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The iPhone is helping AT&T while hurting the phone company's competition

Even though the iPhone does not launch for 11 days, the hype surrounding the latest Apple gadget continues to explode.  More than 64 percent of American users and 56 percent of British mobile phone users have at least heard of the iPhone. 

While the iPhone will be an expensive product -- priced at $499 and $599 for the 4GB and 8GB model respectively-- and users will have to sign an exclusive contract with AT&T, many consumers seem unfazed.  According to a study done by M:Metrics, almost 1 in 10 mobile phone users in the United States have "a strong interest" in purchasing an iPhone.  Of the 11,064 people polled for the study, 67 percent are subscribers of a service besides AT&T. 

Further research suggests that as many as 19 million Americans are interested in purchasing an iPhone.

"This is an early indication that AT&T's strategy to use the device to lure customers from competitors could play off," said Mark Donovan, M:Metrics senior analyst.

Analysts also expect AT&T iPhone users will spend an additional $20 per month on data service charges that average AT&T subscribers do not use.

Apple and AT&T have an exclusive agreement for at five years, meaning people wanting the iPhone will be forced to use AT&T.  Analysts expect T-Mobile and Sprint Nextel to be hurt most by the deal.

Apple plans to have up to 3 million iPhones for the scheduled launch on June 29.



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RE: Cheap...
By marvdmartian on 6/18/2007 10:13:16 AM , Rating: 1
WTF? Who ever said anything about not having technology, like a computer? I'm talking about people who aren't happy unless they have the newest technology, or did you miss that in my original post??

Seriously, turn on your sarcasm before you try to be sarcastic, would you??


RE: Cheap...
By GoatMonkey on 6/18/2007 10:33:21 AM , Rating: 2
I know what you mean. I was being a bit of a smart ass there. But you know there has to be a middle ground. Pretty much any new technology can be seen as frivolous. Especially when if first comes out. In a few years, all of the features of the iPhone could just be normal expected things.

For some people it's worth a little extra money to not wait for it. I'm not going to be the judge of what other people should spend their money on.


"I mean, if you wanna break down someone's door, why don't you start with AT&T, for God sakes? They make your amazing phone unusable as a phone!" -- Jon Stewart on Apple and the iPhone

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