AT&T not worried about iPhone exclusivity; Verizon voice & data rumor

Posted:
in iPhone edited January 2014
Soon after an AT&T executive said on Wednesday that his company doesn't feel threatened by the prospect of an Verizon iPhone, a new rumor surfaced that Verizon's iPhone could offer simultaneous voice and data transmission over a precursor to its LTE 4G network.



Boy Genius Report relayed a rumor on Wednesday that a new Verizon iPhone could run on a Voice over Rev. A, or VoRA, network. This connectivity could allow simultaneous voice and data connections, which is not currently available on the carrier's CDMA network.



"According to our source, Verizon has been testing VoRA as a precursor to VoLTE, and as long as the network upgrade and iPhone release are aligned, we should see this happen," the report said. "If it happens."



If Verizon were preparing VoRA for deployment on a new CDMA iPhone, it would erase one reason that could hold Apple back from wanting to deliver the iPhone across the incompatible US networks: a confusing lack of feature parity between the two mobile networks. Apple has advertised the ability of the existing UMTS iPhone to access a data network while on a phone call.



As for the prospect of a Verizon iPhone and its impact on AT&T, Apple's exclusive carrier partner in the U.S., Ralph de la Vega, president and CEO of AT&T's Mobility and Consumer Markets division said he isn't concerned. The executive spoke Wednesday at the J.P. Morgan technology, media and telecom conference, and The Wall Street Journal liveblogged the event.



According to the Journal, de la Vega downplayed the effect the loss of exclusivity would have on AT&T. He cited his company's family talk and business discount plans, which he said are "sticky," meaning customers are reluctant to leave those plans. He said even if the iPhone is available elsewhere, AT&T believes it can retain those users.



Verizon iPhone rumors cooled earlier this year, when Apple executives defended AT&T, and partnered with the wireless carrier once again for the iPad. But the rumors picked up once again in late March, when The Wall Street Journal reported that Apple is working on two new iPhones, including a CDMA-compatible model that could run on the Verizon network. The report alleged that the CDMA iPhones will not go into mass production until September, and when the hardware would go on sale was "unclear."



Though it was recently confirmed that AT&T and Apple originally agreed to a five-year exclusive deal for the iPhone, which would have extended through 2012, contracts can be amended, canceled or breached over time due to a variety of factors. Last year, rumors persisted that AT&T's exclusive iPhone agreement expires this summer.
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Comments

  • Reply 1 of 68
    estyleestyle Posts: 201member
    It is bad form to just laugh at the competitor...isn't that Ballmer's habit?



    It also seems that the Verizon phone would come after a possible second phone for China (you know, the larger untapped market).



    I think the difficult part is that Verizon is claiming to have Voice & data on their emerging network which I would think is a lot smaller map than their existing network. Not exactly where I think people would rush off to.



    Oh and this is my first first.
  • Reply 2 of 68
    SpamSandwichSpamSandwich Posts: 30,985member
    Just how long would it take Verizon to upgrade their network to LTE anyway?
  • Reply 3 of 68
    I still find it hard to believe Apple would customize one phone for one network that i sonly available in the US and a few select south american countries. That is just not financially viable or worth it to them to do.



    But I could be wrong. I have been before.
  • Reply 4 of 68
    aaarrrggghaaarrrgggh Posts: 1,574member
    Quote:
    Originally Posted by SpamSandwich View Post


    Just how long would it take Verizon to upgrade their network to LTE anyway?



    Years. Tower coverage range is less, so it will only be economically viable to add LTE to existing towers and expand into fringe areas over a phased period.



    Until they have full coverage, they will rely on dual-mode CDMA-LTE phones.



    Just rolling out LTE at existing towers is likely a 12-month process after they start deploying in test markets.
  • Reply 5 of 68
    stevenozstevenoz Posts: 225member
    "He said even if the iPhone is available elsewhere, AT&T believes it can retain those users."





    You think you can retain NYC and SF users?? I think not.



    Even though AT&T's cell phone service is a little better than a year ago, when it was claimed that one in three calls were dropped... it still is terrible. No comparison to Verizon's call quality.



    As a result, I don't make many phone calls on my iPhone (I call mostly from Vonage on my home phone) and I currently have over 3500 AT&T rollover daytime minutes. I'll never use them. And the year-old minutes just keep expiring.



    Please, please, please Steve Jobs, let there be a Verizon phone this year. (My AT&T contract expires in August.)
  • Reply 6 of 68
    ok so if it were true about the iphone on verizon anytime soon, why....why would verizon and google along with samsung partner up to bring together tablet like devices akin to the ipad? They wouldn't.



    If you want an iphone, you must just accept that it's on AT&T and will not be on verizon for a very very long time. The new service that verizon is launching, will be flawed like all new technology is when it's first deployed....so why would apple make such a move when it doesn't have to? IT WOULDN'T.



    so the "rumors" are just rumors, and most likely are started at the verizon corperate head quarters...when i worked as a regional manager for verizon, i was always told the same thing....we're getting the iphone in however many months, make sure you let our customers know....



    yes i do know what i am talking about, and i know that those that hope of verizon iphone will be mad, just don't shoot the messenger....



