RBC Capital analyst Mike Abramsky recently sat down in a meeting with Apple’s chief financial officer Peter Oppenheimer and chief operating officer Tim Cook to discuss a range of topics, from Apple’s patent battles to the possibility of a budget-priced iPhone. “Apple’s primary criterion for launching a lower-end iPhone is an innovative, category-killer experience,” Abramsky wrote in a recent note to investors. The execs said that the components sector is currently a “buyers market,” which means it has the upper hand when it comes to negotiating for parts. In addition, Abramsky said Apple is interested in settling a number of patent lawsuits against Android phone makers such as Samsung and HTC, in an effort to strike favorable agreements in countries like China that have less firm patent protection. We recently reported exclusively that Apple has plans to launch a $350 contract-free iPhone, which could very well be the iPhone 3GS. Apple is expected to unveil its next-generation iPhone in the coming months for a September or October launch.

Broke? Think your iPhone is faster than Usain Bolt? T-Mobile’s so confident that the Samsung Galaxy S 4G is quicker than the iPhone that it’s offering $1,000 to anyone who can walk into one of its ten Seattle stores and prove otherwise. Your iPhone just has to win in two out of three throughput speed tests  — using an app provided by T-Mobile – and you’ll walk away a cool $1,000 richer. The Galaxy S 4G is sure to be some stiff competition, though. After all, it does pack HSPA+ with support for T-Mobile’s 21Mbps network. The offer is from Friday, April 29th until Sunday, May 1st. Hit the jump for more information from T-Mobile, including a list of participating locations.

[Via Into Mobile]

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That’s right, you’re looking at photos of an iPhone prototype with T-Mobile USA 3G bands. The actual internal model is N94, and if you remember, the Verizon model is N92 while the standard GSM variant is N90. We have verified that the phone itself is running a test version of Apple’s iOS, much like the one we saw in those videos from Vietnam, and it includes internal Apple test apps like Radar and Apple’s employee directory app. Additionally, the front of the white iPhone pictured looks a little different from the photos of the retail white iPhone 4 that surfaced recently — specifically, the proximity sensor has changed on the retail version. Combined with the fact that it wouldn’t make sense to release an iPhone 4 on T-Mobile at this point in time, we’d wager that Apple is just testing the new T-Mobile-friendly radio with its current iPhone 4 hardware, possibly in preparation for integration in a future device. It’s also entirely possible the internals on this iPhone prototype are being disguised in an iPhone 4 shell, though we doubt it. Let’s see what happens with the iPhone 5 and if that makes it way to T-Mobile. If that AT&T acquisition gets approved though, the iPhone will eventually make its way to T-Mobile customers regardless.

Thanks, Will!

We don’t think we’re alone when we say we kind of miss the soft welcoming glow of the red buttons on the second generation iPod, and a new patent suggests Apple may be working on a new iPhone “Smart Bezel” feature that will bring some of those illuminated controls back. According to a patent discovered by Patently Apple, Apple may offer a new area around the iPhone’s primary display with controller buttons that glow and morph for work and play. Developers may even be able to control the icons presented, which could be used to control applications — maybe even games – without interrupting the content being displayed on the screen. The secondary, “printed segmented electroluminescence” display, could be “selectively illuminated to provide one or more indicators that represented where or how a user can provide inputs to the device,” Apple’s patent states. It reminds us a bit of the technology used on the Motorola ROKR E8, which launched in 2007, and we’re definitely interested to see how this pans out. Hit the jump for more info on the patent.The patent describes the feature as such:

Apple intends to introduce a method that employs a very cool secondary display scheme that utilizes a printed segmented electroluminescence display. Apple intends to use the secondary display to introduce a set of new illuminated indicators that are able morph into various controls for work and play. Illuminated gaming and productivity controls could be built into the face-side of the bezel and/or selected back-side areas of iOS devices like the iPad.

Via [Mac Rumors]

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For the fifth time running, Apple has topped J.D. Power’s smartphone customer satisfaction survey. The iPhone earned a score of 795 out of a possible 1,000 points. In line with the last survey published in September 2010, Motorola and HTC followed Apple with scores of 763 and 762, respectively. Here’s how J.D. Power weighs the various categories:

Operation (30%); physical design (30%); features (20%); and battery function (20%). For smartphones, the key factors are: ease of operation (26%); operating system (24%); physical design (23%); features (19%); and battery function (8%).

