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Thu, Mar 18, 2010 - 09:05 PM EDT  —  AAPL: 224.65 (+0.53, +0.24%)  |  NASDAQ: 2391.28 (+2.19, +0.09%)

This week proved it: Most U.S. carriers simply cannot compete with AT&T and Apple iPhone
Friday, January 30, 2009 - 09:12 AM EDT

"It’s becoming clearer by the quarter that most wireless operators simply don’t have a phone or user experience that can compete with the iPhone. The financial results reported by the top three U.S. carriers this past week offered the latest evidence, with AT&T being the exception: AT&T continued to grow at a rapid pace—but mostly due to new customers coming on board because of the iPhone," Tricia Duryee reports for mocoNews.net.

"T-Mobile USA, in particular, saw minuscule customer additions despite having launched the highly anticipated T-Mobile G1. Likewise, Verizon Wireless (NYSE: VZ) placed its bets on the BlackBerry Storm, and despite hitting one million in sales, had a slight decrease in subscriber additions in the fourth quarter compared to the previous period, along with a significant drop over the year-ago period," Duryee reports. "(Sprint (NYSE: S) Nextel, which is touting the Samsung Instinct as an iPhone-competitor, will report earnings in February.)"

"The iPhone is a hit because it combines a sleek device with a popular set of services, including the Apple app store. Contrast that to what Verizon and T-Mobile are offering: The BlackBerry Storm (Verizon) doesn’t even have its own app store – or at least yet—while the G1 (T-Mobile) isn’t that great-looking, and has a store that’s limited to free apps. You can even argue, too, that AT&T hasn’t been able to figure it out, but has been just lucky enough to have an exclusive with Apple," Duryee reports.

More in the full article here.


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Jan 30, 09 - 10:27 am Comment from: GizmoDan

"has been just lucky enough to have an exclusive with Apple".

Contrast this with companies that made alliances with Microsoft over the years. Companies who's ideas were stolen. Companies who went into partnership, and then were stabbed in the back, etc. Companies like Palm who used Microsoft OS, and who now hate it enough to write their own. Companies who used Microsoft's DRM schemes only to have Microsoft drop it like a hot potato.

Jan 30, 09 - 10:28 am Comment from: Digits McGee

Cleanup in aisle one.

Jan 30, 09 - 10:30 am Comment from: Predrag

..."AT&T;hasn’t been able to figure it out, but has been just lucky enough to have an exclusive with Apple"

That is absolutely right on the money. There is a chance that someone at AT&T had the brains to forsee Apple's ability to capture consumers, but it must have only been limited to a very few people at the very top. And clearly, they made the right call.

For that reason, AT&T;has earned its right to an exclusive contract with Apple.

Jan 30, 09 - 10:33 am Comment from: cb

Moved to AT&T;for an eventual move to iPhone. I have been so disappointed in the service - that the iPhone purchase was put on indefinite hold. Probably in a pending move back to old service.

Jan 30, 09 - 10:35 am Comment from: Connor MacBook

The T-Mobile G1 must have been "highly anticipated" by everyone except actual customers.

Jan 30, 09 - 10:39 am Comment from: Pete

cb,

As with all carriers, it depends on your location.

We really only hear from users who are disappointed, not from those who are satisfied.

So, let me: I am an AT&T;iPhone user who enjoys perfect 3G voice quality and no dropped calls in my home, at work, and during my usual travels.

It all depends on your location.

Jan 30, 09 - 10:40 am Comment from: Ed

So I guess we can blame the iPhone for more layoffs. Economy just keeps getting better and better.

Jan 30, 09 - 10:42 am Comment from: Big Al

@ cb,

"I have been so disappointed in the service - that the iPhone purchase was put on indefinite hold"

I had no idea that phone companies paid people to dis the iPhone/ATT.

Jan 30, 09 - 10:47 am Comment from: Joe

Likely at&t;'s growth had nothing to do with the Bold either eh .. number for iPhone have actually slowed down and will likely keep falling as economy is killing all unneeded purchases and combined with hype of a "new" model being tested everyone will hold off until that is annouced.

