In a previous posting I wished for an iPhone voice memo recorder, and I was disappointed to find that the 2.0 software load still lacked one. I now conclude that this was an intentional omission, yielding the opportunity to the new iPhone third party software community.

Last week I downloaded Jott, a free application, from the iTunes store. It is a serviceable voice recorder, so my wish is fulfilled.

But the beauty of the third party software community concept is that motivated, talented people in hungry startups will go beyond what’s justifiable in a large company like Apple, and this is what Jott has done. It doesn’t just record voice memos, it transcribes them into written text.

It works very well. It uses people to do the transcriptions. I am not sure if the utterances are preprocessed with Automatic Speech Recognition (ASR) and transmitted to humans for verification and correction, or if it is entirely done by people in a call center somewhere. When I mumble the text comes back as “Unclear,” but I can still play back what I said and recognize it for myself.

There are a few other transcription-type applications out there. Spinvox and PhoneTag transcribe voicemail into SMS and email. A great idea. Nuance, the world leader in voice recognition technology, announced a similar service in April.

In contrast to the foregoing, Yap is 100% automated, so to avoid mistakes it has the user verify its efforts. You speak the text you want to send as an SMS (or that you want to search the web for) and Yap renders it as text on your phone’s screen. You correct it and send it off. Yap doesn’t appear to be deployed yet.

Similar to Yap, but already deployed in the real world is Vlingo. I went to the Vlingo website to download a trial, but didn’t when I discovered I would have to buy a Blackberry to try it on. Vlingo was recently adopted by Yahoo! to power its onSearch mobile product. Nuance is suing Vlingo for patent infringement. Nuance has announced an application like this for the iPhone, but a search for “Nuance” in the iTunes store doesn’t yield any results for it yet.

Another ASR granddaddy is Tellme (now owned by Microsoft), which powers the Sprint Live Search service. Tellme also lets developers do free hosted low-volume implementations of their concepts in VoiceXML.

Getting back to my iPhone wish list, I am still baffled as to why it doesn’t do cut and paste. The argument that it would require an awkward user interface was exploded a year ago.

Ken Dulaney, Gartner VP distinguished analyst and general mobile device guru, told the crowd at the Gartner Mobile & Wireless Summit today that he still can’t recommend businesses adopt the iPhone — even with an SDK. Dulaney said that he recently wrote Apple a letter in which he outlined several things Apple would need to do with the iPhone before Gartner could change its mind about it. The directives included:
- Permit the device to be wiped remotely if lost or stolen
- Require strong passwords
- Stop using iTunes for syncing with a computer
- Implement full over-the-air sync for calendar and PIM

Jason Hiner, TechRepublic March 5th, 2008

On the same day Dulaney said this in Chicago, Phil Schiller of Apple was holding a news conference in Santa Clara granting some of these wishes, and many more:

• Microsoft Exchange support with built-in ActiveSync.
• Push email
• Push calendar
• Push contacts
• Global address lists
• Additional VPN types, including Cisco IPsec VPN
• Two-factor authentication, certificates and identities
• Enterprise-class Wi-Fi, with WPA2/802.1x
• Tools to enforce security policies
• Tools to help configure thousands of iPhones and set them up automatically
• Remote device wiping

At the news conference Apple wheeled out several corporate endorsers: Genentech, Stanford University, Nike and Disney.

At first blush, the new enterprise-oriented capabilities of the iPhone appear to be an IT manager’s dream come true (though it will be a while before the dream is a reality.) Even this contrarian post concedes that it will make the iPhone more competitive with the Blackberry, while faulting Apple for not having a comprehensive enterprise strategy.

Apple is clearly serious about the enterprise smartphone market, and this strategy is sound. The business market supports price points that easily accommodate the iPhone, and this strategy spills over to the business PC market in two ways: today by acting as a door-opener for Mac sales, tomorrow by evolving the iPhone into a PC replacement for many users.

UBS thinks that the 3G iPhone will be released mid-year. iLounge reports that the much-anticipated iPhone SDK will be delivered in June, at Apple’s Worldwide Developer Conference. A beta version will be released at an announcement event on March 6th.

There are several reports that Apple intends to target business users with the iPhone, competing with Blackberries, Nokia’s Eseries and Windows Mobile devices. Since the SDK reportedly will expose interfaces to the phone and Wi-Fi, developers of Wi-Fi soft-phones and enterprise Fixed-Mobile Convergence systems will presumably add iPhone support to their existing Symbian and Windows-supporting products. It remains to be seen how easy it will be for developers to actually get their software “officially” onto the iPhone. Apple can choose their degree of open-ness from a variety of options discussed here.

