AT&T iPhone Exclusivity to Expire in June 2010?

[ghostface147]

I think I've read somewhere that with the technology VZN uses it is impossible to have a voice conversation and a data session at the same time. Is that true?? If so, thats a big drawback for me.

That only applies if you are relying heavily on their data network only. If you have wi-fi and are connected, then yes you can do both. There is some misleading information there on AT&T's end. It is possible to do voice and data, just not everywhere at all times. I know that's not the same, but it's still possible.

 

[Stately]

Somebody give that man a high five.

 

[OllyW]

Another thing that will happen is customer service for the iPhone will drop because of the increased user base and the fact they will have to support two different phones with one being on a CDMA network and the other GSM. GSM is also a global wireless technology and Apple is a worldwide company so the two fit together whereas Verizon and CDMA are primarily North America.

Palm have managed to make a CDMA and GSM version of the Pre and Motorola also have a GSM version of the Droid.

Why do you think Apple can't do both?

 

[bradl]

Palm have managed to make a CDMA and GSM version of the Pre and Motorola also have a GSM version of the Droid.

Why do you think Apple can't do both?

Because, as said many times here and on other forums, Apple wants to standardize on a worldwide network, and CDMA isn't it. It's old, and dying (see Sprint). GSM is worldwide, and with 4G coming up, is an easier transition to instead of building out your own network and trying to pass that off as the standard (As VZW and Sprint tried to do that got us into this situation to begin with).

BL.

 

[azentropy]

First, the Verizon CEO makes comments about wanting the iPhone on their network.

Second, a wave of commercials attacking AT&T with a few nods to the iPhone.

Third, TV "analysts" (many of whom have an agenda) start pushing the concept of Apple moving to Verizon in a discussion about Apple branching out, oddly not mentioning any carriers other than Verizon.

Sounds to me like someone is orchestrating a push to get this whole iPhone-to-Verizon meme out there in the public.

Hold on - I know this one - except which step do they collect underpants?

 

[OllyW]

Because, as said many times here and on other forums, Apple wants to standardize on a worldwide network, and CDMA isn't it. It's old, and dying (see Sprint). GSM is worldwide, and with 4G coming up, is an easier transition to instead of building out your own network and trying to pass that off as the standard (As VZW and Sprint tried to do that got us into this situation to begin with).

BL.

In the meantime you are leaving 50% of your biggest market out in the cold.

 

[inkswamp]

I now see a new commercial where a happy iPhone leaves the island os misfit toys!

Except it would be like an episode of Lost.

"You're finally leaving the island, iPhone."

"Wait a minute. Verizon's network won't let you use voice and data at the same time. You're not going anywhere."

"The island isn't through with you, iPhone."

"WALLLLTTTTTTTTT!!!!"

Hold on - I know this one - except which step do they collect underpants?

In Apple's world, we call that the "there's one more thing" step.

 

[azentropy]

Because, as said many times here and on other forums, Apple wants to standardize on a worldwide network, and CDMA isn't it. It's old, and dying (see Sprint). GSM is worldwide, and with 4G coming up, is an easier transition to instead of building out your own network and trying to pass that off as the standard (As VZW and Sprint tried to do that got us into this situation to begin with).

BL.

Yes it is dying. But is it still viable for the next 2-3 years? Sure. If Apple was willing to make a custom iPhone for China, without WiFi, then if the market is there to create a CDMA for Verizon customers in the US they will.

I wouldn't switch to Verizon for a CDMA iPhone, but there still might be enough current customers or those who would switch to make it worth while.

 

[RyanR.]

forgive me going off topic a little...

with the exception of a somewhat high phone plan, lack of 3G in my area, and the inability to tether. I have no complains about AT&T. I was not a fan of Verizon home phone and probably would not be a fan of there cell network...

this is off topic...
I have been put in a situation of my wife needing a new iPhone and she can upgrade next month... here is my question have there been any good/juicy rumors about the next iPhone that is going to "spank" the 3GS?

She doesn't really need the 3GS but I don't know if its worth the extra $100.😕

 

[jkerr45]

Let's see if T-Mobile USA has the balls.... err chops to go after and get the iPhone.

