Apple Inc. (AAPL): How the iPhone Is Like DisneyLand

The iPhone would undoubtedly strengthen NTT DoCoMo’s device lineup, and some of the carrier’s customers want the device, but NTT Docomo Inc (ADR) (NYSE:DCM) feels confident that it can hold its own without it. That’s because Google Inc (NASDAQ:GOOG) Android devices have become much more competitive over the past year, in Tsubouchi’s view, which is why the company is focusing so heavily on the platform.

Like most carriers, NTT Docomo Inc (ADR) (NYSE:DCM) also prefers to add software customizations to Android, which it can’t do on the iPhone. Tsubouchi goes as far as say, “I think the iPhone with its own OS is like Disneyland,” describing iOS as a proprietary walled garden. You can buy only Disney products inside Disneyland, according to the simile. NTT DoCoMo wants greater influence.

Softbank and KDDI have been using the iPhone to poach subscribers, and NTT Docomo Inc (ADR) (NYSE:DCM) knows it. The carrier considers these customer defections, which could be mitigated by offering the device. If it ever started selling the iPhone, NTT DoCoMo would also have to try to win back those iPhone users by pitching its network, something that Verizon was able to do with some success from AT&T in 2011.

Tsubouchi’s comments corroborate other reports that Apple’s strict requirements are hindering its ability to expand carrier partnerships. With Android posing a greater competitive threat than ever, carriers also have less need to agree to Apple Inc. (NASDAQ:AAPL)’s terms.

Scoring NTT Docomo Inc (ADR) (NYSE:DCM) would certainly be a boon for Apple, but it doesn’t look like it’s happening anytime soon.

Fool contributor Evan Niu, CFA, owns shares of Apple, Verizon Communications, and Walt Disney. The Motley Fool recommends and owns shares of Apple Inc. (NASDAQ:AAPL), Google Inc (NASDAQ:GOOG), and Walt Disney.

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