• Report: Apple to Remain Exclusive to AT&T

    Image via CNET

    eWeek is out this morning with a report indicating that Apple will likely continue their exclusive relationship with AT&T.

    When AT&T’s contract expires in 2010, many have speculated that Verizon will raise its hand for a CDMA version of the device. A new report from iSuppli, however, suggests that Apple may actually renew its contract and remain exclusively with AT&T—though Apple may pursue other opportunities with Verizon.
    Although this news isn't exactly what many iPhone fans want to hear, our attention was certainly roused by the prospect of Apple doing business with Verizon elsewhere. What does that mean, exactly? For now, the only feasible guess is that Apple would partner with Verizon on another device - presumably the mythical but supposedly in development Apple tablet.

    “The main reason Apple is likely to stick with AT&T beyond 2010 is the relatively wide usage and growth expected for the HSPA air standard used by the carrier for 3G data.” iSuppli expects HSPA wireless services, which include high-speed downlink packet access, or HSDPA, and high-speed uplink packet access, HSUPA, to rise from 269.1 million in 2009 to 1.4 billion in 2012. The EVDO standard used by Verizon, by comparison, is expected to grow from 2009’s 145.2 million subscribers to 304.6 million in 2013.
    Now, from Apple's perspective, the company may see little value in moving away from an exclusive agreement with AT&T, but it's quite possible that both Apple customers and AT&T see the situation somewhat differently.

    The article in eWeek illustrated that a study last month by Strand Consult found that "carriers that offer the enormously popular iPhone not only have not increased their revenue, earnings or market share, but in some instances are worse off for offering it."

    Some carriers have sent out profit warnings because of the iPhone,” reported Strand Consult.
    Reports, rumors, and ruminations aside, I will believe Apple's exclusivity agreement with AT&T will linger when I hear the official announcement. Perhaps I'm a silent minority who holds this opinion, but I believe there to be far too many cracks in this one way street for both Apple and AT&T to remain happily married for much longer.

    If anyone else agrees or disagrees, I would love to take up the conversation.
  • Connect With Us

  • Twitter Box

  • Facebook