AT&T Losing iPhone Exclusivity on Wednesday?

[mccldwll]

As far as that goes it's never been concretely "established" that it covers more than phones since the terms have never been made public. However multiple people familiar with the industry norms have said in the past few years that its limited to phones. I do agree with you though that it "would cover...anything the contracting parties agreed to." Let me guess, you are either pre-law or a 1L.

That's right. Nothing established. But it's only the macrumors kids who have been saying that "only covers iPhone, so let's give it another name." T would want it to cover everything related, and aapl would want to limit it. The truth will be somewhere in the middle. And "contracting parties" language used because that's really at the heart of this. And not pre or 1. Very post-law.

 

[trip1ex]

It would next to nothing to also support TMobile.

Verizon requires a new sku.

 

[LagunaSol]

I do think the iPhone is coming to Verizon in 2010 - Not now though...

The Verizon iPhone will most likely have the dual GSM/CDMA technology, but it won't happen now during the big release of the Tablet.

Apple would be wise to announce a Verizon iPhone (if one is planned to exist) as early as possible to keep people from renewing 2-year contracts with other carriers with competing smartphones in the interim. No Verizon iPhone until June? Fine. But announce it now.

Why does this have so many negatives? Competition is a good thing. Even if you stay with AT&T, you will have less iPhone users straining the network, and probably lower priced contracts because AT&T isn't the only iPhone carrier.

More iPhone sales = better for my AAPL. I say get this thing on as many carriers as possible, stat!

I am currently testing a Nexus One vs my iPhone 3G and let me tell you, in my opinion, the Nexus One will be much more of data hog than the iPhone.

Proof positive the Nexus One is not selling well: T-Mobile's wimpy network hasn't completely imploded. (Disclaimer: I've had T-Mobile before, and as a company I prefer them to other carriers I've had, but I didn't have a smartphone at that time).

Verizon fanboys seem to be just as "enthusiastic" as the Apple fanboys they gripe about. Things that make you go "Hmmm..."

 

[stewart715]

Well at least we're 99% positive that there are no phones produced yet right now (which I don't think anyone expected). Normally a month before any major Verizon phone release, SKU's in their system show up and are almost always leaked (i.e. BlackBerry Storm, BlackBerry Tour, Motorola Droid). There has been no indication of any new SKU's whatsoever so any information would be merely contractual based.

 

[zachplaysguitar]

Would the new qualcomm (I think) chip that supports both CDMA and GSM fit inside the current iPhone without a redesign? Or more specifically, if a newer model contains the hybrid chip, will it be thicker/larger?

If this is not the case, I don't see why it would be so hard to produce a phone that can work on ANY network. Other companies already do it...

 

[GroundLoop]

- free apps which get supported by paid apps. All that could be said of the ipod shuffle which sells for 60 dollars and obviously Apple isn't going broke making that. Nor is Samsung or LG who offer 'free' phones. The iPhone markup is ridiculous, this is a fact.

Think of it this way...Apple acts totally opposite of the video game industry...

Video game consoles are sold with minimal to negative profit, and the software is sold with incredible mark-ups (~50% - similar to Apple's margins). And the console makers make their money from licensing fees (App Developer membership fees).

Apple sells the console (ie phone) for large margins, and get next to no profits from the sales of software. The 30% cut that apple gets is to support the data centers, staff, bandwidth, upgrades, financial system to pay out sales to the developers, maintaining the iTunes Store, etc.

Does anyone get all up in arms that Modern Warfare costs $60 when the CD itself costs only $0.10 to press?

Hickman

 

[doctor-don]

lose?

loose - as in unleash

 

[sishaw]

Go away Grammar Gestapo agent. No one appreciates posts like yours. Really, no one. It adds nothing to the conversation. If you feel the overwhelming need to correct someone's spelling and grammar, send them a private message.

Actually, I get frustrated by the poor grammar here (its or it's, there or their--a lot of people must have been playing video games instead of studying) as it makes some posts all but incomprehensible. I applaud efforts to improve things. So, someone does appreciate it!

 

[Digital Dude]

The upcoming event seems about right in that Apple is moving further away from mainstream computers, and is opting to produce more handheld devices. They have all but abandoned the desktop display more than 3-years ago, and they have fostered in OpenGL and GPU's about as enthusiastically as a root canal.

 

[ghostface147]

I totally agree. And, Verizon's prices are a lot higher than AT&T and no yearly rollover on minutes.

How are they a lot higher? I only see visual voicemail being $2.99 while AT&T's is free. Is 3 dollars really considered a lot higher? If you are talking about the ETF fee, you should have mentioned the ETF being a part of your equation. I don't have a need for rollover minutes since everything is unlimited, which makes that a non-factor for me.

 

[distortedloop]

Proof positive the Nexus One is not selling well: T-Mobile's wimpy network hasn't completely imploded. (Disclaimer: I've had T-Mobile before, and as a company I prefer them to other carriers I've had, but I didn't have a smartphone at that time).

