Apple as a Wireless Provider?

[MacRumors]

While this falls more in line with speculation than actual rumor, Forbes mentions the possibility of Apple launching its own wireless network to promote the upcoming Motorola iTunes-enabled cellular phone.

Forbes comments how other companies have recently been able to enter the mobile market without a significant outlay of money by becoming a "mobile virtual network operator" or MVNO. The advantage is that it allows companies to deploy a mobile network but utilize existing infrastructure. Disney, ESPN and Earthlink are among companies who have launched their own mobile networks.

This would also circumvent roadblocks in having to work with individual wireless carriers.

The solution could be for Apple to launch its own cellular network, doing an end run around carriers and providing the company with revenue from both selling phone handsets and from the resale of cellular service.

The most recent rumors have pinpointed Cingular as the likely provider for Motorola's iTunes enabled cell phone.

 

[realityisterror]

It shall never happen... maybe someday it'll be like a nationwide WiFi/cell network... but Apple isn't really the one to do that...

I'm thinking the iTunes phone, if and when it is released, will come through Cingular or Verizon... quite possibly Cingular, since that's where analysts and insiders are pointing...

reality

 

[mlrproducts]

This won't happen even though it would be AWESOME!

 

[amac4me]

if this were to happen, all i would have to say is WHOA

 

[iMeowbot]

w00t, e•World Phone Edition! Gah, let's hope not. .Mac seems to be about as complicated as Apple can get with an online service without losing it completely.

 

[Surreal]

is there really that much money to be made in this arena? i know that it would push hardware..but not apple's hardware..so it would hardly be a "break even to get ahead" situation ala itunes music store.

 

[pontecorvo]

but Apple isn't really the one to do that...

Like Disney and ESPN are?

 

[nagromme]

If it's becoming common for "any old company" to piggyback off of existing systems, then I guess anything's possible. But doubtful.

Still, not nearly AS doubtful as MacOSRumors' tidbit a while back about Apple becoming a wireless carrier by putting up cell towers at all their retail stores

 

[ham_man]

If Apple wants to sell a large number of phones, they will do it through one of the existing providers (Cingular, Verizon, etc.). People will be more likely to buy an iTunes phone if there is no hassle of switching providers...

 

[pontecorvo]

Darnit, second post, but still this won't happen even though it would be AWESOME!

First of all, why won't it happen? Second of all, why would it be "AWESOME!"?

 

[technocoy]

if apple does this..

you can bet the motorola would just be a hold-over for a wholly apple designed iPhone.

here's to wishing....

 

[snkTab]

I figure it'll be more expensive and have less customer service.

 

[evilernie]

Ugh

If it does happen I hope they don't hook up with the SUCKIEST provider there is, which of course is Cingular.

 

[Flying Llama]

Wow, wonder what their plans would be like!
But apple style as a wireless provider? Integration with current apple products? That would be quite nice.
I doubt this will happen, though why would it be on page 1...

llama

 

[xli_ne]

I would put my money on Cingular. Our apple rep at compusa, last time i checked, had his work cell phone through at&t that apple gave to him and paid the bill for. Since Cingular now owns them, I have no doubt in my mind that it will be cingular.

 

[jinzo012]

Maybe they'll send a couple relay systems up into orbit with STS-114 (One-Fourteen)- Return to flight.
maybe
probably not though

 

[Thanatoast]

Hey, if Apple provided a capable pda-phone, and if it happened to be integrated with their ipod products, I wouldn't complain. Imagine having an apple pda (ha!!) / cellphone (i like the samsung i500, i550) with a 20 gig harddrive full of music, games, videos, productivity software, camera, universal remote, etc, etc.

Bow down before the uber-convergence device!

 

[macnews]

I don't think this will happen and doubt it would be awesome. The equivilant would be Apple ONLY selling iPods through HP, Dell, etc. It would still be an iPod and would be branded much like the HP iPod but why? Unlike other branded iPods, cell phones are being practically given away.

There is more money to be made by having more phones with iTunes service and finding a way to split revenue with the major exisiting cell phone providers. Of course the major problem here is the providers tend to be very greedy and like the idea of charging an arm and a leg for ring tones.

 

[abrooks]

We have to remember that Forbes was one of the first to report and confirm the Intel switch, none of us believed it or wanted to believe it but they news sources were right, I think we should think some more before we cast this away.

 

[moosecat]

Engadget

It may be more than speculation. Engadget claims that "one of [its] own reliable sources" says that "Apple is actually already working on this."

I don't know Engadget's reliability when it comes to Mac rumors, but it's generally a reliable and trustworthy site.

 

[Le Big Mac]

is there really that much money to be made in this arena? i know that it would push hardware..but not apple's hardware..so it would hardly be a "break even to get ahead" situation ala itunes music store.

There's plenty of money to be lost creating the infrastructure. If they wanted to do anything, it would be like Virgin does--resell capacity on another network, say Cingular, and brand it "Apple". I doubt it would make sense profit-wise, but at least it has a chance, unlike creating their own network.

 

[MaCaDDiCT21]

I can see microsoft doing something like this, but not Apple. Also, one phone isnt really much of a base for Apple to launch a service. I just dont see it happening...

 

[Stella]

Waste of time - especially since it'll probably be a usa only market, which is far less prosperous than in Europe.

Any new entry needs to compete on price - get the price of ownership down - especially in Canada - the "system access fee" crap. Virgin has gotten rid of this on its service - a few more providers doing this will hopefully get Fido, Rogers et al to remove the fee completely to remain competitive.

Apple should really stick to what it does best.

Apple needs some kind of novelty factor to succeed - and I just don't think that iTunes would be it.

 

[Mtn Tamale]

T-Mobile is for sale

Although I don't see it happening. T-Mobile is profitable and experiencing 30% year over year growth right now. DT has said it is for sale. Anticipated price is $20 Billion. They need $5 Billion in upgrades over the next 5 years according to Businessweek which will keep pace with the advances in wireless broadband. That would be a visionary move by Apple.

A national wireless broadband data network for them to do whatever they wanted.....oooooooh.

 

[joeconvert]

I doubt this will happen, though why would it be on page 1...

B/c it came from a credible source (Forbes) known for its insight in the business world.

I agree, however, that it is not likely to happen. The author in question was clearly under pressure ot meet a deadline with an insightful column.