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

































