Why AT&T Isn’t Worried About Losing iPhone Customers

So far, this is the best reason I’ve heard why AT&T shouldn’t be too worried about losing customers as soon as the Verizon iPhone is released. According to AllThingsD, 90% of AT&T’s iPhone users are still under contract. This number comes from Susquehanna analyst Jeffrey Fidacaro, who’s predicted only 2 million users to jump ship from Ma Bell to Big Red.

Remember last year how AT&T gave a whole bunch of people early upgrade eligibility for the iPhone 4, before their two-year contracts were up? In doing so, they grabbed a whole bunch of people in for another two years. Add that to the mammoth increase in termination fees from last year, and suddenly everyone who has an iPhone 4 already is probably thinking about riding out their contracts.

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Comments

  1. iTim says:

    Jump Shit? LOL. Proof read.

    Not sure how true that is. My early termination fee is only $122 now, and I got the iPhone 4 on release day with AT&T. Granted I’ve been with them for a while, but $122 is worth it to move to Verizon.

    • Tim Barribeau says:

      Well, that’s just a little embarrassing. Fixed.

    • KrakaJap says:

      I’m around that price too for an early termination but I don’t have any big issues with AT&T in my location. But considering how close we are to an iPhone 5 (whether or not VZ gets it right away), that $122 can seem a little bit more than what some would be willing to pay I would think. They might wait it out to the end.

  2. KrakaJap says:

    Jump shit? LOL For a lot of AT&T users that’s actually very accurate! :P

  3. BCCSUPERSIZEIT says:

    I am tempted to try out VZ BUT…. not being able to make a call and use data at the same time has me thinking about that one.

    And maybe with AT&T thinned out a bit, my call quality may improve.

  4. GSXRMike says:

    Early termination fee? Just sell your iPhone 4 to pay for it. Also, you could probably get enough selling it that you’ll have enough to pay for the Verizon iPhone, too. I’m not going anywhere but the early termination fee is really not a good reason considering the resale value of an iPhone as long as it was kept in good condition.

    • Bdoni says:

      Yea that’s what I was thinking this whole time. It would be super easy to jump shit…I’m mean ship ;) with how much you can get for these things on eBay or craigslist.

  5. MrSandman says:

    Screw all this……
    Use your iPhone with sim card from Nokia E-71….and pay $ 45/month bucks unlimited
    EVERYTHiNG !! :o )
    That is the best of all worlds, period.

    • Knight says:

      Uuuh mr sandman tell me more! Do what and how? I was w/ vz b/f getting iPhone & still got raked over the coals for data pkg

  6. robbrick says:

    Actually, if you renewed your contract AFTER June 1, 2010, your ETF is $325 less $10 for each completed month of service. So buying the iPhone 4 late in June would mean that your new contact started around 6/24/10, which is $325, less $70 after this month’s billing cycle.

    • Tim says:

      Not entirely accurate. That’s only for new customers. This that were customers before the jump are grandfathered in. Which is why mine is only $122.

  7. Jason LI says:

    I guess I’ve been one of the lucky ones. I live near a cell site that has 3,193kbs d/l and 811kbs u/l
    speed. Certainly not great, but better than I would get from Verizon. There are some places in NYC that I receive much better speed than that. Just today, I was on the phone and looking up some weather reports at the same time. I’d miss that functionality. I had thought that Verizon was going to have a way of allowing simultaneous voice and data. Perhaps with the next gen iPhone on their new LTE network.

  8. Dan says:

    If by going to verizon I save even just a few dollars a month why wouldn’t I go. If you do the math and throw in better service, (which is a fact in my area) it makes sense to buy my way out and take that jump. ATT has got that we’re too big you can’t hurt us attitude. Good luck with that, it won’t pay the bills.

  9. Charles says:

    There is another reason why AT&T is not worried: the fact that a large number of iPhone users are very satisfied with their service and see no need to leave AT&T. One of the many ways the media distort reality is cleary evident in the myth that because some iPhone users in San Francisco or NYC have had problems with dropped calls, then this must be the case for everyone else. Uh, no, it’s not. Having used smart phones with both AT&T and Verizon, up and down the East coast, I have found the quality of their service to be essentially the same. Contract or no contract, I am very pleased with my iPhone 4 and with AT&T.

    • MiamiSkinsFan says:

      Exactly. I’m in South Florida and haven’t had an problem with service. And when I went to the Grand Canyon last year, my service worked just as well as Verizon folks. Plus, the no data while on phone is at Verizon is a killer for me – I do that all the time. What I do hope though is that Verizon causes ATT to get free or reduced price on tethering and hot-spot capability with a decent price on that too.

  10. Moaner says:

    In addition to Charles’ comments, Rollover minutes baby!. ATT has them, Verizon doesn’t. iPhone, Android, Windows7 it doesn’t matter, until Verizon matches rollover minutes they don’t have a snowball chance in hell of getting me back!

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