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April 28, 2009 1:50 PM PDT

Which smartphone maker isn't Verizon talking to?

by Marguerite Reardon
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In the past 36 hours, rumors have been flying around that Verizon Wireless is in talks with Apple, Microsoft, and a Google Android phone maker. So who's next?

Just in case you are having trouble keeping up, here's a summary to get you up to speed:

Late Sunday, USA Today reported that Verizon was planning to offer an iPhone on Verizon's current CDMA-based wireless network. Business Week followed on Monday with its own story that Verizon is talking to Apple about a new "iPhone-lite" phone and a tablet-Netbook-type device. On Tuesday, The Wall Street Journal reported Verizon is talking to Microsoft about a Zune-like, music playing iPhone killer. And then VentureBeat published a story saying that Verizon could also be talking to Android phone developers.

Not surprisingly, Verizon's spokesman Jeffrey Nelson declined to comment on any of these rumors.

Still, it's only Tuesday, and at this rate, I'm wondering if tomorrow we'll hear another rumor that Verizon is talking to Palm to get its hands on the new Palm Pre, which will debut on Sprint's network this summer. Or maybe Verizon is in talks to buy Yahoo. (Just kidding, but it seems like everyone is rumored to be buying Yahoo these days, so I thought I'd throw that in there.)

Seriously though, I am not discounting any of these rumors. Where there is smoke there is usually fire. And believe me there are plumes of smoke surrounding the Apple rumors. And it wouldn't surprise me one bit that Verizon is also talking to Microsoft. Of course, Microsoft is denying that it is developing its own mobile device hardware.

"Microsoft's strategy has not changed, it is and has always been to provide a software platform for the industry," a company spokesman said. "We work closely with many mobile operators and device makers around the world because customers want different experiences on a variety phones."

Also, Venture Beat's speculation that Verizon might be looking to offer an Android phone also seems plausible, given that the story cites a job description on Verizon's Web site that seeks an "Android Devices Expert." The article also points out that an unnamed CDMA carrier is getting code developed for a chip used in an Android CDMA device. This development could be for Sprint, which is a Google Open Handset Alliance member and also has a CDMA network. But who knows?

Rumor, rumors. Today's are about Verizon deals with smartphone makers.

The fact is that Verizon's executives have said they are willing to work with a variety of device makers. In fact, Verizon has developed a special Open Device Initiative to streamline the certification process to get new devices on its network more quickly. And Tony Lewis, head of the ODI division, confirmed recently that the company is talking to at least five Netbook makers. Perhaps, one of them is Apple.

Verizon Wireless CTO Tony Melone also said in an interview at the CTIA tradeshow in Las Vegas that Apple could theoretically use the ODI process to get a CDMA version of the iPhone on Verizon's network.

"If Apple decided that they could sell more iPhones by developing a CDMA version and then they took advantage of the ODI process, they could get a CDMA iPhone certified on the network," he said. "And maybe they would sell the unsubsidized phone in Apple stores, and you'd activate service with Verizon and pick a service plan. I suppose that's one possible model under the ODI framework."

But I think that if Verizon is really having serious talks with Apple, in particular, it is about getting the iPhone on its super speedy 4G wireless network that it will start building this year. Verizon has said it will have 25 to 30 markets up and running by the end of 2010.

Verizon's CEO Ivan Seidenberg even told the Journal that a 4G iPhone is more likely to come to Verizon's network than a 3G version of the phone.

"Apple never had any intention of making a CDMA" version of the iPhone, Seidenberg told the Journal. Seidenberg also said that "previous overtures by Apple prior to the launch of the original iPhone were meant to help Apple gain negotiating leverage over AT&T," the Journal reported.

Perhaps, Apple is at it again. The deal between Apple and AT&T is expected to expire next year, and AT&T has expressed interest in extending that exclusive deal. Maybe Apple is turning up the heat to get better terms in the next agreement.

But consumers shouldn't hold their breath. Devices for 4G networks are at least two years away.

Even though Verizon says it will have 25 to 30 markets deployed next year, the initial chips on the market will only be used for laptops. Chips made for cell phones and other mobile devices will likely follow about a year later.

Mohit Bhushan, senior director of product management for Qualcomm, one of the chipmakers making integrated 3G/4G silicon, said at the Mobile World Congress in Barcelona in February that his company is just starting to sample its 3G/4G chips this year for device manufacturers to test. Commercial products won't likely hit the market using these chips until a year later, he said.

As for the integrated 3G/4G chips that will be used in cell phones, Bhushan said those chips will be available for testing in the middle of 2010, which means commercial devices aren't likely to hit the market until 2011 at the earliest.

"The biggest challenge for us is meeting the expectations of the carriers and manufacturers," he said, "Everyone wants products earlier. But we have to build test devices. And it just takes time."

So what's your prediction for the next Verizon rumor?

Marguerite Reardon has been a CNET News reporter since 2004, covering cell phone services, broadband, citywide Wi-Fi, the Net neutrality debate, as well as the ongoing consolidation of the phone companies. E-mail Maggie.
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Add a Comment (Log in or register) (19 Comments)
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by slickuser April 28, 2009 2:14 PM PDT
Looks like they are disparate. And, during disparate times, its a bad idea to go with
Windows Mobile based phones...
Reply to this comment
by monkeyfun14 April 28, 2009 2:24 PM PDT
Elaborate?
by ewgdsg April 28, 2009 2:24 PM PDT
looks like you cant spell
by Stefaninafla April 28, 2009 2:27 PM PDT
Well, of course they're talking to as many makers as possible. How else do they get new products to offer?
Reply to this comment
by jabberwolf April 28, 2009 2:29 PM PDT
bad idea?
Yeah like going with the iphone that cant do active sync well.