Jan 30, 09 - 10:50 am Comment from: Name

Not a fan of AT&T;.

Jan 30, 09 - 11:06 am Comment from: Rike

Joe
Likely "hype of a "new" model" is from the competition hoping to slow iPhone sales.

Jan 30, 09 - 11:10 am Comment from: deepdish

I am happy with AT&T;.

I switch to cingular because sprint was dropping too many calls.

Then ATT and cingular merged.

But overall, I am happy with my service.

And the iPhone Frak'n ROCKS!!!!!!

Jan 30, 09 - 11:24 am Comment from: Nutcracker

Several other service providers had the opportunity to sign an exclusive deal with Apple for the iPhone before it was released; only AT&T;had the guts to say 'yes' to Apple... on Apple's terms. AT&T;is currently being rewarded for taking the very risk that others shunned.

Let the other carriers go cry to thier mommies. They fscked up. Too bad for them. But hey, at least they still have their 'hope'. Oh, and let's not forget 'change'.

hahahaha

Jan 30, 09 - 11:40 am Comment from: Urlow

My story (because I know you all care):

Had verizon and a razr. Loved the razr...slim, sexy. DOG SLOW os (sucked..)...was able to disable EV to save battery life (nothing on the razr I'd need the bandwidth for) but once my contract was up, I jumped to ATT with an iphone. The downgrade in ATT service (yes, verizon was better...) is MORE than made up for in user experience/device usability. The phone is used for so much more than network activity (the apps and ipod, and there's always wifi for me if the network does go down).

Jan 30, 09 - 11:45 am Comment from: cb

@ big al...

Nope - just a normal joe out here in the midwest.

If I was paid - I sort of would made an effort to mention the company I came from.

Jan 30, 09 - 11:49 am Comment from: cb

Pete,

Missed your post. That makes sense. If its any help - I'm in the St. Louis market. Fortunate enough to work in my dining room though. It never fails - I inevitably miss parts of every sentence. It's almost like a trigger that trips whenever a person starts talking again. To say its aggravating is almost a compliment.

Jan 30, 09 - 11:50 am Comment from: 8 months on AT&T;

Coming from Sprint, I figured the service couldn't be much worse. I had no distinct loyalty to Sprint. But I have to say, AT&T;service has been a disappointment. Dropped calls and lousy reception are a recurring issue. When I call members of the family also on AT&T;wireless, it is a time game... if we stay on the phone long enough, the call will drop. The data service, on the other hand, has been good.

For those of you saying "It depends on where you are," that shouldn't be the case with an outfit as big as AT&T;. I live in Portland, OR, with 3G coverage everywhere. It's a big city, and coverage should reflect that. Besides, Sprint, a much smaller network, had no trouble here or wherever I traveled for the 6 years I had it. I I was all over the U.S.

That being said, I will never give up my iPhone, and I already wonder how I got by so long without it.

Jan 30, 09 - 11:51 am Comment from: Randian

The new national pastime in the USA is hating your present mobile carrier and voicing that displeasure on sites such as these. Truly, showing how inferior, substandard, and unsatisfactory your carrier is reveals how lofty your personal standards are.

"Very little pleases me, which shouts from the rooftops that I am a superior being, one worthy of the highest veneration."

Contrary to my original expectations, AT&T;works extraordinarily well for me with the iPhone. Verizon was always spotty, at best, with my old LG. (See? I feel better about myself already.)

Jan 30, 09 - 12:14 pm Comment from: cb

Nice.... Randian pointing out that pointing out is a hobby of the snooty nose people.

My old service would drop out on our street as it made a dip down a hill. But that was it. It was great other than that - even in the dining room.

And my move was precipitated by a bit of fanyboy-ism. "If Apple is teaming with them - they HAVE to be gold."

Live and learn.

