Apple iPhone on AT&T for five years?
By Ryan Block 
posted May 22nd 2007 1:53PM
posted May 22nd 2007 1:53PM
There are carrier exclusivity agreements, and there are carrier exclusivity agreements -- and Apple's iPhone deal must have been pretty sweet for Cupertino to guarantee their new hotness to AT&T and AT&T alone for five friggin years. USA Today reports the supposed half-decade deal precludes Apple from developing a CDMA handset in that time (duh), meaning that if you live in the US and don't want to move to AT&T, it's going to be 2012 before you even have a chance at an iPhone. Better still, Today reports that Cingular's arch-nemesis Verizon is claiming to have an iPhone-killer in the wings. According to Denny Strigl, Verizon CEO, "We do have a very good response in the mill. You'll see that from us in the late summer." It's war, people, make no mistake about it.[Thanks, Eric]
You mean a response other than shi**ing their pants for letting this one get away? Who'd want a crippled Verizon version of this device anyway? Apple icons and logos don't look good in RED anyway. Verizon is always years behind the GSM devices anyway and when they do get them, they eff them up to the point you wouldn't want it anyway.
Can you hear me now? Sure, but only on last years technology.
If Verizon d0es have a "iPhone Killer" it won't run OS X so it is not a killer, it is wanna be! Verizon is running scared for dropping the ball. I just jumped from Verizon to At&t for just this phone....Stevie boy, it better be worth it:)
@bob.autrey
I'll say. I'm not by any means an iPhone extremist, but unless Verizon is coming up with some other Apple communicator, there is no comparison.
iPhoners are going for the Apple branding and that's about it. Sure it has a large hard drive, but that's not everything to Apple users. You can't Apple user attention away from Apple products with some other brand.
@ Carlo
You hit the nail on the head. People want APPLE Stuff are not going to buy a different brand. And being that APPLE has a big following and a huge group of loyal people that go gaga over APPLE stuff the competitition isnt even going to be looked out for the most part..
Big loss for Verizon. Just chalk it up as a loss. You guys missed the bus, And should of came to terms.. Man Verizons EVDO with an APPLE device would of been awesome. Im a Verizon customer for years and love there service but this device depending on how it goes could sway me to leave and im sure it could do the same to alot of other loyal Verizon customers.
You guys must have missed the articles back in January when it was first revealed that Cingular have a five-year exclusivity on the iPhone.
And you know Verizon passed on iPhone because Steve Jobs put too many restrictions on the deal, right?
I wonder if Steve Jobs' "many restrictions" involved telling Verizon they weren't putting Verizon's OS on it.
OH.... COME the F__K on!!!!!!!!!!!! I thought Apple was a COMPUTER COMPANY, not a high-class hooker. 5 years, I think this takes getting screwed by the man to a whole new level.
Screw Verizon, but what if I want to use the iPhone on T-Mobile? I'm just SOL? WTF?!?!
@iRobot: Naw, man, you're not screwed. Wait about two months. You'll be able to purchase an unlocked iPhone from eBay.
The chances of Verizon having a "good response" by late summer is slim to none. It's possible that they could leak info by September but to actually have a product shipping which might have comparable specs will likely be 2nd 1/4 of 2008. They've been sitting on the XV6800 for four months and can't seem to get it out. The phone has been on the streets with other brands for over 8 months.
The Verizon motto should be "Next year’s technology, last year’s hardware".
i'm going on a strong limb here and predicting verizons big reponse..given there close relationship with lg...will be the cdma variant of the prada..yes you heard me...i predict this phone willl see the light of day on the cdma side..fight touch screen with touch screen ;)
I cant agree with you more. I bet it is the prada phone. Verizon and lg has strong ties. Im thinking the prada phone with EV_DO rev A and media flow. If thats not an iphone killers, yall apple can keep that crappy phone along with the ipods. I would buy a Lg phone before i buy an apple phone. Whats next cars lol.
It's 5 years for *this* iPhone, but does the AT&T contract prevent Apple from releasing other phone products (like an iPhone mini) with other carriers?
Apple USED to be a computer company, until they changed their name to "Apple Inc." to let the world know that, since the iPod, they don't just focus on PCs anymore. I'm a Verizon customer and I am disappointed with VZ crippling their phones. Imagine, an iPhone with V Cast... hahaha!
