News Of Dual-Network iPhone 5 Benefits Verizon More Than AT&T

Verizon’s recent gaffe confirms that the iPhone 5 will indeed be a dual-network device that will work with both CDMA and GSM. While the notion of a dual-network iPhone 5 isn’t much of a revelation, the news helps Verizon more than AT&T. Here’s why:

Another slip of the tongue has confirmed yet another detail about the upcoming iPhone 5.

Less than three weeks after Sony CEO Howard Stringer tacitly admitted that the next iPhone 5 camera would be of the 8 megapixel variety, Verizon’s Chief Financial Officer Fran Shammo seems to have now confirmed that the iPhone 5 will indeed be a dual-network device, supporting both AT&T’s GSM and Verizon’s CDMA technologies. Venturebeat reports that “in an attempt to deflect an analyst probing for details on Apple’s next phone, Verizon inadvertently mentioned that [the iPhone 5] will be a ‘global device’.”

While the iPhone community is always happy to have virtually any detail about the iPhone 5 confirmed or corroborated (except, perhaps, for the recent report of a late September release), news of a dual-network iPhone 5 should not come as an earth-shattering revelation to those who have followed the it over the past six month of so. It is true that Apple had to fashion an alternate CDMA-equipped iPhone 4 to work on the Verizon network, creating two network variants with very slight design differences between the two.

But the production of the CDMA model was a work-around for Apple; obviously, a deal with Verizon had not been solidified by the time the iPhone 4 was launched in the summer of 2010, meaning that the initial AT&T model had no CDMA capabilities. And as we all know, there was no way that Apple could have clandestinely outfitted the original AT&T iPhone to run on CDMA — too many iPhone geeks out there pop open their new iPhones to look under the hood. Any stealth move to equip the iPhone 4 for both networks would have been discovered. This time around, however, it makes good business sense to make sure that the iPhone 5 works on both networks; it will keep production costs down and make shipping and inventory far easier.

An interesting question to consider, however, is whether or not a dual-network iPhone 5 benefits either carrier, or is it just a wash?

I would argue that, while the dual-channel iPhone 5 revelation isn’t going to be any kind of groundbreaking game-changer for either mobile carrier, it is Verizon that may have the most to gain from the notion that both companies will share the same iPhone design.

More than any other iPhone 5 topic on this blog, the subject of AT&T versus Verizon has inspired more angst, vitriol, and hurt feelings. We wrote an article about it a while back, and people weighed in on the issue with gusto, defending their mobile network providers with bravado. It’s a fact: iPhone users are passionate about their carriers. AT&T and Verizon are like political parties around here. (I guess Sprint customers are the Independents.)

Thus, I know that I am stepping into a minefield with Verizon customers when I reluctantly state that CDMA is generally considered to be the slower of the two mobile technologies, disallowing the kind of multi-tasking that AT&T iPhone users typically enjoy. Whether or not this is true, however, is not the issue: the fact remains that this is the prevailing belief about Verizon.

With this is mind, one can imagine that it can only benefit Verizon for prospective iPhone 5 customers to see that the device works on both networks. Unlike the iPhone 4, which has two variants for GSM and CDMA, the iPhone is the same phone, same specs, same technology. AT&T will no longer be able to infer that they have the “better iPhone” model.

Sameness is the name of the game for Verizon this time around, as they will finally have a chance to compete with AT&T right out of the gate with the iPhone 5. The game plan will be the same for both carriers: AT&T will tout speed and versatility, and Verizon will roll out their maps. It should be a real hoot.

Perhaps this admission by Verizon about the dual-channel iPhone 5 will turn out to be the first innoquous shot fired in the iPhone 5 network wars?

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iPhone 4 Survey: Verizon Drops Less Calls Than AT&T

ChangeWave Research contacted 4,068 iPhone 4 users to get a detailed comparison of Verizon Wireless vs. AT&T Mobility services. According to the survey results, AT&T customers experienced dropped calls almost three times as often in the past 90 days as those with a Verizon iPhone 4. Whereas Verizon subscribers reported a dropped call rate of 1.8 percent, AT&T clocked in at 4.8 percent for the same question.
att vs verizon dropped calls

You might think these numbers would pose a problem for the AT&T customer service department. Actually, when looking at overall customer satisfaction with their iPhone 4, both companies came out even. Very satisfied and somewhat satisfied customers together made up 98 percent of respondents from both AT&T and Verizon.

