Nick Tippmann
Regional carrier U.S. Cellular has told Apple thanks but no we wont be extorted into the high up front fees you force companies to pay to carry the iPhone is being reported by 9to5Mac. Even though another regional rival in C-Spire has just accepted possibly those same terms.
Terms were unacceptable from a risk and profitability standpoint, and the potential strain on the company’s network was not a factor in the decision, and that U.S. Cellular remains open to carrying the iPhone in the future.
States Marry Dillon, CEO of U.S. Cellular. Even though we all know that long term sales from the iPhone boost the overall profits of the company, short term it puts a heavy financial strain on smaller cellular companies. They are not the first to have denied Apple after hearing about the fees, Czech regional carrier Telefónica Czech Republic AS also said thanks but we’ll pass. The question is with their 6.1 million customers mostly using Android phones and rival C-Spire carrying the iPhone will they leave for a chance to finally use the iPhone or will the temptation not be strong enough to have them leave.
This isn’t the first time something like this happened as with the launch of the iPhone on Verizon people thought a mass exodus of both ATT and Android users would bail and go for the iPhone on Verizon, which never happened.
Source: 9to5Mac
