Posted: Jul 3, 2010 10:17 PM by Dennis Bragg (KPAX-Missoula)
Updated: Jul 3, 2010 10:17 PM
Despite on-going rumors to the contrary, there's still no prospect of the popular Apple iPhone coming to the Verizon Wireless network anytime this summer or fall. And in fact, a new analyst report suggests it might not happen until late 2011.
The latest version of the wildly-popular smart phone had people lining up all over the country last week, with hundreds of thousands sold in the first few days. But in Montana, easy use and access to the iPhone remains a fantasy as the tech world marks the 3rd anniversary of the release of the landmark device.
That's because Montana is one of a handful of regions in the country where exclusive iPhone carrier AT&T doesn't provide its own service. Although iPhones can be used on "roam" or with some limited coverage through other carriers, Montana callers haven't been able to enjoy the regular calling and data plans with the iPhone that is available elsewhere in the U.S.
That's caused Montana iPhone fans to hope and pray the Apple touch-screen phone will eventually be available through Verizon, with some opting for other smartphones like Blackberry or Android-based devices. Rumors had continued to circulate around Montana this past winter and spring that the iPhone was going to come to Verizon in Montana this summer or fall.
But another report this week throws cold water on that idea. Oppenheimer analyst Timothy Horan, who participated in the latest round of investor meetings with top AT&T officials this week, discounts reports the iPhone would be coming to Verizon in January. He was quoted in the Wall Street Journal this week saying the company gave several reasons why the Verizon is "unlikely to get it until the second half of 2011, or later." Those include AT&T's on-going exclusivity agreement with Apple, and the technical problems of making an iPhone that will work on the Verizon network.
However, Horan believes the Verizon iPhone will happen at some point.
"The fact that AT&T moved up its upgrade cycle for current iPhone subscribers and increased early termination fees is a major signal that Verizon will be carrying the iPhone sometime next year" Horan said in his research note. "And in reality Apple could probably sell 10 million devices to Verizon's customers over a 12 to 18 month period."
The other wild card for a Montana iPhone remains on the table from the 2008 merger between Verizon and Alltel Wireless. As part of that agreement, Verizon had to sell off the Alltel holdings in some regions like Montana. It's been over a year since AT&T announced it would buy the Alltel network. But the equipment will have to converted to work with iPhones.
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