  • Reply 7 of 68
    estyleestyle Posts: 201member
    Quote:
    Originally Posted by stevenoz View Post


    "He said even if the iPhone is available elsewhere, AT&T believes it can retain those users."





    You think you can retain NYC and SF users?? I think not.




    Maybe not retain, but recover them after they realize that their experience degrades on verizon with each switcher and that their price is really bad for data.



    ...but for apple it won't matter because people on verizon don't know better and might upgrade to an iphone anyway.
  • Reply 8 of 68
    blastdoorblastdoor Posts: 1,908member
    Quote:
    Originally Posted by harleighquinn View Post


    I still find it hard to believe Apple would customize one phone for one network that i sonly available in the US and a few select south american countries. That is just not financially viable or worth it to them to do.




    Verizon is probably the largest untapped market for Apple that remains in the entire world. It's large enough to make it "financially viable and worth it" for companies that are smaller than Apple and sell less profitable phones than the iPhone to make phones for Verizon's network. And by not selling the iPhone on Verizon Apple has created a safe haven for Android phones in the US. Android would almost certainly have not passed iPhone in the US if Apple were on Verizon.



    So I think you are completely wrong. Apple will be on Verizon as soon as they can.
  • Reply 9 of 68
    Exclusivity to one carrier is going to kill Apple if they keep that going for much longer. Android will push it's way through all carriers and multiple hardware models. Already starting to see that. Enough people don't like AT&T that they will just get an Android phone. Kind of reminds me of Tony Stark in Iron Man 2, confident that no one would compete to the point he got too cocky.
  • Reply 10 of 68
    estyleestyle Posts: 201member
    Quote:
    Originally Posted by briandouglas View Post


    ...

    so the "rumors" are just rumors, and most likely are started at the verizon corperate head quarters...





    seems like the rumor could benefit AT&T, based on the timeline:



    Spring 2010 - Verizon subscribers wait and hope, not buying new phones\

    Summer 2010 - Apple releases new phones, and V subs still waiting pass their 2 year commitment

    Fall/Winter 2010 - Done waiting and now without a contract restriction, the V subs give up and go to AT&T, buy an iphone.



    Spring 2011 - Feds discover the GSM Network Jammers that Verizon has been running in NYC and SF.



    AT&T - goes LTE



    Summer 2011 - iphone 5 comes out on all networks except Verizon
  • Reply 11 of 68
    mebbertmebbert Posts: 56member
    I can see why everyone is more concerned about Verizon (being so large and all), but I am more interested in whether T-Mobile will get the iPhone because it has great coverage where I live and is much cheaper.



    Is it safe to assume that T-Mobile will also get the iPhone if AT&T loses exclusivity? I know it will eventually, but I'm hoping for sooner rather than later.
  • Reply 12 of 68
    mebbertmebbert Posts: 56member
    Quote:
    Originally Posted by estyle View Post


    Spring 2011 - Feds discover the GSM Network Jammers that Verizon has been running in NYC and SF.



    Ha! Good one...
  • Reply 13 of 68
    coolcatcoolcat Posts: 156member
    Quote:
    Originally Posted by AppleInsider View Post


    Soon after an AT&T executive said on Wednesday that his company doesn't feel threatened by the prospect of an Verizon iPhone, a new rumor surfaced that Verizon's iPhone could offer simultaneous voice and data transmission over a precursor to its LTE 4G network.



    Boy Genius Report relayed a rumor on Wednesday that a new Verizon iPhone could run on a Voice over Rev. A, or VoRA, network. This connectivity could allow simultaneous voice and data connections, which is not currently available on the carrier's CDMA network.



    "According to our source, Verizon has been testing VoRA as a precursor to VoLTE, and as long as the network upgrade and iPhone release are aligned, we should see this happen," the report said. "If it happens."



    If Verizon were preparing VoRA for deployment on a new CDMA iPhone, it would erase one reason that could hold Apple back from wanting to deliver the iPhone across the incompatible US networks: a confusing lack of feature parity between the two mobile networks. Apple has advertised the ability of the existing UMTS iPhone to access a data network while on a phone call.



    As for the prospect of a Verizon iPhone and its impact on AT&T, Apple's exclusive carrier partner in the U.S., Ralph de la Vega, president and CEO of AT&T's Mobility and Consumer Markets division said he isn't concerned. The executive spoke Wednesday at the J.P. Morgan technology, media and telecom conference, and The Wall Street Journal liveblogged the event.



    According to the Journal, de la Vega downplayed the effect the loss of exclusivity would have on AT&T. He cited his company's family talk and business discount plans, which he said are "sticky," meaning customers are reluctant to leave those plans. He said even if the iPhone is available elsewhere, AT&T believes it can retain those users.



    Verizon iPhone rumors cooled earlier this year, when Apple executives defended AT&T, and partnered with the wireless carrier once again for the iPad. But the rumors picked up once again in late March, when The Wall Street Journal reported that Apple is working on two new iPhones, including a CDMA-compatible model that could run on the Verizon network. The report alleged that the CDMA iPhones will not go into mass production until September, and when the hardware would go on sale was "unclear."



