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  • AT&T Exclusivity to End in June: Report
    [ame=http://www.youtube.com/watch?v=imFfITYWiOE]YouTube - Brian Marshall is bullish on Apple[/ame]

    Numerous outlets are reporting today on a somewhat startling assertion by an analyst on Bloomberg TV, stating that Apple's exclusive arrangement with AT&T as its sole iPhone service provider will come to an end in June of 2010. He also stated that Apple would be receiving $300 from future partners, rather than the $450 per phone it currently gets from AT&T.

    Brian Marshall is an analyst with Broadpoint AmTech, the information technology, clean energy and defense group within research firm Broadpoint.Gleicher. Marshall named Verizon as the most likely carrier that Apple would start working with after the end of AT&T's exclusivity. Recent rumors of a new iPhone model that would be compatible with Verizon's network would tend to support this assertion, but there has been no confirmation from either Apple or Verizon of any of this.

    Little is known about the details of AT&T's arrangement with Apple. When the phone was first introduced back in 2007, reports suggested that the exclusivity deal would last until 2012. More recently, reports have suggested that the original deal was slated to end in 2009, but was increased by a year when AT&T offered higher subsidies to Apple.

    Marshall says that the current subsidy paid by AT&T is $450, and that the payout would drop to $300 once other U.S. providers start carrying the iPhone. Apple has claimed that it has been successful in other countries in maintaining income levels even after subsidies drop due to non-exclusivity, because they have been able to sell a higher overall number of phones.

    In a separate report today, AppleInsider noted that the end of exclusivity in France has led to the iPhone being the top selling smartphone in that country, accounting for over 40% of sales. And Engadget quotes a report by research firm Bernstein which indicates that Apple's "value market share" in the UK and France "has increased from 32 percent in the latest quarter from 21 percent just three months earlier," when both countries had only one iPhone carrier.
    This article was originally published in forum thread: AT&T Exclusivity to End in June: Report started by Paul Daniel Ash View original post
    Comments 59 Comments
    1. Jammole's Avatar
      Jammole -
      Quote Originally Posted by darwina View Post
      Yeah... I hope so. I'd like to see a phone bill under $80. I don't use the minutes I have, mostly text and data because I have no real friends :P I could only hope there'd be some competitive packages out there.
      Me too. I have almost 4,000 roll over minutes that I haven't touched.
    1. Channan's Avatar
      Channan -
      Good for them. Get some of these people off my AT&T towers. I could use a speed burst.
    1. brotherbond007's Avatar
      brotherbond007 -
      I agree no problems with AT&T. I had Verizon, switched to AT&T and I saved $25 per month thats freakin' $300 per year savings for me. After the iPhone I save $15 per month now. Plus after 2 years with Verizon my customer service experience was HORRIBLE. I am in the Nations Capitol and the coverage is the same. I don't experience any more dropped calls or dead zones either. Verizon's commercials are just silly. The grass isn't greener on the other side. Beside,s no carrier is "perfect" no matter how many pretty red maps they show you..
    1. staterunner180's Avatar
      staterunner180 -
      Its not about which company is better, because Verizon is just little less expensive then AT&T, but if you have coverage in your area. For example, I have NO AT&T coverage in my area. At all. My dad has an iPhone (for work) and never gets any more then 3 bars and is constantly on Edge at home. But Verizon has 3G for miles around. And there are some places where AT&T has 3G everywhere, and Verizon no service at all. It just depends on where you live. So stop squabbling over which company is better, and just decide for yourself.
    1. sziklassy's Avatar
      sziklassy -
      Wasn't Verizon's 4G going to be GSM? Not sure where I heard this, or if I dreamed it, but if that is true it IS possible that we would have a universal worldwide 4g service.
    1. eremeya's Avatar
      eremeya -
      What about the reports about VZW putting in LTE? Once they have LTE in won't that take care of the compatibility issues at least with a 4G iPhone?
    1. sziklassy's Avatar
      sziklassy -
      Quote Originally Posted by JHoffy1 View Post

      That being said, I'm not sure switching to Verizon when the iPhone is available will necessarily solve the drop calls or slow data service problem. I think this stems from the massive amount of data and calls that are made on AT&T because they have so many members, because of the iPhone.
      Congrats. You are literally one in tens of thousands of people that actually UNDERSTANDS this. IF Verizon gets an iphone I expect massive amounts of people swapping over to them and massive failures on their networks as a result.

