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Sprint says iPhone most network-efficient smartphone and "worth every penny"

post #1 of 32
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Sprint's top executive said this week that Apple's new iPhone is its most network-efficient smartphone, using some 50% less data than comparable Android handsets.

Speaking during the carrier's third-quarter conference call Wednesday, Sprint chief executive Dan Hesse said the company's four-year subsidy-driven bid to carry the iPhone was "worth every penny," with preliminary reports indicating that the handset uses significantly less data than other smartphones, allowing the company to retain its unlimited 3G data plans.

In order to carry the iPhone, the nation's third-largest carrier is reported to be paying 40% more than the industry average in subsidies, translating to $200 per device, in a $20 billion four-year deal with Apple.

Hesse noted during the call that since Sprint began selling the device on Oct. 14, it has attracted customers at a rate higher than any smartphone in Sprint's history, exceeding even the company's own expectations.

Our early results selling the iPhone and iPhone 4 confirm the iPhones ability to attract new customers, Hesse said.

Despite the swelling demand for Apple's handset, Hesse noted that the phone is not likely to overburden the carrier's network, going on to say that load may actually be reduced due to the device's efficient use of data, which will allow the carrier to extend its unlimited 3G data plan.

One of the beauties of carrying the iPhone is it extends the period of time and increases the likelihood of us maintaining unlimited data longer because it uses our network so efficiently, Hesse told Forbes in a post-earnings call interview.

Steve Elfman, Sprint's president of network operations and wholesale, explains that the Apple's multi-year experience in handling handset optimizations -- offloading data usage to WiFi along with a host of app and content tweaks -- makes the iPhone "quite efficient in comparison to other devices."

While the iPhone may sip data in comparison to other smartphones, speed is another story as the new iPhone 4S has been optimized for AT&T's GSM 3G HSDPA protocol, being reportedly faster than Sprint or Verizon's networks that use CDMA 3G EV-DO technology.

In a recent report, AppleInsider found that Sprint's 3G service on the 4S was nearly unusable in both San Francisco and Los Angeles.

Nevertheless, Sprint expects the availability of Apple's handset models to boost revenue by $7 to $8 billion, due to high product demand and the fact that iPhone users typically pay more per month for service.



Hesse commented earlier this year that the carrier's inability to sell the iPhone was one of the biggest reasons Sprint subscribers left and why potential customers weren't choosing to sign up.

The company posted a net loss of $301 million on a revenue of $8.33 billion for the quarter ending Sept. 30, but was up $180 million year-to-year.
post #2 of 32
Quote:
In order to carry the iPhone, the nation's third-largest carrier is reported to be paying 40% more than the industry average in subsidies, translating to $200 per device, in a $20 billion four-year deal with Apple.

You might want to recheck this number. The original Forbes article says $15.5B and 6M iPhones/year over 4 year.

Based on these numbers, they are paying an average of $645 ($15.5BN / (4 year x 6M iPhones per year) = 645 per iPhone), which is the price of an unlocked iPhone. If they are paying $200 more than industry average, which most likely means Android, then Android OEM are getting around $445 per device. No wonder T-Mobile did not get the iPhone.
post #3 of 32
Quote:
Originally Posted by AppleInsider View Post

Speaking during the carrier's third-quarter conference call Wednesday, Sprint chief executive Dan Hesse said the company's four-year subsidy-driven bid to carry the iPhone was "worth every penny," with preliminary reports indicating that the handset uses significantly less data than other smartphones, allowing the company to retain its unlimited 3G data plans.

Maybe Sprint users will understand that Unlimited data was and is always at risk of going away like with the other carriers.
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post #4 of 32
Maybe Sprint should kick those Android smartphones from its network and solely run iPhones and 3G iPads. Or at least encourage current Android smartphone users to switch with some sort of incentive offered.
post #5 of 32
And they reached that conclusion in less than a month of selling the iPhone? Oh yeah, I totally believe Sprint now...
post #6 of 32
77 pages of iphone user complaints about Sprint data speeds

http://community.sprint.com/baw/thread/78766

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post #7 of 32
Quote:
Sprint's top executive said this week that Apple's new iPhone is its most network-efficient smartphone, using some 50% less data than comparable Android handsets.

Quote:
Despite the swelling demand for Apple's handset, Hesse noted that the phone is not likely to overburden the carrier's network, going on to say that load may actually be reduced due to the device's efficient use of data, which will allow the carrier to extend its unlimited 3G data plan.

