ATandT Boosting 3G Network in Anticipation of Apple iPhone

AT&T is using software enhancements to double the capacity of its 3G networks, Telephony Online reported April 20, making the June arrival of a new Apple iPhone-or two-look increasingly likely.
The Telephony Online site cited AT&T Mobility Vice President Scott McElroy as saying AT&T is increasing the downlink capacity on its HSPA (High-Speed Packet Access) from 3.6M bps to 7.2M bps through software upgrades at the base station.
The introduction of a 32GB iPhone is thought to be a possibility. The new iPhone would likely arrive at the Apple Worldwide Developers Conference in San Francisco, opening June 8.
Stories of AT&T’s abysmal service to the tens of thousands of iPhone users at the South by Southwest conference in Austin, Texas, circulated long past the March event, and it was an experience AT&T is surely working to avoid repeating.
Apple has sold more than 17 million iPhones in less than two years, but analyst estimates for 2009 sales have ranged from 25 million iPhones, on the conservative side, up to 45 million iPhones.
Later in 2009, AT&T plans to begin transitioning its 3G networks to evolved-HSPA (HSPA+), which would triple peak speeds, and then move on to LTE, the 4G technology that will compete with Mobile WiMax, which is currently showing growth worldwide.
AT&T is also said to be pushing to extend its contract with Apple for exclusivity rights to the iPhone, though Apple didn’t comment on the report.