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1,400,000 AT&T iPhone Owners Lust After Verizon

Complaints about AT&T's service are not uncommon in densely populated areas like New York City and San Francisco but did you know one in four iPhone users would ditch the official iPhone carrier if they were offered the chance to switch to Verizon?

The Silicon Valley Business Journal cites a study by Credit Suisse that indicates as much as 23 percent (which amounts to 1.4 million) of iPhone users would switch from AT&T to Verizon if the latter got the iPhone in Q1 2011, as some rumors suggest it might. The investment bank said that 3 percent of AT&T iPhoners would be willing to break their contracts to make the switch and 'most' would switch if their contracts had already expired when Big Red got the iPhone.

It's a known fact that the iPhone exclusivity deal is an incredibly lucrative one for AT&T. Credit Suisse believes that if the iPhone makes it to Verizon next year, the network's subscriber numbers would sky rocket from two million to four million.

Though it would seem iPhone owners can't wait to get away from AT&T, the company's CEO, Randall Stephenson, doesn't seem particularly worried about the possibility of losing the the Apple device to other carriers. Market Watch reports that while Stephenson acknowledged the iPhone's positive effect on smartphone sales at a recent investor conference, the CEO said these sales were locking customers in to AT&T agreements that will not end just because another network gets the iPhone. Stephenson went on to describe the 80 percent of iPhone users as "sticky" consumers.

"If you look at the iPhone base, about 80 percent is either on a family-talk plan or in a business relationship with us," Stephenson said. "Those customers tend to be very sticky. They don’t churn very frequently."

Source: Silicon Valley Business Insider (via USA Today) Market Watch

  • wintermint
    What about Sprint and its 4G network? Yes it's not available in all areas but Sprint still has its unlimited data plan and the 4g only has a small premium :P
    Reply
  • What a horrible way to think about your business. " the CEO said these sales were locking customers in to AT&T agreements that will not end just because another network
    gets the iPhone". That will turn to churn when the contracts run up
    Reply
  • dxwarlock
    A large number of AT&T iPhone users would switch to a good phone, if they had the chance.
    Reply
  • rmmil978
    AT&T should worry. Despite what consumers have learned to do with their phones, the smartphone is still a PHONE! You should be able to make calls, hear your caller, and not have it randomly drop you. Solution? Verizon. Rarely, if ever, do I get a dropped call, and I've NEVER had a dropped call when I'm talking to another Verizon user.
    Reply
  • shovenose
    at&t is total $h!t!!!
    on my iphone 3g, 1 in 3 calls are dropped
    Reply
  • Pei-chen
    This report means 77% of iPhone users has no problem with AT&T's service dealing with the most utilized smartphone on the market. I wonder what %age of Verizon users would approve of Verizon if Verizon ever got a decent smartphone.

    BTW, Obama would wish he has a 77% approval rating.
    Reply
  • blurr91
    Strange...I don't have a problem with my AT&T service. I like the GSM system where I can switch out the SIM card to a different phone should my main phone take a dump...which has happened before.

    I think it's a classic "the grass is greener on the other side" syndrome. These users will switch and then find out Verizon isn't all that either.
    Reply
  • flachet
    "If you look at the iPhone base, about 80 percent is either on a family-talk plan or in a business relationship with us," Stephenson said. "Those customers tend to be very sticky. They don’t churn very frequently."

    If your network sucks they do. At my company which is a Fortune 100 company, if we have a vendor that isn't up to par, they are dropped. By the way, my company does not use AT&T.
    Reply
  • hakesterman
    It's not going to happen, they sleep and play together and Apple is not going to dump their partner of crime.
    Reply
  • dheadley
    I have a verizon account for my personal phone (family plan and all relatives use verizon also) and my work phone, but my work phone used to be AT&T for years and in my experience I've had far less missed/dropped calls on AT&T than I do on verizon.

    I also get (actually everyone in our company does) calls that never ring in then a voice mail shows up later on with the phone at full bars and sitting on the same table top the whole time. Same with text and picture messages. I never had that issue at all on AT&T.

    Also verizon exaggerates their coverage areas on that red map they like to show off. Last year I drove from Cleveland to Indianapolis and back eight weeks in a row, some before and after the switch and my AT&T phone never lost a signal, but more than once my verizon phone was completely unusable on the same trip.

    So I would say that there are probably a lot of people that are very happy with their AT&T service, just as there are plenty of people that have a problem with Verizon's service.
    Reply