Apple
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The
competitive standing of Sprint may be affected if the iPhone 5 will feature
support for LTE connectivity since consumers would likely look to AT&T and
Verizon once the iPhone 5 becomes available since the two carriers offer faster
data speeds.
The network
of AT&T is currently considered as the fastest among the major carriers, as
shown with its iPhone 4S offering. Both Verizon and Sprint offer iPhones that
use the EV-DO network which is slower compared to the network of AT&T.
However this
may change once the iPhone 5 with LTE support enters the market since Verizon
offers the biggest network among the US three major carriers. Verizon currently
covers 230 markets, which is much higher than the 35 markets of AT&T. With
the bigger coverage, consumers may look to carrier if they aim to acquire the
IPhone 5.
So far
Sprint will only cover 6 markets in the middle of this year although the
company did not offer additional details about its plans for the future.
According to
Dan Hesse, the CEO of Sprint, consumers will not be too concerned with coverage
and the company will remain competitive even if the iPhone 5 will feature 4G
support. He cited the sales of the HTC EVO 4G which mostly went to non-4G
markets although this was when the device was the only 4G device in the market
at that time.
Once the
iPhone 5 will enter the market, it is expected to bring in sales for the
carriers and Sprint may not be getting much of the market if consumers will
take the LTE network into consideration.
The
increasing focus on LTE has compelled Sprint to upgrade its network to LTE
according to Hesse and the company may be concerned with an early release of
the iPhone 5 as it hopes that the device will be released in the later part of
the year.
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