Palm (736), Nokia (734), and Samsung  (734) all scored below the industry average score of 761. RIM’s BlackBerry smartphones ranked lowest on the survey with a score of 732. Hit the jump for a chart of the results along with the full release.

J.D. Power and Associates Reports:
Social Media Use Drives Higher Satisfaction among Owners of
Smartphones and Traditional Mobile Phones

Apple Ranks Highest in Customer Satisfaction among Smartphone Manufacturers,
While Sanyo Ranks Highest among Traditional Mobile Phone Manufacturers

WESTLAKE VILLAGE, Calif.: 17 March 2011 — Overall satisfaction with smartphones and traditional mobile phones is considerably higher among owners who use their devices for social media activity, compared with satisfaction among owners who do not access social media platforms on their phones, according to the J.D. Power and Associates 2011 U.S. Wireless Smartphone Customer Satisfaction Study^SM—Volume 1 and the J.D. Power and Associates 2011 U.S. Wireless Traditional Mobile Phone Satisfaction Study^SM—Volume 1, both released today.

Among smartphone owners who use their device to access social media sites such as Twitter, LinkedIn and Facebook, satisfaction averages 783 on a 1,000-point scale—nearly 22 points higher than among those smartphone owners who do not often use social media sites on their device. Currently, more than one-half of smartphone owners report having used their device to access social media sites via the mobile Web or mobile applications. While rates of mobile social media site usage are not nearly as high among owners of traditional mobile phones (9%, on average), satisfaction among traditional handset owners who use their device for social media is notably higher than that of traditional handset owners who don’t access social media (754 vs. 696).

“It’s not unexpected that smartphone owners access social media sites from their device more frequently than traditional mobile phone owners due to features such as larger screens and QWERTY keyboards,” said Kirk Parsons, senior director of wireless services at J.D. Power and Associates. “However, these findings demonstrate that equipping devices with powerful features and service is key to creating positive customer experiences with wireless devices.”

The study finds that wireless users who engage in mobile social media activity on their mobile device also tend to use it more often for calls, texts and data; are more likely to purchase additional wireless services in the future; and are also more likely to provide positive recommendations for their handset brand and service provider, compared with users who don’t use social media on their device.

“It’s clear that the gap in satisfaction between customers who use social media applications on their device and those who don’t is driven by several factors, but the critical ingredient is whether the user has a positive experience with the wireless device itself,” said Parsons. “Providing features that facilitate social networking activity and make it easy for users to communicate and share information between various social media sites may be an effective way for service providers to further engage customers and increase loyalty.”

These two studies measure customer satisfaction with traditional wireless handsets and smartphones among owners who have used their current mobile phone for less than two years, by examining several key factors. In order of importance, the key factors of overall satisfaction with traditional wireless handsets are: operation (30%); physical design (30%); features (20%); and battery function (20%). For smartphones, the key factors are: ease of operation (26%); operating system (24%); physical design (23%); features (19%); and battery function (8%).

For a fifth consecutive time, Apple ranks highest among manufacturers of smartphones in customer satisfaction with a score of 795 and performs particularly well in ease of operation, operating system, features and physical design. Motorola (763) and HTC (762) follow Apple in the smartphone rankings.

Sanyo ranks highest in overall wireless customer satisfaction with traditional handsets with a score of 715. Sanyo performs well in three factors: physical design, battery functionality and operation. LG (711) and Samsung (703) follow Sanyo in the traditional handset rankings.

The studies also find the following key wireless handset usage patterns:

• The average price of a traditional wireless mobile phone continues to decline and averages $73 in 2011, compared with an average of $81 at the beginning of 2009. The decline is primarily due to discounts provided by handset providers and wireless service carriers to incentivize sales. Currently, 46 percent of owners report having received a free mobile phone when subscribing to a wireless service, which is a historical high.
• Mobile applications continue to enhance the smartphone user experience. Two-thirds of owners say they have downloaded games and social networking applications to their device. More than one-half (54%) say they have downloaded travel software, such as maps and weather applications, while 53 percent indicate having downloaded entertainment-oriented applications. This indicates that smartphone owners are continuing to integrate their device usage into both their business and personal lives.
• Ownership tenure impacts overall satisfaction with the device experience. Those who report owning their device less than one year are significantly more likely to be more satisfied than those who have owned their wireless phone for a longer period of time (773 vs. 728). Newer devices tend to offer more features, services and better quality than older phones.

