16 Jul Cell Phones and the Companies They Keep
When we think of cell phones, we often think of our own personal needs for communication and personal tech devices. We often marvel at the incredible smart phones available in the marketplace today. In fact, if you go out to shop for a smart phone or one of these new super cell phones, you are amazed at all the features and all the product choices.
In this article I'd like you to see another side to your cell phone; I'd like you to understand some of the market drivers and some of the companies that make their money from producing these devices, selling these devices, or providing this service for smart phones; The cell phone plans.
I have titled this article; "Cell Phones and the Companies They Keep," because the harsh reality is that corporate America relations on the consumer to provide them with the shareholders equity and quarterly profits that they need to sustain their operations. After the big telecom crash we watched all the major telephone companies lay-off hundreds of thousands of people in total.
After 9/11 we watched communication companies such as Motorola, Nokia, and even a few companies that are no longer in business now shed their work, causing huge amounts of layoffs. Then, we forgot all about it when the economy started soaring again and President Bush had employment at 4.5% a record in the United States of America, and a couple of points lower and it might've been a record among all the major industrialized countries Of the world (of all time).
Now fast forward to 2010, and all we talk about jobs, even our politicians promise us that "job creation" is their number one concern. Still, it is not the government that provides jobs, it is the private sector. But the most that the government can do is help provide tax incentives, support, reduce regulations, and help streamline things so industry can pick up where it left off.
So let's talk about some of these private free enterprise companies which are on the smartphone and cell phone consumer markets. These companies also provide mobile communication devices for small business, medium business, corporate solutions, military applications, and government usage. I'm talking about companies like Intel and AMD that make smart phone chips, along with the manufacturers of the cell phones, which also may or may not make chips for every single device they sell such as Nokia, RIM, and Motorola – as well As companies like AT & T, Verizon, and Sprint, which provide the cell phone services and cell plans.
But we can not stop there because Apple with their new iPhone and Google with all their new tricky little devices are also becoming very big players. A recent article on January 29, 2010 in the New York Times in the business section; "Nokia Profit Rises on Smart Phone Sales and Cost-Cutting" – seems to explain the whole thing. These companies are running redline and they are now competitive with Asian companies that are mass producing smart phones and smart phones.
Many of these companies have been making cell phones for a long time such as Samsung, Mitsubishi, and others. But LG and HTC have also entered the market and are trying to get a piece of the action. Major retailers like Wal-Mart have recently announced new programs. One program and cell phone plan is called "Straight Talk" where subscribers get 1000 minutes in 1000 text messages for a very low monthly price, but you can only get that contract at Wal-Mart, and therefore you must cancel the phone also at that Same retail location.
This could exclude companies that want to keep their high-end smart phones away from the low-cost leader. However, believe it or not, not everyone has a cellular phone and Wal-Mart is looking to pick up new cell phone buyers, as well as other consumers who might like to cut costs. As the consumer comes back to the market place to buy more personal tech devices these companies all stand to make a lot of money – that is if they can stay ahead of the competition, and it's getting quite competitive.
Companies like Nokia hope to book profits in the neighborhood of $ 1.8 billion dollars in 2010. In 2009 Nokia made a profit of $ 1.23 billion as per the New York Times article, while companies like Apple, which are fairly new market entrants have captured the imagination of Personal tech first adopters and they are breaking speed records during this downturn in the economy. Still companies like Nokia are counting on new features such as GPS navigation in real time, with "turn by turn" features in hopes to wow future users.
Meanwhile, companies like Intel are looking to the new market entrants so that they can sell them cell phone chips, and companies like AT & T, Verizon, and Sprint are massively spending on 3G and 4G wireless infrastructure. So, while you are choosing your cellular phone, these companies are looking to bring you over to their side, and collecting your money to promote their bottom line. It shows this is a great time to be in the cell phone business, and a great time for consumers to do a little extra shopping.
It there before makes sense for you to not be so hasty in your decisions, and look closely at your smart phone plans, to pick one that's going to work for you over the long-haul. Therefore, it makes sense to decide which cellular phone you want, and then go find a company that offers you the best plan. Indeed, I hope you'll please consider this.
By Lance Winslow