Posted by: Olga Kharif on July 10, 2008
Released a year ago, the first iPhone has lead a mass of people to switch to AT&T, the exclusive seller of the iPhone in the U.S. Would the new, 3G iPhone, due to debut on July 11, have the same effect?
Opinions differ. Richard Doherty, director of consultancy Envisioneering Group, believes that the new iPhone will cause double the churn of the prior model. On the other hand, Consultancy Compete recently surveyed people who are likely to churn, and with some interesting results. At least 85% of the potential defectors still have at least six months left on their existing wireless contracts, and don’t plan to change carriers until these contracts run out. Compete also warns that users still value network quality and plan pricing way more than they do device features. So in areas where AT&T’s coverage isn’t as good as that of rivals, users are less likely to switch.
Are you planning to switch to AT&T in order to buy the new 3G iPhone? What are your reasons? And how soon do you hope to move over?