It's so cuthroat, this industry. Remember that, among other things, Apple wanted a percentage of the monthly cellphone fees, say over how and where iPhones could be sold and control of the relationship with iPhone customers. Apple also fussed about sole discretion over whether a phone should be repaired or replaced in case of damage. (AppleCare for an iPhone?) Verizon probably wanted to modify the iPhone with V CAST brouhaha (with Verizon, any media capability = V CAST)... slap branding all over the OS and even modify the outer casing with a pretty red and white logo.
Two equally controlling companies, wanting to impose their restrictions on one another... Cingular/AT&T must have forked over something, something so embarassing that they refuse to elaborate, other than "We've got Apple for 5 years, NeenR NeenR!!"
But all will be revealed soon, when iPhone customers will be told how to handle their new precious device.
Anything Verizon puts out would probably have the potential to at least make a run at the iPhone, but by the time Verizon gets it's hand on it and removes the Google Maps so that it can run VZW Navigator, takes away Bluetooth OBEX, and throws Get It Now! on the phone, it's going to make it just as much of a joke as every other piece of outdated crippled hardware that Verizon offers.
Monopolization at it's finest.
amen mitch
I saw the video done by CBS and was quite surprised by how seamlessly the phone seemed to work. This thing is going to unreal. I think any other carriers gripes are just sour grapes. If thsi phone takes off like the ipod did it will revolutionize the phone industry and everyone will be playing catch up. I know a lot of people who are canceling contracts because of the text message increases with other carriers so they can get there hands on this phone.
I have been using apples for years and I for one do not have a problem with them telling me how to repair and keep my products running. I had Verizon for a while and they sucked. I have not had any of the same issues with my Cingular, now AT&T service. I actually would love to see them compete with each other. I can you imagine what response apple would have to give if Verizon blasted them with some incredible not yet announced touch screen phone?
"Verizon's OS"??? Dude, WHAT are you talking about?
AT$T?
This only makes the MiniOne so much more appealing...
"I wonder if Steve Jobs' "many restrictions" involved telling Verizon they weren't putting Verizon's OS on it."
Probably, since the main point of the iPhone is that it uses the Mac OS (yes, it's good for playing videos and music and has a large hard drive for a cellphone, but it doesn't have nearly a large enough hard drive for its price to be considered mediacentric). (I don't mean a worse version of an already bad OS as is the case with Windows Mobile; I'm talking about the entire Macintosh operating system with just a few insignificant changes to make it fit on the iPhone.) They wouldn't want their otherwise incredible phone slowed down and restricted by unnecessary software.
"Screw Verizon, but what if I want to use the iPhone on T-Mobile? I'm just SOL? WTF?!?!"
Yes. As is the case with all GSM phones (as far as I know), I assume you'll be able to buy an unlocked iPhone and just put your SIM card in it. Also, not that it matters, there is a chance that Apple will make a similar deal with T-Mobile in Germany.
1) Apple has OS X on it and like any WinMo, Palm and BB their OS remain intact, if Verizon signed on the dotted line. The phone would have been the same OS.
2) iPhone has EDGE speeds. Talk about last's years technology. I can buy and LG 8300 for $15 with a 2 yr at walmart with faster data speeds then an $500 iPhone. Yeah Yeah 2nd Gen is Planned with HSDPA
3) If a iPhone killer is planned with LG, i.e. Prada in Europe or Prada with Mobile TV like in Korea, OBEX will probably be include like all new LG's. 9900, 8700, 9400 have obex.
@ The Blotch
there are "backend hooks" with the iphone and att's system that would result in some features not working elsewhere. similar to using a sidekick on a different carrier than tmo.
for one, visual voicemail wouldnt work. or at least not yet. possibly later if they used some sort of standard.
Yeh, but can you buy a blackberry pearl with 3G?
I have to wonder if Verizon's response will be anything like Microsofts "respose" to the iPod, the ZUNE? Or Creative, or iRiver, or anyone else who's tried to compete with Apple hardware wise and failed.
Oh, people have bought those devices, but when it comes right down to it, those of us who "understand" what it is to use Apple hardware will not settle for Verizon's "Zune".
Perhaps it will be a CDMA Prada, but then, how obsolete will that one be by the time Verizon rapes it and puts it on the shelves?
From what I've read, Apple will not offer an unlocked version of the iPhone, and AT&T is taking unusual steps to make it as difficult as possible to unlock one of them.
I'm sure someone will find a way, but the iPhone isn't going to be a device where you can unlock it in a snap.
