Verizon CEO: We don’t need no stinkin’ iPhones

“With the Apple iPhone launch less than two weeks away, Verizon sees its services and not a new iPhone-killing handset as the way to compete against rival AT&T, said CEO Ivan Seidenberg,” Marguerite Reardon reports for CNET News.

“When asked if he thinks the company will take a hit from subscribers ditching Verizon Wireless’ service for AT&T’s he said he believes that Verizon is in a very good position. Verizon Wireless has long enjoyed strong customer loyalty with one of the lowest churn rates of any major wireless operator in the country,” Reardon reports.

MacDailyNews Take: You’ve got about 9 days left of enjoyment, Mr. Seidenberg.

Reardon continues, “‘The iPhone will add excitement and stimulation to the market,’ he said. ‘If we have done our job, then we will be a beneficiary. I hope it does reasonably well.’ But a ban imposed earlier this month by the International Trade Commission on handsets that contain some 3G, or third-generation, Qualcomm technology could throw a monkey wrench into Seidenberg’s plan, if the issue isn’t resolved.”

Full article here.

[Thanks to MacDailyNews Reader “Adam W.” for the heads up.]

181 Comments

  1. “With the Apple iPhone launch less than two weeks away, Verizon sees its services and not a new iPhone-killing handset as the way to compete against rival AT&T”

    Well that says it all, folks. Services.
    The Misunderstanding of the American Consumer Market is complete.

    This is gonna be a blood bath.

  2. In Denmark the carriers can only bind you for a period of 6 months, so once (if) the iPhone is released here, the waiting time to cut loose from your carrier is a lot less. Actually I get my phones unlocked and use a cheapo sim card. Better in the long run.

  3. Narrow minded thinking.

    Verizon’s customers aren’t going to jump ship, but Sprint and T-Mobile customers (myself included) are going to run to every Apple store and At&t store come June 29th.

    The enemy of my enemy is my friend.

  4. In other words, Verizon isn’t even going to try to fight it. At least the guy is more realistic than these other idiots out there claiming they will have an “iPhone equivalent” coming out within 2 months….

  5. @ChrissyOne

    I’ve had the misfortune of stumbling over most of your ramblings, and it strikes me you probably haven’t got any AAPL shares whatsoever!

    If bullshit was equity THEN you’d be a rich man(?), until then keep dreaming.

  6. @ChrissyOne

    I’ve had the misfortune of stumbling over most of your ramblings, and it strikes me you probably haven’t got any AAPL shares whatsoever!

    If bullshit was equity THEN you’d be a rich man(?), until then keep dreaming.

  7. @ChrissyOne

    I’ve had the misfortune of stumbling over most of your ramblings, and it strikes me you probably haven’t got any AAPL shares whatsoever!

    If bullshit was equity THEN you’d be a rich man(?), until then keep dreaming.

  8. @ChrissyOne

    I’ve had the misfortune of stumbling over most of your ramblings, and it strikes me you probably haven’t got any AAPL shares whatsoever!

    If bullshit was equity THEN you’d be a rich man(?), until then keep dreaming.

  9. what Verizon is saying is that they have the best network here in North America. They are not concerned about iPhone taking customers from them because they are fairly confident that once reports start coming in that the iPhone is great, but the AT&T network sucks big time, they will not lose any customers.

    in other words, the network will be the achilles heel for the iphone, bringing customers back to Verizon.

  10. hahaha pudding you are funny….

    i am not even bothering to sell my stock, and we are getting 2. and i know several others at my wifes company are. and several at my brothers. and several are going to be picked up by others at the uni….

    here is a hint for ya pudding. try banging the rocks together. eventually everything comes outta that first spark.

    MW “imagine” how much more often he could post if he had faster than 14.4 dialup. welcome to the new century.

  11. Back on subject amidst the arguing,
    Mr. Seidenberg will have no one to blame, as Apple gave him first opportunity. There is no way this guy is not second guessing himself, as the hype has just begun.

    For some reason I always thought CrissyOne was a different gender.

  12. All you Verizon sufferers talking about jumping ship… You must realize that you are spending a Wednesday afternoon on an Apple-Centric discussion board chatting about how iPhone is going to cause non-AT&T carriers harm.. You are hardly the “average” Verizon customer.

