Review: With iOS 4.1, Apple's Moving In For The Kill

It changed digital media in a powerful, lasting way with a simple product and some software.

Now, with iOS 4.1, Apple is taking social networking, digital photography and gaming -- all wildly successful media and cultural powerhouses -- and making them either better or just more accessible to the masses. Combined with Apple's iPhone 4 hardware, the company this year has delivered major, next-generation technology that is sure to influence rivals and change use patterns.

Just about all of the advances in iOS 4.1 are aimed at consumers but all have the potential to be so powerful they will likely have a big impact on how technology is used. That, eventually, will impact business technology as well. Let's go through the main features:

1. The iOS 4.1 upgrade is almost a half-GB in size, which, in years past would have been a deal-breaker for many. However, on a 32-GB iPhone 4, it's fine. At first, downloading the upgrade via iTunes was crawling (most likely due to the crush of people downloading at the same time), but it sped up after several minutes. The download, backup and installation process took about 40 minutes from where we sat.

2. Apple's introduction of HDR (High Dynamic Range) technology into this upgrade is not insignificant. The software allows for the built-in camera to take multiple photos at different exposures all with one push of a button; the camera then builds a range of brightness and luminance to provide photos with deeper colors, more texture and detail. As with Apple CEO Steve Jobs' demonstration last week when he announced this upgrade, photos taken in HDR provide significantly more detail on everything in the frame -- including at the lower and upper edges, which can often be washed out in traditional snapshots. HDR works as advertised. One note, though: With HDR turned on, it can take 12 seconds for a single exposure to process before you can take a second shot. With HDR turned off, you can take continuous-action photos. Apple gives you the option of using HDR or not, depending on whether you want more robust photos or a stream of action shots.

3. Apple's GameCenter introduces to the company's line card what had long been considered by many to be a serious absence: a live, interactive online gaming experience. It's just the sort of feature that's been a huge success for rival Microsoft (with its Xbox 360 Live network), but had been missing on the Cupertino, Calif.-based company's set of offerings. Not anymore.

GameCenter is still in is nascent stage. Last night, after the upgrade was installed, it was difficult to find good games in Apple's iTunes App Store that worked with GameCenter in an interactive manner -- where you could compete with other people around the world, invite others to games and allow yourself to be invited. Apple also doesn't make it easy to search for games that are GameCenter-ready; you have to shop through the tens of thousands of games on iTunes and hope the game you pick is supported by GameCenter and its interactive platform.

NEXT: Deal Us In, Social Networks The Next Bet We landed on the World Series of Poker game in the App Store, downloaded it, set it up and, once we opened the game, it integrated automatically with GameCenter. It was then possible to sit down at virtual card tables in six-person or nine-person games of "Hold ‘Em" and play for virtual stakes against other people around the world. (You don't play for real money in this game, which is good considering the gambling skills on this side of the table.)

GameCenter is similar to Xbox Live in that Apple allows you to establish an online gaming identity, search for friends, invite people into specific games and keep running scores over time. What separates it from Xbox is the fact that you're playing these games in realtime with others on an iPhone that's in the palm of your hand.

Add the power and popularity of the online gaming network to a mobile device that fits in your shirt pocket, add to it the potential for integration with geolocation technology, streaming video and more, and Apple may be dropping a match into a tank of gasoline. This thing could explode, and fast.

4. Ping isn't that great of a social network -- yet. Even if you’re my friend, I really don't care how much Air Supply is in your collection or what you think of Lady GaGa's latest quip about her photo spread or record producer. But Ping works. And while it's not clear that the world will ever care, it demonstrates, as does GameCenter, that Apple is now moving aggressively to integrate social networking directly into its proprietary iOS platform. Twitter hasn't found a way to make substantial money yet, but Apple has tied its own social networking offerings to a platform only it can sell and with products that can make Apple a lot of money. This time next year, Apple could very well find itself eclipsing Facebook with the number of people interacting in its social networks and spending money for the privilege.

The Bottom Line: The iOS 4.1 upgrade shows Apple is moving in for the kill against everything from Facebook to Xbox to digital camera makers. Android is now back to significantly trailing iOS in functionality and features. Yes, Apple's entire iOS and iPhone platform continues to be held back by the limitations of its communications partner, AT&T, and don't count on that changing any time soon. But its latest software shows it can overcome advances by its rivals and the downfall of its ally and still remain the leader of the pack.