Filed under: Analysis / Opinion, Odds and ends
Calacanis's case against Apple: TUAW responds
Jason Calacanis, the co-founder of Weblogs, Inc. (and the 'godfather' of TUAW), sent out the provocatively titled missive "The Case Against Apple in Five Parts" to his 16,000-member email list on Saturday, and subsequently posted the essay in its entirety to his website. The resulting commotion sparked thoughtful responses from Marco Arment and MG Siegler, among many others.
2. Do you think Apple should face serious antitrust action?
3. Do you think Apple's dexterity and competence forgive their bad behavior?
You can read our responses below.
Steve: I'm not sure about other MP3 players, mainly because I don't even own an iPod anymore (I use my iPhone as an MP3 player), but I'm pretty sure that you can do music syncing with just about any MP3-capable phone on the market, either directly through Sync Services or using a third-party application such as Missing Sync. How much more open do they need to be?
I'm not sure that Apple would be more successful if they adopted a more open strategy. Why should they open their kimono to the rest of the world? They've become successful through their secretive and closed strategy; what imperative do they have to become more open? Are you suggesting that they should give away their trade secrets to competitors, all in the name of "openness?"
Christina: Although I think it is generally fruitless to speculate on alternate-universe sorts of situations, I do think that in the case of the iPod and iTunes, Apple has absolutely been more successful because of how the two components tie into one another. Even without the iTunes Store, the iPod would have been successful. The iPod has never been about being the most feature-rich player, it has simply been the best player. I bought my first iPod before iTunes was even available for Windows and a good 18 months before the iTunes Music Store opened to Windows users, simply because it had the best interface and was the best way to manage my music.
If Apple had decided to make iTunes and the iTunes Store (back when it was DRM-based) compatible with third-party players after the iPod's introduction, I do think that marketshare would have suffered. An advantage of buying an iPod (in addition to getting the best portable audio player around) is that with it, you also get perfect synchronicity with the iTunes Store. Before DRM was ousted, another advantage was that you could transfer those purchases to your portable player. I'm not going to fault Apple for having a successful product that also tied in with a successful digital music service.
2. Do you think Apple should face serious antitrust action?
Steve: Hell, no. Look at the dictionary definition of antitrust -- "of or relating to legislation preventing or controlling trusts or other monopolies, with the intention of promoting competition in business." Apple is not a monopoly; there are many other suppliers of consumer electronics. And I'm not sure that you can even call Apple / AT&T a "trust." Their agreement can probably be terminated at any minute for any reason at all. For Apple, the reason the company went with AT&T was because AT&T was willing to make the necessary changes to allow the innovation called Visual Voicemail [and possibly because other cell carriers were wary of Apple –Ed.].
If you want to look at antitrust legislation at the present time, why not point it at the executive branch of our government? They seem to be forming an automobile manufacturing trust on their very own...
Christina: You can't be serious...
3. Do you think Apple's dexterity and competence forgive their bad behavior?
Steve: WHAT bad behavior? Sure, we'd all like Apple to quit being so inconsistent in the App Store approval process. Fine, we'd love to have a choice of carriers for our iPhones. But is this "bad behavior", or behavior that should result in legal, or even worse, legislative action? Hell, no.
Apple, Microsoft, HP, Sony, and the thousands of other consumer electronics companies out there are not in business for noble purposes. They are in business to make money, provide value to shareholders, and employ creative, productive people. The way they become successful is by continuously creating products that are different from what other companies produce, and charging what the market will bear.
They don't need forgiveness. They're not doing anything "bad." They're just trying to make good products and sell them at a price that produces value for their shareholders through a high stock price (yes, I am aware that they don't pay dividends, but shareholders CAN sell their stock at any time to make a profit).
LET THE MARKET WORK. If people get so upset with Apple that they stop buying their products, then the company will be forced to change. But they don't need bloggers starting to get legislators or regulators riled up to the point that they decide to throw in a pile of laws to put the company out of business.
Christina: If by bad behavior, you mean the inconsistencies and legitimate problems for developers in the App Store, then yes, I'd have to say that at least right now, the quality of the product and the selection of available software on both the Mac and the iPhone counteracts the foolish and inane App Store practices. However, I can only speak for myself. Some individuals that I respect -- like Steven Frank -- are willing to personally forego the iPhone experience because of these practices and in the name of principle. I understand that position. I just haven't been affected by the policies to really forego using a device I like.
Follow-up Questions
Jason posed some follow-up questions to Steve's initial response.
"Wouldn't you want a more open iPhone, iTunes, etc. [supporting other devices]? You wouldn't want Firefox and Opera on your iPhone? Or Google Voice?"
