People are calling the iPhone 3G the second generation iPhone. While it is technically “second generation,” I believe it is more of a midway product between the iPhone and the real second generation iPhone that I suspect to come next summer. The reason I believe this is because there is not a big enough difference between the iPhone and the iPhone 3G. Most people believe that the new features in the iPhone 3G should have been included in the first generation iPhone. Think about it… Almost all of the smart phones at the time had 3G speed and GPS. Plus, have you ever even heard of a recessed headphone jack before the iPhone? I think most people agree the iPhone 3G should have been called the iPhone on January 9th, 2007.
Apple’s intentions with the iPhone 3G was not to revamp the iPhone, but just to give the simple improvements it needs. The second generation iPhone will need to have new hardware that is way ahead from it’s competitors. I am thinking of a front facing camera that will allow video chatting on the 3G network. Apple has to come up with new innovations just like they did with the iPhone for the second iPhone. A 3G and GPS chipset it not exactly innovation on Apple’s part. A black and white color is not innovation either. The second generation iPhone needs to be distinctively different for it to really be second generation.
From this graph, hopefully you can understand exactly what I am trying to say in this post. Apple is stirring up something great for the second generation iPhone, but were not quite ready to put it in the next release. Apple new the iPhone 3G was not as breakthrough as their normal releases and they made up for it with the price drop. That is why the iPhone 3G is still just, the iPhone. It is not the second generation, it is just something to make it level with it’s competitors. It is an answer to people’s complaints and that is only ONE of the jobs of a second generation device.
UPDATE:
I got a great comment from Hair and I would like to add a little of what he said. When I talked abut how the second generation iPhone needs new innovation, I forgot to give examples of what I mean. This is from Hair’s comment:
Do expect next summer in a 3 Gen, or later in a 4th Gen:
1) Video recording
2) iChat AV (dual camera)
3) Better quality camera (not just more megapixel)
4) Faster processor
5) 32GB
6) Copy and Paste
7) Turn-by-turn GPS 
Stereo BlueTooth
9) Tethering (with optional $$$ plan)
10) Voice command (not just dialing)
I think this is a good list of things that should be included in the next release. This post’s main purpose was to express my opinion of the iPhone 3G. I believe it needed more innovations and new features for it to really be second generation.
Thank for reading 
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August 9th, 2008 at 9:43 pm
I agree. Though I still think that a next iPhone will probably not be for a while (I would be suprised if it was introduced at Macworld ‘09) as steve knows the consequences of changing a product close to the launch of the previous model (look at what happened when they made the 1st gen iphone price drop so close to the iphone’s launch). Im also sure that the carriers wont want it to happen so soon, as it requires re-signing the contract to get the mobile subsidy. And the carriers would want to wait as long as they can before resigning so that they get the longest possible amount of time out of their customers.
August 10th, 2008 at 1:24 am
There will probably be a new iPhone this winter (perhaps Red, perhaps 32GB). Think of it as a product bump.
Next summer, we’ll see the 3rd Generation iPhone. It will address the top most complaints and desired features that don’t go against what Apple has already ruled out. In other words, don’t expect:
1) User on-the-go replaceable battery.
2) SD card slot.
3) Physical keyboard.
Do expect next summer in a 3 Gen, or later in a 4th Gen:
Stereo BlueTooth
1) Video recording
2) iChat AV (dual camera)
3) Better quality camera (not just more megapixel)
4) Faster processor
5) 32GB
6) Copy and Paste
7) Turn-by-turn GPS
9) Tethering (with optional $$$ plan)
10) Voice command (not just dialing)
Of the above that are software related, we may see those sooner and would count as towards the iPhone 3G generation.
Sorry, but the iPhone 3G is a 2nd Gen iPhone. If you take into account the Software SDK, the leap from 1st Gen to 2nd Gen will be much greater than the leap from the 2nd to the 3rd or 3rd to the 4th.
The argument of your post is that the 1st Generation had a feature set that you were underwhelmed with. Ok fine, but it sold better than expected. The 2nd Generation appears so far to be doing better than expected as well. Your gap between the generations chart is nice, but you fail to explain what will ramp the next generation up so significantly.
Gabe Jacobs reply on August 10th, 2008 9:36 am:
My argument was not that the 1st Generation had a feature set that I were underwhelmed with, it was that I was underwhelmed with the 3G feature set because they should all have been in the first iPhone anyway. And yes I do agree that I should have talked a bit more about the next gen iPhone. I will add what you have written here, compliments to you. Thank you for the comment.