Wired: Macworld Confirms Growing Trend of ‘Hardware as a Service’

Apple is providing the iPhone and AppleTV updates for free, but is charging $20 for the iPod Touch upgrade.Because of general accounting practices, Apple generally cant provide new features without charging for them. But last year, Apple adopted an unusual subscription-like accounting practice for the iPhone and AppleTV. Instead of recording revenue in the quarter the devices are sold, the company amortizes the revenue over 24 months, like a subscription. The change allows Apple to add new features for free without running afoul of accounting regulations. Wired

Now, put into these terms, it actually sounds like quite a consumer friendly model. When you want to upgrade your hardware, instead of having to run out and buy the newest model to be completely up to date, now you just buy an upgrade – much like the iPod Touch’s software upgrade. Much friendly on our wallets, less consumer waste (I hope), and more up to date. I like it.

I suppose I will just have to suck it up and decide whether to buy the software upgrade. Which brings me now to a new dilemma. Will the software upgrade be worth it since I am moving to Asia? Any thoughts on this?

The new GPS system is only limited to the US and Canada right now, but with expansion plans to the rest of the world. However, I think it will take quite some time before Hong Kong will be seeing this app. By that time will there be another program that does it better?

I also wonder whether the Mail app will work in Asia, I don’t see why not as long as the wifi can get a connection. Anyone know anything about this?

I know for a fact that the new Movie Rentals on iTunes is not yet available internationally, but Apple does plan to release it soon. However, last night I wanted to do a test run on it. We were exhausted from selling and packing up stuff all weekend, so instead of walking down to the local video store, we went through Apple’s very limited rental selection and found a movie to watch. We clicked on RENT MOVIE, and jumped in the shower while it downloaded. By this time it was already 11pm and the movie was still downloading, with 3 hours to go. I have no idea if this download time issue will be resolved with the new AppleTV, but I really hope so, otherwise this service won’t be replacing my local video store anytime soon…

Next post will be a run down on apps available for the jailbroken iPod Touch…

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~ by Jen C. on 21/01/2008.

2 Responses to “Wired: Macworld Confirms Growing Trend of ‘Hardware as a Service’”

  1. […] noodlita wrote an interesting post today on Wired: Macworld Confirms Growing Trend of ‘Hardware as a Service’Here’s a quick excerptApple is providing the iPhone and AppleTV updates for free, but is charging $20 for the iPod Touch upgrade.Because of general accounting practices, Apple generally cant provide new features without charging for them. … […]

  2. […] noodlita wrote an interesting post today on Wired: Macworld Confirms Growing Trend of ‘Hardware as a Service’Here’s a quick excerptApple is providing the iPhone and AppleTV updates for free, but is charging $20 for the iPod Touch upgrade.Because of general accounting practices, Apple generally cant provide new features without charging for them. … […]

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