The proliferation of apps stores – primarily by device makers – appears to have relegated carriers to the role of dumb pipes. But is it possible for them to get back in the apps race? This was the questioned posed to panelists in the session, Apps Race: Building a Developer Community in the New Telecom World, at the VON Conference & Expo Monday.
One of carriers’ biggest hurdles is that they don’t have sexy devices like the Apple iPhone, said Dan York, director of emerging communications technology for Voxeo Corp.
Thomas Howe, CEO of Jaduka, agreed. But he said part of the problem carriers have is myopia when it comes to building apps. “You only solve the problems that you see,” Howe said. “If you are in telephony, you see telephony problems.” But there are only about a dozen truly unique telephony problems to solve, and it’s been done, he said, noting to get other “vertical” apps, you’ve got to go outside the telephony environment.
So, should they replicate the app store model? Howe said carriers should try to replicate it – at least the Apple model, which gives developers the lion’s share of the revenue (70/30 split). “It’s wasn’t about the technology, it’s about giving developers a credible path to market,” he said.
York agreed that Apple has set the bar. But he questions whether the carriers should be the ones to replicate that given that the device makers (besides Apple, Nokia and RIM) seem to have laid claim to the model. One potential advantage carriers could bring, he conceded, is the application to deliver apps across devices. That’s something Apple cannot do, he said.
Another advantage carriers might be able to exploit is their content relationships, Howe said. Like Apple, many carriers, especially the cablecos, have partnerships with content providers. This is an advantage over say RIM, which doesn’t.
Another potential advantage is being able to expose call control elements. While many applications do not require it, those that do, need the carriers’ cooperation. Geofencing is one capability that many developers would like to get their hands on, Howe said. York said there is a lot of data that he would like carriers to expose. “The hassle of getting access to SMS is insane,” he said, citing one example.
Howe said he thinks the biggest issue is carriers’ mindset. “They need a lobotomy,” he said. “Carriers feel they need to bring end-to-end service and QoS, etc. But for the reasons we have been talking about they can’t do that anymore. They don’t know the end service. ...They have to say, ‘We are going to care up to this point.’ And, after that, they have to stop caring.”
