Did Verizon Just Blow Its Chance to Carry the iPhone?

The company boldly announces a new tablet to tackle Apple's iPad

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A lot of speculative buzz surrounds the Wall Street Journal's scoop that Verizon is working with Google to build a tablet computer. But the production phase is far from imminent and some doubt that the tablet rumor is anything but a ploy to scare Apple. The more immediate question, then, is what Verizon's disclosure means for its hopes to carry the iPhone. Many expected a Verizon-iPhone deal to be announced later this year. Now, with Verizon announcing it's gunning for Apple's iPad market share, the corporate relationship may be in jeopardy.

  • Bad News for Verizon Customers Hoping to Get an iPhone, writes Adam Ostrow at Mashable: "The move... casts some doubt as to whether Apple will open up iPad and iPhone to Verizon customers -- something that has seemed increasingly likely in recent weeks." Seth Weintraub at Fortune agrees: "The two companies have had a contentious relationship. It started last year with Verizon's Christmas ads that poked fun at the iPhone. Apple has fired back with commercials that tout AT&T's ability to use the web while on a call -- Verizon's CDMA data network stops when a call comes in."
  • Apple Could Leave Verizon in the Dust, writes TechCrunch's MG Siegler: "If Apple isn't happy about Google competing with Apple in mobile phones, this is about to get a lot uglier. The big question is: will it get ugly enough that Apple will re-up with AT&T and forget about a Verizon iPhone? Or maybe they have already, which is why McAdam would make such a pro-Google statement? The next few weeks leading up to Apple's WWDC event in June should be interesting."
  • This Is Probably Verizon Negotiating Better Terms, writes Dan Frommer at Business Insider: "Now would be a logical time for Apple and Verizon to be in negotiations over the iPhone and iPad. Obviously, each side wants to get the best terms on everything from wholesale pricing to promotional opportunities to search engine revenue sharing. And that explains how we could see an article like this -- a Verizon executive giving the WSJ a story to get more leverage in his negotiations with Apple. Verizon is just playing Google to get Steve Jobs to hand over the iPhone and iPad on favorable terms."
This article is from the archive of our partner The Wire.