Verizons iPhone killer will be either the LG Prada or the Meizu MiniOne, which would be absolutely hilarious.
Ho hum
What about getting it unlocked?
C'mon apple, show a little love towards your fans from different networks. Like sprint for example. And not to be discriminating why don't you include tmobile and verizon. They like iphone too. Seriously, you have a hit phone, don't limit your market. There is nothing cingular could give you that would make a 5 year exclusivity worth it to you guys.
VZW said no to Apple about carrying the iPhone, not Apple saying no to VZW... dumbasses. It had ZILTCH to do with VZW's UI also.
Elgee02. Which was my point in the first place. VZW said no to Apple. Missed a five year exclusive opportunity which for once would have given VZW the "most wanted" new handset on the market. VZW builds a great network BUT they give you last years technology to use it on. You are forced to use ONLY the handsets that THEY choose and then they lock them down and RESTRICT the features you can use forcing you to sink more money into their already overpriced network. That's like buying a new TV that only gets the pay channels and blocks the free stuff. Forcing you to pay for every channel you want to watch and getting little to no free usage of YOUR TV.
VZW can tout it's network all day long but in the end, most of us that visit gadget related forums are interested in the latest, freshest technology. I mean really, how exciting it is for ANY gadget freak to read a headline like "VERIZON RELEASES BLACKBERRY PEARL!" Woohoo... :-P And the worst thing is, they are last in line to lauch because they've spent all that time crippling what was once a decent device. So, not only does the VZW get last years technology, they get it with less of the features.
Landing the iPhone, not matter what short term consessions they may have made to get it, would have shown their customers that they were at least making some effort to becoming one that would start offering cutting edge technology. And just maybe they were willing to loosen up the purse strings a little to give their customers someting to brag about for a change.
And this isn't just about the iPhone folks. This is about every other crippled, late to the game device they offer. Nearly all of their "new" hot handsets is just some stripped down version of a past released GSM handset. So even if the iPhone doesn't live up to all the hype, and it probably won't, it's going to be another very good device that the unfortunate Verizon customers won't see in this decade.
I'm sure they'll make it up to you some how. Maybe yet another shiny but crippled LG for ya!
@elgee02: Dude, I gotta ask for a source for this info or call your BS. There is NO WAY Apple would look at the US, let alone GLOBAL mobile backend technology landscape and say, "Hmmm, we *could* go after this much larger slice of the global pie, but why not limit ourselves to just a bit over half (and declining) of the US market and South Korea."
Also, there is NO SUCH THING as a "Verizon OS." I don't know where you got that. The OS of mobile phones don't differ carrier to carrier. I think you're referring to software/firmware loads, which do.
The only "response" of the scale of an iPhone should be google-branded phone :) How about some linux goodie with gmail for contacts, google callendar, google notes, google video...? On the PC one will not need any sync software, just a browser. And how about gtalk calls over wifi? Ehhh...
Oh, and Elgee02? Calling people names on a web forum doesn't make you tough. Keep it up and I'll tell your mommy who'll cut off your AOL account for a month.
You keep going on and on about these "stripped down" phones but seriously... what features am I missing on my enV? It support BT music, OBEX, DUN, and has great quality when paired with my Jabra headset. I can play all the music on it I want and in .mp3 format too. I can do all the txt/pix/flix and instant messaging I want as well. I can even make my own .mp3 ringtones with just a little extra effort. If I want I can tether to a laptop and get EV-DO internet if I want so tell me....
what am I missing? What did VZW "strip down" from my phone?
"Nearly all of their "new" hot handsets is just some stripped down version of a past released GSM handset"
Bob do some freakin' research first. Hardly ANY of VZW's phones have a GSM counterpart, stripped down or not. I count only TWO phones that VZW carries that also have GSM counterparts: the RAZR and the KRZR, and btw VZW was first with the KRZR ;-)
Elgee. What about the LG Chocolate? The LG 8600? The Motorola L7? The L7 for goodness sake is sitting in the bargin bin of most carriers phones and Verizon just released it! The LG 9400 is another phone taken right from it's Korean GSM counterpart. The fact is that MOST CDMA phones are made by the same maunufacurer as their GSM cousins that were released well before. With VERY rare exception is there a device that is CMDA first and only. Also, I've heard how Verizon gets the latest Treo's first but if you'll remember it was years after the Treo's were released before Verizon got it. Instead they went with "winnners" like the Kyoreca 7135. And their first offereing of a Treo Windows Mobile device was MISERABLE (700w). With 32megs of RAM, that thing didn't have enough power to get out of it's own way.
