Apple and AT&T’s contract will come to an end by the close of this year, 2010. There are speculations about the arrival of the Apple iPhone on the Verizon Network, but neither Apple nor Verizon have given any official statement about a release date. The arrival of the Apple iPhone in collaboration with one of the biggest cell phone operators, the Verizon network in the U.S, will cut down the price of the Verizon iPhone for U.S. Consumers – possibly even offering a free cell phone with their mobile phone plans. There will be very high competition between the top network and cell phone companies, Verizon and AT&T, and it is speculated that both mobile companies will be slicing down the prices of their plans. Verizon and AT&T are the two largest network service competitors, competing against each other on both network services and network speeds respectively
Sprint Nextel and T-Mobile are two other network service provider companies with low prices and compare well against the top two service providers in the U.S. In addition to Verizon, if Sprint and T-Mobile start selling the iPhone 4G to U.S customers, then it will bring all the companies face to face in trying to sell the iPhone to their customers. This in turn will lead to a price war among them and it is expected that all the companies will lower down their service fees as well as the price of Apple’s iPhone 4G to their customers. It means that there will be an unavoidable price war that will start between iPhone selling companies in the U.S market. One can evaluate the price war situation after seeing the results of the fierce competition between Sprint and T-Mobile from when they were offering different plans for U.S users with just 69 dollars per month, offering free cell calls on any cell phone network in the US, unlimited text messages and data transfer services and free voice call minutes for landlines calls.
Verizon and AT&T are also affected by the price war scenario that has come about in the U.S market, which lead them to reduce prices for the plans offered to U.S Customers. Both companies have lowered the prices of their unlimited voice plans from 99.9 dollars to 69.99 dollars a month. It is sure that after the end of the contract between AT&T and Apple, it will be very difficult to predict the price of Apple iPhones. Heavy price wars are inevitable for iPhone launches, which will results in companies slashing the price of the apple mobile. This will also lead to cutting down the prices of their plans or adding extra value to their present plans.
On the other hand, after the arrival of the magical and revolutionary Apple iPhone device exclusively through AT&T for U.S customers, it created a great panic for the Verizon Company and its users. Verizon customers have been bullying the company since the iPhone device had been released to U.S market. Customers of the AT&T have raised questions that Apple should ask AT&T to expand their 3G network which currently only one third the size of the Verizon Network’s.
I don’t understand why Apple would do that. I really don’t think they should be worried about people not wanting their product. Really would make more sense to make it available to everyone and not just AT&T.