As Verizon continues to roll out their 4G LTE network across the country at an accelerated rate and AT&T is also finally picking up speed in their 4G deployment it would seem that widespread 4G adoption is a foregone conclusion, right? Well, maybe not. It looks like consumers may be so confused over 4G that they become hesitant to move to 4G, at least in the near term. In the long term, of course, 2 or 3 years down the road, there simply won't be any 3G phones coming out, same as there are no longer any analog phones available, so everyone with a smartphone will have 4G.
But in a recent Retrevo Gadgetology study only a little less than a quarter of the respondents say they’re going for 4G. With so many potential 4G customers expressing concerns about cost and performance, either real or out of ignorance, providers of 4G phones and services could be in for some disappointment.
Q: Are you planning on buying a 4G cell phone this year?
A: Why would I do that when I already have one?
So say the respondents in the survey.
One third of iPhone owners think they have a 4G phone. Maybe it's the "4" in iPhone 4 that's got the people who "think different" all confused. Then again, BlackBerry owners (24%) are almost as confused as iPhone owners since RIM doesn’t currently offer a 4G phone, either. Because phones like the HTC Evo 4G or Samsung Infuse 4G have been available for some time, a significant percentage of Android users really do have 4G, but it ain't as high as 29%. Clearly, this large of a number of “misinformed” phone owners serves to emphasize the fact that consumers are quite confused about 4G.
Almost a third of iPhone users think 4G is too expensive. Android users think the speed improvements aren't worth the cost. And Blackberry users are in the dark. Not only are many consumers confused about what 4G is, another significant group is under the impression that the performance gains of 4G are not worth the cost. With early benchmarks showing mixed results in data speed improvements over 3G (or even 3.5G like AT&T and T-Mobile’s HSPA+), you have to understand the skepticism about the speeds. However, 4G is still in the early stages of being rolled out, and many of these benchmarks and individual user experiences are due to being in fringe areas without even realizing they're in a fringe area. When you're not in a weak or fringe area, and certainly over the longer term (year or two from now), 4G speeds prevail over 3G by a vastly superior margin, and carriers will ultimately provide a fair price for 4G service (in some cases, 4G is already cheaper right now than is 3G). In the meantime, there are kinks to be worked out, so marketing departments will have their work cut out for them to change consumers’ perceptions about the value of 4G.
Will the Lack of 4G Hurt Apple iPhone Sales? Let's find out.
Q: Will you buy the next iPhone if it doesn't have 4G?
This is my iPhone. There are many like it, but this one is mine. My iPhone is my best friend. It is my life. I must master it as I must master my life. My iPhone, without me, is useless. Without my iPhone, I am useless.
At least among current iPhone owners, the answer to the question of whether or not the lack of 4G in the next iPhone will prevent consumers from buying one is “probably not” as 61% of iPhone owners say they don’t care if the new iPhone has 4G or not and will buy, or “consider” buying, the next iPhone regardless of 4G.
That’s probably good news for Apple as rumors say not to expect an Apple 4G iPhone until 2012. The responses to this question also show Android owners as a loyal group with only 18% saying they would buy or consider buying a new iPhone, 4G or no 4G. Most of those are probably a little overwhelmed by what can be the complexities of an Android phone, and they should be iPhone users in the first place. On the other hand, BlackBerry owners look like potential defectors with 41% saying they’ll buy a new iPhone, or consider buying one with or without 4G. That's probably because RIM is in trouble, no new phones to amount to anything are coming out for a really long time, and most of the nifty features that were once unique to Blackberries can be found in both iPhones and Android phones.
With all the confusion among consumers it’s no wonder that the federal government is considering legislation requiring carriers to clearly spell out the quality of services and fees associated with them. Several bills have been introduced, but the main one is probably the one introduced by Congresswoman Anna Eshoo (D-CA, Silicon Valley) has introduce a bill titled the "Next Generation Wireless Disclosure Act" which would force wireless broadband service providers to tell it like it is in their ads and marketing materials.
While cell phone carriers more or less like it when their customers are dazed and confused over everything from quality of service to available pricing plans, that traditional stance may backfire as they deploy their 4G networks around the country which will increase the 1 to 2 Mbps of 3G to well over 10Mbps of 4G, as it looks like there’s enough dazed and confused, and skepticism among consumers, to keep the pace of adoption at a slow to moderate rate. With so many potential customers expressing concern about price and performance and confusion over what exactly 4G means, providers of phones and services will have their work cut out for them to convince customers to upgrade to 4G, and they may not even need federal legislation to prod them into doing it. We'll see.
