GadgetsMonkey

Everybody’s favorite doesn’t-actually-exist-yet product, the Device Formerly Known as iPhone, is still officially nothing more than an electrical flurry in Steve Jobs’ brain.

But Fortune has a smart analysis this week on why a number of folks you’d otherwise view as potential competitors may be rooting for Apple to get into the phone market.

Handset makers, the magazine reasons, are tired of the razor-and-blades financial model of the phone business, which tends to devalue hardware by treating it as a cheap or free bonus for signing a service contract. Apple, with its track record of convincing people to pay a premium for style, function and brand, is in the best position to overturn that model and allow handset makers to dream of handsome profits again.

Source CNN money

I think it is safe to say that if you could have an iPod phone, it would dominate the market, verizon is trying to head in that direction, but……its just not the same as my iPod. The “iLife” theme is something to invest in.