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iPhone Joke Fuels Buzz About AT&T Network Woes

iPhone Joke Fuels Buzz About AT&T Network Woes

A joke about connectivity problems for Apple, Inc.’s iPhone has spurred an outpouring of complaints about AT&T, despite soaring iPhone sales. However, an analyst said mobile computers consume more bandwidth. Verizon Wireless indicated it could handle iPhone traffic, and an analyst said the complaints are creating an image problem for AT&T.

&TA joke about the iPhone lasted barely 15 seconds on last week’s Saturday Night Live TV show. But it generated substantial buzz in the technology Relevant Products/Services world, touching a raw nerve about the Apple handset’s connectivity as provided by AT&T Relevant Products/Services.

A Google blog search Monday morning showed more than 17,000 results for the query “Seth Meyers iPhone.” Meyers, the wry host of SNL’s Weekend Update and the iconic NBC comedy show’s head writer, took note in the fake news segment of growing speculation that Google may introduce its own smartphone, posing a challenge to the iPhone.

“Also a challenge to the iPhone — making phone calls,” quipped Meyers, prompting cheers and laughter from an audience that seemed to identify with the problems.

Laptops Outpace iPhone

The potshot comes at a time when the iPhone is taking both the domestic and foreign markets by storm. Recent studies have shown the iPhone is rapidly gaining users and ad markets are increasingly detecting the device in Japan, Europe and Australia.

Fourth-quarter sales Relevant Products/Services of 7.6 million iPhones, a seven percent growth from last year, helped make it Apple’s most profitable earnings period to date.

Some analysts see the iPhone, which has more than 100,000 available applications, as a data Relevant Products/Services guzzler that draws too much broadband and clogs At’s network Relevant Products/Services, affecting calls as well as data speeds. But Jeff Orr of ABI Research said the iPhone isn’t the only culprit.

“[Our] research on mobile data traffic shows that 3G USB modems and embedded modems in laptops and netbooks drive significantly higher levels of traffic than any smartphone model,” Orr said. “Within a mobile network operator, there is a constant struggle for supply and demand. New devices add incremental traffic demands to the mobile data network. Network operations planners must estimate demand and provide sufficient capacity to carry the increasing levels of IP traffic. When demand outpaces supply, it results in slow browser and Internet application response times. Adding endless capacity is not the solution Relevant Products/Services.”

Is AT&T Feeling the Heat?

Meyers’ joke struck a chord with long-suffering iPhone users who are tired of dropped calls. On blogs that cover Apple products, many posters cited their own lost-network experiences and applauded SNL, while others defended the network and said “dead zones” were only in rural areas.

There have been growing reports that even as Verizon Wireless mocks the iPhone in ads for its rival Motorola Droid device, it is positioning itself for iPhone use.

The company’s chief technology officer, Anthony Melone, told Bloomberg BusinessWeek recently that Verizon has invested in its network to handle additional data requests that would be needed for application-heavy iPhones. “We have put things in place already,” said Melone. “We are prepared to support Relevant Products/Services that traffic.”

But Orr said he has seen no indication that Apple will shift carriers when its exclusive contract with AT&T expires in June.

“AT&T Wireless continues to add incremental ‘connected’ mobile devices to their offering — from netbooks and MIDs to e-book readers and a digital photo frame,” Orr said. “Pinning an outcome on any one device, network operator, or application type does not explain the market.”

“And not all smartphones are equal,” he added. “Some smartphones consume more network capacity than others performing the same activities. This is due to the presence of full QWERTY keyboards for more text creation, along with full HTML browsers that are not optimized for mobile networks.”

Data-Hog Surcharge?

Many wireless industry analysts see connectivity issues due to increased data volume as a problem that will impact all carriers.

But earlier this month, an AT&T executive told investors the company was considering a higher pricing plan for heavy data users, based on research that found three percent of iPhone users accounted for 40 percent of traffic on the network.

“We’ve got to get to those customers and have them recognize that they need to change their patterns or have to face other things,” said Ralph de la Vega, AT&T’s head of consumer services.

Kirk Parsons, a senior wireless analyst for JD Power and Associates, said the connectivity issues are a continued image problem for AT&T.

“The long-term problem is negative perception — real or otherwise,” said Parsons. “The problem is they keep running ad claims on best in class in coverage/3G speed versus Verizon, when at the same time they get daily negative news to the contrary.”

This was the second time Weekend Update poked fun at the iPhone. Last year, another SNL cast member, Amy Poehler, mocked a planned scaled-down version of the device to be sold by Wal-Mart for $99.

“It will be lacking some of the iPhone’s features,” said Poehler, “such as a camera, a touchscreen and the ability to make calls, and it’s just a calculator.”

[Thanks: http://www.cio-today.com]

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