AT&T not worried about Verizon iPhone

You would think that all those iPhone-to-Verizon rumors would keep AT&T up late at night but its wireless head doesn’t seem too concerned. AT&T Mobility CEO Ralph de la Vega reportedly laughed at the notion and didn’t seem too fazed about a mass exodus of subscribers.

During a J.P. Morgan conference Wednesday, AT&T’s wireless head didn’t say much about the length of its exclusivity deal but pointed to a variety of reasons why customers will stick with the second-largest carrier. According to The Wall Street Journal:

He says about 80% of AT&T’s customers are on family-talk plans or business-discount plans, which are very “sticky.” Customers are reluctant to move away from those plans, so even if the iPhone is available elsewhere, AT&T believes it can hold on to those users.

Additionally, he touted the company’s mobile data network. This may seem laughable to long-suffering iPhone users in major cities but there are signs that the company’s 3G network is getting better. The carrier head also said that the media focusing on subscriber growth isn’t the best way to gauge carriers because of the growth in mobile data.

The company is looking at a variety of prepaid data models like it has with Apple’s 3G version of the iPad. Customers can sign up 250 MB of data for $15 a month or unlimited data for $30 and both come without contracts. It’s not just phones and computers, as we’ve seen AT&T play around with a variety of connected devices like a dog collar or even a medicine bottle.

He makes some good points about the discounts and family plans but AT&T is going to have to do a lot better than that if it wants to stop customers from leaving. Verizon’s CEO has said he wants the iPhone and there is clearly demand from Verizon users. If AT&T had some stones they would simply say that once the onslaught of data-hungry iPhone users hit Verizon, Big Red’s network will take a huge hit.

[Via Wall Street Journal]

  • soulsurfer818

    when will verizon’s iphone get on the market?

    • droid fan

      That AT&T Mobility CEO Ralph de la Vega is an idiot, most people who left Verizon for the Iphone will come back to Verizon. I call the Iphone, "ireallydon'tmakephonecalls" phone, (more like phoney).

  • Guest

    AT&T should be VERY worried! I am a loyal Verizon customer of 9 years and waiting for the iPhone – if I didn't love Verizon I would have switched to AT&T. I am sure there are many people who switched just for the iPhone who will switch back to Verizon.

  • Patty

    If AT&T isn't worried… why don’t they just immediately release Apple from the 5-year contract????

  • Patty

    AT&T will lose millions of new customers.

    AT&T will lose millions of existing customers.

    AT&T will *QUICKLY* lose millions of customers.
    (The Great Exodus will happen in 1-2 months… not safely spread over 1-2 years.)

    AT&T stock will drop. (Heck… it's already dropping… with just RUMORS of a Verizon iPhone.)

    AT&T will lose millions of dollars.

    AT&T will have even LESS money for cell tower upgrades.

    AT&T will pretty much get what they deserve: Horrible service = lose of customers.

  • chicagoan

    I changed to AT&T's family plan for iPhones from Verizon and I can’t wait to go back to Verizon asap!!! have you experienced 7 consecutive dropped calls? just with AT&T!!

  • el_westcoast

    With Verizon iPhone, everyone will find out the problem with drop calls is with the iPhone itself, not the service. Apple will take the hit, not AT&T

  • guest

    I now own a Motorola Droid on the Verizon Network, it's incredible, and I no longer want an Phone as a result. That's a common thought among Verizon Droid device owners. Both Apple and ATT should be very worried about the Droid devices and platform.

  • ohya

    @el_westcoast keep dreamin man, if you think vzw isn't prepared for that you're nuts. ATT has a hurt locker coming to them if this is the case and vzw will have an iphone.

  • Leroy

    I would think that by the time Verizon is able to get the iPhone (2012), technology will have moved forward and people wont be such FanBoys over the iPhone. Don't get me wrong, I love Apple products. It's just this FanBoy stuff needs to mellow a bit.

  • chuck

    An i-what? Just picked up a droid incredible about a month ago an my i-envy went right out the window. head to head it smokes all my i-phone toting buddies and they are pissed. Maybe droid stole that pinch thing but they did it right – when you zoom it realigns the text or picture to fit the screen automatiacally. I havent had a droppes call in a month unless i was talkin to one of my ATT i-buddies they are jumpin ship likes its sinking!

  • daniel

    ATT losing me when the iphone comes to verizon. thats for sure. They need to get there s*** straight

  • carl

    u guys keep wishing for the iphone and claim to have a better network but right now as is you 3g is only as good as att second grade edge network. once people figure out how much slower Verizon is they will come back to att

    • Tom

      Carl, I really can’t stand stupid people who have no idea what they are talking about and post comments which are blatently false.

      What planet do you live on? If you did any research you would find out that AT&T's 2.5G network has a max download speed of up to 236.8 kbit per second. Verizon’s 3G network has a max download speed of up to 3,072 kbit per second. So the truth is Verizon’s 3G network is over 10 times faster than AT&T's 2.5G network. No one with any brain activity would consider 236 kbit/s almost as fast as 3,072 kbit/s!

      If you would do any research you would also find out that although AT&T's 3G network has the possibility of being faster than Verizon’s 3G network under optimal conditions, most comparison tests show actual users 3G download speed on Verizon is 2x FASTER than AT&T's 3G network!

    • Leroy

      You should be playing in Las Vegas as one of the stand-up comics. You are joking, right?

  • Mark Sanford

    If ATT isnt worried about loosing customers, then why did they just announce an increase for Early Termination Fees from $175 up to $375 starting with all June 1 contracts??? They should be worried–their service stinks in my area, which is why I have two phones, and my business line with Verizon is more dependable than my expensive ATT iPhone service! ! !

  • jimswood4

    Why would At&T be worried …. Apple should be worried with the traction Google is getting on the other networks…I want a Verizon Iphone but honestly if June comes and its another year I will never own a Iphone

  • bcv

    you all need to get a fucking clue on the meaning of life. have fun with your lill tech-toys and superficial tech debates . im gona enjoy what matters, not what i see on a screen/display.
    fuckin lames!

    • bdb

      LOL someone's a bit jealous and upset that she doesn't have an iPhone, isn't she? or maybe it's just that time of the month

  • Daniel

    F at&t….. verizon hurry up!!!!! whats the hold up?

  • Clay

    I have had both IPhone and Droid Eris on ATT and Verizon networks respectifully. Both phones are great in their on ways depending on the user. It is hard to like another device once you are familiar with another especially if you have the IPhone 1st. As for the networks Verizon is by far superior especially outside the metro area and the ATT customers in these areas will be the ones jumping ship. Any company that does not care about losing even 1 customer deserves what it gets.

  • Leroy

    Um, the only holdup is the contract that Apple has with AT&T.

Back to top ▴