At 03 May 2012 23:25:11 -0700 Me-an Hugh wrote:
> On Thu, 3 May 2012 22:30:50 -0700, "stevev" <email@example.com> wrote:
> >Apple is considering becoming a service provider. Not a lot of
> >interesting article.
> Apple has NO CHANCE of getting the necessary spectrum and infrastructure.
They don't need to. These rumors come from an MVNO conference somewhere.
MVNOs, (Mobile Virtual Network Operators) resell service from existing
providers, like Page Plus does with Verizon, or Tracfone does with almost
While I don't see it happening, it's perfectly possible. Right now,
Apple is a beloved brand, and nobody "loves" their cellular company.
iPhone users tend to blame any problems on the provider, regardless of
who's really at fault, believing Apple to be as infallible as the Pope.
If Apple also becomes the service provider, the buck now stops with them,
and they take possession of all issues and problems.
Apple is better off with the current system where the carrier bears the
brunt of the cost of the device for the consumer via subsidies. If Apple
becomes the service provider, they'll have to subsidize the cost and make
it back via service fees over time- a job (and risk) the mobile operators
now handle for them.