Wednesday, January 29, 2014

Looking at 2014: Windows 9, Galaxy S5, iPhone 6 and the death of the WiiU?

I know it’s been a while, but here is my first post of 2014! Lots has certainly happened in the past two months, so I’m going to try and recap the things that are going to be the most interesting to watch in the coming year.

-Shortly after the release of Windows 8.1, Microsoft revealed that they are working on Windows 9. Windows 8 has been widely criticized, and consumers are very reluctant to try it, even though they don’t have much choice (if you really have your heart set on Windows 7, HP is selling some new PCs off their website preloaded with Windows 7). I personally think Windows 8 is fine, and that it has some really neat features, especially on a touch device. I think if you’re going to get a Windows 8 device, it has to have a touch screen. Anyway, after all this criticism, Microsoft hopes that Windows 9 will be to Windows 8, what Windows 7 was to Vista. They’re going to have some serious competition in the coming year, so it’s going to be interesting to see how they respond.

-Another company that didn’t have a great 2013 is Nintendo. The WiiU has been failing, with Nintendo posting financial losses for the first 9 months of 2013, and dropping its forecast for 2014 from 9 million units to 2.3 million units. That’s a significant difference, although considering they only sold 2.4 million units from April to December, it’s much more realistic. Nintendo also announced that their president will be taking a 50% pay cut, with cuts to the other members of the board as well. It’s gotten so serious, that everyone has started speculating on what Nintendo should do to be successful again. One of the most tossed around ideas is that they should release mobile versions of their popular series (Zelda, Pokemon, Super Mario, etc.) due to the popularity of these devices. I doubt Nintendo would relinquish control of these series, but things may get desperate.

- Apple has finally realized that the U.S. market is saturated with their products, and that it’s time to look elsewhere. In December, they announced a deal with China Mobile to sell the iPhone 5 and 5C in China, giving them access to another billion or so people. According to some sources, they aren’t doing quite as well as they had hoped, but we’ll have to wait until the March quarterly announcement to find out. They’ve also started selling the iPhone 4 in India. An interesting reversal of this, is that recently Chinese mobile phone makers have attempted to launch phones in the U.S. but are facing much more resistance. Apparently Americans are much more reluctant to buy Chinese products (ironic, considering almost everything is made in China), stalling the attempts of companies like Huawei and ZTE to enter the market.

- The last big one I’ll mention is the fact that there are already rumours and talk of the upcoming Samsung Galaxy S5 and the iPhone 6. I think this is pretty crazy considering the S4 came out in late April 2013, the iPhone 5S and 5C came out in September 2013, and the smartphone market is incredibly saturated. At this point, it is unlikely that either company can design something that is so new and mind blowing that it convinces users to upgrade sooner. For the S5, rumours are flying about an all metal body, a potentially curved screen, a supercharged battery, a fingerprint/retina scanner (following Apple), etc. The last one I find interesting because I wonder if anyone has done any research to determine if people actually use this/find it useful/identify it as a differentiating feature when buying a phone; or if Samsung is doing it because Apple did. The iPhone 6 is rumoured to be coming in at least 2 sizes; the standard 4.7” and potentially either a 5.3” or some sort of phablet device at 6”. This means Apple has finally listened to its customers! Other than that, it’s said to maybe focus on wireless charging and eye tracking movements (following Samsung). The S5 is thought to be released around February 2014, and the iPhone 6 anywhere between June and September 2014.

That’s the majority of the upcoming things to watch for. A quick mention to: Google who bought Nest, a company that makes smart home devices (fire alarms, thermostats, etc.), for $3.2 billion, and sent everyone into a panic about Google entering our homes and controlling all our information; and Blackberry who released version 10.2.1 of its operating system yesterday, which apparently is actually pretty good, and caused stock to increase 3%.