Close
  • Latest News
  • Cybersecurity
  • Big Data and Analytics
  • Cloud
  • Mobile
  • Networking
  • Storage
  • Applications
  • IT Management
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Menu
Search
  • Latest News
  • Cybersecurity
  • Big Data and Analytics
  • Cloud
  • Mobile
  • Networking
  • Storage
  • Applications
  • IT Management
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Apple
    • Apple
    • Mobile
    • Networking
    • Small Business

    Report: ATandT, Apple in iPhone Contract Talks

    By
    Nathan Eddy
    -
    April 15, 2009
    Share
    Facebook
    Twitter
    Linkedin

      Sources quoted by The Wall Street Journal (WSJ) say telecommunications giant AT&T’s CEO, Randall Stephenson, is pushing to extend the company’s exclusive contract with Apple for the popular iPhone, which “people familiar with the matter” say expires this year. The WSJ reported that Stephenson is looking to extend the relationship through 2011.
      Apple refused to comment on the report, noting only that they have a “great relationship” with AT&T, which has experienced a revitalization of its brand since it started carrying the iPhone in 2007. The continued, and expanding, popularity of Apple’s touchscreen smartphone, which has become an iconic device, suggests AT&T would be wise to fight hard to keep its exclusive deal with the iPhone. AT&T has benefited tremendously from the contract picking up 4.3 million iPhone subscribers in the second half of last year, of which 40 percent were newly acquired customers.
      Apple and AT&T have negotiated contract extensions before, in fact. In August 2008, the two companies agreed to extend their relationship through 2009 after AT&T came to Apple with a $300-per-iPhone subsidy in lieu of a revenue-sharing model. While Stephenson admitted the move would dilute earnings through 2009, the company could now offer the feature-packed iPhone 3G for $199 with a two-year contract.
      Stephenson told the WSJ that the deal was indeed a multi-year contract but declined to elaborate, and said substantial investment in wireless technology would be made regardless of the company’s involvement with Apple. “This business cycle is going to cycle,” Mr. Stephenson told the WSJ. “You got to make sure that you’re positioned when it cycles back out to be the leader in the industry, and to do that you have to be the leader in mobility, first and foremost.”
      This March, AT&T announced it would offer iPhones without the two-year plan for $599 or $699, although those phones are locked to AT&T’s network. Apple quickly followed suit in its own retail stores. All told, Apple has sold more than 17 million iPhones in less than two years. In August 2008, Gene Munster, an analyst with investment firm Piper Jaffray, boldly predicted Apple would sell 45 million iPhones in 2009. More conservative estimates put the figure closer to 25 million.
      Rumors are swirling yet again as to what features Apple will include in the upcoming upgrade, unofficially dubbed the “iPhone 3.0” or “iPhone 4G”. Various reports suggest the latest iPhone will offer video editing software, a built-in FM radio and support for 802.11n Wi-Fi networking. A report by Lazard Capital Markets semiconductors analyst Daniel Amir, suggests production of two versions of iPhones will be introduced this year, debuting in June.

      Avatar
      Nathan Eddy
      A graduate of Northwestern University's Medill School of Journalism, Nathan was perviously the editor of gaming industry newsletter FierceGameBiz and has written for various consumer and tech publications including Popular Mechanics, Popular Science, CRN, and The Times of London. Currently based in Berlin, he released his first documentary film, The Absent Column, in 2013.

      MOST POPULAR ARTICLES

      Android

      Samsung Galaxy XCover Pro: Durability for Tough...

      Chris Preimesberger - December 5, 2020 0
      Have you ever dropped your phone, winced and felt the pain as it hit the sidewalk? Either the screen splintered like a windshield being...
      Read more
      Cloud

      Why Data Security Will Face Even Harsher...

      Chris Preimesberger - December 1, 2020 0
      Who would know more about details of the hacking process than an actual former career hacker? And who wants to understand all they can...
      Read more
      Cybersecurity

      How Veritas Is Shining a Light Into...

      eWEEK EDITORS - September 25, 2020 0
      Protecting data has always been one of the most important tasks in all of IT, yet as more companies become data companies at the...
      Read more
      Big Data and Analytics

      How NVIDIA A100 Station Brings Data Center...

      Zeus Kerravala - November 18, 2020 0
      There’s little debate that graphics processor unit manufacturer NVIDIA is the de facto standard when it comes to providing silicon to power machine learning...
      Read more
      Apple

      Why iPhone 12 Pro Makes Sense for...

      Wayne Rash - November 26, 2020 0
      If you’ve been watching the Apple commercials for the past three weeks, you already know what the company thinks will happen if you buy...
      Read more
      eWeek


      Contact Us | About | Sitemap

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Property of TechnologyAdvice.
      Terms of Service | Privacy Notice | Advertise | California - Do Not Sell My Information

      © 2021 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×