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May 27, 2009 1:35 PM PDT

AT&T wants the Palm Pre after Sprint

by Bonnie Cha
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(Credit: Bonnie Cha/CNET)

Speaking at the D Conference in Carlsbad, Calif., AT&T CEO Randall Stephenson spent the better part of Wednesday morning defending AT&T's network and addressing complaints about how the carrier was ill-prepared to handle all the demands of the iPhone. It's an interesting discussion, which you can catch here in CNET News' Ina Fried's report.

However, here's something else of interest. During the discussion with host Walt Mossberg of The Wall Street Journal, Stephenson added that he sees AT&T selling the Palm Pre once Sprint's exclusive deal with the smartphone is up. This is the first indication that other carriers will offer the Pre, though it's not clear how long Sprint has the exclusive.

It's also a good sign that a GSM version of the smartphone is in the works, which many of you Crave readers have been asking for. Palm has only admitted to a UMTS version of the Pre, which we actually got to see at GSMA 2009. In addition, AT&T is also rumored to be getting another Palm Web OS smartphone, the Palm EOS.

For now, the only version we'll be seeing in the near future is the Palm Pre for Sprint, which goes on sale June 6 at Sprint, Best Buy, Radio Shack, and Wal-Mart stores nationwide.

(Source: Wall Street Journal via PhoneScoop)

Bonnie Cha is a senior editor for CNET, covering smartphones and GPS. When she's not testing the latest gadgets, you can find her chasing after her crazy lab or surfing in the chilly waters of Northern California. E-mail Bonnie.
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Add a Comment (Log in or register) Showing 1 of 2 pages (39 Comments)
by oneAwake May 27, 2009 2:12 PM PDT
You should know better than to run an article where a CEO is obviously trying to spread FUD. Just a few weeks ago AT&T were bashing the Pre, now they allegedly would welcome it? AT&T wants to keep as many customers as possible from switching to the Pre on Sprint. By the way, the Palm EOS device is fake as well. I do not se the logic of Palm releasing another webOS phone directly behind the Pre. Palm did say they plan on releasing *A* webOS device, they hinted at a NetBook. As to the exclusive deal, a few months ago Palm had Sprint had this to say, "NO COMMENT." Any rumored talk of an exclusive deal is pure speculation. AT&T's network can't handle the iphone, how on earth could it handle the Palm Pre.
Reply to this comment
by darkpoet25 May 27, 2009 3:25 PM PDT
Lol. Are you upset at the thought that AT&T MAY be getting the Pre when the exclusive deal with sprint runs out? AT&T is working on stepping up their 3G network to support 7.2mbps data transfer speeds. So theoretically if or when it were to happen, AT&T's network would be able to handle both the Pre and iPhone.
by flatrock19 May 28, 2009 7:13 AM PDT
The logic behind Palm releasing another webOS phone is simple. Palm is in pretty dire straits. The Pre is exclusive to Sprint which has a relatively small customer base. They can't afford to tie their future to Sprint alone. They desperately need a successor to the Centro that they can sell through other carriers now. They need to get webOS established with a wider developer base than they can attract with just the Pre being sold through Sprint. They need for not just the Pre, but for webOS to be a big success.
by Firehazel May 27, 2009 2:16 PM PDT
yeah, just like Verizon wants the iPhone after AT&T
Reply to this comment
by lovehandle May 27, 2009 7:46 PM PDT
One-Year Prediction: Palm Pre will come in 6th overall sales behind the following:

1) Blackberry
2) Apple I-phone
3) Google Android
4) Nokia Symbian
5) Microsoft

Reason: Late market entry into an already saturated market. Plus Sprint is an under performing carrier.
Reply to this comment
by seven7dust May 28, 2009 3:42 AM PDT
I'm sure it'll beat out both Windows Mobile and Symbian in US marketshare atleast
by flatrock19 May 28, 2009 7:22 AM PDT
Palm is hardly a newcomer in the smart phone business. They are having to adapt that changes in the market, but they are arguably adapting faster than Symbian and Microsoft. Android has a lot of potential, but despite getting a functional touch screen smart phone into the market relatively early the response has been on the underwhelming side.

Microsoft is playing catch-up, but that's a game they have proved themselves to be good at in the past. They still have deep pockets and aren't afraid to invest heavily in a market they consider to be critical. It will be interesting to see what they deliver.
by bhartman33 May 27, 2009 8:39 PM PDT
I wouldn't be terribly surprised if AT&T got the Pre after Sprint. *Someone* will, right?