Although consumers are satisfied with their iPhone 4s, the dropped call woes for AT&T don't stop there. ChangeWave also performed another study and asked customers with any cellular phone from the four major US carriers about dropped call frequency in the past 90 days. Guess who came in last.

- Verizon Wireless 1.6%
- T-Mobile 2.3%
- Sprint/Nextel 2.7%
- AT&T Mobility 4.6%

A survey of future iPhone 4 buyers paints an interesting picture. Of those planning to purchase an iPhone 4, ChangeWave found that 46 percent planned to buy from Verizon. 27 percent indicated they would go with AT&T and 27 percent were in the "Don't Know/Other" category. On the surface this looks good for Verizon and bad for AT&T, however as more iPhone 4 users sign on to the Verizon network, their service could suffer.

As more subscribers start using loads of data it will inevitably put more pressure on Verizon's systems. Similarly, AT&T could see in improvement in future survey results as some customers will make the switch to Verizon. What's clear is that US consumers are incredibly satisfied with their iPhones and the user experience they provide, regardless of how many calls are dropped.
Source :
http://www.iphonefaq.org/archives/971325

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Verizon to Stop Offering Unlimited iPhone Data Plans

Well it was nice while it lasted. Just like AT&T dropped unlimited data plans in June 2010 for its iPhone customers, Verizon will cap data in the coming months. The switch to tiered data plan offerings is expected to happen this summer, in advance of the iPhone 5 launch.
apple iphone verizon wireless unlimited data plan

Verizon CFO Fran Shammo announced the plan to move ahead with tiered data plans on the iPhone during an investor conference. Shammo also explained that consumers might not be thrilled when they're stuck with an iPhone 4 contract after the next generation device is launched by Apple.

Verizon will likely follow AT&T and continue existing unlimited data plans for current iPhone owners until they decided to upgrade. Recent reports have stated that even AT&T is quietly reinstating unlimited data plans to hold onto iPhone customers amid competition from Verizon. Until February of this year AT&T Mobility was the exclusive US carrier of the Apple iPhone.

AT&T made a similar move with iPad data plans, requiring iPad users who discontinue their unlimited plan to sign up for a tiered plan when reconnecting. Verizon's tiered data plans have not yet been finalized, however AT&T currently offers subscribers the choice of $15 per month for 200 MB or $25 per month for 2 GB. Anything over the limit costs $10 per gigabyte. Verizon's current unlimited data plan is required for all iPhone 4 users and runs $30 per month.

Analysts expect that Verizon will make the change in data plan offerings to coincide with the iPhone 5 launch, which could come as early as this summer. Some reports have hinted that the iPhone 5 could be delayed until fall due to component shortages and a late iPad 2 launch. Wireless carriers make a large portion of their profits from smartphone data plans, and capping plans makes sure there's enough bandwidth to go around. iPhone users are notoriously heavy data users thanks to the multimedia and app-based focus of the device.
Source :
http://www.iphonefaq.org/archives/971288

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Report: Verizon to end unlimited iPhone data plans this summer

Verizon's "darling" status with iPhone users may quickly be coming to an end as a new report from Bloomberg cites Verizon's Chief Financial Officer Fran Shammo saying unlimited data plans will no longer be available from the new iPhone carrier.

Current switchers can grab the $30 per month unlimited data plan for their iPhone 4, but that could all change shortly. The offering, which Shammo said was "not a long-term solution," was likely just a marketing tool to entice the first wave of iPhone users to jump from AT&T, which currently does not offer an unlimited data plan.

Some users may see this as a "bait and switch" by Verizon, though considering the smartphone landscape, offering an unlimited data plan does not seem to maximize profits. Verizon will be switching to a tiered structure, much like the one that AT&T offers (currently $15 for 250Mb or $30 for 2Gb).

"We see the potential of our customer base spending in that $30 to $50 range," Shammo said. "As smartphone prices come down, more people will be able to afford them. We have to get those customers a sufficient entry point. We're still wrestling with what that entry point is."

Translation: the money is in the data.

Reuters and the Wall Street Journal have follow-up reports stating that Verizon's new pricing will take place in the middle of the summer, likely corresponding with Apple's release of the iPhone 5.

"We will probably do that in the mid-summer time frame," said Shammo, adding that initially Verizon, "didn't want to put up a barrier" for new customers hoping to find a better network.

Would the lack of an unlimited data plan keep you from switching to Verizon this summer? Let me know in the comments below!
Source Cnet
Read more: http://reviews.cnet.com/8301-19512_7-20037878-233.html#ixzz1FXem8QK6

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