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Rumor — AT&T Losing iPhone Exclusivity Next Week

MojoKid writes "An inside source over at HotHardware reports that AT&T will lose their iPhone exclusivity on 1/27, coincident with Apple's upcoming press event next week, though it's not yet clear what other carriers will be stepping in to pick up the iPhone. For anyone who has followed the saga, you may notice that you haven't seen AT&T fighting to extend their original exclusive agreement as of late. In fact, they have spent most of their time fighting Verizon's negative ad campaigns. This may not be all that surprising. Inside of AT&T, word is that the iPhone is causing more trouble than ever before. On some level, having the iPhone is hurting AT&T's image. Do you remember hearing about AT&T's 'horrible network' before the iPhone? The iPhone itself doesn't really handle the switch from 3G to EDGE very gracefully, so calls that are in-progress tend to fail whenever 3G connections aren't optimal and the phone attempts to step down to EDGE. It seems that AT&T may finally be tired of taking the heat."

5 of 353 comments (clear)

  1. Shiny overrode Technical by SuperBanana · · Score: 4, Interesting

    The iPhone itself doesn't really handle the switch from 3G to EDGE very gracefully, so calls that are in-progress tend to fail whenever 3G connections aren't optimal and the phone attempts to step down to EDGE.

    Given that carriers test phones on networks, it would not be the least surprising to learn that AT&T technical staff evaluated the iPhone (or already had experience with the 'modem' it uses), told management about the problems, and management decided what was more important was the couple of years of revenue from people who wanted iPhones regardless of the network.

    I've been a customer of AT&T since the "AT&T wireless" days (pre AT&T, pre "cingular", etc.) and I can count the number of dropped calls on one hand. I currently have an original iPhone, jailbroken/unlocked, on a very old AT&T Wireless account. $30/month for a regional plan = awesome (as is having one device to surf the web where I can get Wifi, play games, listen to music, and make phone calls.)

    Living in New England, I also haven't heard many complaints from 3G iPhone users. Seems to be mostly NYC where people are screaming (yes kids, NY and NYC are not "New England.")

  2. Re:Who cares? by jellomizer · · Score: 5, Interesting

    Man you are dumb.

    For one the market share for iPhones is still much much larger then all the Android based phones out there. It is second only to RIM Blackberries.
    Most mobile application/web development is primarily tested for the iPhone So right now iPhone as more apps.
    The iPhone is the standard that all the other phones need to set the bar against.

    It isn't about features or technology it is about mindset. Right now the iPhone is still the winner (next year who knows bur right now they are the winner)

    AT&T got a lot of new customers just because people wanted the phone... For the most case this is opposite... People search for the plan they want and get the phone. If AT&T looses iPhone exclusivity it would really heart them. Well lets go with the other ones instead they may have better coverage or faster network. Spring G4 iPhone would be cool. Perhaps Verizon my have a cheaper Service. Perhaps t-mobile will allow tethering.

    Android is still second fiddle... I for one like to see it grow and give apple a good run for its money however you have to be an idiot to think the iPhone is irrelevant.

    --
    If something is so important that you feel the need to post it on the internet... It probably isn't that important.
  3. Re:AT&T Sucks by morgan_greywolf · · Score: 5, Interesting

    I was there for the switch to 3G in OH and though the service is fast, the batteries don't last (heh); my phone(s) would be dead with very limited surfing.

    The batteries don't last in a lot of EVDO phones either. That's the fault of stupid phone manufacturers who switched radio chipsets without bothering to improve battery capacity or power consumption in the rest of the phone.

    The real problem seems to be that AT&T has very limited 3G coverage, while their EDGE network has very good coverage. Unfortunately, as you allude to, they had to degrade the EDGE network for the 3G iPhone. The 3G-EDGE failover problems actually have nothing to do with the iPhone and everything to do with GSM. This has never worked very well, not even in other dual band phones. EVDO to CDMA fails over pretty seamlessly, though in the very early days of EVDO back around 2005 or so, several phones (like the Moto Razr) had problems failing over as well.

  4. Re:Sigh by DaveGod · · Score: 4, Interesting

    By next week many people may have signed up with AT&T whom, had they known, would have waited to check for better deals / a preferred carrier.

    Don't hold your breath though. The situation in the UK after the iPhone recently became non-exclusive is a bunch of remarkably similar deals, the only notable exception being that Tesco offers a 12 month contract.

  5. Re:Underlying technology. by DarkDust · · Score: 4, Interesting

    People don't want them here in Europe, either, at least on the countryside. People don't care about them in the cities, I think. At least I never heard somebody even talking about these towers here in Munich, except if the reception is bad.

    There was a very funny story a few weeks back here in Germany (I'm citing off the top of my head, maybe I don't get it 100% correct, sorry for that): A company erected a new cell tower and people began to complain about health issues like headaches that they directly blamed to the tower. After a few weeks there was some kind of meeting between the people and company officials where the people demanded that the tower gets switched off immediately because of their health problems. Turned out the company switched the tower off three weeks before said meeting due to some technical problems :-) Fine example of a negative placebo, IMHO.