Apple To Remain Exclusive To AT&T

RossMc

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Jun 28, 2009
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#1
When AT&T’s contract expires in 2010, many have speculated that Verizon will raise its hand for a CDMA version of the device. A new report from iSuppli, however, suggests that Apple may actually renew its contract and remain exclusively with AT&T—though Apple may pursue other opportunities with Verizon. Although this news isn't exactly what many iPhone fans want to hear, our attention was certainly roused by the prospect of Apple doing businesss with Verizon elsewhere. What does that mean, exactly? For now, the only feasible guess is that Apple would partner with Verizon on another device - presumably the mythical but supposedly in development Apple tablet.


“The main reason Apple is likely to stick with AT&T beyond 2010 is the relatively wide usage and growth expected for the HSPA air standard used by the carrier for 3G data.” iSuppli expects HSPA wireless services, which include high-speed downlink packet access, or HSDPA, and high-speed uplink packet access, HSUPA, to rise from 269.1 million in 2009 to 1.4 billion in 2012. The EVDO standard used by Verizon, by comparison, is expected to grow from 2009’s 145.2 million subscribers to 304.6 million in 2013.
Now, from Apple's perspective, the company may see little value in moving away from an exclusive agreement with AT&T, but it's quite possible that both Apple customers and AT&T see the situation somewhat differently.

The article in eWeek illustrated that a study last month by Strand Consult found that "carriers that offer the enormously popular iPhone not only have not increased their revenue, earnings or market share, but in some instances are worse off for offering it."

Some carriers have sent out profit warnings because of the iPhone,” reported Strand Consult.
Reports, rumors, and ruminations aside, I will believe Apple's exclusivity agreement with AT&T will linger when I hear the official announcement. Perhaps I'm a silent minority who holds this opinion, but I believe there to be far too many cracks in this one way street for both Apple and AT&T to remain happily married for much longer.

taken from modmyi
 

psylichon

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#2
I wonder how Apple is going to get around the battery issue if they ever do make a CDMA version of the iPhone.
 

acosmichippo

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#4
?

iPhone being offered on verizon would do nothing but help us current AT&T users. God forbid they'd actually have to compete to keep our businesss.
 

kdarling

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#6
1) Apple is likely to make a special radio just for China Mobile, so why not for Verizon as well. Radios are not that big a deal. Apple already changed radios once when they went from EDGE only to adding WCDMA for 3G.

2) "Billions" of GSM users in third world countries do not translate well to iPhone users that need a computer, 3G coverage, and the money to pay for a data plan.

The reality is, less than 0.1% of all GSM users in all countries outside the USA where the iPhone is available, have bought it.

More than 10% of ATT users in the USA bought an iPhone. There's money and coverage here.

Basically, Apple could double USA sales if they made a version for Verizon... and that would account for a third of world sales... more than all the non-USA sales since day one of all iPhone models.

It has to be a tempting market for Apple.
 

acosmichippo

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#8
just because they may offer it for verizon doesn't mean you'd have to use it.

why the hate?
 

Dustu2

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#9
I have to disagree with you guys about Verizon. I used them before I made the switch to my first iPhone, the 3G, and I loved them. Verizon had great coverage in my area, great customer service, and quite a few cool phones to choose from.
 

Europa

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#10
There is no denying that Verizon has the best coverage in the West. I know a bunch of people here that would love to get an iPhone, but are not willing to leave Verzion.
 

psylichon

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#11
But they get that coverage at the expense of using the battery-killing CDMA network. The iPhone gets enough knocks for its battery life as it is. I can't imagine how they'll make it work on Verizon.
 

kdarling

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#12
But they get that coverage at the expense of using the battery-killing CDMA network. The iPhone gets enough knocks for its battery life as it is. I can't imagine how they'll make it work on Verizon.
The iPhone already uses a CDMA radio, for 3G.

Or rather, a more power hungry version of CDMA, W-CDMA. (Requires much faster clocks than EVDO.)

That's one reason it has battery life problems.

(The CDMA protocol was the best choice to get more users and data speed, which is why Verizon went CDMA in the first place, and GSM carriers had to add a WCDMA radio for 3G. Verizon was thus ahead of the game from the start, and able to deploy 3G far quicker.)
 

Watcher

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#13
There is no denying that Verizon has the best coverage in the West. I know a bunch of people here that would love to get an iPhone, but are not willing to leave Verzion.
Exactly. I wouldn't switch carriers but I would love for Apple to spread the love as well. It would help ease AT&T's network and I think it would benefit iPhone users all around the States.