AT&T CEO Stephenson seeking to extend iPhone exclusivity, put focus on wireless

AT&T CEO Stephenson seeking to extend iPhone exclusivity, put focus on wireless
With the contract between Apple and AT&T, giving the latter firm the exclusive U.S. rights to the iPhone, set to expire next year, both sides are negotiating on a one year extension. That news comes from no better a source than AT&T CEO Randall Stephenson who spoke to the WSJ. The 48 year old CEO has been working hard to keep Apple's touchscreen handset out of the hands of rival carriers, and while rumors of a Verizon branded version of the smartphone do come up time to time, even Apple seems pleased with the current relationship with Stephenson's firm.

The executive also has decided to make wireless the priority for AT&T as the current economic conditions have hit the landline business hard. 12,000 jobs will be slashed this year and the company has cut capital spending by 15%. In the meantime, $18.8 billion dollars has been spent on purchasing radio spectrum and smaller cellphone companies. Subsidizing the price of the iPhone has cost the firm more than $1.3 billion dollars. Still, money has to be spent on beefing up wireless capacity as the CEO expects newer smartphone models to swamp current networks with their ever increasing abilities to request data and multimedia. As a result, two-thirds of the carrier's capital spending over the next five years will go to wireless network investments and acquisitions.

source: WSJ



1. heavybreathing

Posts: 276; Member since: Feb 26, 2009

I wish they would put a tower in my backyard. Living in the middle of a valley SUCKS for wireless signal.

2. BeInspired

Posts: 45; Member since: Apr 21, 2009

what about video call services? China has started the 3G services way later than AT&T, chinese started the 3G services, China Mobile, April2008, China Unicom,May 2009, both of them have 3G video call services, what about AT&T, you left way behind, please competite with the rest of the world, europe, asia, launch the video call services ASAP, not video share, that's nothing.

3. phoneguy

Posts: 213; Member since: Jan 08, 2009


4. drewsky

Posts: 147; Member since: Jan 04, 2009

One reason is probably ATT is more concern with other things, like expanding their 3G coverage, upgrading to HSPA to 7.2Mbps, and of course the exclusivity of the Iphone. Not to mention most people in general could careless about Video call services.

5. cartman

Posts: 45; Member since: Dec 11, 2008

Probably because most ppl would be interested in wanting to talk on the phone. I mean, if you need to video chat, you can do yahoo messenger or skype. I have talked to people, and they would not be interested in having to do video chats on phones. It's not even that popular in places where they offer the service. On a humorous note, read #6:

6. BeInspired

Posts: 45; Member since: Apr 21, 2009

Oh, I see! But what is the purpose to upgrade the 3G if you only wanting talk on the phone? You can also surf the internet at home, plus you can get much faster internet speed at home, for example, verizon fios. I understand that yahoo, skype, msn, even lately, aim came with video call functions, but what if, you were traveling at New York City, visiting the Statue of Liberty, and want to share the view with your friends or parents in San Fransico, in that case, you need video call. now talk about iphone, most of AT&T phones have better 3G functions than iphone, some people even use those unlock phone with ATT's 3G frequencies doesn't have problem with ATT's 3G network, it just the iphone sucks.

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