 

[currentinterest]

If it makes good business sense Apple will sell a phone that works on non-GSM networks. They could care less about past ads or anything else other than their long term business strategy. Their greatest concern may be Verizon's problem in allowing voice and data at the same time and how it affects the total user experience. Verizon users who buy the iPhone probably wouldn't care, but at&t switchers who have had this ability would. I know I would. Personally, I find at&t's customer service and network quite good, and unless there was a major cost difference I would not rush to embrace that $350 early termination fee.

 

[crift2012]

Despite the confusing commercials...I'll stay with AT&T

Just in time, as my iPhone is getting kinda beat...cracked housing, 2nd battery...very much looking forward to a VZW iPhone!

For one, which i thought i would never use and now find completely indispensable, the simultaneous voice/data. I can not tell you how many times I am on a phone call and need directions, addresses, unanswered queries. I am true believer now, I used to tote my laptop around just those sort of those things.

From what I understand VZW does not allow simultaneous V/D to do that with their network, and to a time I had to tote a laptop and find a wireless hotspot, or the option of hanging up on someone to surf to what i am looking for and then call them back....SAVAGE Behavior indeed...

Additionally, I find it suspicious that VZW coverage maps include areas in Montana where there are not even roads for people to travel across. In theory I see how this would work out great for the sheep herders who have to..take..business calls and check the stock price of wool? That's great...but i dont see how this helps the vast majority of americans that live in metropolitan areas...

 

[/dev/toaster]

The iPhone is hands down the best phone on the market, it can do some really amazing things. AT&T is hands down one of the worst carriers in the US. The number of dropped calls I have been getting over the past 6 months has increased by 10 fold. 2 - 3 dropped calls *PER DAY* at least. Data connections are up and down on speed. After many many complaints to AT&T I got them to credit me for $175 when they looked at my account and saw the vast number of these dropped calls.

If Apple resigns the exclusive agreement, I am done. I can't continue to deal with this crap. I will continue to carry my iPhone has an iPod touch and purchase an Android.

Even if AT&T makes a total turn around and fixes it, the damage is done. What good is the best phone if you can't use it.

 

[alm99]

Because, as said many times here and on other forums, Apple wants to standardize on a worldwide network, and CDMA isn't it. It's old, and dying (see Sprint). GSM is worldwide, and with 4G coming up, is an easier transition to instead of building out your own network and trying to pass that off as the standard (As VZW and Sprint tried to do that got us into this situation to begin with).

BL.

You do realize that Apple makes money off of selling the iPhone HARDWARE. They are a hardware company first and then software. It would be entirely beneficial for Apple to develop a CDMA iPhone. They will sell millions of them. Those that are already with VZW and refused to leave and those that went to AT&T for the iPhone and want to go back to VZW with the VZW CDMA iPhone and coverage.

Apple wins either way. They already sold the AT&T iPhone and now they will sell the VZW iPhone to that same person when they switch. Then every year they will continue to sell the next model; wash, rinse, repeat.

 

[yg17]

Curious to see how ATT is going to handle iPhone unlocking once they are no longer exclusive and our contracts expire.

You can't use an AT&T iPhone on Verizon. 2 completely different technologies

I think I've read somewhere that with the technology VZN uses it is impossible to have a voice conversation and a data session at the same time. Is that true?? If so, thats a big drawback for me.

Yes, it's true.

That only applies if you are relying heavily on their data network only. If you have wi-fi and are connected, then yes you can do both. There is some misleading information there on AT&T's end. It is possible to do voice and data, just not everywhere at all times. I know that's not the same, but it's still possible.

Then that means that Verizon's commercials are misleading, because if you're on WiFi, then you're not concerned about AT&T's smaller 3G footprint.

 

[iSee]

Yay!
Though, I re-upped for two years with AT&T in the summer, so I personally don't care until 2011. Still, the sooner the better for all of us. With a little competition AT&T might suddenly start trying to actually give their customers what they want.

this is off topic...
I have been put in a situation of my wife needing a new iPhone and she can upgrade next month... here is my question have there been any good/juicy rumors about the next iPhone that is going to "spank" the 3GS?

