Illustration of the iPhone4 -Apple
It's currently difficult as an iPhone user to switch carriers in the US and Canada because the phone is locked-down, or SIM-locked to one carrier. Things may soon change as rumours of a reprogrammable SIM card are floating around.
A report by GigaOM indicates that several European cell phone carriers indicate that Apple is considering a change: a reflashable SIM card for iPhones.
Hold your horses, Canada (and our American friends)! European carriers are not as well known for locking cell phones than we are. Rumours are rumours and what might happen in one market may be different for another.
A bunch of different cell phone manufacturers have tried this move, but Apple is a giant. Speaking of giant, Google's Nexus One phone is widely know for being unlocked and unrestricted (unlike the Motorola Milestone). Google's idea to sell its own handset didn't work out exactly as planned and they subsequently moved their distribution to a few smaller partners.
If the rumours are true, Apple will certainly alienate their carrier partners. Reprogrammable SIM cards are sure to remove the 'middle man', or carriers from the retail marketplace, though looking at other overpriced Apple products, unlikely to reduce the price. If you're a 'hipster', though this shouldn't matter.
Just like their iron-clad control of Apple products, such a move could give more control over personal devices; Apple has become a gained a higher market value than Microsoft in the past year.