AT&T has been sacrificing short-term profits for long-term gains with its exclusive deal to sell the Apple iPhone. But will the strategy pay off?
The exclusive iPhone deal has helped AT&T lure coveted subscribers from competitors such as Verizon Wireless and Sprint Nextel. And the device, which requires a $30 a month data service, has helped boost the amount of money its customers spend per month on services.
However, the estimated $300 subsidy that AT&T pays each time an iPhone is sold is eating into the company's profits. And the more successful AT&… Read more