Verizon preparing for possible arrival of iPhone in 2010 - report
Verizon, the largest wireless provider in the U.S., is reportedly investing in its network to make it capable of handling extra traffic from Apple's iPhone, a company official said.
In an interview with BusinessWeek, Anthony Melone, Verizon Wireless' chief technology officer, said his company is prepared if Apple decides to end its exclusive agreement with AT&T in 2010.
"We have put things in place already," Melone reportedly said. "We are prepared to support that traffic."
The company official did not, however, comment on the prospect of the iPhone becoming available on Verizon. But various reports as of late have suggested Apple could be working with chip-maker Qualcomm for a CDMA-capable iPhone that could run on the Verizon network. While there is some debate as to whether the phone would be a dual-mode, also compatible with GSM networks, or solely CDMA, reports have pegged the new handset for a possible launch in the third quarter of 2010.
Some analysts believe a Verizon iPhone in 2010 is a very likely scenario. Piper Jaffray believes there is a 70 percent chance Apple will launch the handset in mid-calendar year 2010. With 89 million customers, Verizon would add a great number of potential customers for Apple to expand the iPhone to.
But some others believe that a deal between Apple and Verizon would be too complicated, citing the incompatibility of the current phone with its network, and also the conflicting interests between the two companies. Others have viewed T-Mobile as a potential candidate, as it and AT&T are the only nationwide GSM networks in the U.S.
Verizon has invested nearly $19 billion in its wireless network over the last three years, and made acquisitions of companies like Alltell to improve its network. Melone said his company's investment in its network is evidence that it takes its service seriously.
AT&T's network, meanwhile, has struggled since the launch of the iPhone 3GS, and key features like multimedia messaging and tethering were delayed to prevent a strain on the network. But Melone told BusinessWeek that Verizon would not have those same issues.
"We will handle it if we ever get it," he said.
In an interview with BusinessWeek, Anthony Melone, Verizon Wireless' chief technology officer, said his company is prepared if Apple decides to end its exclusive agreement with AT&T in 2010.
"We have put things in place already," Melone reportedly said. "We are prepared to support that traffic."
The company official did not, however, comment on the prospect of the iPhone becoming available on Verizon. But various reports as of late have suggested Apple could be working with chip-maker Qualcomm for a CDMA-capable iPhone that could run on the Verizon network. While there is some debate as to whether the phone would be a dual-mode, also compatible with GSM networks, or solely CDMA, reports have pegged the new handset for a possible launch in the third quarter of 2010.
Some analysts believe a Verizon iPhone in 2010 is a very likely scenario. Piper Jaffray believes there is a 70 percent chance Apple will launch the handset in mid-calendar year 2010. With 89 million customers, Verizon would add a great number of potential customers for Apple to expand the iPhone to.
But some others believe that a deal between Apple and Verizon would be too complicated, citing the incompatibility of the current phone with its network, and also the conflicting interests between the two companies. Others have viewed T-Mobile as a potential candidate, as it and AT&T are the only nationwide GSM networks in the U.S.
Verizon has invested nearly $19 billion in its wireless network over the last three years, and made acquisitions of companies like Alltell to improve its network. Melone said his company's investment in its network is evidence that it takes its service seriously.
AT&T's network, meanwhile, has struggled since the launch of the iPhone 3GS, and key features like multimedia messaging and tethering were delayed to prevent a strain on the network. But Melone told BusinessWeek that Verizon would not have those same issues.
"We will handle it if we ever get it," he said.
Comments
Verizon has definitely been better at buiding out it's network than ATT. I'm sure they've taken this time to learn from ATT's failures.
Are there any statistics that show the volume ofdata traffic in AT&T and Verizon? And what increase would the iPhone bring?
We really don't know how well Verizon will actually do.
Jason
Isn't Verizon supposed to start activating a LTE network next year? Maybe a gsm/lte version of the phone, since I though that both At&t and Verizon were going to that technology.
Jason
i think vzw is still going to use CDMA as the voice backbone as it is a better voice quality codec and LTE as data. LTE wont just be magically switched on and CDMA cut off. it will be gradual.
also, i think LTE is going to be rolled out starting in 2011 ( i could be wrong on this date tho ).
But some others believe that a deal between Apple and Verizon would be too complicated, citing the incompatibility of the current phone with its network
There are no technical or economic barriers to getting an iPhone on Verizon. The only thing preventing it from happening is the two companies agreeing to do it. Everything else is trivial.
Are there any statistics that show the volume ofdata traffic in AT&T and Verizon? And what increase would the iPhone bring?
We really don't know how well Verizon will actually do.
Not sure but if Apple took the iPhone to Verizon, it would also solve two problems.
1) Allow Verizon customers to get the iPhone.
2) AT&T bandwidth issues would improve since many people would switch to Verizon.