Jan 30, 09 - 01:16 pm Comment from: jonklein611

"Several other service providers had the opportunity to sign an exclusive deal with Apple for the iPhone before it was released; only AT&T;had the guts to say 'yes' to Apple... on Apple's terms. AT&T;is currently being rewarded for taking the very risk that others shunned.

Let the other carriers go cry to thier mommies. They fscked up. Too bad for them. But hey, at least they still have their 'hope'. Oh, and let's not forget 'change'."


I think Apple went to Verzion first, bet you they (verizon) are kicking themselves in the pants now.....

Jan 30, 09 - 01:18 pm Comment from: Tony

As much as some people believe that AT&T;'s service sucks compared to other carriers like Verizon, you do have to give them credit and respect for trusting Apple. While Verizon tried to force their own horrendous services & software on the iPhone when they were first approached, AT&T;recognized how special Apple is and let them take the reigns. They should at least be applauded for that.

Jan 30, 09 - 01:27 pm Comment from: Southwestern Bell Communications = Fake AT&T;Dealb

1- Some Americans actually value the law and our civil liberties. The New AT&T;(SBC tarted up with the old AT&T;name) does not and handed over private information to Former Appointed President Dubya without a FISA Court Order and continued to play ball with the Bush Crime Family. They also wired their network right into the NSA.

2- Some Americans would like broadband and AT&T;doesn't think you do. When a number of unserved communities voted to build local broadband ISPs after being bypassed by big TelCo, AT&T;took them to court to block local community owned ISPs in markets they don't even serve. Really nice.

3- Some Americans think Net Neutrality is very important- AT&T;does not. They have been among the leaders pushing for a tiered internet. They think your voice is not as worthy as theirs and that of large media companies that they will then charge for the privilege of fast lane access. The Internet- developed by taxpayers, subsidized by the public, privatized for profit by AT&T;.

4- Some Americans don't like getting ripped off for cell service. Americans pay more for crappier cell service than most of the rest of the industrialized world. No national carrier has a crappier wireless network than the "New" AT&T;. It's OK if you are in Manhattan or on Wilshire, but most of the rest of the US is very poorly served. Their 3G service is awful.

If AT&T;was giving away iPhones with a complimentary Porsche I wouldn't touch it with yours, much less mine. If there is a more unethical, consumer unfriendly bunch of wingnuts in the TelCo business I haven't seen it.

Jan 30, 09 - 01:34 pm Comment from: Tim Coughlin

The iphone is great apart from the constant sodding crashes of safari under heavy use. Fix this apple, it's lame, annoying and reminiscant of Internet explorer.

Tim

Jan 30, 09 - 01:41 pm Comment from: Rudge

Obviously both Apple and AT&T made out like a bandit with this collaboration. Both companies reaped the benefits of working together. It is so nice to see a good, well thought out plan can come together and revolutionize the industry.

I've heard lots of comments how bad AT&T is in some areas. I live near Portland, Oregon and have experienced some problems with AT&T, but nothing that I couldn't live with. I wonder if there is any real way of testing which carrier is better in what area. Outside of asking everyone you meet with a cell phone in your town how they like their service, I'm not sure that there's any way of telling.

Jan 30, 09 - 03:20 pm Comment from: ポール

Now, if we could only get a decent service with our iPhone, like less drop calls, and service in the metro (in the DC area, for example) I would be very very very happy.
Unfortunately, it looks like the hype is getting over the technology. AT&T;sucks, and even though I love my iPhone, I just hate the carrier... SO MUCH!

Jan 30, 09 - 05:54 pm Comment from: lurker

The other carriers have no phone that can compete with the iPhone. Other than that they're all cut from the same cloth. @Southwestern Bell Communications = Fake AT&T;Dealb captured there essence rather well.

Apple - free the iPhone now. Or make the iPod Touch exactly like the iPhone except no TDMA radio. Then we could just take telephony to tcpip, where it belongs. Bits is Bits

Jan 30, 09 - 06:00 pm Comment from: Not Bill

I a no fan of ATT, but, their coverage is pretty good in the Pacific Northwest.

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