Version: 2008

Comments on: Democratic bill could force Apple, AT&T to unlock iPhone

Rep. Ed Markey is preparing legislation that would impose a slew of new obligations on wireless carriers, including forcing them to sell unsubsidized phones without long-term contracts.

Add a Comment (Log in or register) (19 Comments)
  • prev
  • 1
  • next
email congressman Ed Markey:
by michael Kreiser February 26, 2008 1:27 PM PST
http://markey.house.gov/index.php?
option=com_content&task=view&id=43&Itemid=6
Reply to this comment
You can buy phone without contract...
by pugster February 26, 2008 2:35 PM PST
You can go to the apple website and buy a refurbished phone for cheap and you don't have to get a contract. Use ziphone and you have an unlocked iphone.
If an iPhone can be unlocked legally, can Apple still brick it?
by Vegaman_Dan February 26, 2008 1:28 PM PST
I'd be curious if an unlocked phone is required by law to be sold and supported by Apple, would that mean that all their updates and such that have in the past 'accidentally' bricked unlocked/jailbroken phones would now need to support *all* iPhones, regardless of the customer's choice of carrier?

I can see this as a win for consumers everywhere. I also can see how this would eat into Apple's profits greatly for monthly fees so they will fight strongly to avoid it.

Interesting thoughts indeed.
Reply to this comment
can be unbricked
by rnieves1977 February 26, 2008 1:38 PM PST
most ibricks can be debricked with a proper flashing so no biggy, but I wonder what other repercussions will occur.
A win for consumers? No, that would be...
by Galaxy5 February 26, 2008 1:38 PM PST
"Caller Pays" legislation. LIke in Europe. Here in the U.S., you get
to pay every time you get a wrong number, "misdialed"
solicitation, political call, etc.

I like how C|Net hangs the iPhone on this so it'll get hits -
Motorola sold millions upon millions upon zillions of RAZRs
because of subsidies. It is arguable whether ATT pays more to
Apple for the iPhone ($12.00 per month) or to Motorola for
subsidies to carry each maker's top-end phone.

But hey - if you like paying $200.00 for a starter phone with no
features in exchange for the freedom to get stuck with equally
bad service on another carrier, be my guest and support this
guy. My guess is the bill will go nowhere because: A. the
telecoms have way too much power in congress, and B.
Intelligent people realize that they have other options, like pay-
as-you-go, 14-day return. etc.
View reply
Re: Can Apple Brick It?
by rcrusoe February 26, 2008 2:36 PM PST
Apple has no obligation to support non-Apple modifications to
an iPhone, Mac, etc. which means if I jailbreak my phone and a
future update bricks the phone, then too bad for me. It isn't
Apple's fault.

OTOH, if Apple starts selling unlocked phones, any problems
would be covered under warranty, applecare, etc. (IMO)

As far as eating into Apple's profits, I'd think if they no longer
get a cut of the monthly fee they'll get it from the buyer.
Give me a break...
by Galaxy5 February 26, 2008 1:32 PM PST
Why doesn't he pass some legislation we could really use - like
"caller pays"?

I guess he thinks there's some real need for people to pay $300.00
for a starter phone. This bill will go nowhere.
Reply to this comment
I'm not sure which is more sad...
by catbutt5 February 26, 2008 1:37 PM PST
...that it increasingly requires an act of government to get fair
treatment from businesses in America or that this is what our
elected officials are spending their time on.
Reply to this comment
stupid
by satayboy February 26, 2008 1:45 PM PST
What a stupendously stupid thing for Congress to get involved in. It's really none of their business.
Reply to this comment
"their" business...
by lmasanti February 26, 2008 1:53 PM PST
"their" business... is to be reelected.
This can bring voters to their house...
so... this becomes "their" business.

Survivors' business!

Sorely, they will make life harder for the rest of us.
Non-issue
by TaintDeli February 26, 2008 2:27 PM PST
Whether or not this is a good bill, I can't see too many consumers (who are used to paying subsidized costs) shelling out the full price of any phone. Who would pay ~$1000 for an unlocked iPhone? Even the phones that are normally sold for $0-100 after contract and rebates would be $300+ with no subsidy. Even if this passes, the effect on the industry will be minimal.
Reply to this comment
Maybe without subsidies we'd get the phones we want
by darkridedp February 26, 2008 3:18 PM PST
Maybe we could actually buy the phones we want, rather than
the ones which showcase the extra-fee services the phone
companies want to sell us. I don't need a phone that plays
music, and I can't have one with a camera since I work in and
around Federal courthouses. Try to find a phone with bluetooth
handsfree required in California after July 1), WITHOUT a camera
that isn't a Blackberry. Impossible. Verizon just shrugs, and says
there are lots of phones without cameras, but they're basically
stripped junk. Maybe if we could buy the phones with the
features we want, the manufacturers would respond with better
feature sets, not what works best for the telcos.
Reply to this comment
are iPhones a constitutional right?
by amandachuck February 26, 2008 3:47 PM PST
It's a "cool" product created by one company and sold
exclusively by another. What place does this gentleman have
dictated who can sell it and how? Why is that anyone's business
but Apple's, AT&T's and the sucker who pays $500 for a phone?
If it didn't require a 2-year contract and unlimited data plan, I'd
buy one, but until then, I'm using my unlocked Sony phone on
AT&T.

Nobody has a right to own a certain kind of cell phone with
certain features. If you want a free phone from your company,
there are plenty of crappy ones that are free. You can buy a
used phone for barely anything without a contract and sign up
with whoever you want. But why is the government interfering
in who has access to a new device?

