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  • Verizon Rumored to Pay Up to Keep T-Mobile, Sprint iPhone-less



    Prominent Kaufman Bros. analyst Shaw Wu revealed Monday that his sources say Verizon is every bit as eager to keep the iPhone away from competitors as it is to add the Apple smartphone to its own network next year. According to Shaw, Verizon may "pay" Apple substantially to ensure such an arrangement. The move, however, would not be tantamount to Verizon paying off Apple to keep competition at bay. Instead, the arrangement would manifest as Verizon giving in to more of Apple's demands in the ongoing effort to expand iPhone's reach into Verizon territory in the United States.

    "We are hearing that (Verizon) does not want iPhone, the hottest selling smartphone, available on T-Mobile USA and/or Sprint and may be willing to pay for exclusivity to itself and AT&T," Wu commented in a note to investors. "For these reasons, (Verizon) could be more willing to give in to Apple's terms." Of course, we don't know the specifics of those terms. But Business Insider reported Monday morning that Verizon is "willing to pay Apple a premium price per device to keep it off Sprint and T-Mobile." The iPhone subsidy from AT&T is widely believed to be roughly $400 per handset, the article notes.

    In recent months, Apple has vastly broadened its network of retail and mobile associates. From expanding the retail outlets that carry iDevices to partnering with Verizon in the US to bring the iPad to Verizon customers, it will no longer come as an unfathomable shocker if, in fact, AT&T loses its iPhone exclusivity in the US at some point next year. While it now appears that carrier expansion is inevitable for the iPhone, the bigger question is just how far-reaching the carrier expansion will be.

    Business Insider
    This article was originally published in forum thread: Verizon Rumored to Pay Up to Keep T-Mobile, Sprint iPhone-less started by Michael Essany View original post
    Comments 38 Comments
    1. maddawg05's Avatar
      maddawg05 -
      Unless Verizon is ready to fork up a substantial amount to pay for the exclusiveness, Apple would be making a huge business mistake. Imagine the numbers they would put up across all the carriers...off the charts. Unlock wouldn't be an issue for them, just the jb's.
    1. Gyngabread Man's Avatar
      Gyngabread Man -
      wow yay messany strikes again now i know to avoid mmi for the next few weeks until he simmers down on his rumors
    1. manbearpig's Avatar
      manbearpig -
      I don't get why they don't just sell iPhones unlocked? It's WAY more profit that way cus some people don't know about unlocking, jailbreaking etc.
    1. wrxrox's Avatar
      wrxrox -
      If Apple does this they feed into the anticompetitive activities of all the phone carriers in this country. Apple said that with the iphone that they would change the phone business..instead they have simply given carriers yet another tool to keep people in contracts with carriers they dont like. If Apple truly wanted to fix the phone market they would offer their phone on all carriers. This would force carriers to be truly competitive again and users could go with the true carrier of their choice. I doubt this will even happen though as it makes way to much sense and is to radical a change.
    1. Cer0's Avatar
      Cer0 -
      Quote Originally Posted by Gyngabread Man View Post
      wow yay messany strikes again now i know to avoid mmi for the next few weeks until he simmers down on his rumors
      Better stay away from all other news/tech news sites too. They have this posted also.

      Stupid internet and the rumors. Everything on the internet is supposed to be 100% true and we don't want to know about what may come.
    1. tudtran's Avatar
      tudtran -
      Come on apple. Let the iPhone free in the us.
    1. ADF's Avatar
      ADF -
      Quote Originally Posted by Tedomcmillan View Post
      this site should be changed from modmyi to iGossip. how about some jailbreaking mods, tweaks and themes. Start with a tutorial on how to have weather and date on the status bar.
      What this guy said.
    1. rud3bwoy's Avatar
      rud3bwoy -
      Quote Originally Posted by hollow0 View Post
      Lol man emailing and beejive messaging is nothing.
      of course not but everyone don't use the data as much as the next guy.

      plus why use it when i have wifi at work and home?
    1. NSXrebel's Avatar
      NSXrebel -
      Quote Originally Posted by Gyngabread Man View Post
      wow yay messany strikes again now i know to avoid mmi for the next few weeks until he simmers down on his rumors
      Took the words right out of my mouth. Who else would post Verizon rumors on here...
    1. n00neimp0rtant's Avatar
      n00neimp0rtant -
      Quote Originally Posted by Volerikan View Post
      Didn't Apple originally want the iPhone on Verizon, then they rejected it? Guess that wasn't too smart.
      They rejected it because at the time, Verizon still had a massive boner for putting their V-CAST/GetItNow/myVZW sh!t all over all their phones and when Apple told them they couldn't, they gave 'em the "nope."

