Wall Street Wonderland

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Friday, September 28, 2007

Jobs girds his sad, sad loins for the Long iPhone War

We know from experience what kind of horror the Jerk is as a boss, a man who fires people just because he doesn't like the way they look. It won't come as a surprise to the readers of these pages that we loath the very air he breathes. But as a person, a two-legged carbon-based life form, we can feel for him. There is something futile about the way Apple appears to be fighting some of its most ardent fans, those who want to use the full capabilities of the iPhone.

Thursday afternoon, Apple released the scheduled update to the iPhone software. And the gadget blogs confirm that it does, as Apple threatened, wreak havoc on modified iPhones. Some phones have indeed been “bricked.” In others, unofficial applications have been disabled. And there are worries that hacking the updated phone will be harder.

The result: Serious hackers will keep finding new ways to break in. Less technically inclined may well find themselves chastened into technological submission, assuming they can get their pricey toys to work at all. Will Apple really refuse to help people with iBricks?

Speaking in London last week, Steve Jobs, Apple’s chief executive, said the company is in a “cat and mouse” game with hackers.

“People will try to break in, and it’s our job to stop them breaking in,” he said.
David Pogue, our technology reviewer, received a cautionary message Wednesday night from a person familiar with Apple’s plans after he posted a video showing some unofficial, but entertaining, applications that can be installed on the iPhone. Take those applications off your phones now, David was warned, or a software update scheduled for Thursday afternoon could turn your phone into a brick. [David takes a closer look at the iPhone update here.]

On Monday, Apple had issued a press release warning of “irreparable damage” to iPhones that have been modified or unlocked from the AT&T network. It also threatened users that “the permanent inability to use an iPhone due to installing unlocking software is not covered under the iPhone’s warranty.”

This caused a scurry by hackers to develop software that will relock iPhones before software updates. It’s like kids at the slumber party turning out the lights and jumping under the covers each time mom thumps up the stairs.

Apple may well be justified using tough tactics against people who modify their phones so they no longer use the AT&T network. Apple stands to receive several hundred dollars for each phone over the course of two years from AT&T’s service fees.

Some people—actually a lot of people—don’t much like AT&T. Or they don’t want to pay AT&T’s roaming fees overseas and would rather use a local cellular company. And these people will always be looking for ways to defeat Apple’s locking system. The simple way to defuse this fight, of course, would simply be for Apple to sell an unlocked iPhone for, say, $300 more than the locked version.

But this gets at Apple’s propensity for control. The phone is, in some ways, a better experience on AT&T because of its links to voice mail and so on. But does that mean if Apple’s way is better it should always prevent people from using its products in some less optimal way?

Since the iPhone is a very sleek, capable handheld computer, people are going to want to run programs on it. They are going to want to hack and see what they can build. It’s a law of nature. And Apple might as well be fighting gravity.

Many other cell phones are locked down, of course. But few other phones capture the imagination of programmers the way the iPhone does.

Apple did allow for some application development inside its Safari browser. But it is not supporting Java or Flash, the two environments that allow the most flexible applications. And there is no official way to write applications that run on the phone’s operating system. Apple has said that it is worried that some applications could cause trouble for the AT&T network. But it’s hard to imagine that there isn’t a way to wall off and limit network usage without preventing people from developing well-mannered programs.

Apple essentially has two choices. Either it exposes most of the iPhone’s capabilities to developers. Or it will have to gird for an ever escalating war in which it will have to send ever more electronic brick-bombs to its best customers who don’t follow its strict rules.

http://bits.blogs.nytimes.com/2007/09/27/steve-jobs-girds-for-the-long-iphone-war/

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