updated 04:00 pm EST, Wed January 10, 2007
The introduction of Apple's iPhone has boosted its stock with the company hoping to garner 1 percent of the project 1 billion mobile handset market--about 10 million phones--in 2008; however, the announcement hit other handset makers' shares, including Nokia, Samsung, and LG. Despite previous (incorrect) Reuters reports, Intel will not supply the main chip inside Apple's iPhone, but said it is supplying chips for the Apple TV set-top box. "We are not providing the silicon inside the iPhone," Intel spokesman Bill Kirkus told Reuters. "We are providing the silicon inside the Apple TV." Germany's Balda will supply touch-screens.
However, at least one analyst believes the lack of a tactile keyboard may not be optimal for heavy email/Blackberry users. "We're very impressed with the seamless hardware and software innovation in the iPhone, yet it's still early innings in a new generation of converged mobile devices that tap emerging internet services. Features not announced that seem natural in coming generations include GPS, speech & handwriting recognition, and video conferencing, " Merrill Lynch told its clients in a research note. "The lack of tactile keyboard, while allowing greater flexibility, is not optimized for heavy email/blackberry use, a sticking point for some."