The EnV is a good example of "one" of their devices that haven't been totally locked down but that is only one in a handful that can make that claim. GSM on the other hand give you multitudes of handsets to choose from. So contratulations, Verizon threw you a bone. But how many years and models of that device and firmware upgrades did it take get to get to that point? The STARTING point of your typical GSM device on TMO or Cingy. Verizon's advancements are as slow coming as their handsets. You can wait for years if you like. Meanwhile, I'll stick to the latest and greatest TODAY.
It's like I said before, gadget enthusists are not interested in reading about and using last years technology. There's no value in "old news" from a techie standpoint. I mean, don't you (not you in paticular) feel somewhat cheated by the Nations Number One Network drooling over getting the Blackberry Pearl when the nations smallest major carrier, TMO, has had it and is already on to bigger and better berries?
I'm not saying that Verizon isn't without some ok handsets. You do have a good device with the EnV. But as big and expensive as Verizon is, shouldn't that be the rule and not the exception?
The enV is hardly a solid phone. It has a lot of mediocre features poorly implemented, this is the lowest common denominator of all phones we get on VZW.
VZW thought it was so great coming out with Vcast music and music phones but the truth is they have all been dreadful and horrible except the chocolate, and even it has some really ridiculous limitations. Insert any other useful feature for music and delete the second half of that sentence (except email and web, whose sentence ends with blackberry).
I am switching to helio, and I work for vzw.
I am tired of wishing for devices with some progress in the software. Other than chocolate or blackberry, there haven't been any since the Red UI (or the even worse windows mobile) started running the show for every handset.
iphone killer? Verizon? No way. First it will probably involve Win Mobile, crapware at its best. Second it will fully crippled by Verizon to meet their business model. Isn't that why they passed on the iphone in the first place?
My source for saying that Apple went to VZW first and were turned down? Yeah dude it's engadgetmobile, this website. Check back in the Jan or Feb archives, it's there.
And that wasn't me who said anything about a "verizon os"
Yes, there's no Verizon OS yet independent of who made the phone they all have the exact same crappy UI.
OS, firmware, UI, whatever. Verizon's phones suck.
thats cool
verizon may have terrible phones but they got better coverage, i bet some people that switch to att for the iphone are gonna be mad when they realize att doesnt have as good coverage, especially in dc and nyc
@ Brian:
""Verizon's OS"??? Dude, WHAT are you talking about?"
Verizon puts a standard operating system on all of their phones that don't run Windows Mobile or RIM's software, and it's horrible.
There's a huge difference between OS, firmware, and UI. Verizon cuts the balls, er, functionality out of a lot of their handsets cause they're the 800 lb. CDMA gorilla in the room. But they do not have the pull/resources to author OSs for each manufacturer they deal with.
Believe it or not, the reason VZW turned down Apple's offer is because Apple was demanding an extremely high % of each sale involving an IPHONE. It wasn't enough to be getting paid for the equipment, but they wanted a cut from VZW's profits as well. It's a no brainer if you ask me. And the IPHONE killer is neither the LG Prada or any type of Google phone. By the end of the summer look for a software update to the Motorola Q that will very closely resemble the software in the IPHONE and then late Q4 look for another Motorola product that will blow the IPHONE out of the water.
Depending on how "a software update to the Motorola Q that will very closely resemble the software in the IPHONE" is executed Motorola can expect a lawsuit from Apple too. And I think I know what you mean by "a Motorola product that will blow the iPhone out of the water"- the MOTOROKR E6. It runs on Linux- not quite Mac OS X. Specs don't matter if no one can figure out how to take advantage of them.
Motorola? When have they ever released a quality product? Screw the Qrap... software upgrade... hahaha, a different version of WinMo?!?! Not an iPhone killer.
I'd give LG a chance if I had the patience to wait it out... I work for VZW and I personally hate everyone of our phones (especially Motorola's). Its like Moto fired all the QC reps and replaced them with parots (or insert witty joke here). Every Moto that has come out on VZW has major issues.
Even though, LG's "prada" phone still wont be an iPhone Killer - unless it runs Linx Redhat or something of decent potential. OS X would be better but thats damn near imposible...
I personally am going to wait until I fiddle with a few iPhones and make my move then. I'd rather do without a service agreement with AT&T though... it would be a great PDA standalone.