AT&T

iPhone 5 to cost carriers $10B in subsidies

If there was a frenemy to carrier profits, it could be Apple's iPhone. While iPhone users were rejoicing over the iPhone 5, U.S. wireless providers could pay $10 billion in subsidies to sell the new smartphone, according to one analyst. Indeed, AT&T and Verizon were downgraded just days after the new iPhone was announced.

The iPhone's success is a double-edged sword for US carriers. Although a new Apple phone can draw new subscribers like a magnet, the Cupertino, Calif. company is aware of its power, costing carriers $425 per handset in subsidies. Couple that high cost with the early sale of the device and carrier margins for the last half of 2012 will be slimmer than the iPhone 5, writes Stifel Nicolaus analyst Christopher King. King told investors AT&T and Verizon could be over-valued and downgraded both companies to 'hold.'

So I went ahead and purchased an off-contract iPhone 5

As we told you earlier, AT&T wasn't budging on their upgrades this time around. If you are in the middle of a current contract, AT&T wants to charge a $250 early upgrade fee, a $36 activation fee, and the price of the actual subsidized iPhone — in my case the $199 16GB version.

After doing the math, that totals over $500 for a new iPhone 5 with a two year contract, which is ridiculous. Why pay that much only to be locked into a contract for an additional two years? Instead, I decided to take this approach, and purchased an off contract iPhone 5...

How to pre-order an off contract iPhone 5 from Verizon or AT&T

For those wishing to avoid signing up for a lengthy two year contract, Verizon or AT&T's website will let you easily order an off-contract iPhone 5 that you can configure with a month to month plan.

Signing up for a carrier's month to month plan will provide you with an unsubsidized phone for $649, $749, and $849, for the 16GB, 32GB, and 64GB versions of the iPhone 5 respectively. Here's how to do it...

iPhone 5 won’t support concurrent voice and data on Verizon or Sprint

Remember back when Verizon first launched the iPhone 4? AT&T, whose network was struggling at the time, launched a campaign highlighting the fact that AT&T users could talk and browse the web at the same time, and Verizon users couldn't.

Over time, the problem faded into the background. And since Verizon's LTE network — which is now in nearly 400 markets — supports simultaneous voice and data, we didn't think it'd be a problem with the iPhone 5. But apparently, we were wrong...

AT&T, Verizon and Sprint won’t support the iPhone 5 HD voice at launch

Of all the three major carriers in the United States, none is able to support the iPhone 5 high-definition voice technology at launch. Specifically, carriers AT&T and Verizon don't yet support wideband audio and Sprint's HD Voice technology is only compatible with CDMA x1 technology whereas the iPhone 5 taps WCDMA networks for the feature. There is, of course, hope that major U.S. telcos will catch up and update their backend for the iPhone 5 wideband audio...

Verizon says yes to FaceTime, but no to unlimited data

AT&T kickstarted some controversy last month when it announced that customers would have to switch to one of its Shared data plans to utilize iOS 6's new FaceTime over Cellular feature.

But it looks like if this is a deal-breaker for you, you can head over to Verizon. The carrier has just confirmed that FaceTime over Cellular will work with any of its available data plans...

Everything you need to know about today’s iPhone 5 event

The iPhone 5 is finally here.

After Apple in 2011 unveiled the iPhone 4S -- when everyone and his mother expected the iPhone 5 -- the wizards of Cupertino introduced a smartphone for everyone. Want something smaller? Check. How about a big screen? Got you covered. Need power? No problem. Although this was the first post-Steve Jobs iPhone rollout, there was enough technology and geekitude on display today that even the Man in Black would have had a tough time fitting in just one more thing.

Most of the rumors about the iPhone were confirmed. The iPhone 5 sports a 4-inch (1136 x 640) display enclosed in an aluminum and glass shell. That larger display is becoming defacto on smartphones. Not to be outdone designwise by Android, Apple pushed suppliers to use an in-cell manufacturing technique that embeds the technology used in an edge-to-edge touchscreen, eliminating the need for a separate layer.

AT&T confirms iPhone 5 buyers can keep unlimited data

AT&T just pushed out a press release announcing that it will be carrying the iPhone 5. As Apple announced, customers will be able to pre-order it on September 14, or purchase it on the 21st.

But far more interesting is the fact that AT&T also mentioned in the press release that customers that still have unlimited data plans, will be able to keep using them with the new iPhone...

An iPhone 5 upgrade for on-contract AT&T customers might be really expensive

So, you want to upgrade your current phone to the iPhone 5? The first step you need to take, is to see whether or not you qualify for a fully subsidized upgrade with no penalty.

AT&T makes this process particularly easy, all you have to do is dial *NEW# (*639#), and you will receive a text message laying out your eligibility. For Verizon users, Big Red has provided a website that you can go to to verify your upgradability, or you can dial #874.

In the past, AT&T has let users who are only partially through an existing contract to upgrade without any penalties. Whether or not they plan on doing this with the iPhone 5 remains to be seen, but from what I've seen thus far, it's not looking entirely promising.

How AT&T unlocked my under-contract iPhone 4S in two days

Last week we reported that AT&T was reportedly starting to unlock iPhones that were still under contract. Though they had been a few reports of this, we hadn't been able to verify the information ourselves.

I decided to take the matter in my own hands and submitted a request to unlock my under-contract iPhone 4S via AT&T's handy online form. I was a bit doubtful because I had previously asked AT&T if they could unlock this device for me, and at the time, they kindly declined, saying that they couldn't because I was still under contract.

A couple days after filling out the request form, I received the following confirmation email from AT&T...

AT&T reportedly unlocking under-contract iPhones

Earlier this year, AT&T started unlocking iPhones for subscribers that were out of contract. Prior to that, users had to be jailbroken, or utilize third-party services to unlock their handsets.

Well, good news for folks with AT&T iPhones that aren't quite out of contract yet. According to a new report, the carrier has started unlocking iPhones that are still under commitment...

Question of the Week: will you switch from AT&T to Verizon for LTE coverage?

As Ed brought out in his post just a few minutes ago, AT&T is scrambling to get its LTE network deployed in more cities with the iPhone 5's debut on the horizon.

At this point, Verizon has many more markets covered with LTE than their fiercest competitor in the United States, and with the upcoming release of the first LTE enabled iPhone, it could have a significant impact on customer loyalty and sales.

With that in mind, would you consider switching from AT&T to Verizon, if AT&T doesn't have an LTE network available in your market come iPhone 5 launch day? Sound off, in this week's Question of the Week...