Tuesday, December 1, 2009

Verizon Vs. AT&T


Verizon's recent attack on AT&T got me thinking, "Why the attack?"

With Verizon's take-over of Alltel, there was very little competition for the mobile powerhouse. However, there only competition is AT&T and their corner on the iPhone market. By showing the coverage of their competitor, they are attempting to downplay the iPhone.


AT&T attempted to sue Verizon on the basis that the ads are misleading. They stated:

"In essence, we believe the ads mislead consumers into believing that AT&T doesn't offer ANY wireless service in the vast majority of the country. In fact, AT&T's wireless network blankets the US, reaching approximately 296M people. Additionally, our 3G service is available in over 9,600 cities and towns. Verizon's misleading advertising tactics appear to be a response to AT&T's strong leadership in smartphones. We have twice the number of smartphone customers... and we've beaten them two quarters in a row on net post-paid subscribers. We also had lower churn -- a sign that customers are quite happy with the service they receive."

Though AT&T might be raising a stink, Verizon's ENTIRE network is 3G whereas AT&T's coverage is not. Hmmm....

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