Conflict within AT&T
That's just it. AT&T offers Cable, Internet, & Home phone service. They aren't going to shoot themselves in the foot. Their business model is archaic at best. Who the heck still has a normal home phone? MagicJack changed the game for that. Unless they realize that they'll make more money thru a smaller margin but increased membership, they will be obsolete post the exclusive contract. That's why Apple needs to go with T-Mobile or at least Verison IMHO.
Man AT&T really dropped the ball here. They have the opportunity and the timeing to really change things up for their advantage and they just wast it on delaying the feature (which worked on their older phones, I use to tether my Samsung Sync with AT&T for no additional cost).
This is not just a whiny I don't want to pay for it hippy talk either.
Lets look at the trends. We are in a recession right now, this is the first ressession where people are more apt to drop Lan lines then their cell phones. Most people have internet access too and are paying $30-$40 a month. Their current plan is roughly $20 a month for internet, which is fast enough for most people. Well if people are keeping their cell phones then, if they allowed tethering at no additional cost then people would drop their Cable/DSL lines and some of the dialups who are still there can finally get high speed connection for their computers.
So you can use the Internet on your PC or you Phone but carry around your internet connection in your pocket. People are moving away from Desktops and going to laptops, and some even netbooks. So this could have created some excellent growth for AT&T. However they decided for the quick term and price themselves out of the market. Sure some people will use it but not the mass market. They could have cornered the internet market but they wasted it.
That's just it. AT&T offers Cable, Internet, & Home phone service. They aren't going to shoot themselves in the foot. Their business model is archaic at best. Who the heck still has a normal home phone? MagicJack changed the game for that. Unless they realize that they'll make more money thru a smaller margin but increased membership, they will be obsolete post the exclusive contract. That's why Apple needs to go with T-Mobile or at least Verison IMHO.