So, see if I have this straight. If iPhone uses 50% data and network loads may be "actually reduced" then why is AT&T scraping their unlimited data plans? Didn't they say iPhone users were the heaviest users and that their network was getting clogged because of them?

Are you lying to me again AT&T?
post #8 of 32
Quote:
Originally Posted by King of Beige View Post

So, see if I have this straight. If iPhone uses 50% data and network loads may be "actually reduced" then why is AT&T scraping their unlimited data plans? Didn't they say iPhone users were the heaviest users and that their network was getting clogged because of them?

Are you lying to me again AT&T?

No, that's Sprint lying to you.

With the awful iPhone speeds of course they're going to see 50% data usage from them.

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post #9 of 32
Quote:
Originally Posted by King of Beige View Post

So, see if I have this straight. If iPhone uses 50% data and network loads may be "actually reduced" then why is AT&T scraping their unlimited data plans? Didn't they say iPhone users were the heaviest users and that their network was getting clogged because of them?

Are you lying to me again AT&T?

A few things:
  1. AT&T and Verizon have many more smartphones users than Sprint. Once they get to certain saturation point they'll end new Unlimited plans, too. All they elluded to was that it will happen later than sooner.
  2. In December 2010 there were reports of the iPhone pinging the towers way too often, thus causign congestion. I think the story originally came from T-Mo in Germany or O2 in the UK. Anyway, the word is Apple learned what was wrong and made the iPhone considerably more efficient since about iOS 4.2(?).
  3. The complaints about the slow iPhone speeds at Sprint could be a huge factor in why the data usage seems exceptionally lower than expected.
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post #10 of 32
I on Verizon and will stay with them, cause of all the ATT bad reports from my ATT friend...

As I was passing my local Sprint store, I walked in to play with Siri for a few minutes... Siri couldn't find the Network, I think that was Siri's wording... Otherwise I was browsing with Safari on that 4S!

So I mentioned that to Sprint's Rep who was at a desk a few feet away, greeting people as they walked into the store... That rep's response:

I don't anything about that phone and his whole posture was:

I am busy playing with my Android, why are you bothering me?

I chose to leave, instead of going to the Supervisor to complain! On that block there are 3 stores: Sprint, T-Mobile and ATT, and on the next block it's Verizon... Sprint and T-Mobile usually win "the sad place prize", in my opinion... The VZ store seems to have more Substance, and not just cause it's bigger than ATT's...

Luckily, we have Apple Care and Apple Stores to help us with iPhone, iPads and Macs of course, even though they are swamped. But, with Androids, God Help Those Customers!!! It's a poorly masked Chaos, Hear Say Kingdom of Don't Call Us We Shall Not Call You! All those stores just want to activate a New Contract, get their Commission Brownie Points, and go on to the Next Customer!!!

THIS I GREAT:

Forrester: 'It's time to repeal prohibition' on Macs in the enterprise http://j.mp/s8nrdZ

BUT...

Even if Apple doubles or Triples their Tech Support Stuff, it wouldn't be nearly enough... They are just swamped... Before the iPhone 4S Wave cools off, there will be iPad 3, then iPhone 5, maybe Apple TV - The No Longer A Hobby Product, and Next Form Factor of Macbooks....

Still, there are much better chances of getting Help from Apple than from Planet Android... As I've always said:

It's The Support, Stupid!!!

The others can flaunt their Android 4G LTE Specs, but, given "It's The Support, Stupid!!!" - who cares, plus there LTE coverage is limited and not reliable from what I've heard!!! Thus, no wonder Apple decided to wait on 4G LTE till Cell Providers get their act together!!! What's the point of having a race car, so that it looks better in a bumper to bumper traffic on bumpy roads of 3G, or maybe even 2G Speeds!? Ha ha ha !!!!!

Can't wait for my 4S, 64 GB, Black next months! Hopefully it's less than 10 Days wait, since Verizon is chronically sold out!!! Wouldn't everyone love that kind of "failure"!!!

Go Apple! Go AAPL!!!

Go  Apple!!!

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post #11 of 32
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post #12 of 32
Quote:
Originally Posted by MacRulez View Post

I guess that explains the low data usage.

Exactly what I was thinking. 0.05mb speeds don't make anyone happy

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post #13 of 32
Go Sprint! I wish them the best. I had Sprint before they merged with Nextel. Loved them, best customer service, but after the merger they lost their edge. However the iPhone was really the only reason I left them, side benefit, in my area AT&T coverage is much better than Sprint's. I hope they get their edge back and increase their coverage, their prices were better than AT&T and Verizon in my area.
post #14 of 32
Quote:
Originally Posted by MaroonMushroom View Post

77 pages of iphone user complaints about Sprint data speeds

http://community.sprint.com/baw/thread/78766

Wonder if Apple is pissed. Gonna give their product a bad name. Wonder who takes the hit when customers return en masse.
post #15 of 32
well here is what I have to say on the subject...I know a bunch of people that have Sprint service and had been dying to have the iPhone...

