Tuesday 11 October 2016

Apple and Verizon Close to Deal, New iPhone Lite

In Apple’s statement during their recent quarterly earnings call that they have no intentions of changing their exclusivity agreement with AT&T for the iPhone, USA Today is bringing back rumors that they may be in talks with Verizon to bring the iPhone to their network.
Possible development of an iPhone for Verizon, with the goal of introducing it next year, people familiar with the situation say.

Not surprisingly, AT&T is trying to maintain their exclusivity, and with good reason (for them, at least). According to the New York Times, each iPhone customer is responsible for roughly $1,080 in revenue, meaning those 2.5 million new customers a year that they’re pulling in from from their deal with Apple is bringing them around $700 million a year in operating profits
BusinessWeek reports that two new devices were mentioned during the Verizon talks: the first was described as an “iPhone lite” by someone claiming to have seen the device. The second was a sort of media pad that allows users to listen to music, view photos, and watch high-definition videos on the go. Both of these devices have come up in rumors in some form or another, but none have gained any traction, with Apple even stating outright that they have no intention of making a low-end iPhone. One theory mentioned by BusinessWeek is that Apple may have no intention of making a deal with Verizon, but may only be using the talks to get AT&T to agree to a better deal.


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