    No offense, but most of the world doesn’t give a damn about this stuff.

  13. “Then maybe you should lay off the hooch, you drunk bastard.”

    guess that explains the new multicolor splotch i saw in the ad area. i thought it was an adobe ad!

    people should have to clean up before they refresh a page when they do stuff like that…..

  14. I remember how when the iTS was launched, and Apple had hoped it would sell a million tracks in a month.

    It sold a million tracks in less than a week.

    I see the same thing happening with the iPhone, despite all of the naysayers predictions.

    Apple will sell a million phones within a month, if not sooner. Count on it.

  15. “No offense, but most of the world doesn’t give a damn about this stuff.”

    no, but a lot of people care about buying the iPhone. and when they are told they will have to change companies, they will think a second and then say “OK”

    …because you are right. they don’t care about that stuff. they care about the shiny toy with the slick on screen buttons. wait and see.

  16. “For some reason I always thought CrissyOne was a different gender.”

    Oh, didn’t you hear? Tommy thought he was being clever by posting a link to my MySpace. Took some heavy detective work, considering it’s the very first Google hit and all, and it’s all information I posted my self on a public site. Way to go, Tommy, my secret is out! (get it? har!)

    Will you be my publicity manager?! ;P

    -c

  17. I’d agree that Verizon isn’t planning on fighting the iPhone. At least not yet.

    From the full article, Verizon CEO Seidenberg says, “The way we see it, our customers have price points and service packaging that is different.”

    It’s sounds like Verizon’s assumption is that the iPhone is a luxury product that a good number of their customers either don’t need or can’t afford. That’s not to say that it isn’t a highly desirable product, though. This “do nothing special” strategy could be fatal if the iPhone follows the RAZR’s path. After all, the RAZR started as a “luxury” phone then quickly moved down-market.

    With AT&T’s 5-year lock-up, Verizon really starts to sweat if (and when) the iPhone’s price point drops to the $200 – $300 range.

  18. My oh my the A-holes are out in force today.

    @ pudding & pie…don’t confuse us with people who actually care about what you say….

    @C1….Don’t get your brakes done…you’ll have an excuse for the judge when P&P becomes a sidewalk pizza

  19. All I can say, as a longtime Verizon wireless customer, is, I hope Verizon bites the very big one this time around. There is nothing like the extreme arrogance of the really really big corps, especially when we’re about to watch them eat dork pork. Obviously not having the iPhone isn’t going to kill them, but it could definitely hurt. Yeah baby, that’s what I’m talkin about!

  20. “When asked if he thinks the company will take a hit from subscribers ditching Verizon Wireless’ service for AT&T’s he said he believes that Verizon is in a very good position. Verizon Wireless has long enjoyed strong customer loyalty with one of the lowest churn rates of any major wireless operator in the country”

    They enjoyed my family as customers, we had as many as 5 phones at one point, for years. In total we were customers for over 10 years with Verizon Wireless.

    We’ve already switched to Cingular/AT&T and are in line for iPhones.

    Bye bye Verizon!

    MDN “example” as in my family is an example of things to come, Verizon!

  21. The vast majority of iPhone buyers will be in urban areas, where the carrier really doesn’t matter much. I’ve been a Sprint customer in Kansas City, 15 miles from their corporate headquarters, and had dropped calls. I’ve been a Verizon Wireless customer for 3 1/2 years now, and have had dropped calls in Kansas City, Phoenix, LA, and other areas.

    I’d buy an iPhone even if it was Joe’s Wireless service. Apple won’t let AT&T or anyone else have poor service for their product. I’m sure they have minimum requirements in their contract with AT&T regarding coverage, dropped call rates, etc., and a termination clause if AT&T fails to meet service requirements.

    Jobs is not about to let the iPhone suffer due to bad service. Don’t forget, AT&T was spending a lot of money updating towers and other service infrastructure over the past few months. They’re not doing that just coincidentally with the coming of the iPhone. Apple forced them, or no iPhone (or quickly being able to offer iPhone to other carriers).

  22. When you talk about customer satisfaction with wireless carriers, it’s not about who you like best, It’s about who sucks less. I don’t know a single person who loves their wireless company.
    They all make you sign a contract, then treat you like sh*t because they know it will cost you dearly to leave. Nobody who wants an iPhone will stick with their current carrier out of loyalty.