Next he will decide the phone costs too much, and suggest the
correct price. The Democrats should stick to limiting who has
access to low quality healthcare and stop worrying about why
someone can't buy an unlocked iPhone to use on T-Mobile...
Reply to this comment
iPhone stimulus package
by mikeburek February 26, 2008 4:47 PM PST
I bet next year everyone in the US will get an unlocked iPhone as a tax rebate, except for people who work too hard and make >$75k.

Thanks to all you rich people for giving up all your hard earned money for buying the little guy universal health care, tax rebates, and the universal iPhone.
Reply to this comment
What Apple and AT&T did ought to be illegal
by paulej February 26, 2008 4:49 PM PST
I know people might argue that Apple and AT&T ought to have the right to do whatever they want. But, the fact is that communication services are not just a privilege, but necessity for business and society. Communication services are also vital for emergencies, including personal emergencies and national security emergencies. For these reasons, the government has given special treatment to the common carriers. While AT&T enjoys a very good profit each quarter, they are also heavily regulated.

As we move further into the 21st century, the old land-line telephone business is starting to die. More and more people are switching to mobile services. In fact, the US market is nearly saturated. So, it stands to reason that the government no longer look at the mobile phone purely as a "luxury", but recognize it as the means by which people communicate. I do not even have a home phone any longer. Every person in my family has a mobile phone, as does nearly every person I call with any frequency at all.

Given how importance mobile communications is to our lives these days, I was utterly shocked that AT&T, which is the largest mobile operate in the US and the only major GSM provider in my area, was able to enter into an exclusive deal with Apple to offer a product that actually undercut all of the competitors in the market, including Motorola, Samsung, LG, HP, and others. Apple's iPhone is definitely a very cool product and very powerful. Nobody can manufacture a phone with such functionality and offer it at such a low price. If I were a manufacturer of mobile handsets, I would be furious.

As a consumer, I am still annoyed by the special treatment and pricing. The reason is that competitors do not even make an attempt to offer such powerful devices, because they would only lose money doing so. The end result is that I am offered fewer choices in handsets.

To make matters worse, what handsets AT&T does offer are locked to their service. Sure, a person who knows the business or is tech-savvy can unlock the phone they buy, but the average person is forced to sign a two-year contract.

Last year, I added a new "line" to my account for my son. Even though I provided my own phone for service, AT&T forced me to sign a new one year contract. I have been a subscriber for years without a contract and I was extremely angry how they jumped on that opportunity to essentially bully me into a contract because I wanted to get a phone for my son. They argued that there are costs in setting up the account, etc., to which I promptly replied that I?d merrily pay a set-up fee. Indeed, I did pay a set-up fee, but I was still forced to sign the contract.

Just this month, I purchased a new phone-- the first I had purchased directly from AT&T since about 2002 or so. I did not sign any piece of paper or any document that I could physically see that said I was entering into a new contract, but when I got home and reviewed my sales receipt, printed on there was a statement that the phone was sold for a special "2 year contract" price. So, they did it to me again, I guess. This one was particularly annoying, since I did not even see it coming.

Bottom line is that I think the mobile operators need to be forced to open up their networks a little more. Consumers are forced into contracts, are given a limited selection of hardware devices, and are sold phones locked to that carrier. All of these practices, in my opinion, are anti-competitive at some level.
Reply to this comment
iPod Bill
by zduchene February 26, 2008 4:53 PM PST
Sounds like everyone on the commission may be getting a free iPhone...
Reply to this comment
Learn from Europe
by alenas February 26, 2008 5:27 PM PST
In Europe you can get a SIM card with a proper calling plan and with a month to month contract. That means there are no stupid contracts that tie you in for 2 years.
These contracts should be illegal - cause they do not help consumers at all. All they do is cripple the market. Carriers are only trying to imprison people into their crippled networks and then do not do anything to improve, cause they know that customers will not be able to switch.
They say iPhone is subsidized...That is complete bullsh*t..Apple makes like 100% on iPhone - so AT&T is just looking for ways to rip people off.
I do not know why here in US it is so messed up with these wireless carriers.
Why do you have to pay for incoming calls in US (does not make sense at all)?
Why do you have to pay termination fee? Especially if you are not happy with the service carrier provides you?
Europe managed to solve all these problems long time ago, but i guess US is still in the stone age...
Reply to this comment
Apple-AT&T Deal
by pstodgel February 27, 2008 4:40 PM PST
One might want to double check this, but I believe that Verizon
was originally contacted to do this deal. They did not like the
make up of the provisions Apple was putting on them, so Apple
went to AT&T. It is not AT&T's fault that the phone became so
popular. None of this is forced down anyone's throat. This is the
deal, you want an iPhone, sign with AT&T, if not sign with
whoever and get whatever phone they provide, but don't crucify
these two companies because they were smart enough and had
enough foresight to put this deal together.
Reply to this comment
(19 Comments)
  • prev
  • 1
  • next
advertisement

15 sites that went kaput in 2009

Web sites launch all the time, but they also shut their doors. We highlight 15 that bit the dust this year.

Top 10 news stories of the decade

Let the debate begin: Was the iPhone more important than iTunes? Was anything bigger than Google finding a great business model? CNET offers its list of the 10 most important stories of the '00s.

About News Blog

Recent posts on technology, trends, and more.

Add this feed to your online news reader

advertisement
advertisement