AT&T CEO Ralph de la Vega said at the recent JPMorgan tech conference that it’s not really worried about Verizon possibly carrying the iPhone on its network as well.
Why? Because switching wireless carriers is still pretty tricky to do.
He said some 70% of AT&T’s subscribers are on family plans, and it would be difficult to move everyone over to a new carrier.
Additionally, 40 percent of subscribers are part of corporate plans, and employers are unlikely to switch company-owned devices for a new carrier. The CEO added that “churn” rates (i.e., a measure of customers leaving) for AT&T are staying at record-low rates, so he expects that iPhone customers will remain loyal.
So just as AT&T has never been able to get more than roughly 40% of each quarter’s U.S. iPhone buyers to switch over from other carriers, it’s unlikely that huge numbers AT&T’s iPhone customers will rush out the door if a Verizon iPhone hits the market.
Verizon iPhone rumors gained heat in March when it was reported Apple was preparing to produce a CDMA-compatible iPhone in September. CDMA is the standard used on Verizon phones.
