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  • Data is expensive you say?: AT&T CEO voices regret over iPhone unlimited data model

    We try to reiterate this to users every once and a while. Cellular infrastructure is not cheap to build and maintain...

    SOURCE:
    Engadget
    By Brian Heater posted May 4th 2012 at 5:20PM

    It's always refreshing to hear the head of a major corporation cop to past mistakes -- particularly in front of a large crowd of on-lookers. AT&T CEO Randall Stephenson admitted some misgivings about the way the carrier handled iPhone data, telling a crowd at the Milken Institute's Global Conference in Los Angeles, "My only regret was how we introduced pricing in the beginning, because how did we introduce pricing? Thirty dollars and you get all you can eat." Stephenson drove the point home by adding, "Every additional megabyte you use in this network, I have to invest capital."


    And, for the record, that certainly wasn't the only thing about the iPhone that kept the exec up at night. Stephenson again,

    "You lie awake at night worrying about what is that which will disrupt your business model," he said. "Apple iMessage is a classic example. If you're using iMessage, you're not using one of our messaging services, right?

    No one ahead said it was easy being the chief.


    This article was originally published in forum thread: Data is expensive you say?: AT&T CEO voices regret over iPhone unlimited data model started by chrisngrod View original post
    Comments 3 Comments
    1. Kyle Neloff's Avatar
      Kyle Neloff -
      Okay I read the article and then went and watched the full interview. This is a very lopsided article. While Stepfenson did speak about he botched pricing he was referring to the 1st gen Iphone. He also stated that they have since adjusted pricing accordingly(which we are all aware of) and that AT&T did 20 billion in data revenue for 2011. The you "lie awake at night" comment was actually directed more towards their investment in upgrading wireless spectrum. He's worried that someone will come up with a technology that trumps what companies are currently using to improve networks and all their money will have been wasted.
    1. Chris Rodriguez's Avatar
      Chris Rodriguez -
      Thanks for looking into this more. I'll be sure to watch the interview when I have some downtime.
    1. indica's Avatar
      indica -
      "Every additional megabyte you use in this network, I have to invest capital."
      oooh noes! you have to invest money. .. to make money. . ?

      att made 11 BILLION dollars in 2007 when the iphone was first released. up %160 from 2006 revenue
      http://www.att.com/Investor/ATT_Annu...omplete10K.pdf

      <--- that's me over there playing the worlds smallest violin, down the river of tears shed for att investing more money to make people shut up about shitty network capacity.
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