The 2011 U.S. Wireless Smartphone Customer Satisfaction Study—Volume 1 and the 2011 U.S. Wireless Traditional Mobile Phone Satisfaction Study—Volume 1 are based on experiences reported by 7,275 smartphone owners and 11,347 traditional mobile phone owners. The studies were fielded between July and December 2010.

For more information on customer satisfaction with wireless service, wireless retail sales, cell phone handsets, customer care, prepaid wireless service and business wireless service, please visit JDPower.com.

About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company providing forecasting, performance improvement, social media and customer satisfaction insights and solutions. The company’s quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.

About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies is a leading global financial information and education company that helps professionals and students succeed in the Knowledge Economy. Leading brands include Standard & Poor’s, McGraw-Hill Education, Platts energy information services and J.D. Power and Associates. The Corporation has approximately 21,000 employees with more than 280 offices in 40 countries. Sales in 2010 were $6.2 billion. Additional information is available at http://www.mcgraw-hill.com.

Media Relations Contacts:

Syvetril Perryman J.D. Power and Associates Specialist, Media Relations 2625 Townsgate Road, Suite 100 Westlake Village , CA 91361 USA (805) 418-8103 syvetril.perryman@jdpa.com

John Tews J.D. Power and Associates Director, Media Relations 5435 Corporate Drive Suite 300 Troy , Mich. 48098 USA (248) 312-4119 john.tews@jdpa.com

No advertising or other promotional use can be made of the information in this release without the express prior written consent of J.D. Power and Associates. www.jdpower.com/corporate

Look, I have been dreaming about a Verizon iPhone since the original announcement was made in 2007. I’ve always admired Verizon’s insanely solid and reliable wireless network, even before it was Verizon (someone tell James Earl Jones I said what’s up). I had the first digital phone Verizon Wireless offered (following countless analog phones prior to that), and I’ve had many more since then. But I switched away from Verizon Wireless as soon as I saw that the handsets available in Europe were becoming more advanced, because these new phones typically didn’t become available from Verizon for months or even years later, if at all. As soon as I saw that I could switch my SIM card from phone to phone myself, I was on a tear — first on T-Mobile, then AT&T when I realized how much better AT&T’s coverage was in my area, even five years ago.

During all of this, however, I always knew that Verizon’s network was better than any other wireless network in the United States. Why? Not because it was the fastest or because Verizon had the best phones (that’s arguable in today’s day and age), but because Verizon worked wherever you wanted it to work, whenever you needed it to work. In Vermont in the middle of nowhere? Verizon Wireless has a signal. Driving across the country? Verizon’s got your back.

Fast forward to 2011: I was sitting at the Verizon iPhone event liveblogging, and I was ridiculously excited for what was about to be announced (plenty more people were excited as well — BGR crashed for 40 minutes due to the sheer number of people checking the site for the latest updates). My favorite smartphone, the only phone I choose to use day in and day out, was going to be available on the best damn network in the country — finally! I pre-ordered it at 3:00 a.m. on February 3rd, and then sat and waited for FedEx to deliver it days later. Side note: the friendly FedEx delivery person had me write my name on a piece of paper saying that I received the phone since FedEx had so many Verizon iPhone shipments that day that their system crashed.

I opened the phone, and connected it to iTunes, and saw the waiting for activation message. It failed. Three times. No worries — after turning it on and off, my phone was up and working, and it was time to go drive around to all the places my AT&T iPhone failed miserably and test things out.

The Verizon iPhone 4 performed decently at first, though I was quite surprised that Verizon had dead areas in most places AT&T did up in Connecticut. How could this be possible, I thought to myself? I have the best phone on the best network. I needed to head into Manhattan for a couple meetings that day, so, let’s just see how it holds up on the drive down, I told myself. First phone call on I-95? Dropped. What made things worse was that I was stuck on 2G a lot of the time, even in the heart of New York City once I was out and about.

How is this happening?

Well, after a couple calls to Verizon Wireless — and everyone I spoke with was extremely helpful — it turned out my phone didn’t fully activate. I believe the PRL and roaming configurations weren’t updated properly, and after I reprogrammed the phone (something most people won’t ever have to do, as iTunes discreetly does this on first plug-in), I was doing much better. Or was I?

After the “fix” was performed, I still saw 2G on the Verizon iPhone as much or more than I had seen EDGE on the AT&T iPhone that I have used for years (I realize it’s not the same exact phone — I’m referring to the signal quality and coverage). Back in Connecticut, I was still experiencing dropped calls, and it was almost comical. “Dude, I thought you got a Verizon iPhone finally?” I did… it’s just… not that different.

