“The hotly anticipated Apple Tablet — or the Apple Newton II — will feature a wireless chip made by Qualcom,” Moritz reports. “This discrete little fact would confirm that Apple has chosen Verizon as its telco partner, says Northeast Securities analyst Ashok Kumar.”
“‘This makes sense for Apple,’ says Nielsen Wireless analyst Roger Entner. ‘It behooves them to build a relationship with a company they haven’t worked with yet,’ Enter said referring to Verizon,” Moritz reports.
“Having a telco partner means the price of the Verizon Tablet will be less than a Tablet purchased directly from Apple. Analysts estimate that Verizon will subsidize about $200 of the Tablet’s price and require a two-year data service plan of around $60 a month,” Moritz reports. “Apple is expected to sell the Tablet for around $800 without a subsidy.”
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