Verizon fanboys seem to be just as "enthusiastic" as the Apple fanboys they gripe about. Things that make you go "Hmmm..."

You're correct about the Verizon fanboys! The difference between Verizon fanboys and Apple fanboys is that the Verizon types will not acknowledge that there are a significant amount of people who hate Verizon and can't wait to get off their network because of the draconian lock down of services and bizarre billing practices. I've had all the services now (Sprint, Nextel, AT&T, Cingular, Verizon, and finally T-Mobile); they all have issues of one kind or the other, it just depends on what's important to you and how the service works where you are at.

As for the Nexus One not selling well, we're getting off on a big tanget discussing that, but I don't think anyone ever claimed it was selling well to begin with. More interesting to me is that it appears Google isn't trying to sell the thing at all.

Think about it, it's had virtually zero publicity. There are no advertisements for the thing on television, or radio. There are no print ads for it in magazines. Google's home page had a small link to the Nexus One for about 4 days, then it disappeared. The only place you'll see ads for it are small banner ads on some of the geek-blogs and Google's own finance site. T-Mobile doesn't have them in stores, or even have posters for them in T-Mobile displays.

Does any of that really sound like a device that Google's trying to sell? I don't think so. In my opinion Google never intended this to be an iPhone competitor on a number-of-units-sold basis. The Nexus One is a "reference" device Google designed to show off the power of the latest build of Android on a device that exceeds current iPhones, and probably rivals the next generation of iPhone hardware (note I said probably and rivals, not will and exceeds). The Nexus One is also probably a small test for Google to see what dipping its toe into the direct-to-consumer product fulfillment business would entail. Better to start off small and in "beta" on something like that. Beta products and services are what Google does best after all, right? ;-)

The Nexus One is an exciting piece of hardware and Android 2.1 is a solid OS with some nice features that Apple's refused to give us. I'm not some stupid Google fanboy, and I'm more than likely to send this Nexus One back to Google after a couple of weeks, but even as an Apple fanboy, I have to acknowledge that Google's got a very nice product for those who don't want to have an iPhone for whatever reason.

 

[craigatkinson]

I agree. Apple would be wise to announce a Verizon iPhone early for several reasons. For one, Apple likes to be the one who reveals their secrets. Once apple gets Verizon involved, it will no longer be able to keep the iPhone a secret. So they might as well volunteer the information right now. Also, there are smartphones like the Palm Pre and the Nexus One that Verizon customers may be tempted to snag up if they are unaware of an iPhone in the pipeline. Or they may be thinking of switching to AT&T just so they can have an iPhone. An early announcement would encourage those who are due for an upgrade to wait a few months for a Verizon iPhone.

Apple would be wise to announce a Verizon iPhone (if one is planned to exist) as early as possible to keep people from renewing 2-year contracts with other carriers with competing smartphones in the interim. No Verizon iPhone until June? Fine. But announce it now.



More iPhone sales = better for my AAPL. I say get this thing on as many carriers as possible, stat!



Proof positive the Nexus One is not selling well: T-Mobile's wimpy network hasn't completely imploded. (Disclaimer: I've had T-Mobile before, and as a company I prefer them to other carriers I've had, but I didn't have a smartphone at that time).

Verizon fanboys seem to be just as "enthusiastic" as the Apple fanboys they gripe about. Things that make you go "Hmmm..."

 

[Ammo]

Why does this have so many negatives? Competition is a good thing. Even if you stay with AT&T, you will have less iPhone users straining the network, and probably lower priced contracts because AT&T isn't the only iPhone carrier.

THANK YOU.

It's like people want to see the iPhone stay exclusively on at&t and want Verizon users to suffer. I don't understand it.

Guess what at&t Fan? It makes perfect financial sense for Apple to make a Verizon iPhone. There are literally MILLIONS like me out there who will not leave the Verizon network but desperately want an iPhone.

I hope it happens. I'll camp out for it.

 

[hagjohn]

Just because the exclusivity is probably going to end, doesn't mean every iPhone customer is leaving AT&T. AT&T network here is fine and everyone I know has AT&T as a carrier (only a few have iPhones).

 

[PeterQVenkman]

Bring it on. My "new every two" credit kicks in Feb 2.

 

[distortedloop]

Actually, I get frustrated by the poor grammar here (its or it's, there or their--a lot of people must have been playing video games instead of studying) as it makes some posts all but incomprehensible. I applaud efforts to improve things. So, someone does appreciate it!

It's rude and adds nothing to the conversation that we're trying to follow. If you're out to dinner with friends and one of them uses poor grammar, do you correct their grammar in front of everyone else, if at all? If you're in a public discussion like a town-hall meeting, do you correct someone's bad grammar? I doubt it.

Why do you think it's appropriate here? If it's something that you feel just has to be done, send the person an IM. Doing it in public is rude and comes off as self-serving. I'm here for Apple fanboy talk, not English lessons from one stranger to another.