In the end, my personal experience with Verizon’s iPhone in and around New York City ended up being about the same as it was when I was on AT&T. This, combined with other advantages AT&T’s network has, has made me finally decide to switch back. Literally moments before I wrote this article, I synced up my Verizon iPhone and restored it to my AT&T iPhone (I can do this because the OS on the Verizon iPhone is lower than the AT&T iPhone — if I ever wanted to switch back, I couldn’t restore my data until the Verizon iPhone OS is updated to version 4.3). I missed the ability to talk on the phone while data is still flowing (even though I hate talking on the phone). I missed AT&T’s extremely fast data speeds. I missed knowing that if I ever travel outside of the country, I don’t have to get a new phone (even though I hate flying — no, seriously, try me). I missed feeling like I’m in the digital age instead of the stone age.

It’s just true. One of the reasons Verizon’s network is so expansive and solid is because it’s old. Verizon has been building this same network out for ages and so it seemingly stretches beyond any other — but it’s built on an aging and extremely outdated cellular technology. Verizon is in the midst of rolling out its incredible new LTE network in an effort to get with the times, but until then, I’m tired of CDMA. I’m tired of the limitations. What network powers my MiFi? Verizon. What network has the most reliable and robust data offering? Verizon. What network do I want on my iPhone? For now, and I believe for the foreseeable future, it’s AT&T.

Once the iPhone 5 comes out this summer, I’ll reevaluate things. Apple has stepped up its game in the radio and antenna department with each new iPhone release, and the company is practically confirmed to continue using Qualcomm chips (one of the reasons AT&T has had so much trouble with the iPhone is due to Apple’s use of Infineon-baseband chips). But for now, if I’m going to drop just as many calls on Verizon’s network as I do with AT&T, there’s just no reason to give up all of the other perks AT&T’s iPhone 4 affords. I want to talk and surf the Web at the same time on a super-fast data network, and roam internationally, and enjoy the latest iPhone OS, and have my voice calls come through instantly, and hold conference calls with more than two other participants at a time… so I’m back with AT&T.

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At its Mobile World Congress press conference on Tuesday, Deutsche Telekom mentioned that it will soon begin deploying Near Field Communications (NFC) enabled mobile devices in multiple markets. The deployment starts this year and will ramp up until 2012 when most of Deutsche Telekom’s markets will be included. Phone Scoop is reporting that during the press conference, Deutsche Telekom execs handed out a slide deck featuring Apple and referred to them being included in the 2011 launch — seemingly confirming, or at least fueling the fire, that the next iPhone will include NFC capability. Apple and Samsung were listed as being NFC-compatible in the second quarter, with RIM and LG having devices in the third quarter of 2011. But hey, you already knew that about RIM, didn’t you?

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BGR exclusively reported on Wednesday that Apple is currently testing a variety of gestures on its iPhone. While the more interesting gestures are still locked away safely on the Apple campus, the task-switching gesture managed to come out to play in Apple’s recent iOS 4.3 beta software. Antoni Nygaard decided to laugh in the face of Apple’s developer agreement on Wednesday and show off these new gestures on camera. As we’ve pointed out in the past, these gestures are currently in place for testing purposes only. Trust us — if and when gesture support is officially added to the iPhone, it won’t involve uncomfortable four-finger swipes. So while we all wait impatiently to see what official gesture support might look like, hit the break for the video demo of Apple’s test gestures in action on an iPhone 3GS.

[Via Engadget]

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T-Mobile USA’s new CEO Phillip Humm confirmed at an event on Thursday that the carrier will soon launch a pair of new “4G” HSPA+ phones. Humm noted that T-Mobile will soon announce a 4G version of Samsung’s Galaxy S smartphone as well as a 4G addition to the popular Sidekick line that will run Android. “We will launch as new the Samsung Galaxy S 4G … and coming soon, will also be a Sidekick 4G. Everybody knows the Sidekick, and we’re going to relaunch the Sidekick and bring it as a 4G device, Android based, into the market,” Humm said at the event. While he didn’t refer to the Vibrant 4G by name — instead, he called it a “Galaxy S 4G” — Humm’s confirmation certainly firms up our exclusive report from earlier this week. We can likely expect both handsets to be announced next month at Mobile World Congress, and Humm confirmed that both devices will launch in the first half of this year. T-Mobile also said at the even that its current Vibrant smartphone will finally receive a software update “very soon,” and that the carrier will not offer Apple’s iPhone in the near future due to the device’s incompatibility with its AWS 3G network.

