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Sprint: iPhone 'No. 1' reason subs leave, Apple deal hinted

updated 01:00 pm EDT, Wed September 21, 2011

Sprint CEO drops strong clues to iPhone 5

Sprint CEO Dan Hesse during a speech at Goldman Sachs' Communacopia conference dropped strong hints that Sprint will have the iPhone 5. While at first insisting that he wouldn't talk about whether Sprint would have the iPhone, he framed it as the key to Sprint's future business. The "number one reason customers churn" was because of the iPhone, he said, and it was only in spite of facing two iPhone-carrying rivals that Sprint had added customers over the past two quarters.

When asked about whether or not the company's fiscal guidance for the rest of the year factored in a 'certain device,' Hesse also conspicuously dodged around mentioning the iPhone by name while making it clear that Apple was a part of Sprint's future plans. Current guidance didn't include "that device you're alluding to," he said, but it could change when the deal was made public.

"We may have to adjust guidance accordingly... for that," the CEO said.

Apple is expected to unveil the iPhone 5 on October 4, something Sprint is known to have anticipated. The carrier has barred vacations for half of October in expectation that it would need all hands on deck for a device launch, something it has never needed for any Android or BlackBerry model.

Separately, commenting on the Department of Justice's lawsuit to block the AT&T and T-Mobile deal, Hesse disputed the view that the DOJ had determined there always had to be at least four major US carriers. The government's issue was that AT&T was trying to pretend T-Mobile wasn't a real competitor. Officials wanted to see a real benefit from the merger, he said, and weren't seeing it despite AT&T's protests.

The Sprint executive also showed a rare instance of candidness in the wireless industry and downplayed notions that Sprint was necessarily taking the high ground. Fighting for genuine competition and against duopolies was simply needed to stay alive.

"We're not any more ethical or moral than any other company," he explained. "Our interest just happens to align with the public interest."



By Electronista Staff
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Comments

  1. cranfordio

    Fresh-Faced Recruit

    Joined: Jan 2004

    +7

    I like Sprint

    I do not use Sprint's service because my work pays for my cell phone but I have always like Sprint. I like the way their commercials don't try to compare themselves to other companies, they just point out what they can provide. I respect a company that can sell itself on it's own merits instead of trying to compare themselves and talk bad about their competition.

  1. SockRolid

    Forum Regular

    Joined: Jan 2010

    +2

    Poor T-Mo

    I guess Apple is waiting for the AT&T + T-Mo deal to be finalized. Or blocked.. Either way.

  1. prl99

    Dedicated MacNNer

    Joined: Mar 2009

    0

    so the cellular company has nothing to do with it

    When Sprint says they are losing customers because of the iPhone, it shows that customers go where they can get the phone they want not really because of the cellular provider. This means the T-Mobile buyout by AT&T only hurts Sprint because it delays Apple giving them the iPhone. If Sprint already had the iPhone, I wonder if they would be complaining about the merger as much.

  1. facebook_Justin

    Via Facebook

    Joined: Sep 2011

    -1

    comment title

    Can lie if you want but you got no hope cause the rest of the worlds on GSM!
    WiMax is s*** like Verizon and Sprint cause the rest of the worlds on GSM!
    Nobody cares 'bout your fake 4G cause the rest of the worlds on GSM!
    Get with the day, ditch the CDMA cause the rest of the worlds on GSM!
    On GSM! On, on GSM!
    Get with the day, ditch the CDMA cause the rest of the worlds on GSM!

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