Christina: I'm not sure if it is fair for Apple to support Sansa or Sony or whoever makes MP3 players (not to mention those awesome off-market Asian players) with their software. It already takes important QA time to dedicate to having a perfect iTunes/iPod experience; anything less than that on a competing player will be blamed on Apple and its software. Do you really expect Apple to pay to support competing products? That's insane.
You can interact with the XML library from iTunes with ease. BlackBerry does it, Nokia does it. Windows Mobile doesn't without Missing Sync because Microsoft won't provide drivers. They also make you use a Zune with Windows. So fair is fair. Make everyone be open to everything (right) or don't cherry-pick terms just for Apple and no one else.
Additionally, is Fennec even usable right now? No. It isn't. And Opera Mobile might be a good alternative on Symbian or on WinMo, but it is no Safari Mobile. I hate Opera Mini on the BlackBerry and certainly wouldn't want to be hampered with it on the iPhone (and the iPhone app was going to be Opera Mini, not a full-blown Opera-based native browser), just so Opera can continue to cling to life. Opera Mobile/Mini has advantages over subpar browsers on other platforms. It doesn't offer any advantages over Mobile Safari and I really can't force myself to get upset about its absence on the iPhone.
As for Google Voice? I agree, it was a petty move. But attack AT&T as well, as it appears they requested the move. It turns out you can use the web app to do everything. Isn't that just like the Palm Pre? I thought web apps were the new native apps? Oh, you want real native apps? Then please stop calling the Pre something revolutionary.
A more consistent App Store policy is needed but I'd venture to say the only reason Apple is the only target here and not other mobile platforms is because no one cares about their nascent app stores.
Apple could be more open and as Gruber said, certainly less paranoid -- but something tells me no other company would get this much grief. Apple gets a lot of passes for being Apple, but they get a lot of over-criticism too.
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For more pundits who had a visceral reaction to Jason's rant, check out Techmeme.
One particularly pointed section of the response from Tumblr's Marco Arment:
This, unfortunately, is the fate of Calacanis' piece: he has some good points, but they're buried in so much off-base ranting and misplaced frustration that it's difficult to take any of it seriously.
Jason responded on his own Tumblr, without actually responding. I'm just going to cite this passage because I think it highlights a fundamental disconnect many of us have with Jason's position:
The funny/sad part of the debate so far has been the technology folks who are actually arguing for less choice in the name of ease of use/customer support. The fact is, allowing certain folks to easily/officially/legally jailbreak/unlock their phones is something Apple could do easily. Same with opening up iTunes or the App Store. Apple could easily make users flip a warning or two-like folks do on routers-when users opt-in to doing something a little more "hacky."
Apple is a company that uses its ease of use and customer support as primary drivers for people to purchase its products. It's the basis of the "Get a Mac" campaign. To suggest that Apple should (or would even consider) become less finely-tuned to the customer experience in the name of potentially being more "open" is to fundamentally not recognize the company's strengths. Apple has already warned iPhone users that jailbreaking risks screwing up their phones; it's nonsensical to suggest that the solution for App Store worries is for Apple to support an 'unofficial apps' switch, and it's doesn't seem likely that App Store developers would voluntarily place their apps in a "here there be dragons" section of the store.
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Reader Comments (Page 1 of 4)
Brian said 1:16PM on 8-10-2009
This stuff gets old. Who cares about someone's "case" against Apple. If you don't like it, use your consumer power to buy products from another company. It's none of your business what Apple chooses to do within the confines of established law and regulation. If you think you can do better, start your own company.
This is a typical narcissistic blogger who has nothing better to do than try to exalt himself above the masses by creating a fictitious argument in order maintain a following of drooling imbeciles who have nothing better to do. Get out and make a change instead of whining about it.
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Michael Rose said 1:24PM on 8-10-2009
"If you think you can do better, start your own company."
At least on that score, Jason can call your bluff: he's started at least 3 of them.
Grant Robertson said 4:42PM on 8-10-2009
One good one. I love Jason but, Mahalo is a disaster and even he'll tell you he barely escaped Silicon Alley Reporter with his shirt.
Juris said 1:41PM on 8-10-2009
That question - "Do you think Apple's dexterity and competence forgive their bad behavior?" - is an absolutely wonderful example of the classic "Have you stopped beating your wife?" genre.
It should be used in textbooks.
Atrocious way to pose a question.
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Paul said 1:32PM on 8-10-2009
I know of at least three ways of writing code to sync non-Apple players with the iTunes library (one is Leopard-only).
The easiest is to use the "iTunes Music Library.xml" file that iTunes produces, containing the name and location of every item in the library.
If you want to be seen as a bit cleverer, you can use the iTunes SDK (here's the link https://connect.apple.com/cgi-bin/WebObjects/MemberSite.woa/wa/getSoftware?bundleID=19923). People have already used this to write plugins to sync non-Apple devices.
