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-   Travel Technology (https://www.flyertalk.com/forum/travel-technology-169/)
-   -   Will Verizon Get The iPhone Soon? (https://www.flyertalk.com/forum/travel-technology/948151-will-verizon-get-iphone-soon.html)

Kgmm77 Apr 29, 2009 2:40 pm
Originally Posted by typical (Post 11665964)
Fair play to them for not wanting to pay the (not insignificant) price - financial and strategic - that Apple demanded to carry the iPhone back then.
Slightly confused by the terms "financial and strategic cost".

The iPhone carrier in the UK and Ireland (O2) has benefited significantly from a revenue, market share and profit perspective from signing the exclusivity deal with Apple to be the first to carry the iPhone. Is this not the case with ATT?

Dubai Stu Apr 29, 2009 6:47 pm
I don't think anyone can accurately call this without a whole heap of inside knowledge. The rumors are conflicting and ATT does have an exclusive agreement until 2011.

Landing Gear Apr 30, 2009 12:41 am
Originally Posted by Dubai Stu (Post 11667734)
I don't think anyone can accurately call this without a whole heap of inside knowledge. The rumors are conflicting and ATT does have an exclusive agreement until 2011.
What's your source for the 2011 date?

From the New York Times:

Verizon Said to Be in Talks for the iPhone
By MATT RICHTEL
Published: April 27, 2009

Apple has not publicly disclosed the financial terms of its deal with AT&T or the duration of its exclusive deal, which began in 2007. Some industry analysts say they believe the arrangement ends in 2010.

typical Apr 30, 2009 2:23 am
Originally Posted by Kgmm77 (Post 11666504)
Slightly confused by the terms "financial and strategic cost".

The iPhone carrier in the UK and Ireland (O2) has benefited significantly from a revenue, market share and profit perspective from signing the exclusivity deal with Apple to be the first to carry the iPhone. Is this not the case with ATT?
The deal let a device manufacturer break the customer-carrier relationship for the first significant time. You only have to look at how the carriers reacted against device manufacturers trying to break this relationship in the past to see how significant this is.

The deal was also the first time a device manufacturer was able to more or less dictate terms to a carrier. Previously the carriers had had a significant amount of power in that relationship. They killed products they didn't like, they made data use uneconomic, they refused to carry phones with Wifi or VOIP or whatever.

Of course several of the networks carrying the iPhone have enjoyed a boost in share and profits. But it has come at a strategic cost.


Originally Posted by Dubai Stu (Post 11667734)
I don't think anyone can accurately call this without a whole heap of inside knowledge. The rumors are conflicting and ATT does have an exclusive agreement until 2011.
Agreed. But there are good reasons out there for Verizon refusing the Apple pie originally.


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