News
Court docs confirm five-year AT&T iPhone exclusivity
By Charles Starrett
Senior Editor, iLounge
Published: Tuesday, May 11, 2010
News Category: Apple, iPhone
Newly discovered court documents relating to a class-action lawsuit filed against Apple and AT&T in 2007 have confirmed that the two companies originally signed a five-year iPhone exclusivity deal. Engadget quotes a briefing filed by Apple, which reads, “[t]he duration of the exclusive Apple-[AT&T] agreement was not ‘secret’ either. The [plaintiff] quotes a May 21, 2007 USA Today article – published over a month before the iPhone’s release – stating, ‘AT&T has exclusive U.S. distribution rights for five years-an eternity in the go-go cellphone world.’ [T]here was widespread disclosure of [AT&T’s] five-year exclusivity and no suggestion by Apple or anyone else that iPhones would become unlocked after two years… Moreover, it is sheer speculation – and illogical – that failing to disclose the five-year exclusivity term would produce monopoly power….” It remains to be seen whether the five-year exclusivity deal is still in place, however, as it has been speculated that the terms of the two companies’ iPhone deal may have been part of the negotiations over iPad with Wi-Fi + 3G data plans.
Related Stories
- Sony launches Music Unlimited for iOS
- Apple to sell Nest Learning Thermostat
- Apple tweaks App Store with Editors’ Choice, Free picks
- Apple removes Airfoil Speakers Touch from the App Store
- Tweetbot adds Nearby tweets, Keyword mute filters + more
- Facebook releases Facebook Camera
Comments
If you have a comment, news tip, advertising inquiry, or coverage request, a question about iPods/iPhones/iPad or accessories, or if you sell or market iPod/iPhone/iPad products or services, read iLounge's Comments + Questions policies before posting, and fully identify yourself if you do. We will delete comments containing advertising, astroturfing, trolling, personal attacks, offensive language, or other objectionable content, then ban and/or publicly identify violators.
Recent News
- Pulp adds iCloud sync, new Home Page
- WordPress for iOS adds Push Notifications
- Sony launches Music Unlimited for iOS
- Apple device poll ends, computing poll begins
- Fruit Ninja adds new features and power-ups
- Apple to sell Nest Learning Thermostat
- Third-gen iPad to launch in Guam, Philippines May 29
- Apple tweaks App Store with Editors’ Choice, Free picks
- Panic releases Diet Coda
- Booq rolls out new Folio for iPad
Recent Reviews
- Pelican i1075 Hardback Case for iPad
- Skinit Skins for iPad (3rd-Generation)
- Spigen SGP Steinheil Ultra Optics Screen Protector for iPad (3rd-Gen)
- ZeroChroma VarioProtect for iPhone 4/4S
- BodyGuardz UltraTough Clear Skins for iPad (3rd-Gen)
- Wrapsol Original + Ultra Hybrid Protective Film for iPad 2/iPad (3rd-Gen)
- iBattz Mojo Removable Power Card Wallet
- dreamGEAR i.Sound Power View Pro S 2.1A Dual Charging Dock
- dreamGEAR i.Sound Universal Power View
- Sena Cases Florence Portfolio for iPad (3rd-Gen)
Recent Articles
- Removing music from iTunes after copying to iPod
- iOS Gems: Farm 123, Facebook Camera, Scribblenauts, Shoot the Zombirds + Virtua Tennis Challenge
- iTunes TV show size totals don’t match actual disk storage
- Consolidating Multiple iTunes Libraries
- Converting Purchased Videos to 1080p HD
- Find My Friends always reports home location
- Creating an iTunes Match library from an external hard drive
- Benefits of keeping apps in iTunes when using iCloud
- Recovering iTunes from an External Hard Drive
- Normalizing volume levels for Voice Memos
1
Five years! This reinforces my plans to replace my iPhone with a Wi-Fi-only iPad (running the Skype app) and a Verizon MiFi with data-only plan.
AT&T can’t see past their own greedy need for controlling the users of their network. We just want a “dumb pipe” for (voice and) data - no phone subsidies, no contracts, no limitations on “unlimited” data, no content control.
Posted by Herr Doktor on May 11, 2010 at 7:57 AM (PDT)
2
I don’t think it’s AT&T being greedy. I think it was a combo of telecoms not fully believing Apple could pull off a phone. Not wanting to fully jump in with Apples test at this marekt. Probably other phone companys like Motorola and Nokia having serious bargining pull, threatening all the cell carriers. Finally most likely Apple wanting one pipeline so it could keep it’s expirement within some boundries.
It sucks though that we might have to wait to get off AT&T until 2012, I hope this lawsuit wins!
Posted by Christopher on May 11, 2010 at 9:51 AM (PDT)