On the Mac you can use the above mentioned SDK or the Scripting Bridge framework built into XCode.
I really don't know what else Apple can do to answer this complaint, which is based on ignorance.
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Nkid said 10:32PM on 8-11-2009
Yes, you can do all that until Apple finds out about it and blocks it on the next update. Ever heard of the Pre? No one has said it can't be done. That's precisely the point. Being that it is so easy to do why doesn't apple allow others to use their software to sync. You could argue it's because of the DRM but that's about to disappear. Steve Jobs wrote this open letter to to the music industry "urging/threatening" them about opening up their music while he never opening up his products for wider use. Calacanis has simply stated that Steve Jobs is a hypocrite and I completely agree with him.
Paul said 10:46PM on 8-11-2009
No Nkid. It appears you don't understand. These are public APIs that Apple provides for third parties to integrate with iTunes. If Apple wanted to prevent any non-proprietary integration, it wouldn't provide the APIs. Nor would it write the iTunes library to the open format "iTunes Music Library.xml" file.
The Pre was blocked because the engineers at Palm made it report itself as an iPod. If they'd written their own plugin, or used the "iTunes Music Library.xml" file in their own desk top software, there would have been no problem.
And no publicity either ... oddly enough.
Tacoman said 1:34PM on 8-10-2009
iTunes is Apple's software. They made it and I think that they have the right to only allow Apple products to sync. Why would Apple make software to help their competitors? Also I think Apple should expand their iPhone carriers in the US. If I could get a iPhone on the Verizon network I would instantly make the change from my boring Razr. Though again, it is Apple's right to put their iPhone under whatever carrier that they want.
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jereme said 1:35PM on 8-10-2009
ditto to the last paragraph. That's apple, simplicity. As for the google voice fiasco...it reminds me of my older brother, when we were kids.
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JKT said 1:37PM on 8-10-2009
Steve:
"They're not doing anything 'bad.'" Oh? Tell that to Kevin Duerr. Your own website reported that his company, RiverTurn, is being forced by Apple to issue refunds on software that Apple unilaterally chose to remove from the App Store. With no warning. Or explanation. And Apple kept its 30% commission. Pretty much the entire Apple community agrees this is "doing something bad"; you're standing alone in your defense of Apple.
"LET THE MARKET WORK." Here the problem is that customers who have signed a 2-year contract with Apple/AT&T can't immediately walk away to show their displeasure. The required contracts subvert the free market you are worshipping. It's a captive market, not a free one. None of us buying an iPhone a year+ ago knew that this kind of kerfuffle was coming and therefore no, we were not in any way at fault for being unable to vote with our feet/wallets right now in protest. And THAT is why this is a collusion/antitrust situation that I welcome insight into.
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drewmca said 1:57PM on 8-10-2009
No, it's not a captive market. If you walk away from the contract, your penalty is only the subsidy on the phone that AT&T already paid. If you don't want that 2 year contract, then don't get the subsidy and pay full cost for the phone.
I'm not blindly supporting Apple or AT&T here but people are driving me crazy these days with their sense of entitlement and lack of ability to see facts clearly. If you don't want to be locked into a contract, fine, then pay a fair price for the phone. Why should AT&T (and believe me, you have no idea how painful it is for me to be sticking up for them here) pay half the cost of a phone without some sort of long term agreement? Do they owe you that as a consumer? At what point did that happen? Hell, I think the IRS owes me back all of the taxes I ever paid. I think that my electric bill should be free. That doesn't mean it's going to happen, or that those organizations are morally in the wrong for not supporting my every wish.
People's ideas of what companies "owe" consumers these days are ridiculous. By the same token, the way people support companies as if they were local sports teams is just as ridiculous.
Steven said 3:40PM on 8-10-2009
You accepted the terms when you signed the contract of your own free will. No one force you to do so. And as drewmca said, there is an easy way to walk away from the contract, buy your phone. You sign a contract, AT&T gives you money towards a phone. Pay them back and you're free. Easy.
If you don't want to be in a contract, and this seems really silly to say, but all you have to do is not sign a contract.
greg said 7:10PM on 8-10-2009
mate, you bought the contract based on what it could do then, not on what it might do in the future...
the phone does everything they said it would do when you bought it right?
if you want to change your end of the contract, that's your choice...
but don't whinge about them sticking to theirs
dek said 1:22PM on 8-11-2009
"You sign a contract, AT&T gives you money towards a phone. Pay them back and you're free. Easy."
iPhone is not an unlocked phone - you pay AT&T to release you from contract and you get a $600 toy that you cannot use anymore. It would be that simple if Apple/AT&T would be willing to unlock the phone for you. There is no unlocked version of iPhone available (there are Motorola's, Sony's, Nokia's, etc...). By buying out your contract (you say it's for phone that AT&T is paying partially for) you're not getting anything.
