Impending AT&T Strike Threatens iPhone Sales
Filed Under (Apple iPhone, Cellphones, Smartphones, iPhone) by admin on 22-04-2009 >> 52 views
Tagged Under : Apple, iPhone
At the moment, the ongoing negotiations between AT&T and the Communications Workers of America (CWA) have expired and there is nothing definite on what to expect. And if there is a victim that will be caught in between these developments, it would be Apple’s widely popular iPhone.
Talks between the two sides turned for the worse as the telecom giant, which earned $12.8 billion in profits last year, threatened major cuts to employee health care. The union balked at the new contract proposal and is now mobilizing its 90,000+ strong workforce for a strike. If a workers strike hampers or shuts down service it will effect all iPhone users.
Apple has an exclusive arrangement with AT&T who serves as the only service provider for the iPhone. If a strike comes to fruition iPhone service could be severely degraded. If the strike lasts for an extended period it could steer many customers to other telecoms.
Trapped by their exclusive contract Apple could watch the strike derail iPhone sales as customers coming off contract turn to other services and, by default, other mobile phones.
(Source) MP3NewsWire
