TheStreet: Five reasons why you won’t see a Verizon iPhone on Monday

invisibleSHIELD case for iPad“As Apple gets set to take tech’s center stage at the Worldwide Developers Conference in San Francisco Monday, many gadget fans await the company’s newest gem — a redesigned iPhone… So to help put apprehensions to rest and possibly stir up new ones, we’ve patched together the five most definitive reasons you won’t see a Verizon iPhone Monday,” Scott Moritz foments for TheStreet.

Five reasons why you won’t see a Verizon iPhone on Monday:

5: CEO Ivan Seidenberg
4: New AT&T data pricing
3: Stinking contract
2: Because Verizon said so
1: Production plans say November

Full article here.

29 Comments

  1. First and only defensible reason you won’t hear about a Verizon iPhone tomorrow: C D M A

    CDMA is crap technology. It doesn’t do data very well and can’t be upgraded from it’s current capabilities.
    We’ll see a Verizon iPhone when Verizon’s network has been upgraded to LTE. Not before. Think late 2011 if then.

  2. @ pastrychef

    Apple is loyal to ATT because ATT is willing to pay handsomely for the privilege of iPhone exclusivity.

    Also, I personally believe Apple is intentionally restricting the potential customer base for iPhone until that data center in NC is fully operational.

  3. @pastrychef

    It’s a possibility, and noble of Apple if so, but if Apple wants the iPhone to be the dominant smart phone, they’ve no choice but to expand to other carriers. In my opinion, the only reason Android gained a footing is because it’s available on other networks. People like me, who aren’t willing to switch to AT&T;(Verizon is the only thing that works where I live), bought Androids instead because it’s “good enough.” I haven’t yet bought an Android, and don’t plan on it because I want the “real” thing, but I’m also an Apple fanboy, whereas a lot of people aren’t.

  4. @ MrMcLargeHuge

    I completely agree that the reason why Android has managed to gain a foothold is due to that fact that the iPhone is only available from AT&T;. I was just offering my “One Reason Why You Won’t See A Verizon iPhone On Monday” in response to the article.

  5. How about T-Mobile? Wouldn’t require any new hardware at all, just a firmware change and ta-da.

    AT&T;’s new pricing seems like it’s thumbing its nose at Apple, not at Apple’s behest. Which leads me to believe their exclusive is done.

  6. I will believe the Verizon iPhone is coming when some reputable sources discover pointers to it in the iPhone OS code. In the past this has been a pretty reliable predictor of new hardware on the horizon.

  7. @ pastrychef

    > And you don’t think any of the other carriers would pay handsomely for the privilege of carrying the iPhone?

    No. If both ATT and Verizon had the iPhone, neither one would be willing to pay as much as ATT alone is willing to pay right now. That’s why it’s called “exclusivity,” because it has value to the partner. Also, if both of the biggies had the iPhone, the two would compete with each other with iPhone-related promotions… not two-for-one deals like with Blackberry, but maybe things like limited time discounted rates or free accessories. That would mean a higher percentage of iPhones being sold at the wireless carriers’ stores instead of at Apple’s own stores. Apple makes more profit on its own products if they sell it directly instead of through a third-party reseller; Apple also loses profit from accessories the customer may purchase with the iPhone.

    So Apple’s choice is to maximize profit per iPhone or maximize iPhone unit sales. Right now, I think Apple is maximizing profit per iPhone and maintaining steady controlled growth.

    Now, if Apple expanded to a smaller carrier (such as Sprint or T-Mobile) as a second choice, it would not be as great a threat to ATT, so ATT would probably still be willing to pay “handsomely.”

  8. My Verizon cell phone died this week and I had to replace it. I have ZERO AT&T;bars here – and after waiting forever I have given up hope for a Verizon iPhone. So now I have a Motorola Droid. And – it works. Apple blew a chance to get my business for the next 2 years …. I had to renew my Verizon plan. I did add a MiFi and I may run a WiFi iPad with that .. but no iPhone for me.

    Steve can be stubborn and stupid at times.

  9. There is plenty of debate whether Verizon will get it or not. Verizon fans (or AT&T haters) believe it will, others don’t.

    By dropping the data fees for the iPhone, AT&T made it much more difficult for other carriers to offer smartphones and profit on them. With the exception of a very small (and vocal) minority that finds the new data plans inadequate, large numbers of people who were so far only considering (or coveting) and iPhone, but couldn’t afford $30 per month will now find it significantly better deal than the $70 per month (voice+data) plans for Androids at VZ, T-Mobile or Sprint.

    AT&T wasn’t thrilled by the pick-up rates of Android at Verizon, and they went for the kill. So the choice is now:

    Verizon Droid: $200 plus $70 per month, or
    AT&T iPhone: $200 plus $55 per month.

    Even if they get a free Droid (via some BOGO promotion), it would still end up a wash after two years on the expensive plan.

    Essentially, with the new AT&T plans, it will be extremely difficult for ANYONE (again, except that vocal minuscule minority who ‘need’ unlimited data) to justify any other smartphone over iPhone.

  10. And before everyone jumps on the above statement with the rants about the ridiculous limits and all, you need to understand that there are so many people who desperately want to have an iPhone. They could never afford it; not so much the $200 entry fee, but the ~$80 (with taxes) monthly plan, which is almost double their current “dumb-phone” rate. They kept hoping they’d one day be able to do this, and now, AT&T is saying, “Yes, you CAN have an iPhone for only $55 per month!” So, they’ll finally jump in. Then, a month or two later, one of the two things will happen (when they look at their data consumption). If they end up going over the 200MB, they’ll either install that monitoring app to keep tabs on their data use, or they’ll review their budget and bump it up to the 2GB one.

    The bottom line is, the new rates have significantly lowered the barrier for new potential iPhone owners, as well as pretty much killed any future significant growth for Android (at present non-AT&T data rates, that is). I wouldn’t be surprised if Verizon followed AT&T in offering lower entry-level data rate as damage control.

  11. As with other standards-based debates that seem to swirl around Apple, how many times must it be said:

    AT&T;and T-Mobile: 3G, global standard
    Verizon and Sprint: CDMA, limited and soon to be dead.

    Apple wants to make only ONE phone that can be sold GLOBALLY. Simpler for Apple and their global carriers, PLUS there’s more profit.

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