As long as unlocked iPhone is not available at store for (let's say $600/$700 is a fair price) your argument is really not valid here.
BTW: when you buying out your contract from AT&T with let's say Motorola phone - AT&T is obligated to unlock it without any additional cost.
chrisg said 1:39PM on 8-10-2009
I don't like Steve. His blind fanboy drivel is just mind numbing.
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Brian Allen said 2:36PM on 8-10-2009
This site is by definition a Apple fan site and the writers should be fan, too.
chrisg said 2:48PM on 8-10-2009
I understand where he's coming from. That enthusiasm got him this job, but it's not much of a debate in his eyes when to him the company seems incapable of doing any wrong and it's not an interesting read in that case.
drewmca said 1:44PM on 8-10-2009
First of all, there are two issues here: App Store practices and iTunes/iPod "monopoly". They have NOTHING to do with one another except that they both involve Apple. They are fundamentally different issues at the core and to try to lump them together into one issue is to attempt to grant legitimacy to one argument based on the merits of the other.
There is a legitimate issue with App Store practices. I don't think Apple should have the right to reject apps that compete with their own. Not on any moral grounds (and anyone who claims any "moral" argument in any of these discussions is deluded). But based on simple fact: Apple doesn't charge for their apps. So how does competition hurt them? They're still making 30% off of every sale. It doesn't make sense. I get the feeling the Google Voice thing (and definitely VOIP stuff) is more coming from AT&T than Apple, the same as DRM came from the music companies. And I'm not particularly thrilled with the overall app approval process. I'm waiting on one right now.
But the music issue, with iTunes/iPod? PLEASE. Bitching about this is such a perfect example of how spoiled people are these days and how they feel such a sense of entitlement to everything and anything. Apple does not control the market in ANY sense. The only reason they have a huge market share is because they make good products that people want to buy. Oh lordy, let's bring in the trust busters! Someone's doing business the right way by making excellent products and selling them at a price the market will bear! How dare they!
The fact is, there is no lock in here. If you want to sync an iPod with something other than iTunes, you can. If you want to synch something other than an iPod with iTunes, you can. Why should Apple have to pay to support other people's products? That is ludicrous in the extreme. Hell, there isn't any DRM lock in anymore, either, and that's thanks to the work of Apple. What is happening here is that people want certain things and choices and Apple isn't providing them everything they want. Apple isn't preventing them from finding alternatives or giving them any incentive to use Apple products other than making those products better than the competition. People want to use Apple products but are stomping their feet like children when Apple doesn't go out of their way to support every possible option, even those that involve Apple paying to support competitive products.
People need to get a grip and realize what they're demanding. If you don't like Apple's evil practices of making good products and making them work better with each other than with competitive products that they have no control over, then don't buy apple products. It's that simple. And people need to seriously look up what "antitrust" means. Oh, and learn simple rules of argument and discourse, so two unrelated issues aren't lumped together into one.
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JW said 9:25PM on 8-10-2009
Apple doesn't block or disallow applications that *compete* with their own apps, they block or disallow applications that duplicate their own apps functionality - big difference.
I can see two reasons for this - one, they want a set of core services on the phone and a consistent user experience, and two, their apps are the only apps right now that are allowed to multi-task, which raises usability, performance and security issues.
Many third party apps use Apple apps as part of their functionality - things like Maps and Safari are commonly accessed by other apps.
JD said 1:46PM on 8-10-2009
Wow, a lot of apologia here. Regardless of how many closed and restrictive platforms there are out there, there are clearly those (such as Android or, for that matter, OS X) that are both open and provide a good user experience. Apple could offer just as good a user experience on an open platform (it's bizarre to find people still arguing otherwise), it just chooses not to, because being able to restrict competition is more lucrative. Sure, a closed system is in their interests (arguably) and most users don't care, but many of the advanced users -- TUAW readers -- chafe. I'm not sure I blame a huge corporation for being pathologically greedy -- that's their nature -- but I do blame individuals for spinning weakly-argued defenses of that behavior, arguing that a closed and restrictive system is the only way to get a good user experience. There are hundreds of examples out there proving that that isn't so -- OS X being a good case in point.
And as for antitrust, there is no question that, should the iPhone OS become as dominant for phones as Windows is for computers, Apple's behavior is at least as bad as Microsoft's was at its worst. It's not a job for the US government yet, but that's not because Apple is acting better, just because Apple is not yet a monopoly. (And incidentally, "the market" doesn't work without strict government patrol of anti-competitive practices; go read some economic history books if you don't believe it.)
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