    Though it was recently confirmed that AT&T and Apple originally agreed to a five-year exclusive deal for the iPhone, which would have extended through 2012, contracts can be amended, canceled or breached over time due to a variety of factors. Last year, rumors persisted that AT&T's exclusive iPhone agreement expires this summer.



    de La Vega has got to be the most STUPID and delusional executive out there. How he thinks they won't lose customers if/when Verizon gets the iPhone is beyond comprehension. Does he not know that current AT&T customers HATE their service but are stuck with a stupid contract?
  • Reply 14 of 68
    cxc273cxc273 Posts: 46member
    I'm not sure if the ability to talk on the phone and surf the Web is a major reason holding iPhone back on Verizon. If it were about making sure all iPhones everywhere had the same capabilities, it does not explain why U.S. users don't have tethering yet while most of the world does.



    As for creating a whole different iPhone that will work on Verizon's network, I've said many times that I think it's a worthy investment for Apple. Yes, it splinters things a bit for Apple, but then Apple did create a version of the iPhone for China that disabled wi-fi, so it's not like they're unwilling to do it. It seems foolish to leave all of that money on the table for Android and RIM.



    Frankly, as a Verizon customer, I've been waiting so long for an iPhone on their network that it feels like I'm chasing the horizon. Although I enjoy reading and talking about the Apple gossip as much as anyone, I'm jumping ship (albeit, reluctantly) once the new iPhone is available.
  • Reply 15 of 68
    desarcdesarc Posts: 642member
    Quote:
    Originally Posted by coolcat View Post


    de La Vega has got to be the most STUPID and delusional executive out there. How he thinks they won't lose customers if/when Verizon gets the iPhone is beyond comprehension. Does he not know that current AT&T customers HATE their service but are stuck with a stupid contract?



    de la vega didn't PASS on the iPhone 4 years ago because of visual voicemail.

    ...so who's the stupidest exec out there?
  • Reply 16 of 68
    Quote:
    Originally Posted by coolcat View Post


    ... Does he not know that current AT&T customers HATE their service but are stuck with a stupid contract?



    Not all of us... I have yet to experience any of these alleged problems with ATT. Works great at home, and all over the US for me.



    While ATT would certainly loose SOME clients, I doubt it would be a TON, What I do think would happen is that the iPhone's market share in the US would double (or more) almost overnight as all the Verizon users leap at it... could only be a good thing for Apple.
  • Reply 17 of 68
    aaarrrggghaaarrrgggh Posts: 1,574member
    Quote:
    Originally Posted by KingOfSomewhereHot View Post


    Not all of us... I have yet to experience any of these alleged problems with ATT. Works great at home, and all over the US for me.



    While ATT would certainly loose SOME clients, I doubt it would be a TON, What I do think would happen is that the iPhone's market share in the US would double (or more) almost overnight as all the Verizon users leap at it... could only be a good thing for Apple.



    I think AT&T stands to lose about 15-20% of iPhone subscribers worst-case, and over a longer period of time. Since all iPhone customers (practically) are on 2-year contracts, they have time and ETFs on their side to discourage switchers in all but their most over-burdened regions.
  • Reply 18 of 68
    Quote:
    Originally Posted by aaarrrgggh View Post


    I think AT&T stands to lose about 15-20% of iPhone subscribers worst-case, and over a longer period of time. Since all iPhone customers (practically) are on 2-year contracts, they have time and ETFs on their side to discourage switchers in all but their most over-burdened regions.



    So I put in my order for the EVO 4G and watching the recent iPhone news, I couldn't be happier to have it. The future seems bleak for the iPhones coming out over the next 2 years.
  • Reply 19 of 68
    jetzjetz Posts: 1,293member
    I don't buy the exclusivity agreement impacting Apple profits and iPhone subsidies. Here in Canada, all three national carriers sell the iPhone. All three charge the same price. I think it's a safe bet to say that all three will be putting in the same subsidy.



    Why can't it be the same in the US?
  • Reply 20 of 68
    sheffsheff Posts: 1,407member
    Quote:
    Originally Posted by roehlstation View Post


    Exclusivity to one carrier is going to kill Apple if they keep that going for much longer. Android will push it's way through all carriers and multiple hardware models. Already starting to see that. Enough people don't like AT&T that they will just get an Android phone. Kind of reminds me of Tony Stark in Iron Man 2, confident that no one would compete to the point he got too cocky.



    Totally agreed. Apple needs to be on all GSM carriers at least (though that would not grow customer base considerably) and go to sprint if Verizon continues to make fun of them. I don't think apple need different designs as much as they need a choice of colors (white and black don't do much to that respect). I don't want to see an iPhone with a physical keyboard or a slider for example.



    Anyways can't wait for a T-Mobile iPhone, hopefully that will come around soon. Here in chicago we are flat enough that even T-Mo has great coverage.
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