Iphone Verizon Deal In The Works

Looks like Iphone and Verizon are working on a deal the will merge cell companies. This would great for Verizon subscribers to now be able to buy the Iphone without having to switch service to AT&T. Read below about more information.

If AT&T's purchase of Verizon Wireless' Alltel assets is approved later this year, as expected, South Dakota cell phone users will be able to acquire the much-coveted iPhone and a global calling network.
But questions remain as to how the potential switch will affect Alltel subscribers who are transitioned into AT&T service through their Alltel contracts.
AT&T announced in May that it intends to acquire wireless properties, including about 1.5 million subscribers in 79 service areas across 18 states, at a price of $2.35 billion.
Verizon now owns Alltel but was forced to sell some of its Alltel assets in certain states to create fair competition. South Dakota, North Dakota, Iowa and Minnesota are among the affected states.
The move is subject to approval by the Federal Communications Commission and the Justice Department.
AT&T spokesman Tom Hopkins said the company expects the deal to close late this fall, pending the proper approvals.
If the deal goes through, Alltel customers , whose contracts will be transitioned over to AT&T, will see no changes for roughly 12 months as AT&T upgrades Alltel's CDMA technology to GSM, a network that is used all over the world and one that allows calls to be made from different countries. New phones needed
Once that upgrade is complete, former Alltel customers who have been transitioned to AT&T will no longer be able to use their Alltel cell phones on the new network .
"Once the network is upgraded to GSM, they will need to get a new device," Hopkins said. But Hopkins said it is premature to predict whether contract-bound customers would be provided with compatible GSM devices at a discount or free of charge, or whether they would have to buy a new phone themselves.
"It's a little bit early to get into those kinds of specifics," he said.
The company may offer certain "marketing enticements," when the transition occurs, he said, but those details have not been worked out. Hopkins said AT&T would keep customers informed as the deal goes forward. Better service ahead?
He said that if and when the switch occurs, customers who are transitioned from Alltel to AT&T will have better service .
"That network will provide greater cell coverage, call quality," he said. "It will be an upgrade over the current network."
AT&T customers will also have the ability to purchase an iPhone, a music playing, WI-FI capable phone produced by Apple that has been incredibly popular across the country for its many different functions. Customers will be able to choose from a large variety of AT&T phones featuring the latest technology, Hopkins said.
However, Public Utilities Commissioner Gary Hanson is concerned with some potentially negative effects of the switch. Compatibility issues
AT&T's new GSM network may not be as compatible with the existing towers used by Verizon Wireless as Alltel has been, he said. The two companies have used roaming agreements to provide service in as many areas as possible.
"I don't know that the two technologies between Verizon and AT&T are going to mesh as well as Alltel and Verizon did," he said. "That's my biggest concern, because it means that there will be a lower quality of service if they don't have good roaming ." PUC concerned
Hanson said the PUC is also concerned about the possibility of Alltel customers having to purchase new phones when the network changes. "We are quite concerned about the phone issue, as to whether or not all of the Alltel customers will have to purchase new phones," he said.
The PUC may or may not have the authority to regulate AT&T on that aspect, if it indeed becomes an issue, Hanson said.
Hanson also wants to ensure that AT&T will have a commitment to building out its infrastructure in South Dakota as the other two companies have done.
He and the other commissioners have had discussions with AT&T and plan to meet with the company sometime in the future to hammer out some concerns.
"At this point the best we can do is meet with AT&T and ask a lot of questions and make a lot of suggestions and see what their plans are," he said.