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Verizon, AT&T and others still struggle to attract new subscribers

The economy is finally seeing recovery after quarters of disappointing figures, but AT&T and Verizon Wireless are still finding it difficult to woo new wireless subscribers.

Verizon signed 423,000 customers to postpaid contracts, while AT&T added 512,000 new subscribers.  AT&T’s new subscriber base saw a 43% decline compared to one year ago, while Verizon's 423,000 tally was a 55% drop compared to 2009.

Rather than latch on to costly two-year phone contracts, many wireless customers are now choosing prepaid wireless phones. The use of a prepaid plan allows owners to pay just for the minutes and data they use, which is especially helpful as many Americans continue to closely watch their budgets.

Unfortunately for wireless carriers, prepaid phone plans offer less profit for the host companies -- which is exactly why all four carriers offer phone specials, buy-one-get-one promotions, and other incentives to get customers hooked into long-term contracts.

AT&T is expected to again add more prepaid phone owners than postpaid customers in the next quarter -- a troubling trend for the carrier that has exclusive rights to the Apple iPhone.  Verizon continues to seek out the iPhone, though AT&T and Apple still reportedly have a strong working relationship. However, a possible Verizon-Apple partnership will be a significant victory for Verizon.

Verizon has used the Google Android mobile OS for several major smartphones, including the Motorola Droid and upcoming Droid Incredible, though the company understands the consumer market is rather fickle at the moment.

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i don't even want to know...
By inperfectdarkness on 4/28/2010 8:57:28 AM , Rating: 2 much data plans would cost for prepaid. i don't know how you can beat sprint's prices for truly unlimited data.

RE: i don't even want to know...
By mcnabney on 4/28/2010 9:03:04 AM , Rating: 2
You never get more than what you pay for, and you are usually stuck with much less.

I have had T-Mobile and am now with Verizon. One thing hasn't changed. I still let all of my friends with Sprint use my phone because most of the time their phones don't work. When I call them I almost never get through and have to leave VM because wherever they are they don't have a connection. In almost everything in life, if the product is made for a low price point don't expect much in the way of performance or reliability. Did I mention that I live in Sprint's home town?

"Paying an extra $500 for a computer in this environment -- same piece of hardware -- paying $500 more to get a logo on it? I think that's a more challenging proposition for the average person than it used to be." -- Steve Ballmer

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