Whole Product

The concept of "Whole Product" has been well known. In order to complete user experience, you need additional products, features or services in addition to the main product. For Apple iPod, it was the iTune that managed music collection as well as vehicle to buy a song at $0.99 (as opposed to buying an entire album). Apple perfected the art with iPhone and its App Store.

Thinking back, Samsung made critical mistake when trying to enter enterprise networking market. Most companies buy Cisco products not only for their technology, but also support and professional services, which make up the whole product. Even though networking products are based on open standards (IETF), because enterprise network is complicated and mission critical, it's important to design it correctly and to receive immediate support when something goes wrong. Samsung wasn't willing to invest money in the support and services structure.

Along with iPhone, Google's Android phones will also have Application Marketplace, so it would be very interesting if the success can be replicated. I say it would, but we shall see. There is clear business model for Apple iPhone application developers (by charging for apps), but I don't see it for Android. I suppose they would have to give developers freedom to charge for an application. So far I think they are supposed to be free, but money could be very strong motivator, so Google should strongly consider it.