WIN-WIN
i think vzw is still going to use CDMA as the voice backbone as it is a better voice quality codec and LTE as data. LTE wont just be magically switched on and CDMA cut off. it will be gradual.
also, i think LTE is going to be rolled out starting in 2011 ( i could be wrong on this date tho ).
There is also a big difference between "rolling out" and "ready for widespread use".
The LTE network may have issues with coverage initially as well.
My neighbor who works for Verizon in their network division told me that they have been working on prepping their network to support the iPhone. Take it for what it's worth.
in the end it means nothing. they could be doing to so they can brag that, unlike ATT, they can support that level of traffic. for the Droid and everything else. It does NOT equal that there will ever be a Verizon phone at this point. when LTE is living large as THE connection sure. by that point the phone could be unlocked and a free for all game. but right now. maybe maybe not
I myself am with the nots. in fact I don't see much happening with the 2010 iphone other than perhaps a slightly better camera, better battery, bigger storage and maybe one more color choice (probably a silvery gray). I suspect that 2010 will be the release of a new iphone os device, namely the tablet. that will be the IT for the year. announced in say feb but release in late june/early july to give folks time to create content. and we'll find out that the contract with ATT is up and all phones sold at that point and after will be sim unlocked and all current phones will be unlocked under conditions x,y and z. and the tablet will be unlocked and that is what the dual chips were for.that way they can tap the market for those that live in ATT dead zones, never saw the appeal of such a tiny screen for email etc so why get a phone or want a netbook. they can add a data only line on whatever service they are on instead of having to change. or since the phone part would be optional they could use it as a wifi only tablet. win, win and win
Verizon, the largest wireless provider in the U.S., is reportedly investing in its network to make it capable of handling extra traffic from Apple's iPhone, a company official said.
In an interview with BusinessWeek, Anthony Melone, Verizon Wireless' chief technology officer, said his company is prepared if Apple decides to end its exclusive agreement with AT&T in 2010.
"We have put things in place already," Melone reportedly said. "We are prepared to support that traffic."?
"We will handle it if we ever get it," he said.
An update of an interview published in the April 27, 2009 issue of Business Week? i.e.,
Verizon Wireless is warming to the idea of an Apple (AAPL) partnership. Verizon Wireless is in talks with Apple to distribute two new iPhone-like devices, BusinessWeek has learned. Apple has created prototypes of the devices, and discussions reaching back a half-year have involved Apple CEO Steve Jobs, according to two people familiar with the matter.
One device is a smaller, less expensive calling device described by a person who has seen it as an "iPhone lite." The other is a media pad that would let users listen to music, view photos, and watch high-definition videos, the person says. It would place calls over a Wi-Fi connection.
My neighbor who works for Verizon in their network division told me that they have been working on prepping their network to support the iPhone. Take it for what it's worth.
I've been hearing these anecdotal rumors all over the place myself. I wonder if the contract with AT&T is through 2010 or til the new hardware in June.
There are no technical or economic barriers to getting an iPhone on Verizon. The only thing preventing it from happening is the two companies agreeing to do it. Everything else is trivial.
Verizon is CDMA not GSM and LTE ain't everywhere so a Verizon iphone would need CDMA to fail back on.
thus a whole second line of phones would have to be made, meaning double the models for staff to juggle around, etc.
so yes there are technical and economic barriers, once the 'trival' part is settled.
as for those BusinessWeek articles, they say that Verizon would love to play with Apple. Nothing about Apple being willing to play
"We have put things in place already," Melone reportedly said. "We are prepared to support that traffic."
So I guess the Droid isn't challenging their network then? Is this a tacit admission that it's not the big deal that was hyped a month ago? (Just like the Palm Pre earlier in the year?)
So I guess the Droid isn't challenging their network then? Is this a tacit admission that it's not the big deal that was hyped a month ago? (Just like the Palm Pre earlier in the year?)
i dont think thats the case. i think its more of the case that the typical iphone user uses more data than anyone else.
Verizon is CDMA not GSM and LTE ain't everywhere so a Verizon iphone would need CDMA to fail back on.
thus a whole second line of phones would have to be made, meaning double the models for staff to juggle around, etc.
so yes there are technical and economic barriers, once the 'trival' part is settled.
as for those BusinessWeek articles, they say that Verizon would love to play with Apple. Nothing about Apple being willing to play
When Apple was looking for a partner for the iphone, they took it to verizon but could not come to an agreement. This means that the iphone was both cdma and gsm capable from the start. They could easily sell both types without a hitch.
thus a whole second line of phones would have to be made, meaning double the models for staff to juggle around, etc.
Yes, how could the Apple Store staff possibly handle the jump from 5 SKU's to 10? They'd probably need months of intense training for such a massive increase in available items.
When Apple was looking for a partner for the iphone, they took it to verizon but could not come to an agreement. This means that the iphone was both cdma and gsm capable from the start. They could easily sell both types without a hitch.
A source to back up that statement would be interesting to read.
Just because Apple approached Verizon early on doesn't mean that they had the radio components all worked out in advance.