  23. My current plan (4 phones – $130 a month) with Verizon ends in December.

    I’ve resisted several offers of free phones, extra minutes, etc the past 2 months. Each offer included a new 2-year extension.

    My Verizon plan is up midway through December.
    Do you hear me, now?

    The sad thing for Verizon is — they passed on the iPhone —
    They didn’t want it.

  24. ChrissyOne: “Would you like to explain how 50 million people could afford a RAZR?”

    Certainly. It’s a nice looking phone that costs nothing when you get it with a plan.

    50 million people did not buy a RAZR at $499. 50 million people will not buy an iPhone at $499.

  25. “Oh, didn’t you hear? Tommy thought he was being clever by posting a link to my MySpace. Took some heavy detective work, considering it’s the very first Google hit …”

    If you’re that slim blonde girl you’re very pretty, but, OMG, the site’s not. The design made me ill, and it autoplays some really weird music, like you’re a serial killer or something. Plus it killed Safari. I was just applying the 10.4.10 update to my Mac, so I looked at it on a Windows box in Safari for Windows. It froze it and I had to force-quit.

  26. I have Verizon now – quite happy with it. Will buy an iPhone and convert to ATT. Will just let old contract expire. Not even gonna try to get out of it. So in that regard, Verizon will do quite well by me. They get their monthly and don’t even have to provide me service.
    I do wish they had been the one to partner with apple. Still, I’m switching.

  27. I’m not leaving Sprint for several reasons.

    1) A phone isn’t that important to me.
    2) I carry my laptop with me all the time.
    3) I’ve got EVDO access for my laptop which blows away EDGE networking.

  28. “s: Achilles is right. ATT’s coverage in rural area are poor. If I drive down south or west one hour from where I live, Verizon is the only reliable carrier.”

    as a cingular customer for 12 plus, i encountered endless no coverage areas in the southeast. the final straw was having to look for a phone booth (very difficult these days) in the mall, while watching verizon cell phones being used.

    i really like the iPhone but not if the carrier is unreliable.

  29. All this talk about how “bad” the AT&T Network is makes me wonder: is it, in fact, that bad? Are there any national studies someone can post that compare them on other than an anecdotal basis? I live in Southern California, and I can tell you my AT&T/Cingular coverage is great — much much better than the T-Mobile network used by my wife’s Sidekick.

    That said, I returned a Treo 600 I’d ordered before the January SteveNote, and will be waiting with my aging Treo 300 (that can’t access most of the world’s websites any more) for the first hands-on reviews of the iPhone. I’ve been ignoring the hype as well as the FUD as best as I can. Basically, when Walter Mossberg (of The Wall Street Journal) says the iPhone is ready from primetime, I’ll be there.

  30. Once again, some astroturfers have turned up!

    Firstly, when you buy an iPhone for $499 or $599, you’re also buying a video-capable iPod nano which would arguably have a street-value of $225 – $275 if sold as a separate unit.

    That means, you’re really paying around $325 for what could be termed a ‘lifestyle’ smartphone with a near complete web browser experience (I do worry about the lack of Flash or Java support, but – in comparison to WAP – it’s a leap forward in terms of mobile web access).

    Given what I’m currently looking at on Verizon’s PDA/Smartphone page at that price-point, I’d say that Mr. Seidenberg is whistling in the dark: none of the US networks can say that they have either great customer service or pervasive national coverage. As a result, the only thing any CEO of any of the mobile networks can hope for is a “halo” product that is seen to lift the reputation of the brand.

    The big question is: Is the iPhone a “halo” product?

    And the answer is: I don’t know – and nor does anyone else here!

    My personal gut instinct is that there’s a fair chance of seeing chaos next Friday evening, complete with pictures at 11 on many local news stations. I’d even go further and state that by the end of the weekend (1st July), Apple and AT&T will have pretty much sold off the initial inventory which I suspect is around 1.0-1.25 million units.

