Predictions are in full swing as AT&T’s hold on the iPhone is presumed to be expiring in the upcoming months. The latest comes from Deloitte that says close to half of iPhone users on AT&T’s network would be “very interested” in switching to Verizon Wireless if the carriers exclusivity ended, according to a survey conducted by Deloitte.
Those findings are in steep contrast to a report released earlier this week, which found that only 3 percent would break their contract to leave. It also goes against statements made yesterday by AT&T’s Chairman and CEO Randall Stephenson, who downplayed concerns over a mass exodus.
The Credit Suisse survey released earlier this week, said it expects 1.4 million AT&T (NYSE: T) iPhone users (of the 18 million expected by the end of the year) to switch to Verizon Wireless. Because of the low-level of concern, it upgraded AT&T’s stock to “outperform” from “neutral.”
Stephenson also reasoned yesterday at a Goldman Sach’s event that because of a high number of iPhone upgrades many iPhone users are currently under contract. Additionally, about 80 percent of iPhone users were either in family plans or received their phone through their business, making it hard to leave. Credit Suisse reports that only 3 percent of iPhone owners are willing to break their AT&T contract to leave, and only 18 percent were willing to leave once their contract expired.
Ed Moran, director of insights and product innovation at Deloitte, told Reuters: “If another carrier were to pick up the iPhone, you would probably see a number of defections.” Deloitte surveyed 2,000 U.S. consumers between 14 and 75 years old between June 29 and July 11, about how they used their mobile devices.
My wife and I have only used our iPhone 4s in NC, SC, GA & Fl since switching in July and we are very pleased with them and the network they are on. We have the lower tier data plan and make use of WiFi where available and have not exceeded the base data allowance. With both phones we are saving $60 plus tax etc. per month. So far we have been very pleased with the network and at this time and see no reason to make a change. The phones redily connect to WiFi where available and the usage when on WiFi does not count toward the data plan.
I cannot wait to ditch the terrible service I have on AT&T and return to Verizon. Do not misunderstand, I do not believe that any other phone stacks up against the features offered on the iPhone … but I don’t have service in my own home … better still, I don’t have service in my neighborhood. I love the phone, hate the service. 33 days until my 2 year sentence is served.
Why does Apple want to invest $ in developing a chip set for CDMA/LTE when CDMA is going away and is not a global standard? I don’t care what VZ talking heads say about LTE being available in 2011, it is not going to be like turning on a light switch and LTE is available everywhere. CDMA is slower than AT&T’s 3G network.
Verizon lol… been there done that, pricing is ridiculous, Service terrible, coverage same as the every other carrier (the major 4). People badmouthing AT&T most likely work or are affiliated with Verizon in some way, and vis versa but stick with the facts please. There have been numerous lawsuits against Verizon, for false advertising, charging people fee’s for services they did not use, unlawful practices in in Ohio, I could keep going. With AT&T I am paying 40$ less a month than with Verizon 97$-137$, never had dropped call or poor reception and I live in central PA which is very mountainous and rural and I have my iPhone and 3G coverage all the time not to mention an A-List. Verizon buckles and dimes you to death, maybe if they put people befor profit they would have morexsubscriberscthen AT&T, which just surpassed Verizon in number of customers. Everyone I know pays more than me for the same features and with a phone that is not as user friendly than the iPhone. They will be switching to AT&T.
@doug casper ….one word; CHINA!
There’s a couple things to think about.
First of all, many of the people who talk about switching to Verizon don’t realize that they won’t be able to do it with their phone. I’ve had this conversation with them and they’re amazed that the networks aren’t compatible.
Second, the problem is as much the iPhone as AT&T. I’ve had problems in parts of my home with the iPhone. My wife has an AT&T Android phone. I drop calls, she doesn’t. Even more telling, I ran data speed tests. I get about 500k on the iPhone kitchen. When I go into my office, which is where reception is worst, it drops to about 100k. WIth the Android phone, I get about 525K in the kitchen and about 350K in the office. Interesting, right?
So if Apple is really smart, they will implement a better cellular radio and antenna for CDMA and then performance will be better on Verizon. Otherwise, it’s just more of the same.
Bottom line…
iPhone users will finally have a choice and not be enslaved by carrier exclusivity. With that choice will come competition between Verizon and ATT for customers and iPhone users will benefit from that.
We’ll likely see more competitive plans and better service.