      Anyway, the second any carrier with unlimited data still as an option gets the iPhone, AT&T's whole business strategy will have to do a 180--that is, they'll have to actually start caring about their customers.
    1. Happy Noodle Boy's Avatar
      Happy Noodle Boy -
      Quote Originally Posted by n00neimp0rtant View Post
      Anyway, the second any carrier with unlimited data still
      I haven't kept up with recent changes, but aren't all carriers basically getting rid of unlimited?
    1. alexevo's Avatar
      alexevo -
      I don't think Verizon can afford to raise their contract prices. I have contracts with both AT&T and Verizon and Verizon is already more expensive. My 3GS luckily is grandfathered in on the unlimited data plan and Verizon has already said they too are going to change their unlimited data plan to a tiered data plan next year anyway. Not to mention there is no guarantee the Verizon iPhone version will work on their 4G network because right now AT&Ts 3G blows Verizon's EV-DO Rev. A out of the water in terms of speed.

      I like that its much easier to swap a sim than to go on line and change ESNs if I want to switch phones. In rural areas we know the iPhone gets crappy service and even my Verizon phone gets crappy service but I have this cheap *** little Nokia 2610 that I put the AT&T sim in and it works greast. Granted it only really does text,voice, and speakerphone(no camera and email is utterly useless along with aol aim, don't even think about facebook or any kind of internet) but it does those 3 things very well.

      Furthermore, unless Verizon wasn't as successful as they thought they would be with their Android phones then they wouldn't be willing to pay Apple a king's ransom for the exclusivity with the iPhone. I'm betting that although Android phones are outselling the iPhone that Verizon isn't getting as much of that pie as they thought since EVERYONE sells an Android phone. Exclusivity very well could be a huge boon for Verizon and since people are enthralled with Verizon's reliability over AT&Ts then the exclusive iPhone agreement would probably take a lot of subscribers over initially until Verizon's network becomes crippled due to the load as AT&Ts did.
    1. EskimoRuler's Avatar
      EskimoRuler -
      Quote Originally Posted by m/ibnzicemanm/ View Post
      exclusivity is the key to sales. everyone always wants what the things they cant get.
      i agree with you on this, it keeps the demand for the iphone up. When items are too easy to get they tend to slow in sales after a big rush of purchases. With the exclusivity, it makes people wait a little longer which makes their demand greater
    1. asmodeus_dhoine's Avatar
      asmodeus_dhoine -
      Quote Originally Posted by phoenixfire425 View Post
      ummm get and iPhone and then unlock it iPhone on tmobile. done!
      Yes, and be with no 3G.
    1. sziklassy's Avatar
      sziklassy -
      Quote Originally Posted by Happy Noodle Boy View Post
      I haven't kept up with recent changes, but aren't all carriers basically getting rid of unlimited?
      Yes and no. The other carriers cap is 5GB while ATT has a 2GB cap for the same price. Some carriers, such as Sprint, are still doing true unlimited plans (with their 4G phones anyway).
    1. dcgore's Avatar
      dcgore -
      I welcome the iphone going to another carrier because the consumer will only win here. If VZ continues to offer unlimited data for $30 dollars, at&t will have to follow suit, people will pay 5 extra dollars a month for unlimited no doubt. If at&t does not then lots of people will surely leave the carrier although not all at once.

      At the same time, at&t has to either continue pouring money into its network to make it competitive or offer better pricing to account for worse coverage. Even if at&t offers the exact same plan as let's say possibly VZ, people will choice big red. I believe we'll see very competitive pricing soon.
    1. Sanady361's Avatar
      Sanady361 -
      Quote Originally Posted by maddawg05 View Post
      I haven't confirm but a fellow employee just got the ATT and got ip4. He said the sales person said that old customers with unlimited data plan will not be able to renew with that plan...not grandfathered.
      This is totally false.. Actually from my insider I hear they might be bringing bak UNL data when Verizon gets the iPhone.

      I'm also a former employee.
    1. alexevo's Avatar
      alexevo -
      Quote Originally Posted by Sanady361 View Post
      This is totally false.. Actually from my insider I hear they might be bringing bak UNL data when Verizon gets the iPhone.

      I'm also a former employee.
      you're correct on this one. since my contract is up I inquired about upgrading and was told I do get to keep my unlimited data.