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More “Bye Bye AT&T” Rumors, iPhone Going EVDO/CDMA

9to5Mac revives rumors that Apple will be bringing the iPhone to Verizon Wireless, as early as MacWorld 2009. Rumors of a (prototype) CDMA iPhone being in existence are not new.

vzwphoneThe Verizon Wireless insider that has provided this information to 9to5Mac, apparently knows a great deal about Apple-Verizon politics. “According to him, Apple will be announcing iPhones for Verizon Wireless in 2009, perhaps as early Macworld 2009. Negotiations between Apple and Verizon are ongoing but they expect to hammer out agreements by the end of the year.”

Before the iPhone was released in 2007, Apple negotiated with most of the carrier networks here in the states. Verizon was originally chosen by Apple, however refused to relinquish the amount of control necessary to work with Steve Jobs & Co.

According to Verizon, Apple CEO Steve Jobs insisted that he have hard control over iPhone distribution.The problem? While Apple and Verizon stores would have it, Wal-Mart, Best Buy and other Verizon distributors could have been left out. “That would have put our own distribution partners at a disadvantage” to Apple and Verizon stores, Gerace said.

Customer care was another hitch: If an iPhone went haywire, Apple wanted sole discretion over whether to replace or repair the phone. “They would have been stepping in between us and our customers to the point where we would have almost had to take a back seat … on hardware and service support,” Gerace says.

Apple’s iPhone has clearly devastated competition. Companies like Nokia, Rim, HTC and Samsung have all been scrambling to develop a competing touch-screen device, to no avail. Now that the iPhone has been proven a smash-success, Verizon should feel more comfortable relinquishing a little more control, in order to get the device running on their network. It wouldn’t be as big of a gamble for Verizon now, and it is a much needed move for both Apple, Verizon and the mobile market, which could stand to breathe some fresh air. The more carriers that offer Apple’s iPhone to consumers, the better.

Back on September 20th, we reported about the possibility of Apple saying “bye bye” to AT&T alongside rumors of a 32GB iPhone.

An unsubsidized iPhone would be sold at a much higher price point (possibly $599-$699), and not require any long term commitments to get started. Essentially, a customer could walk into an Apple Store, spend $600 on an unlocked device with no hassle and be on his way. A move like this would successfully play into Apple’s overall sales and revenue, leaving the only leverage move for AT&T being the unsubsidized physical hardware price, and visual voicemail (which their network has been tailored to support).”

Without worrying too much about the longevity of their exclusivity with AT&T, recent rumblings have led MacBlogz to believe that “bigger picture”, AT&T has merely been used as a launching pad, or vehicle of sorts for Apple to unveil its revolutionary device and have complete control over the hardware and software during the process. Now that the iPhone has been proven a blockbuster success, we believe Apple is looking much further into the device’s future and has no long term plans to stay with AT&T. Seeing as how network carriers base their core revenue on long-term contracts, this could prove detrimental to AT&T.

We completely support the move to bring Apple’s iPhone onto as many carrier networks as possible. Let’s get it on Sprint, Verizon, T-Mobile and AT&T, let the carriers fight it out over coverage rates, and let the consumers win.

Comments [16]

16 Comments to “More “Bye Bye AT&T” Rumors, iPhone Going EVDO/CDMA”

nah... @ September 29th, 2008 at 7:30 am
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verizon isn’t going to get it till LTE is out. reason why, apple has already had it’s headaches just dealing with GSM. Steve even said it himself,”getting into the cellphone business is harder that it looks”. I’d bet this a verizon fanboy just wanting the iPhone cuz the all their “iPhone killers” actually blow, Tmobile would get it before Verizon a whole new coding,with a whole new signal, for apple to try to fix and different customer support. Plus verizon hasn’t said very nice things about the iPhone and tried to bring it down, steve is looking at Verizon and laughing, he has all the chips to bargain with. Verizon lost out because they wanted their software to be used.

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Aviv @ September 29th, 2008 at 7:33 am
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Makes sense. I think that your point about a completely different network has points of truth. At the same time, CDMA is pretty archaic and I doubt the same issues would arise as did with the iPhone 3G.

I think that it would benefit consumers most if Apple gets the device into all the carriers. Sprint, T-Mobile, Verizon, AT&T and then let it trickle down the subsidiary carriers in smaller locations. (I know this may be a long shot) — But it would truly be nice to see Apple doing EVERYTHING it could to get the device into everyone’s hands.

