AT&T Customers Remaining Loyal as Verizon and Sprint Gain iPhone
MarketWatch reports on comments from AT&T executive Glen Lurie noting that the carrier's churn rate has remained steady since Verizon and Sprint began offering the iPhone earlier this year. Some observers had expected that AT&T might experience a significant amount of customer defection once it lost iPhone exclusivity in the United States, as the carrier has been the target of a number of complaints about network coverage and other issues.
"Churn has not moved at all," said Glen Lurie, president of emerging devices for AT&T. Churn refers to the number of customers who cancel services.
Lurie said the carrier's relationship with Apple Inc. AAPL +0.06% , maker of the iPhone, has been positive, and they've had record-breaking sales of the latest iPhone 4S which has led to some supply issues. U.S. consumers are looking at a week to two week wait times to get the latest iPhone 4S from AT&T, he said.
AT&T continues to hold several advantages over its rivals when it comes to the iPhone, with one of the major ones being network data speed. With the iPhone 4S supporting HSPA+ technology, AT&T can offer significantly faster speeds for the iPhone than Verizon and Sprint can on their CDMA networks. Sprint users in particular have complained of very slow data speeds on the iPhone 4S so far.
As the only GSM-based iPhone carrier in the United States, AT&T is also able to offer the iPhone 3GS free on contract, while Verizon and Sprint start with the $99 8 GB iPhone 4 as their low-end devices. While the pricing difference becomes negligible once the total cost of a two-year service contract is accounted for, customers are still attracted to the low upfront cost of the iPhone 3GS, as evidenced by the fact that it remained the second best-selling smartphone in the U.S. behind the iPhone 4 heading into the iPhone 4S launch.
While a loss of iPhone exclusivity has apparently proven to not be an issue for AT&T's customer retention, the expansion to Verizon and Sprint has had an effect on the one major U.S. carrier still not offering the iPhone: T-Mobile USA. That carrier noted as part of its earnings discussion last week that customer churn due to the iPhone continues to be an "area of concern" for T-Mobile.
Popular Stories
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are less than three months away, and there are plenty of rumors about the devices.
Apple is expected to launch the iPhone 17, iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max in September this year.
Below, we recap key changes rumored for the iPhone 17 Pro models:Aluminum frame: iPhone 17 Pro models are rumored to have an...
Apple is developing a MacBook with the A18 Pro chip, according to findings in backend code uncovered by MacRumors.
Earlier today, Apple analyst Ming-Chi Kuo reported that Apple is planning to launch a low-cost MacBook powered by an iPhone chip. The machine is expected to feature a 13-inch display, the A18 Pro chip, and color options that include silver, blue, pink, and yellow.
MacRumors...
In 2020, Apple added a digital car key feature to its Wallet app, allowing users to lock, unlock, and start a compatible vehicle with an iPhone or Apple Watch. The feature is currently offered by select automakers, including Audi, BMW, Hyundai, Kia, Genesis, Mercedes-Benz, Volvo, and a handful of others, and it is set to expand further.
During its WWDC 2025 keynote, Apple said that 13...
Apple hasn't updated the AirPods Pro since 2022, and the earbuds are due for a refresh. We're counting on a new model this year, and we've seen several hints of new AirPods tucked away in Apple's code. Rumors suggest that Apple has some exciting new features planned that will make it worthwhile to upgrade to the latest model.
Subscribe to the MacRumors YouTube channel for more videos.
Heal...
Apple is planning to launch a low-cost MacBook powered by an iPhone chip, according to Apple analyst Ming-Chi Kuo.
In an article published on X, Kuo explained that the device will feature a 13-inch display and the A18 Pro chip, making it the first Mac powered by an iPhone chip. The A18 Pro chip debuted in the iPhone 16 Pro last year. To date, all Apple silicon Macs have contained M-series...
Popular accessory maker Anker this month launched two separate recalls for its power banks, some of which may be a fire risk.
The first recall affects Anker PowerCore 10000 Power Banks sold between June 1, 2016 and December 31, 2022 in the United States. Anker says that these power banks have a "potential issue" with the battery inside, which can lead to overheating, melting of plastic...
Chase this week announced a series of new perks for its premium Sapphire Reserve credit card, and one of them is for a pair of Apple services.
Specifically, the credit card now offers complimentary annual subscriptions to Apple TV+ and Apple Music, a value of up to $250 per year.
If you are already paying for Apple TV+ and/or Apple Music directly through Apple, those subscriptions will...
As part of its 10-year celebrations of Apple Music, Apple today released an all-new personalized playlist that collates your entire listening history.
The playlist, called "Replay All Time," expands on Apple Music's existing Replay features. Previously, users could only see their top songs for each individual calendar year that they've been subscribed to Apple Music, but now, Replay All...