AND NOT ONE OF THEM IS COMPLAINING ABOUT THE PHONE OR SERVICE!!!

that is a fact...they are so happy that they don't have to put up with those pathetic, useless and downright crappy ass Android or BB phones anymore...

think about it...what kind of network speed could they have had before??? NADA???

it will get better and as Sprint has the phone longer Apple will send out updates that will make things smoother...

and to that person that asked if ATT has been lying to them again...YES...all they do is lie

as Erin Brocovich said "That's all you got lady. Two wrong feet in f*cking ugly shoes"

that is ATT...I hate them...oh I have to go pay my bill...let the RAPE begin
post #16 of 32
On the other hand People are saying that Sprint's network isn't the most efficient. Or maybe they are saying Sprint just plain sucks! Who would wanna trust Sprint. Maybe a cockroach.
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post #17 of 32
The reality is people going from AT&T to Sprint or Verizon are going to notice a speed reduction. The new iPhone is 4G on AT&T and AT&T's strength has always been data.

Verizon and maybe even Sprint kick AT&T in voice call reliability, but AT&T has the fastest data speeds (in most areas).

Many people complaining on Sprint acknowledge being AT&T switchers. If you are going from a Sprint phone to an iPhone the speed is going to be the same or faster in most areas.

The only way I'd go to Sprint for an iPhone 4S is if 1) I am already on the Sprint network, 2) it is my first Smartphone, 3) I mostly use wi-fi, or 4) I just hate AT&T so much I am willing to put up with slower data speeds. .

Quote:
Originally Posted by MacRulez View Post

I guess that explains the low data usage.
post #18 of 32
Quote:
Originally Posted by ChristophB View Post

Wonder if Apple is pissed. Gonna give their product a bad name. Wonder who takes the hit when customers return en masse.

Well, Apple has refined their product to the stage where we know Apple is delivering some of the best hardware out there. Especially with the iPhone 4S now. Superb reception, no death-grip problems whatsoever.

With multiple carriers around the world on all sorts of frequencies, including multiple 3G frequencies (some on 2100mhz, some on 850, etc. etc.), and now with CDMA, the data that comes back clearly points to the carriers being the "weak points".

People may get pissed at Apple but as they change between carriers or travel to different countries, the bottom line is clear. The iPhone 3GS, iPhone 4 and iPhone 4S are pretty solid phones with decent software in comparison to the market.

The onus is on the telcos.

Where I am in Australia now, on my iPhone4 and iPhone4S I have travelled in a lot of different locations up to 30km from the city CBD and it has literally never dropped to 2G, even indoors. It's on a long-established carrier which has rolled out a new 850mhz 3G network over the past few years.

It's the telcos people, they've been sitting on their butts for a long time, but just like in so many industries, Apple comes a long and shoves a huge wake-up stick up their...
post #19 of 32
Quote:
Originally Posted by TBell View Post

The reality is people going from AT&T to Sprint or Verizon are going to notice a speed reduction. The new iPhone is 4G on AT&T and AT&T's strength has always been data.

I personally wouldn't call it 4G since it's only HSDPA, not HSPA+. It's looking like next year's iPhone will have HSPA+ and LTE which tells me it will be called iPhone 4G for marketing.
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post #20 of 32
I guess iPhone has the most apps, so people use those instead of web browser, and apps are more efficient. Or the excellent antenna design means less retransmission.

Or maybe as people have said there is something wrong with the carrier's network, an incompatibility or configuration problem that is artificially throttling the phone causing the businesspeople to celebrate prematurely.
post #21 of 32
Here's my question: if it's true that Dan Hesse said the iPhone "uses significantly less data than other smartphones" either he's lying or AT&T and Verizon are lying about the amount of data the iPhone uses, according to AT&T and Verizon they claimed they had to do away with unlimited date because the iPhone used the most data compaired to all other smartphones.
post #22 of 32
I am curious to see how this holds up now that the iPhone is as connected to the cloud as Android phones are.

The whole "efficient" line is BS. It's efficient from the carrier's perspective, not the user's. Cloud computing will require high data usage.
post #23 of 32
Quote:
Originally Posted by AppleInsider View Post

Sprint's top executive said this week that Apple's new iPhone is its most network-efficient smartphone, using some 50% less data than comparable Android handsets.

