AT&T exclusivity?

I think originally Apple looked at it as they wanted a strong partner that would work with them and improve edge coverage and enhance 3G coverage now, also build out visual voicemail and offer fair price unlimited internet. Unlimited internet is a key component for the consumer to fully enjoy the iPhone. Without these and more qualities the iPhone would not be held to a high standard. Also making a non GSM phone is more expensive to make compatiable with other networks. There are alot of factors this 20 billion dollar company I am sure addressed internally which we will never know about.



Just something to consider

Which deceptive stipulations by at&t?

And which stipulations in regards to a subsidized phone that are different from any other major cellular provider in the U.S.?

I believe Apple's decision to have an exclusive agreement with at&t in the U.S. and with the cellular providers for the iPhone in each country has very little to do with improving Apple's image.

Since Apple decided to go GSM with the iPhone which is the worldwide standard - GSM network providers dominate the overall worldwide market by a very significant margin, Apple's choices for a GSM network provider in the U.S. that has national coverage was/is limited to two providers - at&t and T-Mobile. T-Mobile is the only other major GSM network provider in the U.S. that comes close to at&t's coverage.

yet- the question is still why did they do the deal and not just bring a GSM phone on the market. The issue of improving Edge and 3G, well, competitive forces would have done that -> one would hope so.

I'd gotten the impression that the exclusivity was driven by AT&T. Apple wanted a cut out of every sale which was why Verizon walked away from the deal. I could see AT&T insisting that they be the only ones to carry the phone if they're going to have to share their profit on both phones and plans, as I heard it.