An industry report suggests the adoption of the iPhone for Verizon consumers may not take hold as vigorously as other recent reports have insinuated.
Apple is expected to formally announce it will offer its ultra-popular iPhone to Verizon customers on Tuesday.
Moment of personal privilege: I for one cannot wait to get my hands on a Verizon iPhone. In fact, although I seriously considered making a move to the Droid – and also contemplated switching carriers – I am (impatiently) waiting to get my upgrade until the iPhone becomes available through Verizon.
If and when this finally happens, according to Credit Suisse, AT&T could lose as many as 1.4 million users to Verizon, just in early 2011, TechZone360 previously reported.
According to a MarketWatch commentary on Monday, before non-Verizon users jump ship, there are a few factors to consider, including the fact that most Droid customers have contracts that won’t expire until November.
“One big factor is that Verizon already has a large number of customers using Android-powered smartphones – most particularly the Droid phones from Motorola Mobility,” the report said. “And these customers do not begin to age out of their contracts until this November at the earliest. Unless those consumers don’t mind paying hefty charges to switch, it’s unlikely they will give up their Droids so quickly, unless Verizon waives fees as AT&T did — and it is unclear why they would.”
AT&T is currently the only U.S. carrier able to offer the iPhone on its network.
Strong demand for the iPhone helped to boost AT&T’s third-quarter revenue to $31.6 billion, a period in which the carrier saw 5.2 million activations of the device.
Erin Harrison is Executive Editor, Strategic Initiatives, for TMC, where she oversees the company's strategic editorial initiatives, including the launch of several new print and online initiatives. She plays an active role in the print publications and TechZone360, covering IP communications, information technology and other related topics. To read more of Erin's articles, please visit her columnist page.
