Apple extends AT&T exclusivity to 2010
USA Today has an interview with AT&T head Randall Stephenson in which he discusses the success of the iPhone for the wireless carrier. He notes that in the original deal back on 2005 they were "betting on Jobs" -- and it's now clear that that bet paid off: "It's everything we hoped it would be," according to Stephenson.In fact the Apple/AT&T partnership is going so well that AT&T managed to wrangle another year of exclusivity out of Apple, extending its US monopoly on the iPhone at least until 2010. This extension is part of the iPhone 3G deal that eliminated revenue sharing with Apple, but has AT&T paying about $300 per phone up front. The numbers continue to look good for both parties, with the iPhone generating almost twice the revenue as the average AT&T wireless customer. Then again, it's hardly a surprise. It's not like betting on Steve Jobs' tech business savvy is that much a risk these last few years.
[via Engadget]
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USA Today has an interview with AT&T head Randall Stephenson in which he discusses the success of the iPhone for the wireless carrier....
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Great. Another year of overpriced data plans and no tethering.
August 04 2008 at 4:06 PM Report abuse Permalink rate up rate down ReplyAm I wrong in thinking they had a 5 year deal to begin with?
August 04 2008 at 12:32 PM Report abuse Permalink rate up rate down ReplyErr, what ever happened to the 2012 date that we were discussing last year?
August 04 2008 at 9:03 AM Report abuse Permalink rate up rate down ReplyDamn. I thought their contract already went through 2012. I thought it was a 5-year contract from the date the iPhone was released in 2007.
August 03 2008 at 8:54 PM Report abuse Permalink rate up rate down Reply"...AT&T paying about $300 per phone up front..."
Umm, do you mean $300 beyond what they charge for it? Because otherwise this figure is utterly impossible ...the phone cost me $300, if that's what AT&T paid, and Apple doesn't get payments any more, where's the profit for Apple?
This figure, I'm pretty sure, isn't publicly available...is this just your speculation? If so that's fine, but mark it as such...
I disagree entirely. I think it's more likely around what the old phones were, $400-$500.
AT&T - one of the first groups to give up your right to privacy in the US. You can't be a good Democrat AND support AT&T - you can be a Republican however, or at least a really lousy Democrat.
August 03 2008 at 4:17 PM Report abuse Permalink rate up rate down ReplyWHY ARE THEY DOING THIS?! The are bleeding themselves of new customers who want to stay with their current carriers, or at least have a choice. Dumb move, Steve. Most of us would pay the extra 200 bucks if we had a real choice (3G) T-Mobile, you listening?
August 03 2008 at 12:43 PM Report abuse Permalink rate up rate down ReplyThis deal has little impact. Since the iPhone is "married" to GSM technology the only other carrier in the USA that one could consider is T-mobile. T-mobile's 3G network is still developing and they are using a band that differs greatly from the bands that most of the rest of the world is using. Sprint and Verizon could not be considered without changing the radio technology in the iPhone. Both of those carriers are undesirable because of their use of CDMA (though presently Sprint is undesirable regardless of the radio technology they use).
August 03 2008 at 10:03 AM Report abuse Permalink rate up rate down ReplyDear Apple,
You're blowin' it. Hey Steve. Feel guilty for those blue boxes you and Woz built back in the 70's that accessed long distance calling for free, In any case, AT&T = crappy US cell service. No sale 'til after '10.
This is why I am using a BlackBerry, it's unlocked, I travel all over the world, buy SIMs in different countries and pay local rates, life is good.
There is no reason why Apple should not sell a "carrier free" device.
My .02
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