Touchscreen phones are on fire, comScore reports, and Apple is leading the pack. For now.

Three months ending Aug. 2009. Source: comScore MobiLens

There's a thundering herd of imitators behind it, but Apple's (AAPL) iPhone still dominates that fastest-growing segment of the U.S. smartphone market, according to a comScore report issued Tuesday.

Touchscreen mobile phone adoption in the U.S. grew at a breakneck 159% rate last year, comScore reports, easily outpacing the 63% growth of the broader smartphone market.

By last August, nearly 34 million Americans were carrying smartphones, 23.8 million of them touchscreen devices. And of those touchscreen phones, 32.9% were iPhones.

“The iPhone clearly set the trend in the industry for touchscreen devices, so it’s no surprise that it has the largest share of the market,” said comScore VP Mark Donovan. “But as other players have entered the touchscreen market with compelling devices, competition is clearly heating up.”

Donovan mentioned Google's (GOOG) Android platform in particular, although the closest Android contender in August was the T-Mobile (DT) G1 running a distant seventh after two proprietary LG phones, the BlackBerry (RIMM) Storm, the Palm (PALM) Pre and the Samsung Instinct.

Below the fold, comScore's spreadsheets, including one that shows preference by age group. (The smartphone sweet spot seems to be ages 24 to 34.)

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Chatting with a Canadian analyst, Cupertino execs offer hints about Apple's future plans

Rendering: Piper Jaffray

Apple executives (AAPL) have strict rules about not discussing products that the company has not announced. But they'll talk about market opportunities, as three of them did on Thursday at a special event for RBC Capital. And sometimes that's enough to discern what direction the company is heading.

In a report to clients issued Friday, RBC's Mike Abramsky ticks off the key takeaways from his meeting with Eddy Cue (vice president for iTunes and Internet services), David Moody (vice president for worldwide Mac marketing) and CFO Peter Oppenheimer.

What caught my eye was what they had to say about where they did — and didn't — see opportunities in digital content. They were talking about Apple TV, but it was as if they were thinking about future tablet computers.

Here's what Abramsky reports, in analyst shorthand, about that portion of the conversation: More

New software transforms your phone into a GPS device – and a pretty good one, too

Navigon's MobileNavigator app for the iPhone has features some standalone units lack. Photo: Navigon.

As my wife will tell you, I have a comically bad sense of direction. I once got lost driving home from the mall.

This makes me a prime candidate for a GPS device. I’ve used a few for brief stints, mostly on long road trips, but never got into the habit of using one for everyday errands. There are a couple of reasons for that. For one, it’s a hassle to dig the thing out of the glove compartment. For another, entering an address on most of these things is a crazy-making experience.

My perspective changed recently, though, when I bought a new GPS unit for $70. Well, that’s not exactly what happened. I actually downloaded a GPS-based iPhone (AAPL) app for $70.

Yes, 70. Seven-zero. I’ll be the first to admit that it sounds crazy to pay that much for software that runs on a phone. The overwhelming majority of phone apps out there cost between 99 cents and $10. More

Apple has 93,000 to Android's 11,300. But how many applications do you really need?

Photos: Motorola, Apple

In the flurry of quickie reviews that appeared overnight after Wednesday's unveiling of Motorola's (MOT) Droid — Google (GOOG) and Verizon's (VZ) latest answer to Apple's (AAPL) iPhone — little has been said about how the two platforms stack up in terms of apps.

At first glance, it seems an unfair comparison. Apple has spent a small fortune promoting those famous 85,000 iPhone applications — a number than has since grown to roughly 93,000 and is on track to hit 100,000 in a matter of weeks.

Source: AndroidLib.com

But it's not as if there are no apps for the Droid. As of Thursday morning there were 11,284, according AndroidLib.com's unofficial count of the offerings in Google's Android Market. Moreover, that number too is growing by the thousands. Android developers added 2,333 new apps in September and another 2,431 so far in October.

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The largest smartphone maker you've never heard of wants to capture the hearts – and dollars – of the U.S. consumer.

Motorola's (MOT) Droid phone is getting a ton of buzz, and that’s by design. Verizon Wireless (VZ) chief Marketing Officer John Stratton has said the marketing campaign behind its iPhone competitor will be the largest in its history.

But the Google (GOOG)-powered device isn't the only smartphone the company is likely to begin selling at the start of November. Though no one has officially confirmed, the carrier is expected to announce a second device that will also run on Google's  Android operating system at half the price: the HTC Droid Eris.