UPDATE: Check that. It looks like T-Mobile went with the “Galaxy S 4G” moniker instead of “Vibrant 4G.” Since it’s basically the same phone with the addition of newer HSPA+ compatibility from the looks of things, the carrier likely wanted to distinguish it from its predecessor as much as possible.

Read [4G phones] Read [Vibrant update, no iPhone]

New estimates released Thursday by Japanese market research firm BCN place the Samsung Galaxy S at the top of Japan’s smartphone charts. The powerhouse it displaces is none other than Apple’s 32GB iPhone 4 — a handset that took Japan by storm when it launched earlier this year. For 18 weeks straight, the iPhone 4 had been Japan’s top seller. In its debut week, however, the Galaxy S managed to take the top spot, though only when considering the 32GB and 16GB iPhone models individually. Whether or not the Android 2.2-powered smartphone can maintain pace remains to be seen, but Samsung should certainly be pleased that it has a hit on its hands in Japan.

[Via 9 to 5 Mac]

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Like Dorothy from the Wizard of Oz, some claimed fourth generation iPhone parts have emerged from the corn fields business district of Olathe, Kansas. The supposed parts arrived at iResQ, an iPhone repair shop, and include a front panel which iResQ notes is 1/4 inch taller than the iPhone 3GS. This small increase in size could potentially translate into an iPhone with a 3.7 inch display, a size which is fast becoming the industry standard. The front panel also has a small reflective surface right above the earpiece that, no, is not a vanity mirror but may be a spot for the proximity sensor, a location that differs from the previous iPhone models. Bad news for those that are hard on their phone and tend to break not just the glass but the LCD panels underneath, as the LCD is reportedly glued to the digitizer and must be replaced together as an all-in-one unit. We don’t need to remind you that this dual-pieced part may cost a small arm and leg to replace. Last but not least, make sure your Martini glass is lined with a bit of salt as you’ll need those extra white granules while reading the unconfirmed contents of this post.

[Via MacRumors]

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The folks over at MOTO Labs (not related to Motorola) demonstrated a DIY yourself technique that allows the average person to easily compare touchscreen performance between multiple handsets. The test is performed by opening a drawing application on the test handset and drawing a diagonal pattern of straight lines very slowly on the screen. A good touchscreen will produce straight linear lines, while a poor touchscreen will produce wavy lines. To demonstrate the technique, MOTO Labs did a comparison test between the Apple iPhone, Google Nexus One, Motorola DROID and HTC DROID Eris. The clear winner in most of the tests was the iPhone which produced straight lines but with curving and sensitivity loss at the edges of the screen. The Nexus One and DROID Eris fall slightly below the iPhone with both handsets performing equally well, producing straight lines with some waviness and good sensitivity at the edge of the screen. At the bottom of the pack was the Motorola DROID which showed significant waviness and “stair-stepping” in all tests. These results might definitely mean something to the average user as a touchscreen that tracks poorly has a higher likelihood of misinterpreting touch input, and apparently imprecision even as small as a millimeter or two can make a significant difference when using a small on-screen keyboard or selecting text for editing. The video demonstrating the test and its results are after the jump. Watch it and let us know what you think. Is the DROID really as bad as the results show or is this test somehow skewed?

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You never know what will pop up on YouTube and today it is a video of the HTC Touch HD in action alongside the Samsung Omnia and the Apple iPhone. The video is in French and we cant understand a word they’re saying but the device still looks hot! If this doesn’t make you want to fly over to Europe and big up this gorgeous phone, we don’t know what will.

Thanks Franklin!

If you frequently travel abroad with your AT&T-locked iPhone, you’ll be happy to know that AT&T has added two new international iPhone specific data-plans to their stable. The two plans, which will be available beginning tomorrow, provide global data access for globe trotters, but the privilege of checking your email from Romania won’t come cheap. The 100MB plan will run you $119/month on top of your existing bill, while the 200MB plan will set you back a full $199. Whoa. For that amount of rapage money, we’d recommend leaving the iPhone at home and picking up a pre-paid handset in your destination country, but to each his/her own we suppose. We just can’t understand how the unlimited international BlackBerry data plan is $69/month. Oh well, BlackBerry international FTW!

P.S. We’re not sure if the new international iPhone data plans have a one-year commitment attached to them like the international BlackBerry plan. We’ll report back.

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