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glitch @ September 30th, 2008 at 3:55 pm
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I’m a Verizon user myself and I am also on the verge of changing carriers just to bring happyiness to my fingertips. we all know that with the release of the first gen iphone on AT&T was a big hit. They had customer dropping contracts left and right to get a iphone with AT&T. Then came the release of the iphone 3G and again apple rocked out. But know the next thing I see them doing is pushing a 32gig iphone which I think wont be that big other then the people holding off to go to AT&T till that 32gig(including me) and the people that have money and want the next best iphone even after they just upgraded 3 months ago. but if they want to hit it big then they would need to broaden there horizon and make the iphone open to all carriers. T-Mobile would be as easy as unlocking the phone. But to make a CDMA iphone for Verizon and Sprint would make the iphone the largest sold smartphone. just look at the Palm Centro, first started with Sprint now its in all carriers hands. The only thing I see is that apple had an exclusive agreement with AT&T, but for how long? If this rumor is true then the agreement might be up. so all and all if apple kicks the memory up to 32gig and releases it on Verizon(without Verizons restrictions)and updates the firmware to allow MMS and video recording then Apple will be in the Money.

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Aviv @ September 30th, 2008 at 4:48 pm
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“then Apple will be in the Money.” — A phrase that is all too rare these days.

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hamed @ October 6th, 2008 at 11:55 pm
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I thought they already had a CDMA version. Japan uses all CDMA. plus there was Canada as well which they eventually decided to release GSM there but that means they had the CDMA and just decided to release GSM instead.

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The Professor @ November 30th, 2008 at 9:05 pm
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Actually Japan uses GSM and they have had 3G technolgy longer then the states. CDMA is only used in 10% of mobile markets. There is no way on earth that Apple would release a product on a network with that little footprint. Its easier for Apple to have the GSM version and the CDMA users can just switch to a GSM carrier, this doesnt cost Apple anything and there is no R&D or production costs to create a CDMA version which would be dead in a few years anyway do to the roll out of LTE, especially in Europe and Asia who have more laxed mobile laws and rules. And to who ever asked the AT&T contract is for 5 years so were looking at 2011 (which is when AT&T and Verizon are scheduled to roll out LTE in the US)

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Juani @ December 3rd, 2008 at 1:21 pm
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Everybody knows there’s a 5yr exclusivity deal between Apple and AT&T. It’s not due to expire for another 3 years and Apple has mentioned that repeatedly when asked about this. I think we’re stuck with AT&T until then.

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BC @ December 8th, 2008 at 6:45 pm
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In Japan, only the 3rd largest carrier has the iPhone, in China the largest carrier doesn’t have the iPhone, in US, Verizon will be over 80million subscribers once the merger with Alltell is complete. That sounds like a market worth going after for the cost of implementing CDMA/EVDO.

Were there any requirements for the exclusive agreement to remain in effect? Could Apple have a clause that states the contract is void if AT&T can’t support the network? I’ve heard lots of complaints about the coverage – dropped calls, spotty 3G coverage.

I’ve been on Verizon for 8 years. Was on Cingular before that & hated it. Would love an iPhone on Verizon.

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avremele @ December 11th, 2008 at 2:23 pm
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I’d like to see a WiMax version on Sprint. Call it the “iPhone Max”

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M @ January 2nd, 2009 at 4:26 am
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Look, it`s not happening mainly it`s Snow Leopard at macworld 2009
Feel free to email me at M@apple.com

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Chloe @ January 13th, 2009 at 8:09 pm
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AT&T Has a 5 year exclusive contract – these are nothing but rumors and lies. AT&T also has first exclusive rights to extend that contract under certain terms.

Sorry Verizon users… AT&T Rules.

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Jason @ February 13th, 2009 at 4:37 am
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I am a long time. Verizon user and I would kill to have the iPhone. I would switch to AT&T but some of my friends have AT&T and they say that to make a single phone call they have to walk outside, and my other friend has to drive down the street to make a call. THIS DEFEATS THE PURPOSE OF A CELL PHONE! I’m not hating on AT&T or any of it’s users, but I will wait it out and pray (fingers and toes crossed)that an iPhone will come out for Verizon.

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RRack @ February 19th, 2009 at 6:46 pm
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Just my two cents…the 5 year contract deal is rumored to have started when the deal was signed not when the iPhones were actually released. That’s a year or two even before a single person had an iPhone. I would love to have one being a Mac fanatic myself. However, AT$Ts plans are outrageous! Texting is extra and no one else I know has AT&T so I won’t get the free phone to phone. I’ve got Sprint with unlimited everything under a shared plan with my wife for $130/month. That’s what AT&T charges for one iPhone plan. Sorry, not making the change quite yet.

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Joan Harvey @ June 5th, 2009 at 5:33 pm
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I’ve had terrible terrible experiences with AT&T. WAIT until a better carrier carries IPHONE. Probably won’t be too long.

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jon @ September 19th, 2009 at 9:30 pm
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cheap asses

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me @ November 11th, 2009 at 3:38 pm
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apple and at&t have no intentions on terminating their contract. Verizon and Apple recently had a conference because Verizon was asking Apple for the rights to the iPhone and Apple turned them down. At&t currently has more customers nation wide than Verizon, therefore Apple made the right choice and went with the better carrier. Also i want to give everyone a heads up that the only reason Verizon is doing soo well is because theyve used the same technology for 9 years but they are now allegedly changing their technology due to changes in wireless technology… Let the problems begin!!!

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