HTC’s Touch Diamond Won’t Touch iPhone 2.0


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Consumers wanting a touch-screen, Web-browsing, 3G-capable phone don’t have to wait for the rumored 3G iPhone. HTC’s new Touch Diamond matches — some would say “copies” — the features on Apple’s breakthrough device while offering the speedy connections of 3G networks.

Apple is expected to release a 3G version of the iPhone in 2008, perhaps as soon as the third quarter. As Apple remains silent on the timing, features or even existence of the 3G iPhone, the Apple rumor blogs have gone wild with speculation that the new phone will have a plastic case, boast a sensor (possibly for a video camera), support handwriting recognition and sell for a mere $200.

In the face of that breathless anticipation comes HTC with a phone that features a 2.8-inch VGA touch screen with the ability to change orientation as the user rotates the phone, a YouTube application for watching video, a version of Google Maps, and many other features of the current iPhone.

“This is going to be the biggest product of my life,” said HTC’s CEO Peter Chou.

iPhone More than a Phone

But even with 3G and all those copycat features, the new HTC phone isn’t even relevant to Apple’s plans, said Tim Bajarin, principal analyst with Creative Strategies.

“While the new HTC phone is important to the smart-phone industry in general, it will have almost no impact on Apple,” Bajarin said. “Apple’s iPhone is unique in that it is based on a full operating system — Mac OS X — and has a full browser. And with the new apps that are coming out soon, it will be more like having a real PC in your pocket, not just a phone.”

Apple recently released a kit for third-party developers and has promised to deliver version 2.0 of the iPhone operating system by June. Apple will host its Worldwide Developers Conference starting on June 9, when the new software will be released. It is expected that third-party applications will be available for the platform then.

Late 2008 Arrival

“Apple’s major differentiator is the ecosystem of iPhones and full-blown applications, both Web-based as well as native, that really sets it apart from their competitors,” Bajarin said.

HTC plans to offer the Touch Diamond through major European carriers in June, followed by Asia and the Middle East. It won’t ship in the Americas until the second half of the year.

HTC is also an early participant in Google’s Android initiative to create a standards-based platform for Internet mobile applications and data.

The Touch Diamond works on W-CDMA (Wideband Code Division Multiple Access) networks at data rates as high as 7.2M bits per second using HSPA (High-Speed Packet Access). It runs on a chipset from Qualcomm and Windows Mobile 6.1 Professional.

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