The iPhone Just Changed The Wireless Industry
Nov 27th, 2007 | By James Lewin | Category: General, iPhoneVerizon Wireless today announced that it will provide customers the option to use, on its nationwide wireless network, wireless devices, software and applications not offered by the company. Verizon plans to have this new choice available to customers throughout the country by the end of 2008.
“This is a transformation point in the 20-year history of mass market wireless devices ‚Äì one which we believe will set the table for the next level of innovation and growth,” said Lowell McAdam, Verizon Wireless president and chief executive officer. “Verizon Wireless is not changing our successful retail model, but rather adding an additional retail option for customers looking for a different wireless experience.‚Äù
The company is responding, through today’s announcement, to a small but growing number of customers who want another choice without full service.
The Success Of The iPhone Forced Verizon’s Hand
The runaway success of the iPhone has to have played a part in Verizon’s decision to open itself to a broader array of devices. Apple’s smart and sexy device has proven to be so popular that about a quarter of the people buying iPhones are switching from other carriers.
AT&T has a five year deal with Apple for the iPhone. That’s a long time for Verizon and other carriers to be selling also-ran phones.
The best way for Verizon to compete against the iPhone – and four years of iPhone successors – is to open its network to any device, creating new competition and offering Verizon customers more selection than ever before.
In early 2008, the company will publish the technical standards the development community will need to design products to interface with the Verizon Wireless network. Any device that meets the minimum technical standard will be activated on the network. Devices will be tested and approved in a $20 million state-of-the-art testing lab which received an additional investment this year to gear up for the anticipated new demand. Any application the customer chooses will be allowed on these devices.
Following publication of technical standards, Verizon Wireless will host a conference to explain the standards and get input from the development community on how to achieve the company’s goals for network performance while making it easy for them to deliver devices.
This had more to do with the upcoming spectrum auction than the iPhone.
This is about Google and the FCC, not Apple.
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