New Apple Software Adds Features to Older Phones
Even for an iPhone owner who chooses not to upgrade to the new iPhone 4S, now there are hundreds of new software features, big and small, for current phones. The same goes for iPads and recent iPod Touch devices.
Context & Ripple Effects
This is the second year running that Apple has answered a new iPhone launch with a free software wave for the installed base: last November's iOS 4.2 release already set the template of pushing major features out to iPad, iPhone, and iPod touch owners at no cost. The difference this time is scale and timing — arriving alongside the new iPhone 4S announced in September, the update directly undercuts the assumption that getting the new features requires buying the new phone.
First-order effects
- Owners of current iPhones, iPads, and recent iPod touches get hundreds of new features without spending anything, removing the most immediate reason to buy an iPhone 4S for anyone whose hardware still works.
Second-order effects
- Rival handset makers face a starker comparison on software support, since Android buyers' access to new features depends heavily on their carrier and manufacturer updating each device model.
Third-order effects
- If Apple keeps shipping full-featured annual updates to multi-year-old hardware, smartphone competition shifts from spec sheets at purchase toward the length and quality of post-sale software support — a moat built on the installed base rather than the upgrade cycle.
The trend: Flagship mobile platforms are competing on how long they keep older devices current, turning annual free OS updates into a customer-retention weapon.