Despite being one of the fast selling products of its kind, the iPhone 4 is being lambasted by Strand Consulting as liable to place excessive financial burdens on those who offer it.

The is the latest in a series of excoriating analyses by Strand on Apple's products which they believe are essentially a triumph of style over substance and which deliver financial benefit only to the device manufacturer. Strand believes that the iPhone is a niche phone targeted at a niche segment that is getting an enormous amount of attention. In its most notable attack on Apple's flagship product, Strand produced a document running to over 100 pages outlining what it believed were the iPhone's manifest failings as a smartphone  .

Strand the latest report berates not only Apple but also the telecoms media. It says, "The media is currently full of stories about how happy people are with the new iPhone version 4 and how many phones Apple is selling - according to the press coverage, the iPhone version 4 is the fastest selling iPhone to date. But these articles are not describing the iPhone 4 from a financial perspective and none of the articles actually describe the impact the iPhone 4 will have on operators that are marketing and selling iPhones to their customers."

Strand suggests that any objective and realistic examination of the iPhones has to consider six parameters  . Namely: how does the iPhone 4 differ compared to previous iPhone models; does the iPhone 4's form factor make it attractive to new customer segments; which customers will primarily purchase it; how will a massive upgrade of the iPhone base influence the economy of operators; what will happen with all the old iPhones when people upgrade; how big is the iPhone market?

The analyst is most damning on the cost aspects of these questions, insisting that the iPhone 4 will negatively stimulate the operators' churn and result in operators' costs for subsidies and dealer commissions rocketing. It concludes, "At the end of the day there is no doubt that the launch of the iPhone 4 has been very successful for Apple, but many operators will learn that the new mobile handset that has entered the market these past days will not expand the market and will most probably end up being an expensive new friend."