Is Apple Just That Into AT&T -- Fact Checking the Carrier Relationship

On the heels of a Bloomberg TV interview with Brian Marshall [YouTube link] Turley Muller of Financial Alchemist puts foot to assumptions, and figures the following:

  • AT&T likely subsidizes the iPhone to the tune of $400
  • If AT&T loses exclusivity (i.e. if Verizon gets the iPhone), the subsidy probably won't change. (Not a revelation to the rest of the world where multiple carriers hasn't changed the subsidy or pricing...)
  • iPhone users are 14% of AT&T's wireless customer base.
  • iPhone exclusivity with AT&T may terminate at the end of 2010 but only Apple and AT&T know for sure.

Disclosure, he's long on Apple, but short on Marshall, it seems. Anyone really, truly surprised by any of the above?

Rene Ritchie

Rene Ritchie is one of the most respected Apple analysts in the business, reaching a combined audience of over 40 million readers a month. His YouTube channel, Vector, has over 90 thousand subscribers and 14 million views and his podcasts, including Debug, have been downloaded over 20 million times. He also regularly co-hosts MacBreak Weekly for the TWiT network and co-hosted CES Live! and Talk Mobile. Based in Montreal, Rene is a former director of product marketing, web developer, and graphic designer. He's authored several books and appeared on numerous television and radio segments to discuss Apple and the technology industry. When not working, he likes to cook, grapple, and spend time with his friends and family.