Haven’t heard of HTC? You aren't alone. More

Verizon Wireless' subscriber rolls are growing, but not as fast as AT&T's

Source: Company reports

In the quarterly report that Verizon (VZ) issued Monday, the number that's getting the most attention is 1.2 million.

That's how many new wireless subscribers Verizon added over the past three months. And it's being compared unfavorably with the 2 million that AT&T Mobility (T) gained in the same period.

Verizon, with a new total of 88.8 million subscribers, still has the largest wireless network — something its ads never tire of reminding us. But AT&T, with 81.6 million, is catching up, and there's no mystery why. AT&T activated a record 3.2 million iPhones in the third quarter, nearly 40% of which belonged to customers new to AT&T.

Meanwhile, Verizon's total churn rate is going up (from 1.33% last year to 1.49% this year) while AT&T's is going down (from 1.69% to 1.43%).

But AT&T's momentum may be short lived. More

Motorola's Droid. Source: BGR

Just in time to rain on Apple's (AAPL) 2009 earnings report, a prime-time TV ad and a series of well-timed leaks have put the spotlight on Motorola's (MOT) Droid — a yet-unreleased smartphone that is being described by sources who have played with a prototype as the iPhone's first serious competitor.

The ad, which premiered Saturday during the Yankees-Angels pennant game, is pasted below the fold. The challenge to Apple couldn't be less subtle; it's a series of "iDon't" screens listing key features the iPhone doesn't have — from a physical keyboard to interchangeable batteries — that the Droid does.

The leaks are being funneled primarily through the Boy Genius Report, a blog with unusually good sources in the telecommunications industry. On Friday the site published an illustrated walk-through of Google's (GOOG) Android 2.0 — the new and reportedly much improved version of the open-source operating system that powers the Droid. Then, overnight Monday, Boy Genius posted a hands-on review — complete with photo gallery — that describes it as "the Android device to beat, and easily the most impressive."

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Back to the future: Straight Talk phones like the LG 200C might be dowdy, but growth in the prepaid market could eventually squeeze carrier profits. Photo: LG.

Look out, U.S. wireless carriers: Wal-Mart is teaming up with billionaire Carlos Slim’s América Móvil to train its price-crushing might on cell phones.

In time for the holiday season, the mega-retailer on Wednesday announced a nationwide roll-out of the new prepaid Straight Talk service, offered through América Móvil subsidiary Tracfone Wireless. Unlike mainstream wireless plans that pair cutting-edge phones with higher monthly fees and multi-year contracts, pre-paid services like Straight Talk offer cheaper phones, lower fees and no contracts.

Wal-Mart will offer two Straight Talk options: a $30 monthly plan that comes with 1,000 minutes, 1,000 texts and 30 megabytes of data, and a $45 monthly plan with unlimited voice, texts and data. Straight Talk uses Verizon’s (VZ) wireless network. More

Daniel Eran Dilger finds anti-Apple bias in Gartner's research

"Looking into its crystal ball, Gartner Group has predicted that Google’s Android will become the second largest smartphone platform by 2012," writes Daniel Eran Dilger in the one-man blog he grandly calls Roughly Drafted Magazine. "Problem is, nobody’s talking about how terrible Gartner is at predicting things, or that Gartner’s 'research' has historically been paid for by special interests."

So begins Dilger's reaction to an interview with Gartner analyst Ken Dulaney that appeared Tuesday in Computerworld and was picked up uncritically by more than half a dozen tech websites.

Drawing on historical records and making generous use of internal Microsoft documents made public during antitrust proceedings, Dilger attacks not only Dulaney's numbers, but the credibility of the entire Gartner research group.

The result is a 1,700-word screed that may be the most thorough take-down of a tech industry analyst — and his employer — since Eliot Spitzer went after Henry Blodget.

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Imagining life at Bizarro Google.

Schmidt says consumers would revolt if Google started acting evil. Photo: Google

On Wednesday morning Google (GOOG) CEO Eric Schmidt and co-founder Sergey Brin met with a group of reporters and talked about a number of issues, from the outages its Gmail service has experienced to its efforts to digitize books to the company's culture.

Schmidt repeatedly deflected questions about the competition, saying Google prefers to focus on, well, Google. (In response to a question about Microsoft (MSFT) CEO Steve Ballmer's assertion that adoption of Google's Chrome operating system amounts to little more than a "rounding error," Schmidt quipped: "I don't respond to Steve Ballmer questions.")

But Schmidt did offer a long explanation of why Google isn't Microsoft — like when it comes to hemming customers in to its technologies and systems. More