Expert: Apple plans to crush carriers and offer direct mobile service

“Apple’s next huge move isn’t into the television or banking industries according to one expert,” Zach Epstein reports for BGR.

“Instead, Apple will take on carriers like AT&T and Verizon Wireless by becoming a direct mobile service provider,” Epstein reports. “Veteran wireless industry strategist Whitey Bluestein, who has managed strategic deals for the likes of AT&T, Intel, T-Mobile, Verizon, Microsoft, Nokia and Best Buy, says Apple will soon begin to offer wireless service directly to iPhone and iPad users.”

Epstein reports, “Apple has the distribution channels, digital content portfolio and customer base to make the move, Bluestein says, and it also has more than 250 million credit cards on file for iTunes users who could be billed directly for wireless service. ‘The battleground is set, but Apple will be the first mover,’ Bluestein said while speaking at the Informa MVNO Industry Summit in Barcelona. ‘Google will have to scramble because it lacks retail distribution, experience with subscriber services and the iTunes ecosystem of content. iTunes and the iTunes Store provide Apple with one-click buying and customer care…'”

Read more in the full article here.

Related articles:
The crazy master plan that could complete Apple’s mobile domination – November 29, 2011
Does Apple want to be its own carrier? MVNO patent application extended – June 2, 2011
Apple granted ‘Dynamic Carrier Selection’ patent where carriers bid to provide service to iPhones – February 9, 2011

48 Comments

    1. Let me fix that for you. “Anything is better than Verizon and their lame, bassackwards 1980’s network”.
      You know, the one that can’t perform even the simplest of functions like providing simultaneous voice and data? I mean, how quaint is that, hanging up on a client so that you can download a file? VZ phones might well as include rotary dials!

      1. What area are you in ?

        I’m on Verizon and can talk and use data at the same time. i do it often to find my parents directions since they have never learned how to use this fancy interweb thing all us young pups play with.

    2. You got that one pegged, switched to Verizon from AT&T a couple of months ago, and I can now now say with personal knowledge that AT&T sucks, customer service at AT&T is an oxymoron.

    1. The only way this could work would be if Apple could talk the carriers into a mutually beneficial arrangement, which I think it’s fair to say they’d have a difficult time doing.

      Sounds to me like this “expert” is merely telling us his wishful thinking, rather than the result of any deep analysis.

    2. Apples forte is building the smart bits of the system. Why would they be interested in expensive dumb pipes. Let them spend their energy where it will improve our experiences the most.

      1. This would certainly solve our problems. It’s chicken feed for a company like Apple. Sign me up!
        Now let’s guess what they would be called? Apple Global Commuincations?😃

    1. Funny.

      WIFI and WIFI MAX are that middle finger already; at least in the right direction.

      I believe Apple coined the gesture way back when Woz and Steve where in high school and they had that banner of the big BIRD.

  1. I expressed a dream for this on this site long ago — where Apple should spend its money. I would terminate my AT&T contract in a heartbeat, whatever the cost.

  2. They actually considered this in 2006-7 and dropped the idea. it’s just not feasible. Just like their original idea with AT&T to get a percentage of the phone bill instead of them subsidizing the phone- it just didn’t work (too much effort).

  3. this is pure fiction
    unless Apple buys a carrier, which they will not, they will not launch their own carrier service
    simply ridiculous “journalism”

  4. This has been covered a billion times here… Apple is a worldwide company – they would have to find a solution that works everywhere, not just US. No way will they do this.

    Unless of course they have some sort of cool tech we don’t even know about up it’s sleeve…

    1. Correct – way to much work and not what Apple does best at.

      What Apple might invest in a partnership with AT&T for WI-MAX towers but not take control as a carrier.

  5. Zachary Epstien at BGR?
    You might as well be getting your news from drunken hobos in the park. As already noted by others, the head-up-their-ass obsession with “solutions” for US markets from a company that is global… Nothing more need be said.

  6. The industry is ripe for an Apple-style makeover, but I suspect this is an area Apple will get others to do its work. But there’s a good chance this won’t be an incumbent.

  7. I really wonder if it is a good idea. I get the impression many people dislike their carrier. That is because most carriers have done something at some point to piss people off, dropped calls, lousy coverage in key areas, screwed up billing etc.

    Apple makes great products. How good would they be in providing a great mobile service for their great products? Is it really worth the risk of people getting pissed at you?

  8. Not going to happen. Phone companies have a huge burden in infratstructure to create and continually update. They have very high costs and low profit margins. Why would Apple want to do that? Much better to have products working on all the carriers. And working on any new trechnology that comes along.

  9. Not Gonna Happen, for oh so many reasons, as these guys well know. But its quite interesting to see that Apple is supposedly up to 250 million credit-card accounts, which is where much of their underlying power comes from; would be very interesting to know how this compares to Amazon.

  10. I am not so sure the FCC would allow any merger, take over, or even a start-up of Apple dominating the market with the iPhone (which is an outstanding product and they need to continue to dominate) and offer cellular and data service. I’m sure someone would block that as a monopoly or something. However, if they could pull it off it would be the most awesome thing to happen! I would switch faster than AT&T could take my call to disconnect service… That would be a few hours I’m sure!

    If any part of this speculation is true… Go Apple and bring it to us!

  11. Interesting. I get all the posts saying why it could or should not done. All have some validity.

    But can’t get rid of the nagging thought that in 2006 or whenever most people thought that the iPhone could not be done.

    Just a thought, costs me nothing to say it.

  12. I’ve read this type of stuff about Apple for the last few years. While it would be awesome, I call bullshit, ain’t gonna happen anytime soon folks.

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