Sigh. This is really pissing me off.  So now I hear from Kaufman Bros. analyst Shaw Wu (rev: cnet) that Verizon is looking to have an exclusive deal with Apple just as AT&T does.  From a business perspective, this is pretty smart for Verizon because they can claim the first 4G phone, oh yea, you KNOW Verizon is going to scream about the first 4G iPhone.  Get ready for the avert blitz. But where does that leave us?  Poor pathetic iphone users who have been suffering under the yoke of AT&T dominance and phone fail… Mostly in the same place.  Why?  Because there is a limit of Verizon.  Yes they have better coverage; but they are actually a bit slower (if you do not count 4G) and you cannot use the phone and data lines at the same time.  That may not seem like a big deal but for a few people it kinda is.

So why would Verizon put out the bucks to keep the iphone to themselves and AT&T?  Well according to Wu, Verizon is feeling the slip on Android and has little faith in Blackberry to really content with iphone popularity.  Not sure I agree with the Android analysis given all the data I’ve seen over the last few months, but I do agree with the Blackberry call. Unless Apple is asking for some insane deal, it would still make sense for Verizon to have some sort of control over the iphone market regardless of how other phones are doing. But why would Apple go with this?  well…

AT&T has 92.8 million subscribers. Meanwhile, Sprint only has about 49 million subscribers and T-Mobile USA has 34 million subscribers.  So if you can get a sweetheart deal with the two carriers that have most of the people, why not?

What about Window Phone 7?  Did not even come up in the report. No surprise there because I think the Windows Phone 7 has a limited market that can only be attached through the xbox and sysadmins.

Still should be interesting to see how this plays out.  I would put my money that Verizon is going to pay Apple close to what it wants and Apples stock price to inch up just a bit higher on the announcement.

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