I think I’m starting to understand AT&T’s strategy for the next few years. As complaints continue to pile up, the company will just add more and more bandwidth-hungry devices until it inevitably crushes the network, at which point customers will be so fed up they will pay for anything, including tiered data plans. That’s a long introductory sentence for a netbook, I know. Now, the netbook.

Nokia confirmed its 3G capable netbook, the Booklet, to be released on subsidy with AT&T. The little lappy will run $299 with a two-year contract at data rates of $60/month. You will also be able to get the computer for $599 unsubsidized. The system runs Windows 7, which supposedly seamlessly handles 3G to wi-fi crossover, has a 120GB hard drive, and sports an A-GPS card for location services. Nokia has also crammed a 16-cell battery into the thin frame for an estimated 12-hour battery life. I’ll believe that when I see it, but for now it’s nearly double most other netbooks.

Through the holidays you’ll only be able to buy the Booklet at Best Buy stores. Execs from Best Buy, Microsoft, and Nokia were all in Manhattan for the announcement today and seemed optimistic about sales potential. If you’re looking for an ultra mobile device and don’t already have a laptop, will you really want one of these on a service contract? How bout when it’s sitting next to a 32GB iPhone?

Smartphones used to be the domain of supergeeks and tech professionals – people who needed or desperately wanted the functionality of a full computer in a tidy mobile platform. As the devices became more popular and the desire for on-the-go web capabilities grew you could almost smell the storm coming.

Then the iPhone came out and sold millions, spurring competitors to make their own touchscreen wonderphone. We’ve now got the Blackberry Storm, the HTC G1, the Palm Pre, the Nokia N97, and the Samsung Jet, all running on a different operating system. While the manufacturers tout the hardware features that make their phone the best (physical keyboards, a screen that clicks, a camera with a flash), consumers are starting to look to the software that runs the phone, and the applications they’re finally able to install, to make a decision.

Apple has been most successful with third party application sales and support due to their App Store, which opened in mid-July, 2008. Since release, the App Store has seen more than a billion application downloads and now showcases more than 50,000 third party applications. From games to translators, finance tools to ereaders, the Apple App Store has an app for almost anything, leaving its competitors lagging far behind.

It’s taken nearly a year for competitors to get their mobile application stores up and running, time during which Apple has continued to lure consumers with the promise of a robust app catalog. As Business Insider points out, consumers aren’t just investing in a phone, they’re investing in a platform, with application quality and quantity as a major component of that investment. In a similar article, BI adds that time users spend with applications is replacing time spent on the web. Apps like Yelp allow users quick access to restaurant reviews, where before they would have been using Google.

This isn’t just good news for Apple, it’s an important statistic for developers. Read the rest of this entry »