Honestly I cannot imagine why Apple would want to become its own cellular network. There is no tangible benefit to their trying to compete against established service provides like Verizon or AT&T, especially in a system where they leased tower access from those same companies.
Leasing the towers wouldn't afford them any more granular control of the iPhone ecosystem than they have now. It would not provide greater call or cellular data stability (likely the opposite). There is just no net benefit... only costs associated with leasing towers, processing customer billing, transitioning customers off existing company accounts over to Apple.
For what? Creating an even further walled-garden for the iPhone? I don't see it happening any time soon.
Since when does Apple respond to rumors?
What I think is interesting is they specifically came to deny this rumor, but didn't deny the BMW talks, the upcoming Apple TV leaks, or even the iMac 8K slipup.
Interesting...
article said:building SIM cards that switch from network-to-network as need be
"MVNO, no plans. Buying ATT/DTV or Tmobile/Dish, possibly."
When the rumor could hurt their existing relationships with carriers. Nip this one in the bud early so they don't have to do damage control later.
Yes it does.
When someone says "bigger pro iPad!" and Apple says "we have no plans" and then they change their mind later, that's fine.
But if Apple says they're not entering an entirely new line of business and then they do, that would be securities fraud and someone would definitely be going to jail.
Pretty big difference between the two.
Which means all rumors they don't respond to are confirmed.You mean they actually responded to a rumor?!?!
*SHOCK*
But if Apple says they're not entering an entirely new line of business and then they do, that would be securities fraud and someone would definitely be going to jail.
Honestly I cannot imagine why Apple would want to become its own cellular network. There is no tangible benefit to their trying to compete against established service provides like Verizon or AT&T, especially in a system where they leased tower access from those same companies.
Leasing the towers wouldn't afford them any more granular control of the iPhone ecosystem than they have now. It would not provide greater call or cellular data stability (likely the opposite). There is just no net benefit... only costs associated with leasing towers, processing customer billing, transitioning customers off existing company accounts over to Apple.
For what? Creating an even further walled-garden for the iPhone? I don't see it happening any time soon.
Apple, and specifically Steve Jobs, denied any plans to enter the mobile phone business before the iPhone came out.
Subsidize infers that the carriers absorb some of the cost of the product a bit like my employer subsdizes the cafeteria at our office. Cell phone carriers simply amortize the cost of the handset over the duration of your contract and historically made out when people didn't upgrade and were now paying $30/month more than they should be!Apple knows that once carriers stop subsidizing $700 iPhones, Apple's sales will drop like a stone.
Read their quote again. It reads the exact same way all of their denials do. They have no plans and are not currently talking with anyone. That means nothing because they could start talking to ATT tomorrow and planning and they wouldn't be misrepresenting anything.
Apple, and specifically Steve Jobs, denied any plans to enter the mobile phone business before the iPhone came out.
What I think is interesting is they specifically came to deny this rumor, but didn't deny the BMW talks, the upcoming Apple TV leaks, or even the iMac 8K slipup.
Interesting...
Why would Apple deny this? Normally they stay silent on plans, even when people guess. If I say "Apple's going to launch an Android phone!" and it's posted on a ton of websites, will Apple comment "No, we're not"?
Or is this a "We'll never make a video iPod" / "We'll never make a tablet smaller than iPad" / "We'll never make a phone you can barley rap your hand around" / "We'll never let users stream music" type of denial?
carriers have already replaced subsidizing with financing.Read their quote again. It reads the exact same way all of their denials do. They have no plans and are not currently talking with anyone. That means nothing because they could start talking to ATT tomorrow and planning and they wouldn't be misrepresenting anything.
They rarely deny anything because they rarely comment on anything. That is because they are still working closely with carriers. Apple knows that once carriers stop subsidizing $700 iPhones, Apple's sales will drop like a stone. They cannot rock the boat, at least not until they figure out how to sustain the iPhone business model beyond subsidies and broaden their product line a little.
I believe it maybe the carriers who need Apple and not the other way round as you may have suggested but better to quash rumours early ......When the rumor could hurt their existing relationships with carriers. Nip this one in the bud early so they don't have to do damage control later.