Hmm maybe the iphone zealots should take a look at Toshiba TG01 and others that are going to be released this summer. faster processor, longer battery life, and oh they "just work" for business use.
Reply to this comment
by slickuser April 28, 2009 2:56 PM PDT
iPhone does not have any ActiveCrap. fyi it does synch very well.
by monkeyfun14 April 28, 2009 3:23 PM PDT
@slickuser

Yeah with your USB cable thats about it
by seven7dust April 29, 2009 4:08 AM PDT
the Toshiba TG01
a wonderful piece of hardware crippled by the Crapware called Windows Mobile
just like the Omnia and other phones etc
How disappointing !
stop fooling yourself Windows Mobile doesnt get any work done either
that market is cornered by Blackberry !
by slickuser April 28, 2009 2:55 PM PDT
I'd have to blame Chrome for my spelling mistakes...
Reply to this comment
by Havoc70 April 28, 2009 3:16 PM PDT
Give me Iphone on Verizon =P, i cant stand ATT thats the only reason i havent gotten one yet.
Reply to this comment
by triplab April 28, 2009 3:26 PM PDT
Didn't Microsoft purchase Danger Inc. last year? Danger is the creator of the Hiptop - also known as the (T-Mobile) Sidekick. Seems logical that this would play in to the discussion at some point eh?
Reply to this comment
by chrisfrary April 28, 2009 3:28 PM PDT
Personally I want to see a flood of android devices. ATT Verizon etc don't care
Reply to this comment
by ResinNation April 28, 2009 3:41 PM PDT
Wow, for a tech site this article has very little technical knowledge.
The reason for iPhone not being Verizon is one of simple economics - there's not a big enough market to redesign a phone that significantly that will essentially only work in the States. GSM became Apple's standard because it's global. CDMA requires new FCC licensing, research, redesign, and a rollout process that for such a limited customer base (only Verizon in the US, as opposed to worldwide GSM release,) which is just too expensive.
Maybe when 4G starts to rollout, but until then... don't plan on using your iPhone with anyone but AT&T.
Reply to this comment
by atmx2000 April 29, 2009 10:30 AM PDT
CDMA isn't just Verizon, it's Sprint and a few other small US carriers. CDMA is also used pretty exclusively in Korea, and has some penetration in the Japanese, Chinese, and Indian markets. Where CDMA is nonexistant is Europe and large parts of the developing world.

But looking at the iPhone sales where the US represents more than half of all sales, I would suggest making a phone that works on a single carrier that represents less than a third of the market meant that Apple missed out on a lot of sales. The US market is simply an easier market for Apple to penetrate. And as far as redesign a CDMA phone, it isn't going to be much harder than customizing the iPhone for use by 80 different carriers in 80 countries using different languages and regulated by different government bodies.

I would have bought an iPhone it had been available on Sprint 2 years ago when I bought my iPhone. Their data plan is much better than anyone elses. I might consider switching to verizon if Apple were to make one available for their network, but I would never consider switching to AT&T.
by jpxmp April 28, 2009 3:50 PM PDT
Look at career opportunities at Verizon.com, that Verizon is looking for 'Android mobile expert' and 'Microsoft mobile expert'. I don't think iPhone is coming to Verizon, simply because Verizon loves to put their logo and software on all the freakin phones. So NO iPhone. If you want an iPhone, switch to AT&T. If you want an Android phone stay with Verizon. I don't think Zune like iPhone would kill the actual iPhone. Zune Phone would simply satisfy Microsoft lovers and that they would have something to argue about at work.
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by Dominick_7 April 28, 2009 5:40 PM PDT
As a long time customer of Verizon :/ I have been waiting for the Palm Pre because of its form factor (vertical one handed qwerty since I don't care for just touchscreens or a horizontal qwerty...WHY should I have to flip my whole device to its side just to text or watch something..) as a possible upgrade to my Samsung i730 (they got the Touch Pro from Sprint to work on Verizon so I suspect the same will be possible for the Pre) which I am still using and still love. BUT I have also been waiting to see the best possible option as far as PVPs are concerned and if I can get it all in one device, massive storage space as in 100GBs or more (ala Archos), the iPhone lite for Verizon or anything like that may also be a possibility. I was hoping that the Palm Pre had a Mini SD Card slot.. Oh well..

If they can come out with a vertical sliding qwerty Pocket PC with a larger screen size ala Touch HD or between the Touch Pro and the Touch HD/iPhone size, with Archos like super high capacity storage space (and a removable battery) for Sprint (Sprint usually doesn't usually cripple or crapify their devices like Verizon does) that would be perfect.
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by Ikithme April 29, 2009 12:13 AM PDT
"Verizon loves to put their logo and software on all the freakin phones."

You mean like the WINMO and Blackberry OS phones that are running on verizon. The only sign of verizon I see on my storm is on the battery backing which can EASILY be replaced. It seems that blackberry world phones are getting the best of Verizon... Maybe WINMO and other cell manufacturers should do the same thing! Its great for popularity even if it does cost extra to put that extra CDMA or SIM chip/slot in there. I love phones that I can buy for 2 years and then have the company open up the SIM slot and let me take it elsewhere. <3 worldphones.
Reply to this comment
by BogusBasin April 29, 2009 9:22 AM PDT
Death to Microsoft!

Amen
Reply to this comment
by miles4444 April 30, 2009 8:47 PM PDT
I'm not waiting for VZW to maybe get the Palm Pre. Going to check it out on Sprint and if its solid I'm switching.
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