From what I've been reading, the Pre will be less expensive, in the long run, on Sprint than it would be with AT&T's current rate plans. I'm almost tempted to incur an ETF from AT&T to get it, but it's hard to justify the expense of that, since it almost doubles the cost of the phone.
Reply to this comment
by May 28, 2009 3:40 PM PDT
Well, how many months do you have left in your plan? Sprint is at least $20 cheaper (on the cheapest plan) if not more EVERY month... You will be saving money and be on a better (almost unanimous consensus) network. No reason to not switch unless you only have a couple of months remaining.
by bhartman33 May 30, 2009 9:46 AM PDT
I have until the end of February left on my AT&T plan. I checked the rate plan prices. It looks like for me it would be about even. I've got 450 minutes/month talk time, plus 5MB/mo. data. If I had an unlimited AT&T plan, it would be cheaper to go w/ Sprint, but because of the plan I have, Sprint's plan is going to be a little more expensive (because the Sprint plan is about the same price, but w/o taxes and fees).

Believe me, if there's some what that it would work out economically in Sprint's favor, I would be one of the first people on line June 6! :)
by dr.drew May 27, 2009 8:42 PM PDT
I'm so sick of AT&T grabbing the cream of the crop when it comes to the cellphones available in the U.S. Then they totally put them to waste with their pathetic network. How many of us have tried to call someone with AT&T and got "all circuits are busy" or "user unavailable?" How many times have you tried to use a friend's iPhone and found it has a pathetic EDGE connection only in the middle of a major city? The fact that AT&T is still allowed to offer such atrocious levels of service (while making tons of money selling their bandwith to other GSM carriers like T-mobile which worsens their service) is also testament to how arrogant Verizon is. As a longtime Verizon customer, I am just as disgusted by their lack of innovation, their lack of urgency in securing advanced (and prepared phones, ahem Blackberry storm anyone?) devices and their stupid hamstringing of the few advanced devices they do have (godforsaken VZW navigator being a prime location). Verizon needs to step up to the plate, stop being profit hungry and blow AT&T out of the water. They have the network muscle, now they just need to deliver the cherry on top!
Reply to this comment
by gba2000 May 28, 2009 7:04 AM PDT
"How many of us have tried to call someone with AT&T and got "all circuits are busy" or "user unavailable?" How many times have you tried to use a friend's iPhone and found it has a pathetic EDGE connection only in the middle of a major city?"

Never?
by jgvillan May 28, 2009 8:10 AM PDT
So, is this a bashing to AT&T or Verizon?!?!?! And to the point, I got no major issues with either carrier. Just minor reception flaws from either at certain places/buildings....which is to be expected.
by sludog May 28, 2009 11:54 AM PDT
Just relax a little and stick to pay phones pal.
by AZNpeoples May 28, 2009 2:38 PM PDT
i agree with dr. drew, at&t service is horrible!! I have tmobile in Reno, NV and I get about 5 bars at average while an iphone here gets 2 bars at average. Plus, it only gets edge too in a place like this.
by FiresideLL May 27, 2009 11:31 PM PDT
Wasn't it just recently that AT&T released a document attesting to the inferiority of the Pre as compared to the Iphone? Why would they want a phone that's so vastly inferior?

Hacks.
Reply to this comment
by forever4now May 28, 2009 12:56 AM PDT
Device exclusivity arrangements really skew the market, especially now that there are so many great smartphones being produced by so many vendors (RIM, Apple, Palm, Nokia, HTC, Samsung, ...). These arrangements also make it difficult for new smartphone vendors to enter the market (weren't Dell's smartphones recently rejected by U.S. operators?).

The allure to handset manufacturers is probably the subsidies & associated marketing, but in the end, these agreements limit consumer choice and service plan competition.

The "buy whatever you want unlocked and use it on any operator model" for smartphones would probably result in a much freer & competitive market, but as long as there are huge profits associated with user lockin, it's not likely to happen.
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by adrosenb May 28, 2009 7:49 AM PDT
Everyone company wants every phone it seems.
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by B-McGee May 28, 2009 7:52 AM PDT
It's simple really. AT&T has demonstrated that they cannot support the iPhone, and when I say "cannot support", I mean they cannot deliver 3G service to those who pay for it. If you are paying extra for 3G service each month, then you either a.) always have 3G coverage, or b.) get a monetary refund for the amount of time spent on the EDGE network. That'll never happen, but it would be fair to the consumer.

