Is Verizon Getting the iPhone?
Friday, May 29, 2009 at 4:37PM Recently there have been rumors of a possible Verizon iPhone. Based on Internet buzz, the rumor is that Verizon Wireless is in talks with Apple Inc. about introducing the iPhone onto Verizon’s network. Personally I think this would be fantastic; I am a loyal Verizon customer and also a big Apple fan.
Apple has become so popular that having an Apple product has become a statement and almost a lifestyle in itself. Apple has always put a lot of thought into the positioning of its products. It operates and owns its stores, and when selling the iPhone in other places, they give a limited number of dealers the exclusive right to distribute its products. Because of Apple’s relentless efforts in refining its brand and products, it has become a market leader when it comes to high-end mobile phones, setting new standards in the cell phone industry.
Apple announced the iPhone on January 9, 2007. The iPhone has been around for a few years now, and the hype has still not died down. Apple has made great strides when it comes to getting the iPhone out to the world. But when it comes to the U.S. market, users are still forced to sign with AT&T.
AT&T has gained a competitive advantage in the cellular phone industry by partnering with Apple for exclusive rights to the iPhone. This co-branding had brought AT&T a lot of business, but their contract with Apple is believed to be expiring some time in the next few years. After this point it is uncertain whether AT&T will still have exclusivity to the iPhone.
It’s here that Verizon Wireless enters into the picture. Verizon is a market leader when it comes to the cell phone carrier industry with one of the largest market shares. Many believe that a deal with Apple is key in order to stay on top. The iPhone has already turned into the industry standard. Verizon has a few phones like the Blackberry Storm and Motorola Krave ZN4 that are unique in their own ways, but don’t quite shine like the iPhone. It is time Verizon ether came out with something that could stand up to the iPhone, or at least strike a deal with Apple in order to get the iPhone on their network.
A deal like this would most certainly be a good thing for Verizon, AT&T and surely Apple. I am certain AT&T is paying a mint for their monopoly on the iPhone. If Verizon were to get in on that deal, then AT&T would no longer have to pay so much for the iPhone, thus AT&T would be able to increase their revenue from iPhones.
At this time we can only speculate if Verizon is in negotiations with AT&T. No one knows for sure what Verizon’s product/market expansion grid will be. But I’m sure there would be a demand for a Verizon iPhone.
In the end, Apple is the real winner. Through strategic positioning and building superior products, Apple will remain a market leader and an overall successful company. We can just hope that Verizon will get its hands on the iPhone soon.
Reader Comments (1)
Now that Verizon has the Motorola Droid, I think this increases their chances of there being a Verizon iPhone. Having an alternative to the iPhone could strengthen Verizon's hand in negotiations with Apple.