  31. ” chaos next Friday evening, complete with pictures at 11 on many local news stations “

    The 6PM launch was timed for the network nightly news to cover in all 4 time zones. The price for this publicity is,.well, priceless

  32. “What’s w/all the cr*p directed at ChrissyOne?
    ChrissyOne is one of the more intelligent posters at MDN.”

    i suspect that most of it is due to the gender issue. it is amazing how many “men” can’t stand the idea of an intelligent woman. add to that the fact that she is more attractive than any woman that ever speak to these sub-human cretins, and you have an abusive situation….

    MW: they are so “close” to evolving. and yet so far away.

  33. @ ChrissyOne:

    I take long breaks from MDN occasionally, so forgive me if I’m stating a longstanding ‘obvious’ … but what the hell is going on with these idiots? You were one of the more popular posters on this sight last time I paid attention. I expect to see such vitriol whenever Al Gore’s name is mentioned in a story here, but against you …? Did you kill someone’s pet rock or something?

    Ah. Waitaminute. I think I just answered my own question. You must have championed an anti-Bush argument, or something similar to that. Right? And knowing you, it was probably witty & unassailable, thus driving the Bush-Zombies crazy with rage. And since the last refuge of the clueless is harassment, well, that would explain things (especially the ‘commie/terrorist-lover’ remarks – I mean c’mon people … are we not out of the 1950s yet?).

    >heavy sigh<

    When will you doofuses learn? Talk is cheap, and internet taunts are the cheapest talk there is. If you’d step back a minute you might realize that you all just sound like a bunch of schoolyard burnouts; complete with lame taunts against the popular girl & laughing amongst your loser-selves cause no one else can stand you or your jokes. It’s really kind of sad, but I guess we really don’t ever really mature much past high school.

    Still, I’m not a fatalist by nature – our future is in our own hands! So do you think, maybe, we can put all the past slights – perceived & otherwise – back in the toybox and elevate the discourse here just a little? Above recommending hysterectomies at least? Thanks.

    Yours truly,

    The Adult Table ” width=”19″ height=”19″ alt=”mad” style=”border:0;” />

  34. To AppleGuy,
    “Knobs”? Eureka! That’s what the iPhone needs – KNOBS !!!
    The screen on one side, and lots of knobs on the other. And maybe a few rocker switches on the perimeter. The world was a much better place when all we had were our knobs.

  35. pudding and pie

    Just because you can’t afford an iPhone doesn’t mean everyone else can’t as well. The same goes for AAPL stock. Don’t make the mistake of thinking that just because you lack certain things (I will not go into detail), everyone else does as well.

  36. @C1
    All I wanted to say is good for you for not taking crap from anyone. This country needs more people who stand their ground. And I have to say I saw your myspace, and just wanted to say. DAMN Girl, fiery hot and has a mind of her own. Don’t change

    @pudding & pie
    Grow up, you got beat by a girl, and if you were a real man, what’s up with pudding & pie. That has to be the lamest SN I have ever seen on a forum.

  37. Lets not get too excited. It is probably true that the iPhone will not make a big difference for other carriers in the SHORT term. Apple’s priced it at the top end of phone categories which represents the smallest percentage of any carrier’s customer base.

    As time passes though and Apple starts to “iPod” the market going progressively for lower price point chunks of the market, then the other carriers will start to have some real concenrs. By then, however, the exclusive deal with AT&T might be just about to end and Apple will have a strong bargaining position.

  38. @SpecialForces
    Come home soon from Iraq, and safely. I have th utmost respect for our serviceman for what you do. And hopefully you can get an iPhone when you get home. After all that is what this is for, lol

  39. I’ve been fortunate enough to have attended three of the rock shows that some people refer to as Apple Store openings. I’m hoping to stop by two or three stores on the 29th, to see and take pictures of those in line. I hope to post the pix.
    Is anyone else interested in such an endeavor?
    I expect to cover Baltimore, and maybe Annapolis.

  40. Whistling passed the graveyard, verizon is… I never cease to be amazed by the techies so immersed in the mechanics that they miss the desires of the end user. I am an att customer with a razr… interface and quick navigation is really what rules… as nice as the Mot interface is, it is often just inane…too many clicks to get where you wish… It is not the bells and whistles..it is the mindless ease of navigation. Just like a Ford model t and a 2006 Camry… no toolbox needed to drive the Camry…

  41. The iPhone probably will not cause any huge changes in the cell phone industry on June 29th. But the iPod didn’t threaten the music industry, the film industry or the other MP3 manufacturers when it was first released. Today, the iPod has changed the world…the iPhone will too. It just won’t be instantaneous.