Also, touting a 7.2 mbps "upgrade" is completely pathetic. China, Japan, Russia, etc all boast speeds in excess of 30 mbps - why? Because there is carrier competition and handsets are not tied exclusively to carriers. You're telling me AT&T can't bypass the stop-gap HSPA service straight to the LTE 4G network? They can, but why do it when no other telecom in the US will before them - it's much more cost effective to tout an "upgrade" to 7.2 mbps, charge more for that, then tout the upgrade to LTE 4G and charge more for that. Imagine how much we as consumers would benefit if the iPhone existed on both Verizon and AT&T (hardware caveats notwithstanding) and the carriers were forced to woo potential customers with price cuts in their service or guaranteed down/up speeds.

I'm just sick of paying for these incremental "upgrades" when we're not even close to other countries' down/up speeds.
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by cabrillo24 May 28, 2009 8:14 AM PDT
I always have 3G coverage O.o
by iphonedied May 28, 2009 8:11 AM PDT
AT&T is suddenly getting religion after its enthrallment with the "Jesusphone?" I've used a Treo 650 since it came out - the same one! And I have been looking forward to the Pre. However Sprint is a dead network walking and nothing will save it. GSM is where the world lives, CDMA is for backwoods trailer dwellers that don't get out of the USA. Unfortunately AT&T had its chance to lead with the Pre, but they were very afraid of the wrath of Evil Dictator Jobs at Apple. I am laughing at AT&T's pathetic attempt to extricate themselves from their dancing with the devil over the past two years. I'll get an unlocked Pre GSM phone and carry on without the need of a carrier locking me into a stupid contract. Oh yeah, I get a 30% discount off of tariff through my employer, with no time constrained contract. Shove that into your eye AT&T!
Reply to this comment
by sarahlove333 May 28, 2009 12:59 PM PDT
you have Tmobile then? i have Tmobile. i still use my 680! just been waiting forever for a new Palm to come out! gotta have a keyboard. i'm not a fan of the iPhone even tho i'm a total mac-aholic otherwise...

i jsut donwanna wait 6 months for a GSM version of the Pre. i think its going to be a fabulous phone!! can't wait!! but i guess i HAVE to wait!! uhggggg!

how come the Sprint contract with Palm Pre isn't known yet? is it something they keep under wraps?
by bluelight421 May 28, 2009 9:25 AM PDT
AT&T may pick up the Pre when the exclusivity runs out, but i'm banking on Palm announcing a line of WebOS phones which will all be up for grabs some time in the next year or two. I'm sure at that point ALL of the 4 major carriers will jump to grab them. This would really put Palm back in a dominate status in the smartphone market and keep Apple, RIM, Google, and Microsoft on their toes. Though I still believe that the one carrier who would benefit the most would be Verizon seeing as how nothing in their line-up is really extraordinary. YEA I SAID IT! I'm sorry to the Verizon faithful but network awsomeness aside, your phones are crippled and the BlackBerry Storm is not on par with Pre, iPhone, or the G-1. OK, maybe the G-1! : )
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by sarahlove333 May 28, 2009 12:57 PM PDT
how long you think it'll take to get the GSM version out? geezzz.. donwanna wait 6 months!! is sprint really that bad?
by May 28, 2009 4:06 PM PDT
No, sprint is not that bad at all... Poor customer service a few years ago but that's well behind them. It's just tough to shake a bad rep even when it doesn't apply anymore. People willing to switch will definitely be happy saving money and having good service.
by sludog May 28, 2009 12:13 PM PDT
The $99 everything plan from sprint is very tempting to make a switch. Verizon and AT&T can't come close to this deal for the same price. But I hear Sprint's service is terrible. I want to sign my wife up to see how Sprint and the Pre works but if service is as bad as some say, and wife starts complaining, it will be the longest 2 year contract in my life.
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by scottecher May 28, 2009 12:24 PM PDT
That's ok, just put the phone on E-bay and in your item description put, "nagging wife included, no substitutions!"
by DontTread0nMe May 28, 2009 3:06 PM PDT
I live in NYC and ATT 3G coverage is pretty laggy here. Sprint is fast as duck out here. I have HTC touch pro thats given me a lot of nonservice related headaches. I put it up on craigslist. Come June 6th I'll be getting a pre. I don't mind being an early adopter. ATT over charges. I pay $99 and get unlimited minutes, sms, mms, data, gps, tv and some sprint exclusive features. none of the carriers can touch that especially att and verizon. verizon has a good network but att is a network that tries to take on too much and falls on its face..the only downside to sprint is that they use CDMA which is great here in america but useless most everywhere else so I have a treo gsm that I take abroad.
by sarahlove333 May 28, 2009 12:54 PM PDT
that's funnee!
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by tradedate May 28, 2009 1:21 PM PDT
I've had Sprint Service for about six years now and I've had good phone service from them. I'm on the east coast and I've travelled as far north as Connecticut and as far south as South Carolina with no problem. However, Sprint's exclusivity with the Palm Pre is going to end in about six months. Its been announced on Reuters that Verizon is going to have the phone in roughly six months. Too bad, so sad AT&T.
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by sludog May 28, 2009 2:01 PM PDT
I had a felling that Verizon would get one. They have always had a good relationship with Palm. Now will the Pre be as good on the Verizon network ? I am with Verizon now and have almost crossed to the dark and got an iphone but AT&T scares the hell out of me. I live in the Northeast so Sprint should work well there then. Any northeasters have Sprint service ?
by Justin8888 May 28, 2009 2:20 PM PDT
Dont let them ruin the Pre like the ruined the iPhone
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by May 28, 2009 4:11 PM PDT
It's funny how it takes all this talk about the Pre for all the Sprint-haters to come out ogf the wood-work. Some people are at least asking "are they really that bad?"

