Analysts Say Bringing iPhone to Verizon Would Double Sales
At Barron's, Eric Savitz reports that Bernstein Research analysts Craig Moffett and Toni Sacconaghi are suggesting that bringing the iPhone to Verizon Wireless would double sales of the device, but "would likely result in a cut in revenue per phone of $100 to $200."
"The analysts note that for AT&T, the iPhone provides both a customer acquisition tool and a customer retention tool," Savitz writes. "A non-exclusive deal, they say, would reduce the value of the phone to AT&T and likely result in a reduction in the subsidy per phone from an estimated $450 to around $250-$350. They add that the fact that Verizon operates on the CDMA standard is not a major technical barrier, and that the issue will become less relevant in the years ahead as VZ migrates to LTE."
"Verizon Wireless now boasts a larger subscriber base than AT&T (86.6 million compared to 78.2 million, as of the first quarter of 2009), enabling Apple to exponentially increase its addressable market — Moffett and Sacconaghi also note that while more than 10 percent of AT&T's postpaid customers are already iPhone owners, the Verizon subscriber population remains untapped," writes FierceMobileContent's Jason Ankeny.
More here from AllThingsD … and more here from InformationWeek.
Robert said:
Jun 26, 09 at 9:46 pmIf Verizon gets the iphone I will buy one!! I will never leave Verizon so get us the iphone!!