Rumor: An iPhone for Verizon in 2009
Chalk this one up to wishful thinking.
A leading Apple blog posted a rumor Sunday that the iPhone — which is currently available in the United States only through AT&T Wireless — could be coming to Verizon, perhaps as early as January 2009.
Cleve Nettles, writing in 9 to 5 Mac, says “negotiations between Apple and Verizon are ongoing but they expect to hammer out agreements by the end of the year.”
According to a “tipster” whom Nettles says “seems to know way too much about Verizon-Apple politics,” an announcement that a deal has been struck could be made at Macworld 2009.
That would be big news for millions of would-be buyers who are either locked into their Verizon accounts or reluctant to switch to AT&T (formerly Cingular), believing that AT&T’s wireless network is less mature.
But beyond the word of this unnamed tipster, Nettles’ argument rests on some pretty slender evidence.
He cites Apple job postings for engineers with experience in EVDO and CDMA, the wireless standards used by Verizon (and, for that matter, many foreign carriers). But he acknowledges that these skills overlap with those needed to work with AT&T’s GSM-based technologies and “could mean absolutely nothing.”
He also quotes Apple COO Tim Cook’s remarks that Apple “wasn’t married to the one carrier/country model.” But Cook wasn’t necessarily talking about the U.S. market; in fact, Apple has already abandoned that model in several foreign countries.
And Nettles marshals good reasons why Verizon might want to get over its initial resistance to working with Apple, or why Apple might want to reach the 55% of the domestic wireless market currently controlled by Verizon (VZ) and Sprint (S).
But he runs into a wall when it comes to what he correctly cites as the No. 1 reason people think a deal with Verizon is unlikely to happen soon: the reports that Apple and AT&T have signed a long-term exclusivity deal.
He dismisses these as “a couple of falsely reported rumors,” citing two USA Today articles, here and here.
Nettles is correct that these articles, both by USA Today reporter Leslie Cauley, are inconsistent. The first, which has been widely cited in subsequent reports, says that Apple (AAPL) gave AT&T (T) exclusive U.S. distribution rights for five years — i.e. until 2012. The second, based on an interview with AT&T chairman Randall Stephenson, says Apple got a one-year extension, to 2010.
Cauley’s reports may be inconsistent, but at least the second one appears to be well sourced, which is more than you can about Nettles’ rumor. (Pressed for detail, Nettles says that his tipster claimed to be from Verizon and therefore didn’t know much about the Apple-AT&T contract.)
If either date — 2010 or 2012 — is correct, a Verizon iPhone in 2009 is, unfortunately, a nonstarter.
It’s true! On Wednesday Nov 12th, I went to a Verizon store and an employee told me that it is coming in February of 2009. If you’re looking for evidence, there you go!
I find it funny that people here stating Apple’s stocks are imploding as if demand for the iPhone is the reason. Have these two market geniuses even looked at the once 1400 DOW now down under 9000? Hmmm, so maybe it’s not Apple, but the overall ‘market?’
Apple did not go with Verizon, because Verizon has too many restrictions on their phones…they always lock stuff out, have a terrible UI, and nickle and dime you to death. I left Verizon to get the iphone…and it is awesome…and I have not had any trouble with ATT service.
ATT has other phones that are better than Verizons modles you just need to look.
verizon has all the good phones, voyager, the better curve and the better pearl. and now the bb storm? why is everyone complaining that its not fair that verizon cant have the iphone now? boo hoo get over it.
I know from a very good source that some in apple have a verizon iphone on a test bases. This should come out soon.
I am going to buy an iPhone the day that they allow people to use whatever phone service they want. Indeed, imagine if you had to buy a certain type of internet service to use their computers? It is not in the customer’s best interest. I will not buy one until they change this archaine policy.
apple first wanted verizon to have the iphone but they refused because apple wanted to control distribution of the phone
@d: Apple went to Verizon first but Verizon felt Apple was asking too much. AT&T was NOT their first choice.
Check it out here.
http://www.usatoday.com/tech/news/2007-01-28-verizon-iphone_x.htm
my mom works for verizon…and this probably isnt going to happen, even thugh i would like it to….otherwise, why would verizon have phones like the glyde, voyager, dare, and prada?
we keep hearing about an “exclusivity agreement” but from what i can gather there are no public documents to support this supposition, making it just as much a speculation as the possibility of a CDMA Iphone. But who really cares go buy the dare
we dont have at&t in north dakota so it will be good
@Don -
The traffic jams that you mentioned at AAPL’s retail locations are largely service and activation issues that keep people at stores longer then they really need to be. Even though you may have to wait in line for a long time at their store, they are not expected to sell as many handsets and more importantly computers than they was originally anticipated.
On a positive note, they have created really cool modern looking stores for you to stand in line at and I bet everyone in the mall is thinking ‘wow, look at that guy, he’s SO cool waiting in line and paying more for a product that doesn’t work that well and can’t interface with other platforms!’
Actually in most areas Verizon performs better than AT&T. That and the required $30/ month for data are the reasons I have not switched to an Iphone even though I would really like to have one
Verizon has a terrible network. Go AT&T! It is much better; no wonder Apple chose AT&T as its exclusive carrier
This would be a fantastic move! I have many friends who would buy an iPhone if it worked on the Verizon network. Sales of iPhones would triple.
As a developer, that is good for me. Especially if it happens in January. Go Apple!
Funny how AAPL stock is imploding on a “demand worries” excuse despite the continued traffic jams at Apple’s retail stores and rumors like this.
That’s stupid…
Even with an exclusivity deal between Apple and AT&T for the “iPhone”, what’s to stop Apple from coming out with another, different phone for Verizon?
Isn’t that what all the other phone makers do?
oh please please please let this be true. I got an iPhone as a present and it is indeed a remarkable device. But I have been suffering such horrid service for over a year now that I long for the days of Verizons MUCH more reliable network
Funny how Philip is trying to fuel a rumor while AAPL is imploding…
“Outside the reality distortion field”?
That’s rich…
- BlackBerry Storm: The reviews are in
- Tech sector snaphot: Apple’s shifting fortunes
- Wal-Mart’s post-Christmas iPhone sale
- A conversation with my iPhone
- 15 reasons Macs trump Windows PCs
- BlackBerry Storm vs. Apple iPhone: 8 reasons pro and con
- iPhone: Has Google lost its voice? (UPDATE)
- IBM must put up $3 million in Papermaster case
- iPhone disconnects in India
- Video: Windows on an iPhone
- My God - Don't you know to never ment... More
- I used a blackberry for a year at wor... More
- I bet if you stripped out all of the... More
- It appears a lot of comments are more... More
- @Dave Small - Blackberry owners are o... More
- The iPhone is for kids, and everythin... More
- WIFI is DEATH for any company looking... More
- Well, as an iPhone owner, I have to s... More
- when are the so called critic going t... More
- Most people seem to be missing out on... More
Silicon Valley veterans like to joke that Steve Jobs must be surrounded by a reality distortion field; if you get too close to him, you start to believe what he's saying. Thanks to the success of the iPod, the launch of the iPhone and the renewed interest in the Mac, Apple has made believers out of millions of customers - and made a lot of investors rich. But Philip Elmer-DeWitt believes that an ounce of skepticism never hurts when writing about the company. He should know. He's been covering Apple - and watching Steve Jobs operate - since 1982, first for Time Magazine, then for Business 2.0, and now for Fortune.
he is right i went to a verizon store and they are coming out with a iphone in 2009!!!!