A VC - Latest Comments in Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Sun, 19 Jul 2009 23:08:37 -0000

Sounds like australia's got it right, as usual

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

TimU — Sun, 19 Jul 2009 02:11:25 -0000

I'm getting an iPhone 3GS when they're available in a week. In Australia we have a choice of five networks carrying the iPhone and if you're on a contract most will unlock your phone for free. After all they're guarranteed to make money off you when you have signed a two year contract.

I don't mind being on a contract (contract is usually cheaper than prepaid and I can get my phone for free) but I wouldn't buy a phone that I couldn't get unlocked because when I travel I always buy a local SIM to stick in the phone.

If I wanted an unlocked iPhone off contract I would buy a prepaid one for and get it unlocked. Most carriers in Australia will unlock a prepaid mobile after $80 credit has been added to the account.

I'm not sure if this is the result of regulation or if it's just the good old competition. Generally I'm against the idea of any government regulation, but I think it is wrong that a phone locks you into a carrier. If you are on a contract the phone should be unlocked, alternatively you should be able to buy the phone unlocked for a higher price if you want to.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

paramendra — Fri, 10 Jul 2009 17:46:45 -0000

"Just like it is the law of the land that phone numbers are portable from carrier to carrier, it should be the law of the land that phones should be portable from carrier to carrier. Anything else is anti-competitive."

I wholeheartedly agree. To me it feels like one of those things that should have already been always done.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Fri, 10 Jul 2009 05:55:09 -0000

Thanks for sharing that

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Vladimir Vroust — Fri, 10 Jul 2009 03:22:13 -0000

I ear the arguments of pro market people saying that we do not need the government to enforce competition but in this case it just doesn't work. The carriers do not want more competition in the market, they want their users captive so they can make more money, which is fair game for any company. There is a tacit agreement among them not to lower too much their margins.
I don't think ideology should dominate in economy neither pro market nor european style socialism, I think we should just stick with what works and this is really working for us customers in France.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Andrew Meyer — Thu, 09 Jul 2009 13:23:26 -0000

Really?! How do undo this feature? I don't feel like deleting links from my bit.ly history every time I read A VC. It is a hassle.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

kortina — Thu, 09 Jul 2009 13:14:39 -0000

Andrew, this is the intended behavior of the Tweet and Track button. You can
always delete a link from your bit.ly history, however, by using this delete
button that shows up next to each item in your history:
http://files.getdropbox.com...

If you have any more questions, please email support@bit.ly

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Andrew Meyer — Thu, 09 Jul 2009 12:53:30 -0000

Kortina, I read this blog by visiting directly, I don't read using feed. Fred's posts are added to my bit.ly history automatically without me using the bit.ly shortener. I'm just guessing the "Tweet and Track" feedflare is the culprit since I clicked on it once because it looked like this: http://twitpic.com/9smyy

BTW Bit.ly support has contacted me and I'm sure they will get this figured out soon.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Andrew Meyer — Thu, 09 Jul 2009 12:42:17 -0000

Thanks, Fred. I've been contacted by bit.ly support.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Thu, 09 Jul 2009 09:41:24 -0000

It is. Anyone can talk to any entrepreneur. I don't have some exclusive lock on the market

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Thu, 09 Jul 2009 09:24:20 -0000

Yup

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Thu, 09 Jul 2009 09:12:20 -0000

That was a blog post here at AVC a few months back

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Thu, 09 Jul 2009 09:12:17 -0000

Do you think that's a good thing? That's basically what I am proposing we do here in the US

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Aaron Klein — Thu, 09 Jul 2009 02:01:40 -0000

The number was yours to begin with (you and I own the FCC, along with the other 300 million Americans). On the other hand, Apple is adding restrictions you agree to before you get the privilege of buying their phone (I don't have to agree with it to recognize this).

The thing is, nothing can stop you from unlocking your phone. Perhaps it should be easier. But Apple can't stop you from doing it. The only thing they can do is void the warranty.

Should the government be telling Apple what restrictions they can and can't put on their warranties?

Intel says the warranty is broken if you tweak your motherboard and run their 2.6GHz processor at 2.8GHz. Is that anti-consumer? How do you distinguish between these two issues?

I just don't see that government has the ability to determine business models and do this in a smart way. I'd rather see the entrepreneurs take on these kinds of anti-transparency, anti-consumer inefficiencies and defeat them with innovation, because I think it's far more sustainable than a government mandate that, based on past history, is likely to end up stifling innovation more than it helps.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

mikenolan99 — Wed, 08 Jul 2009 23:56:38 -0000

Amen!

I traveled around the world quite a bit in the past few years, and am always amazed at how inexpensive unlocked GSM phones are in other countries.

Land in South Africa, pick up a phone and a $50 card for around $75... pop in another $50 card in Germany, etc. If the kids lose one, or it gets broke, no big deal.

We left a lot of phones behind as gifts to hosts and new friends.

And here's a cool tip - have your skype local number forward to your newly purchased overseas phone.

The downside - I have a Motorola that has the menus stuck in German. I just loaned it to a friend as a replacement phone, and it is driving him crazy!

Mike

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

Bob — Wed, 08 Jul 2009 23:11:01 -0000

Come on, Fred. Is it anti-competitive for VCs to do exclusive deals with start-ups? Should every deal you do be open to every other VC who wants to contribute?

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

ShanaC — Wed, 08 Jul 2009 19:35:12 -0000

You're welcome- Now if only Kindles were social the way paper books are.

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:48 -0000

I think europe has got the mobile phone market figured out better than the US

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:45 -0000

Thanks!

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:44 -0000

I don't have enough money to take this one on

But google does :)

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:40 -0000

Isn't the phone rightfully yours too?

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:39 -0000

Set top boxes are going to go away completely in the next 10 years

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:38 -0000

Thanks. That helps

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:37 -0000

I agree about apple. I've said as much on this blog frequently which brings out the apple fanboys with a vengeance. Its not pretty

Re: Is The Exclusive Deal Between Apple and AT&T Anticompetitive?

fredwilson — Wed, 08 Jul 2009 19:27:35 -0000

Hmmm. Excellent points. I hope the Justice Dept is reading this thread. Good points on both sides of the issue