Steve Jobs considered breaking AT&T exclusivity "more than half a dozen times"
0. phoneArena 18 Nov 2013, 10:16 posted on
One of the biggest points of frustration for potential early iPhone adopters was the exclusivity with AT&T, because not everyone wanted to or could switch to AT&T. It was also a cause for annoyance with those who did get an iPhone on AT&T, because of constantly dropped calls, and troubles with data connections. Now it has come out that the ever fastidious Steve Jobs hated that exclusivity deal...
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1. downphoenix (Posts: 2687; Member since: 19 Jun 2010)
"there were also concerns as to if Verizon would have been any better, because its CDMA network cause issues with battery life" a statement that is completely unfounded and has no basis in fact. CDMA does not have any significant detriment to battery life in comparison to GSM. This has been tested over and over. Anyone that concludes there is a significant difference is biased and lying.
As far as not liking the exclusivity deal, Im sure it was more of a "Buyer's remorse" situation, they probably saw no issue with it initially, but AT&T probably did not comply with Apple's demands very well and the agreement was in their favor and they abuserd
3. MichaelHeller (Posts: 2693; Member since: 26 May 2011)
I've clarified the language on that part. Only meant to say that was the belief at the time, regardless of what turned out to be true.
13. ardent1 (Posts: 2000; Member since: 16 Apr 2011)
Michael: Apple went with GSM technology because more of the world used that technology than CDMA. If you recall, Apple at the time wanted to dominate the smartphone industry.
15. sprockkets (Posts: 1555; Member since: 16 Jan 2012)
apple went to verizon first you know, cause, like apple, love to screw their customers with BS lock-in.
16. downphoenix (Posts: 2687; Member since: 19 Jun 2010)
Yea but even if GSM is more dominant worldwide, Apple was thinking Verizon first as far as US marketshare goes. They naturally would have went with a GSM iphone for most other markets.
2. Kishin (Posts: 695; Member since: 30 May 2013)
Nokia stop the exclusive act with ATT please
4. downphoenix (Posts: 2687; Member since: 19 Jun 2010)
They dont have an exclusivity deal. Nokia has phones on Verizon and T-mobile as well. AT&T may have been more accommidating to them, or maybe Nokia has just been favoring AT&T since their network is more compatible with international networks than the other carriers. Nokia and Sprint does have some kind of beef though. I wish it could be worked out, because the Windows phones on Sprint just suck, HTC and Samsung don't really care about WP.
5. Kishin (Posts: 695; Member since: 30 May 2013)
All the good ones are on ATT, and if Nokia tried harder they can make phones that work the on 4 major carries.
Just like the iphone did..
10. Kishin (Posts: 695; Member since: 30 May 2013)
Yes those exactly
Wondering how the 925 made it to ATT?? yes thats my point
7. gjkiii (Posts: 5; Member since: 25 Oct 2013)
I knew it was a bad idea from Day 1 but to this day I do not understand why he did it. Why didn't he just put it on more than one carrier at the beginning?
8. Gawain (Posts: 388; Member since: 15 Apr 2010)
It is well documented now that Verizon turned down Apple's offers. Love it or hate it, Apple is a very difficult company to do business with. They charge an arm and leg wholesale to carriers, and they get royalties for every device sold and in use...and people used to think BlackBerry/RIM was bad with its carrier fees for BIS, those didn't hold a candle next to the $15/$20 per month, per user Apple gets.
11. DAMONORIBELLO (Posts: 104; Member since: 18 Mar 2012)
Marketing! It created a LOT of interest in a product that was not available to anyone but AT&T customers on susbsidy, here in the states. Look what it did for Apple. It did a lot of good for them but all-the-while you have Android climbing the ranks. Apple is slowing it's roll.
14. ardent1 (Posts: 2000; Member since: 16 Apr 2011)
The original deal was with Cingular. To get that deal, Apple threaten to become a MVNO, which is how Cingular caved in and gave Apple a sweetheart deal.
At that time, the carriers had do much control over the handset such as how the menu was set up, the placement of the carrier logo, revenue sharing of music, games, etc.
Because the iPhone was so successful in terms of ARPU, net subscriber adds, low churn, etc, it gave Apple the leverage to negotiate with the other carriers. Verizon kicked themselves for not doing a deal with Apple and instead tried to rely on Blackberry (anyone remember the BB Storm aka iPhone killer?). At the time no carrier (in the US) understood that the iPhone was a game changer. Cingular took a huge gamble with the iPhone and the rest is history.
9. rusticguy (Posts: 2828; Member since: 11 Aug 2012)
Expected. He was one of those "Use and Trow" types by nature.
12. networkdood (Posts: 6329; Member since: 31 Mar 2010)
Ironic that Jobs calls somebody else "arrogant".
17. squallz506 (banned) (Posts: 1075; Member since: 19 Oct 2011)
This article seems about 2 years late.
18. jroc74 (Posts: 5271; Member since: 30 Dec 2010)
Its funny now that he's gone.....we find out he wasnt all in on the exclusivity deal.
That I find hard to believe since Apple makes all their OS's exclusive. Exclusive hardware....