Most of us are in a hurry when we post. We make typos and don't proof-read our posts. It's not a big deal for most, in my opinion. I imagine Twitter must drive you absolutely nuts, huh? ;-)

loose - as in unleash

/sigh/ Another one. LOL.

 

[stewart715]

THANK YOU.

It's like people want to see the iPhone stay exclusively on at&t and want Verizon users to suffer. I don't understand it.

Guess what at&t Fan? It makes perfect financial sense for Apple to make a Verizon iPhone. There are literally MILLIONS like me out there who will not leave the Verizon network but desperately want an iPhone.

I hope it happens. I'll camp out for it.

You're right. It's been determined it will cost 3.5% of their market cap ($5 billion) to make a network as reliable, and widespread as Verizon. Apple is not stupid. They are very well aware of the fact that a Verizon iPhone would produce probably double the revenue that AT&T contributed to. Some people may think Apple is going to the juste thing and only offer a Verizon phone if its as perfect or better than the AT&T version, but they don't care. It's about money. That's it.

 

[doctor-don]

Verizon doesn't have EDGE data. In fact their 3G isn't to far from AT&T EDGE speeds.

too?

 

[doctor-don]

You're right. It's been determined it will cost 3.5% of their market cap ($5 billion) to make a network as reliable, and widespread as Verizon. Apple is not stupid. They are very well aware of the fact that a Verizon iPhone would produce probably double the revenue that AT&T contributed to. Some people may think Apple is going to the juste thing and only offer a Verizon phone if its as perfect or better than the AT&T version, but they don't care. It's about money. That's it.

What should have been done was to have a phone that is available for all the carriers. Both AT&T and Verizon are greedy ********.

 

[DakotaGuy]

Really? Maybe on a tech forum but 98% of all mobile phone users probably never leave the US with their phone. Most probably never leave their state. The vast majority of users couldn't care less about CDMA or GSM.

Most phone users care about the reliability of their network more so then they care about the technology behind it. I want a network that is very reliable no matter where I am and Verizon does the best job of that in the US.

 

[distortedloop]

How are they a lot higher? I only see visual voicemail being $2.99 while AT&T's is free. Is 3 dollars really considered a lot higher? If you are talking about the ETF fee, you should have mentioned the ETF being a part of your equation. I don't have a need for rollover minutes since everything is unlimited, which makes that a non-factor for me.

The $2.99 is just an example of the nickel and dime-ing billing practices that Verizon detractors point out as a bad thing. Pogue's laid into Verizon for several similar things in the past several months.

While you have unlimited everything, I imagine many people don't opt for that. These are the folks who find dozens of surprise little charges for data access because they pressed the wrong key on their phone or something similar. I'm just parroting (paraphrasing, actually) posts from Pogue that brought all this up recently. That's not been my experience with Verizon in the past, but I haven't been on them since trading my Palm Treo for the original iPhone.

Re: the ETF, I suspect that as the smart-phones get more expensive, the ETFs on all networks will go up to prevent the buy-and-cancel-sell-on-eBay scam a lot of people allegedly pulled with several high priced devices over the last few years.

 

[distortedloop]

You're right. It's been determined it will cost 3.5% of their market cap ($5 billion) to make a network as reliable, and widespread as Verizon.

Did you read AT&T's response to that analyst's claim? If I recall correctly, AT&T asserts that the analyst is misinformed because the costs to expand the backhaul have already been completed and paid out by the AT&T wireline side of the business. Google it for more details, but it sounded credible to this casual observer.

 

[doctor-don]

It's rude and adds nothing to the conversation that we're trying to follow. If you're out to dinner with friends and one of them uses poor grammar, do you correct their grammar in front of everyone else, if at all? If you're in a public discussion like a town-hall meeting, do you correct someone's bad grammar? I doubt it.

Why do you think it's appropriate here? If it's something that you feel just has to be done, send the person an IM. Doing it in public is rude and comes off as self-serving. I'm here for Apple fanboy talk, not English lessons from one stranger to another.

Most of us are in a hurry when we post. We make typos and don't proof-read our posts. It's not a big deal for most, in my opinion. I imagine Twitter must drive you absolutely nuts, huh? ;-)



/sigh/ Another one. LOL.

You're to bisy too proof-read whut ewe post fur evrybudy too reed?

 

[DiamondMac]

Going to Verizon is a Win/Win for us, imo

We have the ability to switch to Verizon and we also will have less congestion on the AT&T networks if we stay

I am not sure what I will do but I figure I will wait a few weeks before deciding anything (after the new phone is released) to see how everything is working

 

[distortedloop]

You're to bisy too proof-read whut ewe post fur evrybudy too reed?

Yep, and I'm also not so arrogant as to presume that it's my place to correct the typos of others in front of everyone else, no matter how good it would make me feel to show them how much smarter and better educated than they are that I think I am.