Verizon to Offer iPhone Next Year
After years of expectations and speculations, a version of Apple iPhone is finally on its way to Verizon Wireless' network. Citing anonymous sources, the Wall Street Journal reported that Apple plans to start mass-producing the Verizon-branded iPhone by the end of the year, allowing the device to be launched during the first quarter of next year.
The Journal said the new iPhone will be similar to the iPhone 4 currently sold by AT&T, but will run on CDMA, a wireless network technology that works on Verizon, instead of the GSM one used by AT&T. Pegatron Technology Corps, a division of ASUSTeK in Taiwan, will be responsible for the production. Echoing the Journal's story, New York Times also released similar news, quoting one person in direct contact with Apple that Verizon will begin selling the phone in early 2011.
The Journal added that the carrier has been meeting with Apple to discuss their cooperation. To prepare for the launch and handle the foreseeable heavy data use by data-hungry iPhone users, Verizon has also been expanding its network capacity.
Some analysts ascribe Apple's move to Google's Android open-source OS, the first real threat to the iPhone ever since its launch in 2007. According to Gartner's September research, the Android OS is set to account for 17.7 percent of mobile OS sales in 2010, showing a tremendous surge from 3.9 percent last year. By comparison, Apple's iOS will see a much smaller year-on-year growth from 14.4 percent to 15.4 percent. The numbers evidence that Android devices have already overtaken the iPhone.
On the other hand, the new arrangement also signifies the imminent end of the exclusive relationship between AT&T and Apple. Analysts believe this will have a profound impact on AT&T, whose subscriber growth in the last three years was greatly spurred by Apple's flagship device. A recent survey by Deliotte confirms their concern, as it revealed that nearly half of all iPhone owners said they would ditch AT&T for Verizon.
There is no doubt that the arrival of the new iPhone will give consumers more choices on networks and data plans. But at the same time, it could also bring a dramatic shift of balance of power in the smartphone market, as it is very likely to further intensify the competition between manufacturers as well as wireless carriers.
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