home

Tuesday, September 21, 2010

Iphone on Verizon: Good Idea or Bad Idea?




There was a lot of craziness earlier this year about whether the Iphone was going end up on the Verizon network. There was both anticipation and hatred about this kind of move that was suppose to bring one of the most popular phones on the AT&T network and bring it to the Big Red Machine that is Verizon and their powerful network. But with the crippling effects the Iphone has on the AT&T network, will it be a good move for Verizon to gain the Iphone?


Well, we have to remember that the first thing that is wonderful about the Iphone, from a business perspective, is that the Iphone is a cash cow. There's no getting around that. That is one of the reasons why AT&T in the position that its in. They have gained millions of dollars and a crowd of supporters making AT&T one of the premiere carriers in our day and time. We also know that the features the Iphone has developed has made it almost a standalone phone. So with these two things, combined with Verizon's great network, you'd think that it would be a great move. But thats only on the surface.

The thing that we as the consumer have to remember is the network issues that were experienced on the AT&T network. Since the release of the Iphone , AT&T's network has taken several hits. Voice quality is often reported poor, plagued with dropped call issues, and data speeds have been up and down. AT&T has tried to fix these issues, spending millions of dollars trying to respond to the overwhelming demand that the Iphone brings with its features and data usage. They have spent millions on trying to fix the issues that plague the network alone.

But how would this effect Verizon? Well, despite the millions of dollars and the vast amount of customers switching from AT&T's network to the Verizon network to gain an Iphone would be stupendous, Verizon's network could suffer from the same sudden surge of data usage and network issues that has hurt AT&T. Not to mention that the IPhone itself would have to be totally revamped. The Iphone runs on a GSM network, while Verizon runs on a CDMA network. That kind of change would cost Verizon's millions just to change the Iphone and place on there network. Verizon may have the potential to be crippled by the masses of data usage that the Iphone can suck up using apps like Youtube and the like.

The rumors are that in January of 2011, the Iphone will be coming to Verizon. Whether that deal will fall through remains to be seen. But thats a lot of money, time, and risk that Verizon may have to take to make that kind of move work well under there network. And what about data plans? Right now, Verizon is not offering tiered data plans as of yet. Plus they may have to add millions just to change their network to be able to support the Iphone customers. Who knows? Maybe we'll all find out come the new year......

6 comments:

  1. Well First of all nice first Article and by no means is this a Flame or something to tear you guys down.
    But its iPhone

    When the iPhone first came out it the Smartphone era wasn't what it was today. The phones it had to compete with was blackberry's and windows mobile and maybe palm (people still use those?). Anywho most users back then only used it for email etc. Once iPhone came to the scene they showed that you didnt have to be in buisness to own a smartphone so of course, with that ATT's network could handle the generation of smartphone's back then. But they didn't even realize that the phone would take off. So when the iPhone basically bottlenecked there network and made it so terrible thats why they having problems for the most part.

    If Verizon were to get a iPhone first Verizon would re work it to work on cdma/LTE. Many times people have reported the new iPhone if it were to come to Verizon would not be the same as the one on ATT. Another reason why it hasn't come wasn't because of Verizon it was the fact that ATT signed a exclusive contract with Apple for 5 years hence the rumors of a iPhone coming to
    Verizon because the contract is ending soon.

    Verizon and pretty much all carriers have bumped up there networks to handle the volume they woudl be stupid not to already with the already explosion of smartphones.

    But in the end will the iPhone come to Verizon? Probally when who knows but with so many alternatives its just a fad IMO. Maybe back when iPhone first came out I would say it would be a good thing. But right now the way the mobile industry looks there are alot of alternatives.

    ReplyDelete
  2. while it may be just a fad, this could be a fad that turns Verizon into a SUPER CARRIER so to speak. Millions and millions of dollars, thousands of customers, this is a fad that could make alot of money. Plus in this day and age, thats what pulls in money. Flash, gimmics, and fads. Supply and demand on an angle.

    ReplyDelete
  3. Yea but you have to think whats going to make people leave ATT for a Verizon iPhone? Most likely they will be the same. Don't get my wrong iPhone is a great product attached to a sub-par carrier but it gets the job done. For us who like to tinker its too simple or easy. You will have a divide in your user base the techie and the not so techie. Most non techie people altho have a iphone will stay with att just because its the norm. People don't like change trust me if you 80 year old grandma has had ATT and uses a iphone shes not gonna look to change to Verizon just because they have a phone. They gonna look for new customers or existing Verizon customers to switch thats where the money will most likely be at in this.

    ReplyDelete
  4. 9 times out of 10 someones Grandma is not gonna bother with a iphone because its too much trouble to use. The reason people would leave AT&T to go to Verizon for an Iphone is BECAUSE of the network. If you put a powerful device on top of a powerful network, then people are going to want to leave for a better thing. Case in point, the Android. Powerful device on a powerful network ;-)

    ReplyDelete
  5. I phone is obsolete. The new wave of technology is here. Yes Apple opened the door but now the flood gates of touch tech is poring out. Now that xbox is commin out with the remote that uses your body as the remote I am sure soon we will have holograms on our phones.

    ReplyDelete
  6. Always remember iPhone is written iPhone not iphone...RESPECT!!!

    ReplyDelete