Apple To Partner With Verizon To Expand iPhone market

Apple’s iPhone would soon be available on the Verizon Wireless Network. This is ‎expected to shift the balance of power among players in the carrier industry, mainly ‎AT&T along with others like Sprint Nextel and T Mobile.

The iPhone 4 would run on ‎Verizon’s CDMA technology.‎Verizon Wireless is set to offer a variety of devices that include smart-phones and tablets ‎from Samsung, Motorola and HTC Corporation. ‎

Apple is planning to expand their carrier base in the U.S. even as Google is making ‎inroads with their Android OS. By giving away their software free, Google plans to rake ‎in more revenue by selling more advertisements and other services in their sites. The ‎sales volume of Android based phones surpassed iPhone sales recently.‎

Since the introduction of the iPhones in June 2007, AT&T had seen remarkable growth ‎as a carrier of Apple’s iPhones and related devices. With carrier based smart-phone ‎market reaching saturation, Apple had to find new markets to sustain growth. Partnering ‎with Verizon would enable Apple to tap a new market with a potential of 10million US ‎customers.‎

On their part, Verizon Wireless has captured a good slice of the market through Google’s ‎Android powered phones made by Motorola and HTC Corp., and is keen to partner with ‎Apple to expand their reach further.‎
AT&T has allowed their customers free upgrades to iPhone 4, while extending the ‎validity of their contracts over longer durations to protect their consumer base. A recent ‎consumer survey has rated AT&T’s services as poor. AT&T is also planning to entertain ‎other smart-phone providers like Motorola, Samsung and HTC in their carrier network. ‎While AT&T could weather the storm, other carriers like Sprint and T Mobile may be hit ‎below their belts.‎

Verizon stands to gain by partnering with Apple, as the wireless market can be tapped to ‎its full relying on Apples devoted consumer base. Although Verizon has been voted as a ‎reliable service provider, their network has not managed the large network of consumers ‎exchanging voluminous data of all types and kinds over extended periods. However, they ‎have successfully handled the growing Android based market.‎Other U.S. and international carriers are hoping to get an opportunity to carry iPhones in ‎their networks. Meanwhile, analysts are keeping their fingers crossed.

Date: Tuesday January 11, 2011