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The Problem With Apple’s iCloud


Apple CEO Steve Jobs returned from medical leave yesterday to announce the company’s latest and greatest: a service called iCloud that will remotely store your music collection, photos and documents, and link all your Apple devices for access. The problem, analysts say, is that Apple’s offering isn’t so great for most consumers.

“It’s a huge failure,” says Dan Rayburn, a principal analyst with Frost & Sullivan. The only real winners are subscribers to Apple’s MobileMe service, which iCloud will replace. Those folks have been paying $99 a year to link contacts, calendars and email across Apple devices, features iCloud offers for free. (Apple did not respond to requests for comment.)

For the rest of us, iCloud offers little more than the convenience of not having to connect your iPod, iPad and iPhone to your computer in turn each time you download a new song.

Think of it this way: the whole point of storing your music, videos, photos and other files in a place other than your hard drive is anytime, anywhere access. That’s great if you want to avoid the time and hassle of transferring everything from your old computer/tablet/MP3 player/phone to the new, better still if the old gadget was stolen or bit the dust in an unexpected fall, taking with it all your carefully crafted playlists, irreplaceable vacation photos and tomorrow’s big work presentation.

iCloud, which stores your content on Apple’s servers, fails on several counts.

The service won’t work on all devices, which means owners of say, Blackberry smartphones or Android tablets can’t access the apps, points out Mike McGuire, a research vice president for Gartner. “I’m sure they’re hoping the halo effect of their various products all overlap, and someone sitting on the fence may look at [iCloud]… as a reason to buy a Mac,” he says. The service is a less-than-perfect backup even for Mac users, because it doesn’t store files created with non-Apple software like Microsoft Word. Digital photos are stored for just 30 days, and if you want everything in your iTunes library saved remotely — not just the purchased songs, books and apps — it’ll cost you $25 a year under the new iTunes Match service.

In comparison, the analysts say, most consumers would do well to take a look at more general back-up services like DropBox or SugarSync. They offer free accounts of 2GB and 5GB, respectively, and cover anything you’d care to upload.

Streaming — which analysts widely expected — might have allowed consumers more cost savings, because they could access content remotely without storing it on their devices, a la Netflix streaming video, Pandora radio or Google and Amazon’s respective takes on music in the cloud. With that approach, there’s no content without a steady Internet connection and the possibility of bigger cellphone data bills, but there’s no need to shell out for a bigger hard drive, either, McGuire says. (That’s $100 saved on a 16GB versus 32GB iPhone, for example, or a $164 difference between an 8GB and 64GB iPod touch.)

Apple is banking on the fact that easy management across devices will appeal to its audience of 225 million iTunes users, McGuire says. Ultimately, they want you to buy and store your music with them, cutting out Amazon and Google. “Apple has always been about the ownership, and the management of that content,” he says.

PayDirt readers, what’s your cloud plan?

(This story was updated to clarify which devices will not support iCloud.)


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    • By WebOsPublisher

      iphone – Disable search button – Stack Overflow
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      I have a problem and would appreciate it if you would help me.
      I made a app from this tutorial:
      It works great, but i need it without the search button. I want to see all the data when i start the app… without taping on the search button or anything else.
      I am in the learning process and it would help me a lot if someone would answer.
      On the link you will find all the codes i used in the app.
      Thanks a lot!!
      David R.
      iphone xcode search button map
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      Oct 21 ’11 at 17:46
      David Radanovic
      there is no code in that link – Aravindhanarvi Oct 21 ’11 at 17:49
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      remove the button from the interface and just call the method associated with the tap of the button from your viewDidLoad.
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    • What an idiotic article. since when is “Streaming” a convenience ? vs WHAT ? has the author looked at the pervasiveness & cheapness of local storage. I’d gladly would use an offline versino of Netflix, Netflix & Hulu do only streaming because it’s a CONSTRAINT pushed on by the MPAA.
      –Services like Dropbox & Mozy existe for years, their problem has always been that they don’t integrate at the system level.
      – Syncing across multiple devices is a win for everyone. Apple doesn’t get to keep my personal data more than they need, I’m reassured by automatic backups across my range of devices (iPAd, iPhone & Macbook )

    • I love Apple and Steve Jobs, even though I no longer use any of their products, having migrated back to PC’s nearly 20 years ago.

      Read my column from 2 days ago “Is Apple Hitting a Wall?”: which appears in the Szelhamos RUles site.

      If you are an investor looking for more predictable returns on your portfolio using conservative management tools as are used by Hedge funds, consider getting the Option to Profit book available at “Amazon”:

    • This article sounds like sour grapes to me. Microsoft has painted itself into a corner with its bloated Windows OS. Did you happen to catch the Mac vs. PC sales numbers in the keynote? As more and more business apps transition to web-based computing, the argument in favor of using Windows for business will fade away. Macs are simply more reliable and easier to use.

    • Haha.. to the person who says he bet Mossberg never saw this before it went to print.. HAH! I’ve seen Mossberg’s own stupid rantings so I find that one hard to believe!

About Pay Dirt

  • Pay Dirt examines the millions of consumer decisions Americans make every day: What to buy, how much to pay, whether to rave or complain. Lead written by Quentin Fottrell, the blog examines these interactions, providing readers with news, insight and tips on shopping, spending, customer service, and companies that do right – and wrong – by their customers. Send items, questions and comments to or tweet @SMPayDirt.