David Feldman's book, Reverse Mergers: Taking a Company
Public Without an IPO, now in its third printing, was published in 2006
by Bloomberg Press (available on http://www.amazon.com).
View David Feldman's reverse merger blog at www.reversemergerblog.com.
Joseph Smith and David Feldman are coauthors of PIPES:
Revised and Updated Edition - A Guide to Private Investments in Public Equity
(Bloomberg Press, 2005) available on http://www.amazon.com.
In the News
Larry
Langs quoted in an article about the
new iPhone in Investor's Business Daily
on June 28, 2007.
Can
Apple Sell 'Pros' On iPhone
by
Brian Deagon
Despite
reports to the contrary, not everyone
is ultraexcited about the arrival of
the Apple (AAPL) iPhone.
Take residents of Santa Monica, Calif.
Though many lined up to buy the iPhone
at stores across the U.S. this week,
not a single person was at the Apple
store on Santa Monica's touristy 3rd
Street Promenade as of 6 p.m. Wednesday
48 hours before the iPhone went on
sale at Apple and carrier AT&T (T)
stores. (Related Story)
The iPhone is one of the most talked-about
electronic products ever. The New York
Times counted 11,000 print articles
on the product in the past six months
worldwide, an average of more than 60
a day.
Once the hoopla led by early-adopter
consumers subsides, the product's success
might rest on how it's viewed by power
users people who use their cell phones
constantly for mostly work-related purposes.
Power users are a key market because
the iPhone and its service contracts
come in at the high end of the market.
Apple is invading territory where seasoned
companies have been adept at selling
to road warriors.
If Apple can impress this market, the
iPhone is a sure hit.
Interviews with Los Angeles-area power
users show the iPhone had their attention,
but not all of their wallets.
Doesn't Want A Toy
Among
the skeptics is Larry Langs, an entrepreneur,
investment banker and a lawyer with
Feldman Weinstein & Smith.
Langs' average phone bill exceeds $200
a month. He now uses a Treo 650 smart
phone from Palm. (PALM)
Langs estimates the Treo is his 12th
cell phone. Besides calls, he uses it
for e-mail, directions, checking stocks,
instant messaging and note taking.
"I'm in a lot of meetings, and I use
my cell phone a lot," Langs said.
For Langs, the cell phone is his primary
computing device. It must be heavy-duty,
not a toy. So Langs is waiting to see
whether Apple's first cell phone is
worth it.
"I'm not that passionate about the iPhone,"
he said. "I want to see if the first
batch of users have a good experience.
I might wait a month or so before I
take a look."
Power user Thomas Hajdu was interested
enough in the iPhone to lean toward
buying one Friday.
"I'll be
at the Cingular/AT&T store on Friday
afternoon," he said.
Hajdu has owned more than 10 cell phones,
but "I've never found one I really like.
I'm still underwhelmed by the technology,"
he said. If the iPhone jumped out as
a tech winner, he planned to buy.
His most recent phone was a Cingular
8525, which a CNet review called ideal
"for the ultimate road warrior."
"It is state of the art," Hajdu
said, "but I busted it" from overuse.
"I'm hoping Apple will raise
the bar," he said, "though it seems
more like an entertainment device."
Internet Speed Questioned
He wondered about the iPhone's Internet
browsing speed.
"Based on
what I've heard, it's pretty slow,"
Hajdu said. "By the time you upload
your destination on Google Maps, you've
already arrived. But that's not Apple's
fault. It's Cingular's fault."
Apple's Web browsing and e-mail features
have impressed some.
"I've
held off getting a smart phone, but
this is the first phone where the Web
browsing and e-mail functions actually
look to be both easy and useful," said
Bobby Owsinski, executive producer at
2b Media, a content production company.
He owns a Motorola (MOT) Razr, his fourth
cell phone. But he plans to get an iPhone
soon.
Another power user who aims to get the
iPhone is Ash Kumra, chief executive
of Desi You, a South Asian media network.
"I'll probably get it online,"
he said. "I don't have the patience
to wait in an Apple store."
Kumra owns a BlackBerry 8800 from Research
In Motion, (RIMM) a feature-packed smart
phone with browser, voice-activated
dialing and organizer that also plays
music and video.
Why swap an 8800 for an iPhone? Kumra
says he likes the design, from what
he's seen.
"It fits all of
my needs and it's stylistic," he said.
"It's nice looking and futuristic. I
have a soft spot for cool innovation."
Kumra is also planning to buy his first
Apple laptop computer, a MacBook. "I've
learned to trust Apple," he said.
Also planning to buy the iPhone right
away is Gregory Markel, CEO of Infuse
Creative, a developer of search engine
technology. In his case, it's a work
necessity.
"The iPhone browser
is among the first true Web browsers,"
Markel said. "As a mobile search services
provider, we need to become intimately
acquainted with the iPhone browser,
search and Web user experience."
