Business Week gave a great article about the iPhone being unlocked. This brings up several things that I’ve had strong opinions about since the beginning of the year.

Exclusivity pushes Demand

Apple has already benefited by having the exclusive deal with AT&T. One manufacturer, one Provider. You can’t walk into a Best Buy or a Wal-Mart and buy an iPhone. Target doesn’t carry them. Only Apple and AT&T stores carry them. So, those with iPhones; they’re the cool people.

Apple has positioned itself so that it appears the hero in every situation.

Apple has been praised for everything good about the iPhone. All the crap about the iPhone have been blamed on AT&T; such as the slow network and difficulties with activation.

Side Note: Apple knows how to setup partnerships. Apple positions itself so that it gets the praise for everything good, and has a fall-guy for every issue that may arise. They also make money in several different ways on the same product, including a fair amount of reoccurring charges. I wish I were that good at setting up partnerships; I’m taking notes.

Apple is at a win-win on this issue. If the phone hack is distributed, they gain more market share, and any problems from the various networks are blamed on the hack, not the phone. If the hack is not distributed, they’ve already setup a sweetheart of a deal with AT&T.

Cell Phones are BIG

I’ve heard that nearly 3 billion cell phones are in circulation around the world. That market is half the Earth’s population! If Apple can become the major player in the cell phone business, they can control a mass of information. Information == Power. Pirates of Silicon Valley anyone?

If I were to make some recommendations to Apple…

1. Cut your ties to AT&T. You’re only as strong as your weakest link, and you’re only limiting your potential.
2. Make an expanded product line for the iPhone that would be similar to the product line of iPods. Make an inexpensive version that would hit the $0-150 market (like the iPod shuffle does for the iPod line), and another that would bridge the gap between those two iPhones (like the iPod Nano does for the iPod line).