“In the midst of a market sell-off yesterday, when this ‘rumor’ hit the wires it managed to push Verizon’s stock into the black for a most of the last hour,” Faulkner writes. “So ask yourself this: Just how frequently does the expectation of an Android phone push a carrier’s stock up? Let’s see if the new Droid from Motorola has people lined up at the Verizon Wireless stores.”
MacDailyNews Take: Droid does not require crowd control.
Faulkner continues, “Look at it from a different perspective: How many advertisements have you seen/heard in which the company has added, ‘download our iPhone app’ at the end? Now how many have you heard suggesting you download their Android app? My point is simple: Investors and advertisers appear to view iPhone as the de facto standard. That may change, but it’s what the markets are telling you now.”
“The second issue relative to the Bloomberg article is timing, and it’s why I believe this one (rumor) may in fact be true. What if the device in question isn’t going to be a CDMA phone for the existing Verizon Wireless network but an LTE (Long Term Evolution) device?” Faulkner writes. “Apple doesn’t have a history of moving backwards, and developing a CDMA phone would be just such a move… Verizon Wireless expects to introduce LTE service by the end of 2010… Obviously, the bulk of Verizon’s early roll-out won’t hit until 2011, so what better way to bolster the program than the introduction of the iPhone?:
Read more in the full article – recommended – here.
[Thanks to MacDailyNews Reader “JES42” for the heads up.]
Even with the necessity of including at least a hybrid CDMA component, Apple stands to make a pile on increased sales with Verizon. When the cash payout from ATT falls off, picking up all those Verizon customers will benefit Apple. And when Verizon can’t handle the traffic and all Verizon customers don’t get all the advanced features, Verizon will have to eat crow as the Apple and ATT ads advertise that Verizon “can’t do that.”
I know Steve doesn’t like to go backwards, or even use current but aging technology, but the market just seems too big to me, and the opportunity to suck some wind out of the Android sails just looks too easy, for doing nothing more than incorporating some CDMA tech into the phone.
Of course, we all know that the iPhone has been running on CDMA secretly in the back labs since 2007.
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@Trevor,
Pretty sure MDN needs to make a little money here and there… Ya know, to keep the articles coming that you like to read.
“Obviously, the bulk of Verizon’s early roll-out won’t hit until 2011, so what better way to bolster the program than the introduction of the iPhone?”
“Hey Apple, I have an amazing opportunity for you! Sign on with Verizon’s half-done LTE network so your ATT customers can enjoy the same shitastic service they do now!”
> the market just seems too big to me, and the opportunity to suck some wind out of the Android sails
Yeh and as of late, Android phones combined are doing more new activations than Apple in the same timeframe. Most of Apple’s newest iPhone 4 sales have been to existing iPhone customers. The folks who have an iPhone now likely already have one or have already jumped.
Cell phone reception sucks everywhere so it would be nice if folks could pick a service that matched what they received.
Maybe with all those new antenna engineers, Apple is working on a phone with both radios inside so customers could activate with either, on the same handset. Seems farfetched but Apple likes to keep things simple and having more than one “line” on launch day for each carrier they offer the iPhone for seems very Apple-like.
The only reason Verizon’s stock went up at this iteration of the Verizon iPhone rumor is because people think they can trust Bloomberg. Reality is that we are just running out of news sources that haven’t reported this. Bloomberg just wanted in on the rumor mill.
Hmmm.
So it will only go to Verizon when they roll out LTE.
The iPhone will not work with CDMA, but CDMA is what makes Verizon’s coverage great.
LTE with Verizon will be minimal coverage at the beginning.
So switching to Verizon with a LTE iPhone will get you LESS coverage than AT&T?
Why would theta not bring it to T-Mobile since it uses the same technology as ATT?
“So switching to Verizon with a LTE iPhone will get you LESS coverage than AT&T;?”
Switching to Verizon with an LTE iPhone will give you access to a 4G data network but no voice–Verizon will not be supporting voice on LTE for awhile. So you still need CDMA.
So the phone has two radios (like the HTC EVO 4G phone on Sprint). One for LTE data and one for CDMA. When you make a call, you use the CDMA. When you use the web, you use LTE. If there’s no LTE where you are, you will use CDMA and be unable to make a call.
This is why I have my doubts. First, you have two radios which will affect power consumption. Second, depending on where you are, you may or may not be able to surf and call at the same time. Between those two things, it’s going to be a “weird” experience.
If Apple wants to go with multiple providers, T-Mobile is their best bet. They’re already using the same protocols as AT&T;. Apple would need to create a “Quint-Band” chip to handle T-Mobile’s 1700MHz band.
If it’s goin to be an LTE phone it will NOT come in 2011 but rather in 2012 of we are lucky. 2011 will be a tearing year for LTE, not a roll out year. Apple did not launch iPhone 3G before 3G was widely deployed.
i wish verizon had the phone when i signed up for it in october. at&t;sucks. i would have GLADLY stayed on verizon.
For $7b Apple would move ‘backwards’.
I think everyone keeps talking about a Verizon iPhone because they want the iPhone 4 on Verizon. Maybe they believe that constantly creating rumors (yes thats what they are) that it may become a reality.
If you want IRREFUTABLE PROOF that the iPhone will NOT be coming to Verizon anytime soon check out the article called “Why Verizon wont see the iPhone anytime soon” at http://getyourgadgetsgoing.com/
AT&T;has shown it’s hand in allowing customers early updates but 6 months knowing that iPhone is about to hit another carrier.
What about the iPad on Verizon with LTE? Would that be possible?
I’m wondering if the Securities and Exchange Commission is going to start getting involved in these Verizon rumors at some point. Several years ago, The SEC began slapping financial penalties on people floating rumors on Yahoo! message boards that caused wild swings in individual stock prices. I believe that some folks even went to prison for feeding false info to the WSJ that impacted stock prices and allowed them to make big $ on short sales.
I wouldn’t be surprised if an investigation is already open. The number of crazy rumors about Verizon and iPhone has gone through the roof. If this is an effort to support Verizon’s stock price, somebody is going to be in big trouble.