But in a recent Retrevo Gadgetology study only a little less than a quarter of the respondents say they’re going for 4G. With so many potential 4G customers expressing concerns about cost and performance, either real or out of ignorance, providers of 4G phones and services could be in for some disappointment.
Q: Are you planning on buying a 4G cell phone this year?
A: Why would I do that when I already have one?
So say the respondents in the survey.
One third of iPhone owners think they have a 4G phone. Maybe it's the "4" in iPhone 4 that's got the people who "think different" all confused. Then again, BlackBerry owners (24%) are almost as confused as iPhone owners since RIM doesn’t currently offer a 4G phone, either. Because phones like the HTC Evo 4G or Samsung Infuse 4G have been available for some time, a significant percentage of Android users really do have 4G, but it ain't as high as 29%. Clearly, this large of a number of “misinformed” phone owners serves to emphasize the fact that consumers are quite confused about 4G.
Almost a third of iPhone users think 4G is too expensive. Android users think the speed improvements aren't worth the cost. And Blackberry users are in the dark. Not only are many consumers confused about what 4G is, another significant group is under the impression that the performance gains of 4G are not worth the cost. With early benchmarks showing mixed results in data speed improvements over 3G (or even 3.5G like AT&T and T-Mobile’s HSPA+), you have to understand the skepticism about the speeds. However, 4G is still in the early stages of being rolled out, and many of these benchmarks and individual user experiences are due to being in fringe areas without even realizing they're in a fringe area. When you're not in a weak or fringe area, and certainly over the longer term (year or two from now), 4G speeds prevail over 3G by a vastly superior margin, and carriers will ultimately provide a fair price for 4G service (in some cases, 4G is already cheaper right now than is 3G). In the meantime, there are kinks to be worked out, so marketing departments will have their work cut out for them to change consumers’ perceptions about the value of 4G.
Will the Lack of 4G Hurt Apple iPhone Sales? Let's find out.
Q: Will you buy the next iPhone if it doesn't have 4G?
This is my iPhone. There are many like it, but this one is mine. My iPhone is my best friend. It is my life. I must master it as I must master my life. My iPhone, without me, is useless. Without my iPhone, I am useless.
At least among current iPhone owners, the answer to the question of whether or not the lack of 4G in the next iPhone will prevent consumers from buying one is “probably not” as 61% of iPhone owners say they don’t care if the new iPhone has 4G or not and will buy, or “consider” buying, the next iPhone regardless of 4G.
That’s probably good news for Apple as rumors say not to expect an Apple 4G iPhone until 2012. The responses to this question also show Android owners as a loyal group with only 18% saying they would buy or consider buying a new iPhone, 4G or no 4G. Most of those are probably a little overwhelmed by what can be the complexities of an Android phone, and they should be iPhone users in the first place. On the other hand, BlackBerry owners look like potential defectors with 41% saying they’ll buy a new iPhone, or consider buying one with or without 4G. That's probably because RIM is in trouble, no new phones to amount to anything are coming out for a really long time, and most of the nifty features that were once unique to Blackberries can be found in both iPhones and Android phones.
With all the confusion among consumers it’s no wonder that the federal government is considering legislation requiring carriers to clearly spell out the quality of services and fees associated with them. Several bills have been introduced, but the main one is probably the one introduced by Congresswoman Anna Eshoo (D-CA, Silicon Valley) has introduce a bill titled the "Next Generation Wireless Disclosure Act" which would force wireless broadband service providers to tell it like it is in their ads and marketing materials.
While cell phone carriers more or less like it when their customers are dazed and confused over everything from quality of service to available pricing plans, that traditional stance may backfire as they deploy their 4G networks around the country which will increase the 1 to 2 Mbps of 3G to well over 10Mbps of 4G, as it looks like there’s enough dazed and confused, and skepticism among consumers, to keep the pace of adoption at a slow to moderate rate. With so many potential customers expressing concern about price and performance and confusion over what exactly 4G means, providers of phones and services will have their work cut out for them to convince customers to upgrade to 4G, and they may not even need federal legislation to prod them into doing it. We'll see.
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