Even if it is more efficient data volume-wise, it is not network load wise. It is one of the worst offenders and causing operators across the globe major headaches. Not due to data volumes, but due to the load it causes on signalling and paging.

Regs, Jarkko
post #24 of 32
Quote:
Originally Posted by King of Beige View Post

So, see if I have this straight. If iPhone uses 50% data and network loads may be "actually reduced" then why is AT&T scraping their unlimited data plans? Didn't they say iPhone users were the heaviest users and that their network was getting clogged because of them?

Are you lying to me again AT&T?

Actually, they are specificly talking iphone 4S. And remember the new iphone has that new atenia design. So it g possible with previous iphones this wouldn't have been the case. AT&T then couldve had a reason to do this. But of course AT&T network was never made for this many customers.

Anyway, Sprint has never been known for its speeds but has breen known for a network that works when it should.
post #25 of 32
I am going to go all philosopher here on you all. I apologize...

Define your terms!

Look, it is entirely possible that Sprint is telling the truth, that the phone is more efficient, and that AT&T is also telling the truth that it is using more data. Not only can the new OS be more efficient, and the new antenna as well, but it may be that AT&T is simply simply worried about the overall data while sprint is talking about the data used for comparable actions.

If i use twice the data to check the weather on an Andriod phone as an iPhone, Sprint is correct. If I use the iPhone 3 times as much, AT&T is also correct.

There simply isn't enough information here to leap to the conclusions some of you are making...
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post #26 of 32
Quote:
Originally Posted by jahonen View Post

Even if it is more efficient data volume-wise, it is not network load wise. It is one of the worst offenders and causing operators across the globe major headaches. Not due to data volumes, but due to the load it causes on signalling and paging.

Regs, Jarkko

Someone disagrees with you...

"Since Apple makes iPhone apps meet network efficiency thresholds, iPhone apps tend to ping networks less often than other mobile operating systems do. Cutting down on app noise lets carriers operate their networks in a more productive and ultimately more profitable manner. Its almost like a Prius, said Hesse, comparing the iPhone to Toyotas fuel-efficient car."
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post #27 of 32
I hate Sprint as an investor.
post #28 of 32
Seeing as how the most popular android phone with Sprint is the EVO, and it has WiMAX, maybe the whole "efficient" thing has nothing to do with the OS.
post #29 of 32
Quote:
Originally Posted by shen View Post

Someone disagrees with you...

"Since Apple makes iPhone apps meet network efficiency thresholds, iPhone apps tend to ping networks less often than other mobile operating systems do. Cutting down on app noise lets carriers operate their networks in a more productive and ultimately more profitable manner. Its almost like a Prius, said Hesse, comparing the iPhone to Toyotas fuel-efficient car."

Not necessarily. There's a big sifference in "ping" every minute but leave connection open vs. Ping every 5, but teardown all my connections down immediately.

The latter is far worse for a mobile network. Guess which appeoach iOS uses? Noste that iOS is not the only offender.

Do a search for fast dormancy to get a whiff of the issue.
post #30 of 32
Quote:
Originally Posted by AppleInsider View Post

In a recent report, AppleInsider found that Sprint's 3G service on the 4S was nearly unusable in both San Francisco and Los Angeles.

I haven't had a problem - except in the Caltrain tunnels between Bayshore and 22nd Street. Complete loss of Sprint signal, while I see others still talking and texting merrily away (presumably on AT&T or Verizon). Otherwise, I haven't had a Sprint problem in San Francisco, whether texting, calling, using maps, etc.
post #31 of 32
Quote:
Originally Posted by now4real954 View Post

well here is what I have to say on the subject...I know a bunch of people that have Sprint service and had been dying to have the iPhone...

AND NOT ONE OF THEM IS COMPLAINING ABOUT THE PHONE OR SERVICE!!!

that is a fact...they are so happy that they don't have to put up with those pathetic, useless and downright crappy ass Android or BB phones anymore...

+1

Been with Sprint since 1998; I've never seen enough material difference between any of the carriers to justify the hassle of changing; I'm fully pleased with Sprint's performance vis a vis the iPhone, with the exception I noted in a post above.

And my BB - still trying to decide the best way to off it...
post #32 of 32
Maybe the excess data usage is from all those Andridiots watching crappy flash videos?

Sprint is investing in 3G iPhones for data efficiency while everyone else is investing in the even more-efficient LTE technology. Way to go, Sprint!
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