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"Today, your social graph lives in a brown box, called Contacts, on your iPhone’s home screen"

Is my plumber a member of my social graph. Am I in the social graph of my clients. I doubt.

They did say your social graph lives in, rather than your social graph is. Ultimately you can add and subtract from your followed/following lists in an app.

I think the point was that now that so much of our interactions take place through our phone it is very easy to migrate to new platforms. Think of how quickly Snapchat or Instagram spread for example. I doubt they would have been nearly as popular if they were web apps.

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