AT&T Confronts The Unthinkable: Life Without An iPhone Exclusive

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This fall is looming as AT&T's Waterloo, Armageddon, pick your end-of-the-world metaphor, with a Verizon iPhone reportedly arriving later this year that would end AT&T's exclusive deal for the Apple device going back to 2007.

The iPhone, of course, has been's the carrier's growth engine, driving new contract wireless sign-ups and giving it the lead in U.S. smartphone market share. In the fourth quarter of 2009 alone, AT&T reported 3.1 million iPhone activations, with more than one-third of those coming on as new subscribers.

So what's AT&T to do without a monopoly on its high-tech meal ticket? On the upside, sharing the iPhone to Verizon or any other operator would relieve AT&T of some of the data traffic that's overwhelmed its network and led to well-documented complaints by iPhone customers in New York and San Francisco.

What's more, handing the data-gulping Apple device to Verizon will finally put the carrier's vaunted network coverage to the test. Can it handle the iPhone's network demands without triggering a similar backlash from subscribers dealing with dropped calls and balky Web access? If not, AT&T could then unleash a new round of attack ads highlighting the problems and trying to puncture Verizon's reputation for reliability. Hopefully, no one would notice the hypocrisy.

Beyond that, AT&T still has its arrangement to be the U.S. 3G network provider for the iPad to fall back on (for customers that don't choose the Wi-Fi-only version of the Apple tablet). AT&T CEO Randall Stephenson has said he doesn't expect the iPad to bring in many new subscriptions because most iPad users will opt to use Wi-Fi instead.

But if the added network demand from the iPad proves more of a strain than expected, any lessening of iPhone traffic because of Verizon also getting the device would clear up more bandwidth for the iPad -- sure to be a data hog in its own right with a larger screen for game-playing and watching video.

Any new iPad subscriptions would also help make up for a decline in new iPhone customers. Analyst estimates for 2010 sales of the iPad range from nearly 3 million up to 10 million. So it's time for AT&T to stop worrying and learn to love the prospect of a Verizon iPhone.

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0 comments on "AT&T Confronts The Unthinkable: Life Without An iPhone Exclusive".

1. Matthew Snyder from ADObjects Inc
   

   commented on: March 30, 2010 at 4:16 p.m.

   Yes- this was an inevitable reality for AT&T. Exclusivity is hard to maintain. Now that the honeymoon is over, what is the real business model for AT&T as they did not agree on a piece of the action of the App's store? Even if they build up there own App Store, the likes of platforms storefronts such as Google Marketplace and iTunes has definitely gained the mind share of users. As they supported and launched iPhone, it is going to be interesting how they move from #3 forward.... will they demand a tariff from the App stores moving forward?

2. Saul M. Detofsky from The Lets Meet TV Show
   

   commented on: March 30, 2010 at 11:47 p.m.

   AT&T CEO Randall Stephenson doesn't need the Apple's Iphone anymore. AT&T needs the Lets Meet TV Show to make them plenty of revenue even more than they have ever made Apple. AT&T will have their own social-network on TV 24/7. AT&T Mobile App doesn't need to have any ads / commercials either. Example: Lets Meet TV Show’s Mobile App is like unlike all other mobile applications. On LM you‘ll find new friends or romance 24 hours a day right in the palm of your hands, 48,000 different people to choose from daily, 24k Men & 24K women. One dollar a minute to hear a profile and two dollars a minute to leave a nice message so you will get a return call.

   “AT&T-Mobile bringing People together to Communicate & Live Safer more Secure Lives"

   AT&T can sell the Google's Nexus 1 instead of Apple's iPhone. LM TV Show ad-less mobile application has absolutely no competition. AT&T can demonstrate to all the home viewers how to use the new smart phones and how easy the learning curve is over the Note book & the desktop PC work and are why you don't need to spend so much time on a PC any more with all it's problems and expense. AT&T can show all the hundred of millions television of couch potatoes [viewers] a real mini computer with a small learning curve unlike any Microsoft desktop or laptop PC. Many millions of people don't even own a PC. Now is the right timing to show all the TV viewers what they are missing. Most single men, women will switch in a heart-beat to a good smart phone like the Droid or the Nexus 1. AT & T finally has something to offer better than the rest and a social-network to find new friends and romance. Lets Meet TV Show “LM” is the first interactive social platform on television to find new friends and even romance ie. [that they heard so much hype about from their friends] unlike going to the risky Internet social / dating websites. LM is like Facebook on steroids. Within one year of being show on TV LM will have one hundred million members.

   Everyone who has paid up AT&T Mobile contract would have a free membership to the Lets Meet TV Show ($99.95 value) as long as the LM member had a paid up contract. Anyone who buys the new Droid or Nexus 1 Phone would is also entitled to the AT&T LM Mobile App valued at ($29.95 per month value) for free as long as they paid up on the AT&T Mobile contract. LM Mobile App is unlike all other mobile applications. AT&T-Mobile cell users would save $99.00 every three months [LM contract is always for three months] regardless which phone they used as long as long as At&T is the mobile carrier. As long as anyone has a paid two year contract.

   The LM App is $29.95 per month besides the regular LM membership. All AT& T-Mobile users would save $396.00 a year and another $360 per year on the LM Mobile App if they owned any AT&T supported the phone. A total of $1,512.00 per two year contract. If you use a cell phone or PDA other than with AT&T-Mobile you would have to pay $99.00 every three months and additional $29.95 per month for the LM App.

   The other advantage of AT&T owning LM TV Show co-branding on TV it would give Apple the upper hand by having to two media spots for the price of one thus getting exposure to the masses and making profit on two brands. Plus AT&T can still pick up a high profile sponsor like Coke, Pepsi or Procter & Gamble. Two hundred and thirty eight million people watch TV on the average of 3.5 hours every day.

   Let Your Mobile Phone Find a Date Or New Friend for You. Copy & Paste or try to Click Link:

   http://www.thisislondon.co.uk/lifestyle/article-23783470-let-your-iphone-find-you-a-hot-date.do

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