - just offer it at the same price levels that it does in its home market.

Note: I am still hoping that the 5s will be launched at the same price as the 5 (Rs 45,500 for the 16GB) or at most, Rs 49,999 (to account for some forex fluctuations).

Apple iPad 2 Event: Quick Summary

The long awaited Apple Keynote happened last night; most of you would have caught the news from various blogs and news reports. So without getting into too much detail. here is my perspective on what was announced yesterday:

1. The Announcement
As expected, the new iPad 2 was announced. It will be available March 11 in the US (orders start only that day) and March 25 in 26 other countries (of course, no India). The price points remain the same, starting at $499 and it comes in 6 configurations (16/32/64G; Wifi and 3G... note that there are now two 3G versions: GSM and CDMA). Whether the CDMA version can be activated on the Indian CDMA networks is a question mark.

2. Hardware
* Two cameras, similar to the iPhone 4... front-facing & rear. Supports FaceTime (and other video chat apps like Skype)
* Redesigned body... now quite similar to the iPod Touch. Much thinner than the earlier iPad; thinner than the iPhone 4 too. Therefore, lighter.
* 2 colour options. Black and White. White will be available from Day1.
* Faster processor... dual core A5 chip. iPad was fast, iPad 2 should be a scorcher.
* HDMI Out through an adaptor, and mirroring of iPad on the TV/screen. It is not fully clear how this feature & accessory will work with iPad but it appears from this TUAW article that the accessory will work with older iDevices but only for 720p quality slideshows and movies, and will not do full mirroring.

3. Software
iOS 4.3 will be available from March 11. Please note that most features of iOS 4.3 (except camera related) should work with the iPad.
* Airplay -- will let you play out video/photos from any app or website/Safari to your Apple TV or Airport Express (or any of the new systems that are Airplay compliant)
* iTunes Home Sharing -- now access iTunes on your computer from your iPad and watch/listen to content residing on your computer 
* Small but important -- you can now choose (in the Settings) what you want to use the Mute button for... Mute/Unmute or Screen Orientation Lock (like earlier)...

New Apps: iMovie (to create and edit movies) and GarageBand (to create and edit music/instruments) on the iPad for 5bucks each (iMovie will not work on the iPad).

4. Accessories
* The new Smart Cover is a piece of brilliant product design. You have to watch the demo video on this page. I loved it.
* Digital AV Adaptor for HDMI (described above)

What was missing?
* There were some expectations of improved display (Retina Display)... but this was unlikely till Apple could double the screen resolution (to keep the Apps backward compatible). This should happen with iPad 3.
* There were many rumours of USB or SD Card support... I think this was wishful thinking.
* Wild rumours of Flash support

Verdict
The iPad 2 is not an incremental feature upgrade. It is indeed a complete overhaul of the iPad design and specs. Makes the iPad highly competitive (features/price equation) with all the other tablets out there... In my opinion, Xoom is overpriced and Playbook is too small to be of use.

If you don't have an iPad -- you should get one on March 11. iPad 2 is the 'best' tablet out there for 2011 (even taking into account all the others that are promised for this year). Unless of course, you are highly committed to Android or Blackberry. Even then.

If you already have an iPad -- it is a tough decision, particularly if you've got one in the last 6-9 months... I would suggest you wait for iPad 3 (which is probably a year away, despite the rumours of a Fall release)... with iOS 4.3, you will have many of the features that the iPad 2 will get you (except the cameras). 

But there are five situations in which you could consider upgrading to iPad 2:
1. You use the iPad to make presentations, sharing with teams, etc. The Video Mirroring feature is unique to iPad 2... and it is a compelling feature.
2. You use a lot of video chat *and* you don't have an iPhone 4. 
3. You want to treat yourself to special gift this new financial year.
4. Your spouse/kids use the iPad more than you, so you may as well give the old one to them.
5. You are like me. :-)

Ah, and by the way, Steve Jobs did the keynote yesterday. It was a wonderful surprise. He appeared reasonably healthy, and here's wishing him better health and many more magical surprises for years to come.

Note: Updated to make a correction that GarageBand will work on iPad, but iMovie won't.

iPad Case - Made in India!

The global success of the iPad could create new business opportunities for Indian small businesses. Here's a great example:

This iPad case has been custom designed and made in India... to be more specific, Dharavi, Mumbai.

This case has till now been produced on request for about two dozen iPad owners...

The cover, made in good quality leather, is available in multiple colours from the vendor.

