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CNBC’s Goldman: Apple deal with Verizon for iPhone ‘unlikely’
Tuesday, April 28, 2009 - 06:25 PM EDT

Today, there's "a new round of rumors swirling that Apple has entered into negotiations with Verizon to offer a new iPhone and a new tablet device, what BusinessWeek calls a 'media pad' that plays music, videos and displays digital photos. The BusinessWeek story follows a similar story in USA Today yesterday that Apple and Verizon had opened up discussions," Jim Goldman reports for CNBC.

"All of this comes as speculation begins to grow that Apple might be interested in ending its exclusivity arrangement with AT&T, since the partnership's original contract ends next year," Goldman reports. "I asked Apple this morning if the exclusivity deal with AT&T and iPhone covers just that one product or all wireless devices that Apple might want to release, such as a new version of iPhone, or that media pad referenced above. Apple won't comment at all about the terms of its deal with AT&T."

"Apple won't comment on these specific rumors, but instead reiterates the powerful partnership it enjoys with AT&T as way to diffuse this story," Goldman reports. "Officially from Apple this morning: 'AT&T is a very good partner and we believe that they're the best wireless provider in the US. They have done a very good job with iPhone, putting the full force and weight of their company behind it. We're very happy with the relationship that we have and do not have a plan to change it.' And this: 'From a technology point of view, Verizon is on CDMA and we chose from the beginning of the iPhone to go with GSM and focus on one phone for the whole of the world. We believe that CDMA doesn't really have a life to it after a point in time.'"

Goldman writes, "At this point, based on the facts and statements from AT&T, Apple, and even Verizon's nebulous we've-talked-but-we're-not-saying-what-about comments, I have to believe an iPhone deal with Verizon falls squarely in the camp of 'unlikely.'"

More in the full article here.

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Apr 28, 09 - 06:29 pm Comment from: rumour mill

well Jim Goldman would know for sure wink

Apr 28, 09 - 06:34 pm Comment from: Smarty

Well AT&T;goes ahead and sells phones from other makers, even advertises their own iPhone copy.

So why shouldn't Apple go ahead and make deals with other carriers and give us customers a choice?

Apple is finally getting around the idea that having both matte screen and glossy screen computers available for it's customers needs.

So why not their phones?

The object is to do like the iPod, smother any resistance.

Learn Apple, learn!!

Apr 28, 09 - 06:45 pm Comment from: bildad

There's also a really good take over on roughlydrafted about the USA Today article.

Apr 28, 09 - 07:00 pm Comment from: My Loins

My loins are in such a bind because of this news. It is so erotically exciting.

Apr 28, 09 - 07:02 pm Comment from: dave

The only reason for these Verizon stories would be for Apple to be able to stick AT&T;for more exclusivity money...

Apr 28, 09 - 07:03 pm Comment from: ken1w

@ Smarty

Because Apple is famous for improving customer satisfaction by REDUCING choice. It's part of their philosophy.

Apr 28, 09 - 07:34 pm Comment from: Nutcracker

Goldman writes, "At this point... I have to believe an iPhone deal with Verizon falls squarely in the camp of 'unlikely.'"

File this article in the 'No Sh*t, Sherlock!' drawer...


If nothing else than the fact that Verizon floated this story to a paid shill in order to make it look 'legit', hoping it would get glommed on to by some other sycophantic / lazy-ass 'Tech Journalist', thus making it look like a legit ('anonymous un-named sources at the highest level', bullcrap) story.

Time for a reality check: Verizon has been losing thousands of customers to iPhone / AT&T;since the iPhone's introduction. Verizon needs to staunch the bleeding. Since they have *ZERO* hardware possibilities in the pipeline to compete with iPhone, they need to create the illusion of an impending 'deal'. It's called VAPORWARE!

3 words to describe any possible Apple / Verizon iPhone deal:

1) not 2) gonna 3) happen.

Apr 28, 09 - 08:31 pm Comment from: Funny Question

Did Rob Enderle die or retire?

Apr 28, 09 - 09:07 pm Comment from: random iPhone user

"So why shouldn't Apple go ahead and make deals with other carriers and give us customers a choice?"

Because AT&T;is basically paying them not to. It's unheard of for a hardware company to get a cut of a monthly subscriber's payments yet that's exactly what Apple managed to do.

Apr 28, 09 - 09:25 pm Comment from: hardmanb

Verizon could be using these rumors to give them clout in negotiations with Microsoft for the delivery of a Microsoft mobile phone or (line) of mobile devices.

MS already has announced the release of a mobile OS to compete with Apple, and Microsoft is so big that they just don't believe that MS cannot compete with Apple and Google in the expanding mobile market.

Apr 28, 09 - 10:01 pm Comment from: silverhawk

Verizon Wireless CEO Lowell McAdam is reported to have said "In the last six months, I have talked to Steve Jobs,...'"

I would bet the only thing he asked Steve if he wanted non-dairy creamer in his coffee or sprinkles on his yogurt.

Apr 28, 09 - 11:04 pm Comment from: blah blah blah...

everyone has to also remember, Apple has chosen it's customer base that they want to focus onto. All those survey's people take actually play a huge role on their decision making. Look at the position of their Apple Stores, high end areas, You can't put the iPhone in the same level field as PCs and iPods, because of limited service providers and signal choice, Apple chose the world market which they would sell more phones total, than trying to sell two different phones.
The other thing is. Look at at&t;on how their main branch is marketing themselves. Their new commercials are going after how earth friendly they moving themselves, and how they're helping a smaller carbon footprint. Sounds familiar? Yeah I think apple and at&t;are working quite well in more ways than just a cell phone.

Apr 29, 09 - 08:50 am Comment from: Predrag

Random iPhone user:

It isn't unheard of. RIM has been getting monthly cut from carriers for a very, very long time (long before first iPhone). For them, it wasn't that difficult to justify it, since they're operating that data centre in Canada, through which all Blackberry mail has to go.

Regardless, the 3G iPhone subsidy is a one-time upfront payment without monthly kickback anyway (i.e. just like all other cellphones, only much fatter). Even so, this gives Apple plenty of reason not to really consider spending R&D on development of CDMA phone that will address 5% of global market. Some research has shown that there would be a theoretical maximum of about 3-4% of additional sales that Apple would possibly get if it made iPhone available on Verizon. These would be the people who don't have AT&T signal, or don't want (for some reason) to switch to AT&T. This is really not worth it for Apple.

So, no Verizon today, tomorrow, or for the next at least few years.

Apr 29, 09 - 02:16 pm Comment from: KingMel

I believe that AT&T will find that Apple is a very loyal and dependable partner as long as that is reciprocated. If AT&T takes a bad step. AT&T will find that Apple has a long memory when wronged.

May 01, 09 - 11:52 am Comment from: Tommy Boy

AT&T;AT&T
AT&T

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