      Quote Originally Posted by eremeya View Post
      What about the reports about VZW putting in LTE? Once they have LTE in won't that take care of the compatibility issues at least with a 4G iPhone?
      Not sure what LTE is but I am thinking it is exactly what I was referring to
    1. Doppler's Avatar
      Doppler -
      Sorry the way I see this working, and also there's more incentives for Apple not to have multiple iPhones. Production costs. You see how the iphone did so well in Europe was everything is standardize. What one phone would work here would work with another. Their frequencies are the same. The FCC needs to stop regulation the frequencies or standardize them. So cellphone manufacturers don't have to make different phones to match carriers. It will ultimately kill "exclusive" deals. You could buy the handset out right and go to the carrier of your choice.
    1. jdogkirby's Avatar
      jdogkirby -
      T-Mobile is the worst network ever!!! Switching to AT&T has been the best choice. I have no had dropped call problems or any of that stuff.
    1. punkstar31's Avatar
      punkstar31 -
      I see all of your AT&T complaints, and I can't understand them.

      If you ever cross down the border to Mexico, use an iPhone with Telcel (which, btw, is the only official carrier)..

      AT&T will never ever be ****** to you again.
    1. confucious's Avatar
      confucious -
      Quote Originally Posted by sziklassy View Post

      Not sure what LTE is but I am thinking it is exactly what I was referring to

      LTE is Long Term Evolution see [ame=http://en.wikipedia.org/wiki/3GPP_Long_Term_Evolution]3GPP Long Term Evolution - Wikipedia, the free encyclopedia[/ame]
      It looks like Verizon will be using band XII - which is in the 700Mhz range so another new one.

      The ckue here, I think, is in the name Long Term Evolution. The Wiki article says somthing is due to be ratified in January 2009 so it looks like it hasn't been updated for a while - probably because nothing has happened.

      Once all standards have been ratified (yes, I know there has been limited testing) I believe it will take many years before all the current UMTS towers can be updated - Verizon will need new towers so it is likely that the 4G coverage map could look very different.

      While it is looking increasingly likely that LTE is the way forward to 4G I do not expect 4G to be widely available by next year - unless anyone in the know can tell us that existing towers are already 4G capable, in which case it is possible. If they are not and need to be updated then does anyone seriously think that this will happen by next year? And if it's not available then Apple are very unlikely to release a 4G iPhone by next year.
    1. sphangman's Avatar
      sphangman -
      the universal phone won't be ready until the end of next year according to reports..
    1. confucious's Avatar
      confucious -
      Quote Originally Posted by sphangman View Post
      the universal phone won't be ready until the end of next year according to reports..
      What reports?
    1. SuperVee3's Avatar
      SuperVee3 -
      i just switched from a iPhone on T-Mobile to a iPhone 3GS on AT&T and I'm pretty happy with my service. only been getting dropped calls from my blackra1n jailbreak but other than that everything is working fine. I get full bars and my 3G speeds are 1.8 Mbps for download .34 Mbps for upload. and of course i like the fact that i can be on a call and use the internet at the same time.
    1. CaptainChaos's Avatar
      CaptainChaos -
      Quote Originally Posted by adp View Post
      I wouldn't switch to Verizon if they had the iPhone. But I really hope it happens so it brings more competition. Maybe someday I'll switch my iPhone from unlimited T-mobile data ($10/month) to AT&T - granted they lower their data service price.
      You can get the data package for $10 on AT&T for the iPhone with a little work around.

      As far as coverage goes it will always vary by your location. For those that get great coverage AT&T is great, but for those that don't get good AT&T coverage it would be a huge plus to be able to move over to another carrier with the iPhone.

      I am in a position to where AT&T works best for my needs. Everywhere I travel so Verizon is most definitely not in my future.
    1. chris4851's Avatar
      chris4851 -
      This will not happen while Verizon is on CDMA. iPhone will not be on Verizon until LTE is ready. We have been talking about the iPhone on the Verizon network for 3 years. It's not gonna happen!!!

      Because Verizon cannot do voice/data simultaneously the iPhone will not work well on their network. This is a major issue for the iPhone and I believe that it is "one" of the reasons Verizon did not get the iPhone and AT&T did.
    1. pacmac's Avatar
      pacmac -
      I love AT&T in my area I get good 3G but there plan price iSuck =\ text/mins..it's all good I use my iPhone mostly for data use.. Will wait on the news on 4G iPhone see if that will make me switch..supposedly that sprint has the 4G nextwork going on now..only time will tell..
    1. JazJon's Avatar
      JazJon -
      Quote Originally Posted by KingDan View Post
      Kraziebone,
      I have t mobile and use the iPhone with no complaits

      Why would you be happy on t-mobile when 3G doesnt work? EDGE only would be very slow and annoying.
    1. ijoel's Avatar
      ijoel -
      If Verizon gets the iphone U.S.A is going to be controlled by apps!!!!