I am trying to see if I can help this manufacturer reach out to the demand that must exist for the iPad case in India and elsewhere.

My iPad Review (re-posting for the iPad)

Almost magical!

 

 
 

 

 

April 22, 2010

 

The iPad

 

 

First impressions 

When I saw this iPad, my first reaction was, it's smaller than I thought. I wanted to get started right away, but for a nerve-wracking nine hours, it lay in the box waiting for my day's meetings to get over. When it finally came to life, I could not take my eyes off it. Stephen Fry's Time article refers to this "experience" factor that all Apple products incorporate. No review or unboxing video or image gallery can prepare you for the experience of operating an iPad. Really, I should just end this review here and you should head to the nearest Apple store to try the iPad experience. You will decide in a few minutes whether you want it for yourself or not. No logic or rationalising will prepare you for that decision. 
 

I knew you would get to this page... we are too much of the analytical types, no? So let me try and summarise the key experience issues that you should try for yourself. 

 

Books: you won't get this on a Kindle!

 

 

Over the last week or so, I have read three books (free classics) on iBooks. I have not used a Kindle, so I cannot compare the two but the integration of images and colours with text in the iPad offers a better reading experience than other e-readers like Kindle.  Friends have asked me if it's a strain on the eye (e-ink and so on)... given that I spend 8-10 hours a day in front of a computer, I can't say this made much difference to me. 

The books experience goes beyond iBooks. Try out the new, animated Alice in Wonderland app or the Disney Toy Story Book app that integrates reading, voice-over, music, painting and bright images (both available in the App Store; free/lite versions available) - you will realise that reading (and therefore, writing) will truly get transformed.  

Productivity

Will the iPad replace your laptop or computer? No! But it will surely reduce the time you spend with your computer. For the last 24 hours, I have not started the Mail application on my desktop. I have read over a 100 mails, replied to over a dozen, reviewed a Powerpoint presentation and an Excel worksheet and edited a press release during this time.   

Compared to the Blackberry or iPhone, the iPad offers the convenience of a large screen as well as keyboard, particularly when not "on the move". The advantage over the desktop/laptop was that I did not have to connect to the corporate VPN to access my office Exchange mail (when away from my desk). It's a niche thing, but for those that remote work and hate having to login to the VPN frequently, the iPad mail is a great substitute.   

The virtual keyboard takes a while to get used to but offers an almost full typing experience in landscape and better than smartphone speeds in portrait. For extended typing (2-3 pages or more), it is a bit inconvenient though; I am yet to figure out the most comfortable way to position the iPad and optimise typing speed. I see myself getting one of those compact, Bluetooth keyboards for extended typing. 

This document has been entirely created using the iPad without any external keyboard; I used Pages ($9.99 in the App Store). 

 

What I would like to see more/ different

 

  1. A front facing camera to support web-conferencing would be a good addition. Or a web-cam accessory. 
  2. I am sure the 3G version offers a better connectivity experience on the move but a $130 premium for a 3G chip is unjustified. The ability to use the iPhone's cellular connectivity, for example, would be great - we don't need to have multiple wireless data plans!
  3. Many of the iPad apps are still quite buggy, but it should be a matter of time for them to get sorted. The iWork apps are good, but need enhancements to make them ready for corporate usage.
  4. The lack of Flash on the iPad has forced me to re-post this review, from the earlier PDF/Scribd version. I believe this will be a minor irritant for a year or so; most sites that matter have already developed alternative versions or are moving towards html5. 

 

But, what's the point of this device, anyway?

Do you 'need' an iPad? Maybe yes, maybe no. Do you 'want' an iPad? Very likely, yes. If you use (or have considered using) an iPhone or a Kindle (or their equivalents), the iPad should be on your evaluation list for this year's bonus/ promotion / birthday gift / any other excuse.  If not, do find a friend that has an iPad and is willing to let you experiment with it. I bet that by next year you will be buying an iPad or one of the six similar devices that will be launched by then.

Do let me know which way you swing! 

My iPad Review

When the iPad was announced earlier this year, I had written about the iPad being a device that will appeal to new segments of the "computer" market: the GAAKS. Now that the iPad is here, and with me for almost two weeks (though I could not use it much during the first week due to work and travel), I am sharing my first impressions of the iPad. Whether it will meet the expectations of Apple, its fanboys and the gaaks, is still unclear, although sales of half a million in the first fortnight appear impressive.