She doesn't really need the 3GS but I don't know if its worth the extra $100.😕

I don't know what she had before, but it was a really nice upgrade from the 1st gen iPhone. I'd go for it.

 

[3282868]

Good

If another carrier is given the legal right to sell iPhone it can only be a win/win/ AT&T is so weighed down with millions of new iPhone's owners using data plans for the first time, the network can't keep up. In fact, I don't know ANY single carrier that would be able to keep up with the sharp rise in demand. If people leave for other carriers, I'll probably stick it out with AT&T as it could only help the network's system.

 

[jav6454]

You mean like Steve Jobs did with Intel processors and so forth?

Yet, Intel never berrated Apple, it was always the other way around. Verizon mocking the iPhone is not helping them in one bit.

I for one, hope, they never ever get it. Let T-Mobile carry it. They have a 'virgin' 3G network with speeds increasing beyond 7.2Mb/s

 

[tmiw]

Yes it is dying. But is it still viable for the next 2-3 years? Sure. If Apple was willing to make a custom iPhone for China, without WiFi, then if the market is there to create a CDMA for Verizon customers in the US they will.

I'm wondering if Apple just has special software firmware for the China iPhone as opposed to completely new hardware. If so, though, I'm not sure the Chinese government would like that too much.

Also, removing a component is different from reworking your entire device to support a different standard. I think AT&T knows that Verizon won't be completely ready with LTE until after 2010, so there's not much of a point to ending exclusivity unless, as said above, there's a quad band UMTS chip that supports T-Mobile's frequencies.

 

[Starflyer]

That only applies if you are relying heavily on their data network only. If you have wi-fi and are connected, then yes you can do both. There is some misleading information there on AT&T's end. It is possible to do voice and data, just not everywhere at all times. I know that's not the same, but it's still possible.

So Verizon's 3G = AT&T's EDGE. I'll stick with AT&T thank you.

 

[Twohothardware]

You do realize that Apple makes money off of selling the iPhone HARDWARE. They are a hardware company first and then software. It would be entirely beneficial for Apple to develop a CDMA iPhone. They will sell millions of them. Those that are already with VZW and refused to leave and those that went to AT&T for the iPhone and want to go back to VZW with the VZW CDMA iPhone and coverage.

Apple wins either way. They already sold the AT&T iPhone and now they will sell the VZW iPhone to that same person when they switch. Then every year they will continue to sell the next model; wash, rinse, repeat.

No, Apple is a software company first and THEN hardware. People buy Apple products for OSX, not the hardware. If Apple didn't have OSX and was using Windows on their Apple computers people wouldn't pay $2,000+ for a MacBook Pro or iMac or Mac Pro when they can get one with the same hardware specs for half that price from the other OEM's like Dell and HP. It's the same thing with the iPhone and iPod. Stick Windows Mobile and Microsoft Zune software on them and see how many people still buy them. The profit margin for hardware is also not usually that great whereas with software there is a lot more profit. That's why with gaming consoles for example the manufacturers Sony, Microsoft and Nintendo make their profits from the games and accessories while with the console itself there is only a small profit and at times even a loss.

Also, i kind of doubt AT&T is going to want to continue to pay what they are now with exclusive rights to the iPhone so Apple won't make the same amount of profit they are now per sale and that may not matter with an increase in the volume of sales through multiple carriers but if I was AT&T I wouldn't offer them any more than rock bottom price if they start selling to Verizon as well. Also it would not be entirely beneficial for Apple to develop a CDMA phone because as has already been stated Apple is a worldwide company and CDMA is North America. They may pick up quite a few Verizon customers but they will be manufacturing an exclusive phone that won't work when people travel abroad.

Apple's best move would be to stay exclusive with AT&T and hopefully AT&T will move forward with rolling out a lot more 3G coverage because the exclusivity of the iPhone is one of the things that adds to popularity, if it's a phone that you can get on any of the major carriers then its price and market value is going to drop.

