"We think the iPhone is a 'game changer'... it will change how people think about... handsets."
Randall Stephenson, CEO of AT&T
Announced in January 2007 and eagerly awaited, the Apple iPhone could play music, take photographs, browse the internet, send e-mail, play movies, and store up to 8 gigabytes of information. It also had Wi-Fi capabilities, a calculator, calendar, and notepad, and operated via a nifty touch-screen mechanism. And it could make a telephone call.
With its large screen, lack of buttons, and sleek appearance, the iPhone stood out in design terms alone—unlike its competitors, it did not look like a phone. What is more, the touch screen was designed to be operated by a finger, so it was no longer necessary to find the stylus required by other models.
However, the iPhone did not perform as well as expected, with Apple taking only a 5 percent share of the
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