    BTW, nice myspace page ChrissyOne.

  42. There are dead spots in their service all along the MASSACHUSETTS TURNPIKE. How long does it take to provide service along the entire length of the most-used highway in Mass.? Hmm, more than 5 years, which is how long I’ve had service(!) with them…

    Service is the LAST thing on their minds.

    Did I mention that Verizon blows chunks?

  43. > with one of the lowest churn rates of any major wireless operator in the country

    Verizon has “one of the lowest” of a major carrier. Let’s see… Verizon, Sprint, AT&T, T-Mobile… Yeah, I’d say they are “one” of the top four or five.

    Considering the iPhone was announced in early January, and end of June is about six months, I’d say Verizon has up to 18 months until all of their two-year contracts to expire. Let’s see how loyal those customers are between now and then.

  44. I am a Verizon customer whose contract ends at the end of June. Great timing — coincidental. I cannot see myself committing to a contract from Verizon — why should I? They don’t sell Apple phones!!! Instead, I’ll be heading over to AT&T, and might actually get an iPhone (or something else from AT&T).

    Verizon has nickel-and-dimed me too much to hold any alliance with them. They are not someone that I care that much about doing business with. Maybe if they had treated me better.

  45. Yeah, they are not afraid.
    My contract expires in 4 months, I am eligible for new phone in 2 months, and already, I have received 2 or 3 phone calls (on Sunday morning!) from Verizon that they can give me new phone now, so I don’t have to wait.
    My response, “do you have iPhone?, no?, sorry, bye.”

  46. @ pp

    You’ve got no leg to stand on if you’re going after ChrissyOne, so back the fsck off. We don’t mind honest disagreements around here, but we won’t stand for mercilessness (especially from the likes of YOU, Ming.)

  47. Yes it is indeed a sad day when the parents of these kiddies (yes you P&P) let their kids loose on the internet with their Dell machine. I look forward to reading MDN because we have many inciteful comments by the likes of C1 and -piss in my pants- funny vomments from TMF and TowerrTone. Sorry for the ones I mussed but these people immediately came to mind.

    P&P…pick on TMF and TT…I imagine the comebacks they’d write would be good enough to put in a book and sell. Either that or give C1 your home address. We’d all buy tickets to go see her test her car brakes.

    Go back to your PC and Vista you little chickenshit.

  48. I said vomments and mussed rather than comments and missed on purpose….

    Nah, I cannot tell a lie, I am a spelling idiot who doesn’t proof his comments when writing pissed (as in angry…not the other ‘Hank the Piss Tank’ pissed).

  49. My partner and I will be jumping from the Verizon ship as soon as possible (we were ready and waiting to do so at the iPhone announcement back in January). We both got burned by Verizon with the Motorola v710 fiasco (and resulting class action lawsuit) a while back. The only advantage Verizon has here in Washington, DC, is that they still hold a monopoly on wireless access within DC’s Metrorail subway tunnels. I understand that that’s supposed to change in the near future however. ” width=”19″ height=”19″ alt=”grin” style=”border:0;” />

  50. Did anyone else notice that the phrase “we don’t need no stinkin’ iPhones” doesn’t actually appear anywhere in the article. You would almost think it was MDN once again resorting to gutter press tactics to try and gain hits. Naahhh. MDN would never stoop so low….

  51. “Services” – as in, the Verizon service quality SUCKS at the new place I just moved to (and not only in the house, but all the way down the sidewalk). Have to sit in one exact spot in the house to hear the other person on the phone. “Can you hear me now?” I am not exactly in the boonies, either – I’m less than a mile from downtown.

    Thinking about switching to AT&T (housemate has it and it works fine) – probably just a regular phone for now, but then when iPhone Rev2 comes out, I will be ready….

  52. Let’s just settle this once and for all, okay? The iphone sucks. It’s locked into one network, it’s highly inefficient, and it’s woefully expensive. Despite their claims, I will assure you that the battery will NOT be as everlasting as they say.

    iPhone. Pretty to look at, but who’s gonna buy one? It’s just a nice-looking, but rather useless POS.