Anyway, Sprint has an excellent network, but when your phone customer service was as bad as it was a few years ago, you create a rep that's hard to shake. Now they have unlimited everything for $99. LOL it's almost like Sprint screwed up so bad a few years ago with their phone support that everyone wins now with a great value plan... oh yeah, the customer service issues are pretty much entirely fixed now too :)
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by julianstaniewski May 28, 2009 5:37 PM PDT
Rogers in Canada has amazing service for iPhone, I get 3G almost any where.
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by yeahhoo86 May 28, 2009 7:49 PM PDT
Holy god, what is with all the AT&T bashing. I am actually quite stunned. I have been with AT&T since they were AT&T Wireless, and i have no problems with them at all. I have had great encounters with their cust service department, their 3G network is very reliable in my area. Their phone selection is excellent. I just don't know where all this venom is coming from??? Sure they are pricey, but I don't like the CDMA technoloy, I love the idea of buying unlocked phones and swaping ouy the sim card (i bought and unlocked 8525 and put a WinMo 6.1 rom on it, toucscreen would not respond after a few months and now back with my Moto Q which is under contract, no regrets really). T-Mobile, though they are cheap their 3G network is laughable. Sprint, I've heard horror stories about their customer service. Verizon does seem to be comparable to AT&T, but I just don't like CDMA to begin with. AT&T ROCKS!!
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by Cringer63 May 31, 2009 12:22 AM PDT
Different strokes for different folks, it's as simple as that. AT&T will suck in some areas, while Sprint may in others. Some people may have had **** poor service with AT&T whiles others have had it with Sprint. I have had Sprint service for 10 years now, I was a truck driver for 8 of those years. Sprint was wonderful in most areas, while they had no/bad service in other areas. My co-driver tried Verizon for a while and switched back. Nation wide I say Sprint is great. In 10 years I can't say I have had any horrible customer service problems either. And I have used their customer service more then once, that's for sure.

I also laugh at the people who rip Sprint for CDMA. Guess what? Most people in this country don't leave this country, they don't care. Like I started this though, different strokes, man. People take things way too personal, if something works for you why care if the other guy likes something else because that works for him?
by Dinero007 May 28, 2009 8:16 PM PDT
HA, HA NOW ATT WANTS THE PRE. TOO FUNNY. IPHONE FEELIN THE HEAT ALREADY AND THE PHONE NOT EVEN OUT. WHAT HAPPENED TO THE NEW IPHONE UPGRADE THATS COMING SHOULDN'T YOU BE BE CONCERNED WITH THAT.
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by sahilk May 28, 2009 10:58 PM PDT
i realize that Sprint is the top seller of Palm/Treo phones. But COME ON, pick a better provider, than Sprint, even T-MOBILE would do better. Although Verizon would be the best by making it a gsm/cdma phone. 80 Million PLUS customers. COME ON PALM WHAT WERE YOU THINKING??
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