I found this in an Information Week article on the AT&T job cuts. No wonder ... Apple iPhone forum
iPhone sales hurt AT&T profits
I found this in an Information Week article on the AT&T job cuts. No wonder that some carriers passed on sell it.
"Indeed, its iPhone has given the carrier a big boost in subscribers, although those sales have hurt profit margins as AT&T offers subsidies on the phone."
Here's the link.
http://mobile.informationweek.com/device/article.php?mid=63&CALL_URL=http%3A%2F%2Fwww.infor mationweek.com%2Fnews%2Fmanagement%2Ftrends%2Fshow Article.jhtml%3Bjsessionid%3DIUPC3RGCHYEHAQSNDLOSK H0CJUNN2JVN%3FarticleID%3D212201864%26subSection%3 DManagement
And yet at the end of the day, the iPhone has brought a lot of new customers into the AT&T user base and that in itself will pay them back handsomely over time.
However if we step back and look at the big picture it's very typical of American companies to manipulate their profit margin by laying off workers to reduce costs which is the fastest and easiest way to increase the bottom line. Fair... no. But very real.
Originally Posted by paullamm
~via BB (wap.pinstack.com)~ yea after all the subscribers AT&T stole from other carriers, making them pay anywhere from (now)$199 to (then) $499 for a device and wrap into a mandatory $69.99+ contract for 2yrs. That's $1,680 per subscriber after their term is fulfilled. A LOT of income for ATT. No idea how that is making them cut jobs. But they could always cut their plans by a few bucks, that would make me switch to them.
Disclaimer: I am in no way sticking up for AT&T. Nor am I an iPhone hater.
Originally Posted by maz94protege
However the facts where the iPhone is concerned are quite different than the rest of AT&T's rate plan business.
Apple is well known as a very controlling, arrogant, elitist company. Witness the fact that they never discount their products under any circumstances. When they entered into a contract with AT&T, they - Apple - dictated the terms of every aspect of iPhone sales, and rate plans. For every single iPhone that is sold by AT&T, as well as EVERY iPhone activated, Apple get's a cut of the money. In order to do that and still make a small profit AT&T's pricing had to be what it is. And Apple dictated that as well.
So while I certainly agree that AT&T could cut it's rate plans a bit and give all of us (non iPhone) users a break. It is what it is. Steve Jobs and company fleecing as many people as they can.
~via BB (wap.pinstack.com)~ oh absolutely, I'm not saying you were. I love apple and I'm hooked on macs. But I quit working for apple because of their controlling ways. Like the economy, we will have to ride it out and just wait and see.
Not entirely true. They will discount just about any product they offer, except the Iphone. They offer a rather nice education discount as well, and they had a BF sale with 15-25% off (yeah not huge when looking into their base pricing), but hey they did offer at least something.
Originally Posted by archer6
Your're right, I stand corrected as I did forget about the Education purchase program they have, even if they only offer the most modest of discounts.
Originally Posted by squeakr
And don't get me wrong, I'm not an Apple hater, I use their products, have owned several new laptops etc. I simply detest their arrogance and the way they say one thing and do another.
Best way to sum it up :
Really good job from the Simpson's authors.
They go a long way from their initial thought ...
As Archer said they say something and do something else.
Original campaign :
Last edited by ranxoren; 12-10-2008 at 11:25 AM.
Originally Posted by ranxoren
Yeah a great episode. I agree on the do as I say attitude. Was talking to an Apple Rep and their stand on the whole Jailbreaking issue just cracks me up. He was stating that it wasn't good for the company or the device, but had no answer when I countered his claim. I stated that if it was so bad for the device, "why was co-founder, Steve Wozniak, going public saying that he believed in Jailbreaking and preferred to use his device in that manner and state." Here we have the co-founder of Apple stating this on the record and in interviews, and yet Apple still clings to its stance of no Jailbreaking.
Also the education discount is fairly significant, considering you can get any newly released device at about 20% off (at least that is for my small school, others get even better, like UCLA). They don't limit it to older devices either. I can order online or walk into any store and get the discount the day it is released, which is better than some other companies do (cell companies excepted).
i have also noticed some VERY slow speeds on my blackberries since the iphone released. do you all think its because of all the new iphones on the network? does att need to do some upgrading? and i'm not even talking 3g ... i don't even get that in my area yet.
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