  53. Let us look at the history of previous “glorified anticipated handsets” the world has seen so far.

    Star Tac Flip
    Blacberry 7000 series
    Moto RAZR
    T-Mobile Sidekick
    ————————–
    All of these phones generated buzz, similar but not quite as extrordinary the iPhone. However, we can make a pretty safe bet that like ANYTHING else in technology, The reign is quick, and the fall is hard.

    Every one will evenually complain about something hey dont like with the iPhone, maybe not being able to access Wi-Fi points, or poor call quality (apple has never manufacured a phone!) I am not here to say that the iPhone will not be an awesome phone, but merely to say Verizon has no reason to fear the iPhone. After all, verizon had the oppurtunity to get the iphone and TURNED IT DOWN! When you have a 48% lion share of the industry, you don’t set new trends, you wait for them to happen and then adjust accordingly.

  54. “what Verizon is saying is that they have the best network here in North America. They are not concerned about iPhone taking customers from them because they are fairly confident that once reports start coming in that the iPhone is great, but the AT&T network sucks big time, they will not lose any customers.

    in other words, the network will be the achilles heel for the iphone, bringing customers back to Verizon.”

    Hah! Yeah right. Here in the Pacific Northwest, Verizon’s service has taken a nose dive – especially in the rural areas. They know about it but couldn’t give a rat’s ass. More and more people are switching to Cingular/AT&T in our county and are not having to pay the early termination fee because of lack of service.

    “Can you hear me now?” F k; NO! Verizon stinks!

  55. Want to take an early departure from your Verizon Contract? There’s a new service that sets up arrangements between two interested parties wanting to switch wireless carriers. Their website can be found at: http://www.cellswapper.com.

    Don’t work, have any financial, or any other connection with CellSwapper. Also, I have not personally tried their service, but probably will later this year when my wife and I get our iPhones.

  56. “Verizon Wireless has long enjoyed strong customer loyalty with one of the lowest churn rates of any major wireless operator in the country,” Reardon reports.”

    I laugh everytime I read that sentence. Of course their churn is low…add unlimited text (and sign a one year contract extension) Change your rate plan (Sign an extension)

    Verizon has been getting great publicity, but as a customer of each of the big three in the past 5 years, I can tell you, I have never been happier than with Cingular/ATT. Rollover…good idea. Early nights…good ripped off idea (but no contract extension like Sprint) and thank you for allowing me to be on the internet on my phone and also allowing me to take a call.

    I tried to send a home made ringtone from my V3xx to my friend’s Q and he couldn’t get it to come through. Why? Verizon blocks off access to bluetooth apps that might not help them make a dollar more. Verizon has long been scared, but we the buying public let them their junk because of some dork in glasses asking “can you hear me now?” Those days are over.

    One would hope the iPhone, which will be slammed for any little glitch or area of lower coverage (everyone knows by now that there is no perfect cell phone company, right?) will open our eyes to expect more from the phone manufacturers and from the service providers. I am hopeful we can see a time when Verizon will stop making me wait 2 hours for a text to go through to a friend because it has a picture attached to it. Verizon had the first chance at the iPhone and they passed…they make me feel really smart for changing to Cingular. Even if I never buy an iPhone.

    Enjoy the candy bar Verizon customers, but when you want more options with less reasons to hate your provider, come on over and let’s talk mobile to mobile!

    z

  57. yeaaa…actually I am currently a verizon customer, my two year contract ends april 2008 and I will be paying the 175 to end my verizon contract this coming friday (june 29th) to become an at&t customer equipped with an iphone!

  58. yeaaa…actually I am currently a verizon customer, my two year contract ends april 2008 and I will be paying the 175 to end my verizon contract this coming friday (june 29th) to become an at&t customer equipped with an iphone!

  59. yeaaa…actually I am currently a verizon customer, my two year contract ends april 2008 and I will be paying the 175 to end my verizon contract this coming friday (june 29th) to become an at&t customer equipped with an iphone!

  60. yeaaa…actually I am currently a verizon customer, my two year contract ends april 2008 and I will be paying the 175 to end my verizon contract this coming friday (june 29th) to become an at&t customer equipped with an iphone!

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