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The iPhone Is a Nightmare For Carriers

New submitter HungryMonkey writes "According to the latest EBITDA numbers from AT&T, Sprint, and Verizon, the subsidies they have to pay Apple in order to carry the iPhone are drastically reducing their profits. From the Article: '"A logical conclusion is that the iPhone is not good for wireless carriers," says Mike McCormack, an analyst at Nomura Securities. "When we look at the direct and indirect economics that Apple has managed to extract from the carriers, the carrier-level value destruction is quite evident."' So one money sucking leech has attached itself to another money sucking leech?"

3 of 438 comments (clear)

  1. I`m tellin ya...Apple is circling the drain. by __aavqan3009 · · Score: 0, Flamebait

    Just a matter of time. Don`t get mad at me, just bookmark this and review it in a year.

  2. Re:Perspective by geekoid · · Score: 0, Flamebait

    Since you have been able to do that for years, I don't think you are telling the truth.

    --
    The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  3. Re:Perspective by nightfell · · Score: 1, Flamebait

    Gag me with a spoon. FTFA:

    chalk another victory for Apple's superior product and unmatched level customer satisfaction. Businesses are just as gaga over the iPhone as individuals -- even archconservative firms such as Halliburton have made the switch.

    OK, you like Apple. Next time don't put so much sugar in the Kool-Aid.

    What "Kool Aid"? People are buying iPhones! Businesses are buying iPhones! Reporting on the facts doesn't make one a fanatic. Railing against reality does, though.

    Basically, he's just wishing that the wireless carriers would just be dumb pipes and let Apple's Goodness permeate the eather unimpaired.

    As I said, too much sugar.

    And that's exactly what everyone here on slashdot wants, except that since we are supposed to hate Apple (unlike everyone else, because we're soooo much smarter!), we only want that when it's Android phones, and not whatever phone people happen to buy.

    Fandroids need to learn to live with the iPhone. It doesn't suck, it's not going away. Android isn't taking over the world. And the reverse isn't true either. Both will coexist for a long time to come.

    Buy what you prefer, and be happy that there's a phone out there that you prefer, just like the other way round. And don't get your panties up in a wad because someone buys the phone that you don't like. It just makes you 100x worse than the purported "Kool Aid" drinkers that you imagine others to be.