 

[Clive At Five]

One of the questions raised in the move from exclusive to non-exclusive distribution models has been the effect on subsidies paid to Apple by wireless carriers such as AT&T. Marshall pegs the current subsidy paid by AT&T at approximately $450, and includes a shift to a "conservative" subsidy of $300 once other U.S. carriers come onboard. The drop in subsidy, however, would be much more than offset by increased sales volume under a multiple-carrier arrangement, according to Marshall. For its part, Apple has stated several times over the past six weeks that it has in fact been able to maintain subsidy levels in formerly-exclusive markets that have recently expanded to include multiple carriers.

Well, we'll probably just end up paying the difference in the cost of the handset...

-Clive

 

[MarlboroLite]

I'm wondering if Apple just has special software firmware for the China iPhone as opposed to completely new hardware. If so, though, I'm not sure the Chinese government would like that too much.

Also, removing a component is different from reworking your entire device to support a different standard. I think AT&T knows that Verizon won't be completely ready with LTE until after 2010, so there's not much of a point to ending exclusivity unless, as said above, there's a quad band UMTS chip that supports T-Mobile's frequencies.

There is a misconception out there that once Verizon turns on the LTE switch that all of a sudden it replaces CDMA in an instant. That is just not the case, in fact the other poster was being too "generous" with his 2-3 year time frame, CDMA will be with us for more like 7 more years. LTE will ONLY begin in 2010 with LIMITED rollout to limited markets and ONLY with their USB data cards. LTE capable phones will come much later and still then coverage will be very limited, in which case it has to fall back on something--CDMA 3G. By the time the "old dying technology" is totally DEAD it will be approaching the end of the next decade. So in ANY case, once Verizon launches LTE to a sufficient number of people for it to be viable, such an iPhone would STILL have to include CDMA compatibility. Those chips are in the works for 2010 already, and GSM/CDMA world phone chips have been available for years. It is NOT hard to change chips, it is not a burdensome profit killing enterprise. That's nonsense. EVERY OTHER manufacturer does it now, every single one, the rules of the game do not apply differently to Apple. Not to mention that AT&T is so behind the curve on LTE that in your scenario of LTE only iPhone, Apple would have to wait twice as long to release one because it will apparently take double the time for AT&T to get its act together.

The idea that they would forfeit the Verizon/Sprint market over CDMA when the technology will be viable for many many years to come is absurd. LTE is barely being born, it will not replace everything in an instant, or even 3 years. It will take time, and in that meantime 3 generations of iPhones will be made. There is no argument to remain with AT&T restricting the market for 5 more years unless Apple wants to hit a brick wall in the US market. All Apple has to do is use a World Phone chip in ALL it's phones to keep a single phone, if that's what they ultimately wanted to do. It is not hard.

 

[azentropy]

No, Apple is a software company first and THEN hardware. People buy Apple products for OSX, not the hardware.

Sorry, but that is not correct. They are a HARDWARE company that uses software to sell their hardware. They made this point perfectly clear with their Pystar lawsuit.

Don't confuse why they buy versus what they buy.

 

[Twohothardware]

Sorry, but that is not correct. They are a HARDWARE company that uses software to sell their hardware. They made this point perfectly clear with their Pystar lawsuit.

Don't confuse why they buy versus what they buy.

I'm sorry but you're wrong. Apple's direct competitor is Microsoft and Microsoft is a software orientated company, not hardware. Regardless of whatever was pointed out in some lawsuit Apple doesn't exist without their software. People buy Apple products for one primary reason alone, as an alternative to Windows. Yes Apple is a hardware company because they manufacture hardware as well as their OS but if they stop selling software tomorrow and do away with OS X and move to Windows you can say goodbye to Apple. And once again, profit margins for hardware is small compared to profit margins for software. A good example of this is Apples new 27" iMac. The 27" IPS LED-backlit display alone costs a big chunk of change even if they cut a sweet deal with the manufacturer (most likely LG). It is Apple's OS on the iPhone that allows them to make the profit that they do, with the hardware alone they would make very little. So for all intents and amount of profit Apple is a software company first and a hardware company second.