However, it was only yesterday that we had reported on a 2007 class action lawsuit filed against Apple where the company had confided that the exclusive partnership with AT&T was signed for a period of five years – until 2012.
Close on the heels of this revelation comes another rumor that indicates that a CDMA iPhone may be in the works. According to CrunchGear, Verizon is currently working with an ad agency named Landor & Associates to create an advertising campaign for the upcoming iPhone. The report also notes that the campaign is being handled by Brad Scott, a senior director with Landor who is responsible for all of Verizon's branding efforts.
If true, the news nearly confirms the imminent launch of a CDMA iPhone this year. As we had noted yesterday, this is pretty likely despite the five year exclusive contract signed between Apple and AT&T. This is because the market conditions have changed quite a lot since the deal was signed in 2007. Competition from the likes of Android OS has substantially increased in the past few months making it important for Apple to offer buyers a choice while picking a carrier for their iPhone.
Also, AT&T had reported earlier this year that their network had seen a 5000% increase in data traffic since the launch of iPhone in 2007. AT&T's poor network service levels has been one of the biggest impediments to the sale of iPhone, which led Morgan Stanley analyst Kathy Huberty to claim that Apple may be able to double its market share in the US simply by opening up the iPhone to more carriers.
The latest development could thus come as happy news for iPhone users who may not only benefit from an alternate carrier to choose from while signing up for a data plan, but also expect a drastic decongestion of the AT&T network that has fallen casualty to the unprecedented success of the iPhone. What do you think?