For Apple to aim at the business market makes a lot of sense. With the successful transition to Intel processors Macs already run Windows natively, and iPhones are supposedly making inroads among executives. According to ChangeWave, summarized here, the iPhone has a 5% share of corporate smartphones already, with astronomical ratings for satisfaction.

To make enterprise IT departments happy, though, Apple will have to make the iPhone more manageable; either by building in OMA DM like Nokia with the Eseries, or by letting third parties develop enterprise manageability clients using the iPhone SDK.

Competitors aren’t sitting still for this. The October 2007 announcement of “Microsoft System Center Mobile Device Manager” was a step forward for Windows Mobile in the enterprise. Microsoft is also leaking stories about how when Windows Mobile 7 is released in 2009 it is going to be more of a pleasure to use than the iPhone. It is conceivable, I suppose, but Microsoft’s track record on usability is pretty consistent. The fundamental part that they invariably seem to get wrong is instant response to user input.

Owners of iPhones know that web browsing on the iPhone is a completely different animal than on any other cell phone. How different? Well, it would appear to be thirty to fifty times different.

Thirty times is difference in data usage between iPhone users and others on the T-Mobile network in Germany, according to Unstrung.

Fifty times is the difference in the number of Google searches by iPhone users compared to others according to Google.

I have previously written about OpenMoko. It seems now that it was the drop before the deluge. Google’s Android appears to have gained good traction with Sprint and T-Mobile joining the Open Handset Alliance, with Dell rumored (update) to be planning an Android-based phone, and with Verizon expressing lukewarm support. Nokia has for some time sponsored open source handset software through Maemo.org, but this week it upped the ante with its acquisition of TrollTech. Trolltech is responsible for Qtopia, a semi-open source platform used in Linux-based phones. That makes four credible Linux-based mobile phone software platforms. Update: Make that five - the LiMo Foundation is a consortium of carriers (including NTT DoCoMo and Vodafone), phone makers (including Samsung, Motorola and LG) and others “dedicated to creating the first truly open, hardware-independent, Linux-based operating system for mobile devices.”

But a phone doesn’t have to be open-source to be an open application platform, and this category is just as vigorous, but better established. Nokia’s Symbian phones have always been open to an extent - there are over 2 million developers registered in Nokia’s developer organization, Forum Nokia. Then we have Microsoft. Microsoft claims that sales of Windows Mobile phones are set to double year-on-year, to 20 million units. Windows Mobile provides a sufficiently open application environment that applications like Skype run on it. The iPhone is not yet officially an open application environment, but there is still a healthy slate of applications from third parties for those with the stomach to take the unofficial route. This is scheduled to change in February when the open-ness goes official with the release of Apple’s SDK for the iPhone. So that’s three major open application environments for smart phones.

2008 is also the year that Wi-Fi phones will come into their own. The dam broke with the iPhone. Wi-Fi on the iPhone raises the bar for all the other smart phones, making Wi-Fi a baseline checklist item for the next generation of smart phones. Previously mobile network operators were fearful that Wi-Fi in a phone would divert traffic from their data networks. This fear led, for example, to AT&T’s removal of Wi-Fi from their version of the Nokia E61. But there is now new evidence. At last week’s IT Expo East I heard an unsubstantiated report that 60% of wireless data usage in December was by 2% of the phones: iPhones. If this is even partly true, it would demonstrate that a web-friendly phone will drive traffic on the cellular data network even when it has Wi-Fi.

David Hattey, CEO of FirstHand Technologies points out in an opinion piece on CNET that US mobile network operators may be opening up their phones to third party applications. He cites two announcements from last November: Apple’s announcement of an SDK for the iPhone, and Verizon’s “Any Apps, Any device” announcement.

This point was echoed in the New York Times article on the 700MHz spectrum auction that I wrote about earlier today:

The new rules have already begun to reshape the rapidly emerging wireless broadband industry. It prompted Verizon and AT&T to change their policies and open their networks to new applications and devices, just as Google and its allies had hoped.

“The issue has melted away,” Mr. Martin said. “It is no longer as controversial, as the major providers have moved to open up their networks.”

The iPhone update seems weak to have been one of the four main points of the MacWorld keynote. A couple of refinements to Google Maps and some minor eye candy on the home screen. Send SMS messages to multiple recipients - presumably put in at AT&T’s request. Some improvements to the iTunes service.

Apple delivered neither of the two improvements I actually wanted, a voice recorder and text cut-and-paste.

That there was no announcement of a 3G iPhone is not really a surprise. I expect that will be announced the day it is ready to ship. Just as a guess, it seems reasonable to expect it on the one year anniversary of the original product release, in June, or of the European release, in October. More likely October, since Steve Jobs said last September that 3G chipsets wouldn’t be power-efficient enough for his needs until late 2008.

