On Wed, 31 Jan 2007 07:03:41 -0800, SMS <scharf.steven@geemail.com>
wrote in <45c0afcf$0$69002$742ec2ed@news.sonic.net>:

>karlkrandall@sbcglobal.net wrote:
>> When Apple and Cingular are raking in the bucks next fall, and Verizon
>> decides it wants a piece of the action, what Verizon VP will get
>> canned because the 5 year Cingular USA exclusivity contract precludes
>> it?
>>
>> And Verizon blew it cause Apple offered it to them first.
>
>Presumably Verizon knew what they were giving up when they passed on the
>iPhone.

Translation: Outbid by Cingular.

>Perhaps their analysis showed that a $600 handset that lacked
>basic PDA functions, and that didn't have high speed data, wouldn't sell
>in sufficient quantities, even when promoted by a rock star, or that it
>would be very successful for Apple, but not bring much revenue to Verizon.

Perhaps Verizon just blew it.

>It's not like there won't be other phones with similar functionality to
>the iPhone available, we've already seen that some are coming.

That's like saying there are lots of MP3 players, so the iPod isn't a
big deal.

>Cingular was more willing to accede to Apple's demands because Cingular
>lags Verizon by a huge margin in new post-paid customers. Cingular can
>brag about having the most customers, but a lot of those customers are
>low margin, low ARPU, prepaid customers.

Irrelevant. What matters most is the size of the base, since that's the
source of all-important upgrades.

It's pretty hard to spin this as being anything but bad news for
Verizon, so I have to hand it to you.

--
Best regards, FAQ FOR CINGULAR WIRELESS:
John Navas <http://en.wikibooks.org/wiki/Cingular_Wireless_FAQ>