US Cellular: We turned down iPhone
U.S. Cellular, the sixth-largest cellphone company within the US, said it turned down the opportunity to carry the iPhone because the phone is too expensive. Consumers pay out $200 for the iPhone4s, but Apple charges the carriers around $600 for the phones. Cell phone carriers pickup the additional cost through service plans sold to the customers, but even then U.S. Cellular said no.
CEO Mary Dillon told analysts on an earnings conference call Friday that “the terms were unacceptable from a risk and profitability standpoint.”
AT&T was the exclusive U.S. carrier for Apple Inc.’s phone for three and a half years, until Verizon Wireless got it in February. In October, it was followed by Sprint Nextel Corp. Now, tiny Mississippi-based carrier C Spire Wireless is set to add it too.