I am a skeptical guy. My previous posts on the iPhone balanced criticisms with cautious enthusiasm. But looking back on them, it is hard for me to remember how I felt back then. When I bought the iPhone, I expected it to follow the usual trajectory of my research purchases, use it for a while to see what I can learn, then throw it in a drawer with the rest of them, or give it to the kids to destroy.

What actually happened was that the the numerous deficiencies of the iPhone have failed to keep me from addiction. The week it came out, a colleague posted on his Skype comment line “Apple iPhone: underhyped.” I got a good laugh out of this, but he said he was serious, and now I tend to agree with him.

My biggest objection was the slow WAN data connection, and it is slow. But it’s way better than no WAN connection at all. I browse the web for reviews when I am vacillating in Fry’s; I read the news when I am waiting in lines or waiting rooms. But the absolute neatest feature is Google maps with its congestion indications on the freeways. Fire it up and look at a map of the city and you can see the jammed freeways highlit in red. Google maps is also useful on the iPhone the same way it is on the PC screen: center the map on your current location and type in “restaurants” or whatever.

The nice big screen makes email reading easy. The timer is great for steaks. I have ditched my alarm clock in favor of the iPhone. I have even started listening to the occasional podcast of my favorite radio shows…

Sometimes I catch myself engaged in rapt contemplation of its ineffable look and feel.

It is far from perfect, but it is in a different (and superior) category from any other phone.

The genesis of the Google phone project is described in this Boston Globe article by Scott Kirsner.

The Open Handset Alliance will release its SDK on November 12th, 2007. The iPhone SDK will not be released until four months later. Microsoft and Symbian already have not only mature SDKs, but vigorous development communities: in mid-2007 Windows Mobile had 650 thousand registered developers, and Forum Nokia had 2 million registered individuals and 440 companies in its “Platinum Program.”

As usual with a new development environment, it’s a chicken and egg situation, but the chicken is coming out in pretty good shape; if the base platform debuts with comparable functionality to what the iPhone came out with, it’s a low-risk proposition for the phone OEMs, and Google’s magic coattails will ensure hysterical enthusiasm in the developer community.

The Open Handset Alliance was announced today by Google and 30 or so other companies. Until now the highest-profile open source handset operating environment was OpenMoko.

The list of participants has no real surprises in it. Nokia isn’t on the list, most likely because this project competes head on with Symbian. This may also help to explain why Sony Ericsson isn’t a supporter yet, either. But the other three of the top five handset manufacturers are members: Motorola, Samsung and LG. All of these ship Symbian-based phones, but they also ship Windows based phones, so they are already pursuing an OS-agnostic strategy. Open standards are less helpful to a market leader than to its competitors.

Of course the other leading smartphone OS vendors are also missing from the list: Microsoft, Apple, Palm and RIM.

Ebay is there because this massively benefits Skype.

Silicon vendors retain more control of their destiny when there is a competitive software community, so it makes sense that TI is aboard even though it is the market leader in cellphone chips. Intel is another chip vendor that is a member. Intel can normally be relied on to support this type of open platform initiative, and although Intel sold its handset-related businesses in 2006, its low power CPU efforts may evolve from ultra-mobile PCs down to smartphones in a few years.

Among MNOs Verizon and AT&T Mobile are notorious for their walled-garden policies, so it makes sense that they aren’t on the list, though Sprint and T-Mobile are, which is an encouraging indication.

At the launch of the iPhone Steve Jobs said that the reason there would be no SDK for the iPhone was that AT&T didn’t want their network brought down by a rogue application. I ridiculed this excuse in an Internet Telephony column. Even so, the carriers do have a valid objection to completely open platforms: their subscribers will call them for support when the phone crashes. For this reason, applications that use sensitive APIs in Symbian must be “Symbian signed.” When he announced the iPhone SDK, Steve Jobs alluded to this as a model that Apple may follow.

So Sprint’s and T-Mobile’s participation in this initiative is very interesting. Sprint’s press release says:

Unlike other wireless carriers, Sprint allows data users to freely browse the Internet outside its portal and has done so since first offering access to the Internet on its phones in 2001.

Open Internet access is actually available from all the major US MNOs other than Verizon; AT&T ships the best handset for this, the iPhone. But the iPhone doesn’t (officially) let users load whatever software they want onto the phone. Symbian and Windows-based phones generally do, and again all the major MNOs ship handsets based on these operating systems. An open source handset goes a big step further, but who benefits depends on what parts of the source code are published, and what APIs are exposed by the proprietary parts of the system. As a rule of thumb, one would think that giving developers this greater degree of control over the system will increase their scope for innovation.