Can Apple's iCloud Succeed?
I keep wondering this in the back of my mind, can iCloud succeed? I’m not asking because I have doubts about Apple's ability to create a great service, even though MobileMe and Ping give you reason enough to have pause. I'm asking because I don't know if the major wireless carriers that carry the iPhone will let it succeed. I think that iCloud, as well as other cloud services like Spotify, Netflix, SiriusXM and Pandora, will have their success ultimately limited or hampered, and possibly even controlled by wireless carriers that don’t offer 'True Unlimited' data usage plans, sans the new carrier trend of throttling.
The whole premise behind the iCloud is great. All of my data between my iPad and iPhone will finally be on the same page. My Music, links, apps, pictures, docs, videos, and the list goes on and on and on. So whenever I pick up either device, I have all the same up to date content available to me. This is BIG, make no doubt about it and I personally can't wait to try it out. Time will tell in the coming weeks as iOS5 and iCloud roll out to the public, if iCloud is the panacea Apple promises it can be to the world. Will users agree? Will they adapt to the iCloud?
Let's say that users do. If you’re not in an unlimited data plan, I think you’re going to get in trouble. Let’s count a few ways how...
1. Automatically uploading all of those pictures from your iPhone to the iCloud, yeah that will hurt.
2. Don't forget the videos!
3. Playing your iTunes from the iCloud. Yeah you may save local storage space but, that is going to increase your data usage. The more you listen, the more data you use.
4. Facetime, if it ever gets wireless carrier network support, will be another huge data drain.
5. Now let’s through in all of those other apps we download, emails we send, docs we can update, basically other digital media we continue to consume on an ever increasing rate.
6. Lastly lets through in the big guns, Pandora, Spotify, SiriusXM, Netflix, YouTube and Comcast and Time Warner’s iOS applications. These all are huge data hogs! Huge! There are more of these data hog apps coming to market every day, with many iOS users using several of the aforementioned apps.
See how quickly all this adds up? If you're not on an unlimited data plan, your ability to utilize all of these cool services is limited by how much you are willing to pay in data overages on your monthly bill. Even if you have an unlimited data plan, wireless carriers worldwide are adopting the trend of throttling their high capacity users. Throttling, if you don’t know already, is the practice of a service provider limiting the speed of a customer’s data connection after the user has hit a certain limit of usage. This downgrade in speed decreases the customer's ability to enjoy the 'Unlimited Data' service they thought they were paying their carrier for, and in turn limit's the user's ability to enjoy watching a Netflix movie, or even accessing the iCloud.
It's funny to me that broadband service providers, wireline and wireless, find ways to provide faster and faster service that is capable of delivering more and more data, but continue to limit access to it by early adopters. So as I see it, the fate of all of these streaming services, is in the hands of the folks controlling the pipes. This is the best argument I can think of for Apple to buy/build the iOS wireless broadband data network with all their BILLIONS of dollars. What do you think?