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Internet Telephony: June 10, 2009 eNewsLetter
June 10, 2009

Smartphones Turn into Modern Day Necessity

By Amy Tierney, TMCnet Web Editor

It’s probably no surprise that smartphones are growing in popularity. As desktop devices are quickly losing steam for Web surfers in favor of the portable products, consumers are no longer labeling smartphones as nice-to-have devices. In fact, demand is so big, that the high-tech gadgets are becoming more of a necessity.



 
A recent report from research firm Gartner (News - Alert) found that smartphone sales surpassed 36.4 million units during the first quarter. That represents a 12.7 percent increase from the same period last year, Gartner said.
 
Other research conducted by London-based Ovum (News - Alert) forecast smartphone penetration to reach 406.7 million shipments by 2014, TMCnet reported. New models, including the Palm Pre, which launched on June 6, and the new version of the Apple iPhone (News - Alert), which hits stores later this month are expected to boost sales.
 
“Much of the smartphone growth during the first quarter of 2009 was driven by touchscreen products, both in midtier and high-end devices,” said Roberta Cozza, principal analyst at Gartner, based in Egham, UK, in a statement. “’Touch for the sake of touch’ was enough of a driver in the midtier space, but tighter integration with applications and services around music, mobile e-mail, and Internet browsing made the difference at the high end of the market.”
 
The popularity of smartphones is sure to impact the overall mobile phone market. Mobile phone sales are expected to dip by 9.1 percent this year, according to another TMCnet report.
 
The ability for people to always be connected and available is a big reason for the popularity of the device, reports the New York Times.
 
"The social norm is that you should respond within a couple of hours, if not immediately," David E. Meyer, a professor of psychology at the University of Michigan, told the New York Times. "If you don't, it is assumed you are out to lunch mentally, out of it socially, or don't like the person who sent the e-mail."
The report also suggests a link between smartphones today and e-mail from 10 years ago. It notes how "at some point in the early 1990s" it became socially unacceptable not to have an e-mail address.
 
But there’s one downside to owning a smartphone preventing widespread adoption: the cost. The device isn’t cheap. The phones, even with basic plans and discounts from wireless carriers, usually cost $100 to $300, the New York Times reports. Data and service plans to keep the operate operating typically run $80 to $100 a month, it said.
 
Perhaps it’s just a matter of timing and waiting for the right price. Some companies have cut the pricing on their products. Last summer, Verizon Wireless, for instance, cut retail prices on several models of the Research In Motion Blackberry, smartphones from LG and Samsung (News - Alert) – some by as much as almost 50 percent, TMCnet reported.



Edited by Amy Tierney

(source: http://fixed-mobile-convergence.tmcnet.com/topics/mobile-communications/articles/57741-smartphones-turn-into-modern-day-necessity.htm)








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