Here it goes:

I have not gone into the tech details nor waxed eloquent about the entertainment / gaming features of the iPad... Do you have specific questions about the iPad - use the comments below to ask them, and I will try and share whatever I can.

 

Update: The review document is not readable in the iPad because scribd uses Flash! :-( I will soon post a separate version that will be iPhone/iPad friendly.

Update2: A non-Flash version of the review is now here.

 

iPad - the device for the gaaks.

Most of us have become experts at seeing what isn't, so we miss out simple 'what is' facts. The other problem that we face is that of wanting everything, everytime, everywhere. 

Apple's latest creation, the iPad, has underwhelmed the tech media and analysts; they are unable to see why somebody would use a large smartphone or an inferior laptop. Many others are aghast at the iPad's lack of Flash support or multi-tasking. That there aren't two cameras to support photography and video-chatting has let down a few more. Of course, some can't get over the "i" jokes and worse still, the "pad" jokes.

I beg to differ. I see here (and in a few other such devices) an opportunity to expand the market for digital services. Take it beyond the tech workers and fans of gadget blogs, take it beyond the home and office use, take it beyond the developed markets. I firmly believe that iPad has the opportunity to define its market, not as a large smartphone or as a cheaper/smaller laptop but as the primary digital device for the GAAKS, as against the geeks! (More about the gaaks, later.)

Broadband penetration remains relatively low in several emerging markets, not only because of supply constraints but also because prospective customers do not see value in the service. The primary interface device is a computer that is as "complex" as it is expensive. Most kids and senior citizens (all 45+ would qualify!) that have not received "formal" IT education would not venture to use a computer without assistance. Even when they do use a computer, it is rarely for its computing or processing power but really for the purpose of communication, media consumption and sharing. Finally, the keyboard is the most counter-intuitive input/control device that puts-off even highly educated people, leave alone those that aren't. 

It is obvious that the next Broadband access device has to be developed using the same principles that have made mobile phones and media players accessible to several billion people worldwide. Simple and intuitive user interface that helps in communication/sharing and digital media management. A device that two-year old kids can manage and so can 60+ old grannies. Something that the neighborhood aunty will find as appealing as students focusing on their courseware. Something that the average-J can use to be more productive at work. Move over geeks, we need to serve the grannies, aunties, average-j, kids and students. The GAAKS.

Using a few personal, albeit anecdotal, experiences, let me outline needs of the gaaks in the context of a digital device: 

Grannies: Simple visual control-interface, limited need for typing. Big, bright screen; large icons. Mostly photos, videos and music. Reading books. The occasional video chat. Home use.

Aunties: Cool looks. Fit in handbag. Idiot-proof controls (Oh, did I delete something!?). Music, videos and photos. Calendar. Facebook. Mail reader and forwarder. Home + nomadic use.

Average-J at work: Portable. Simple but secure. VPN/Exchange connectivity. Mail, Calendar & Contacts. Notes. Presentations (on-screen or projector). Document editor. Corporate apps. Occasional media (IT rules permitting). Mobile use.

Kids: Rugged (4-feet drop proof). Delete-proof. Intuitive physical & visual interface. Music, videos, games. Education apps. Occasional books/comics. Anywhere the parents want a silent kid. 

Students: Cool looks. Portable (fit in a ruck-sack with other assorted stuff). Social networking. Music, videos, photos & games. Camera or camera-phone interface. Search. Reading books & making/sharing notes. Everywhere use.

(I have described generic / average usage scenarios. There are bound to be exceptions in each of these categories. Have also not included stuff that can be done using pretty much any mobile phone: yakking, texting, FM radio, etc.)

Which device is more likely to serve these large user segments: a laptop-variant or an iPod Touch variant? Remember, most of these people already have access to a mobile phone, so they have basic voice and narrowband connectivity. A bigger, brighter and more capable iPod Touch or an iPhone appears to be more relevant to these users than a laptop or a netbook. The iPad may not yet address all these requirements but from a hardware perspective, it appears to have all features (except a video camera for chat: surprising but not a deal-breaker). The interface and software are almost ideal for the gaaks; a few rough edges should get resolved through software upgrades.

Us geeks will still buy the iPad because, well, we just have to have it. It will add to the bag-load of devices and accessories that we carry with us everywhere. The significance of the recent Apple announcement is that a whole new, untapped market is about to open up. What they call "blue-ocean" stuff in management consulting parlance. More power to the gaaks.