 Romney2012Defeat Obama 2012-Chg we can believe inPremium
join:2002-03-03
USA
kudos:4 | Stephenson partly correct quote:
"The industry is intensely competitive now, and will be intensely competitive after the deal," insists Stephenson.
It is very competitive now. But he should have said less competitive after a merger.
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| I expect that Verizon and AT&T will become even more competative as they fight for customers. Just don't expect some sort of price war where one starts to undercut the other. They will continue to match each other's moves just like Coke and Pepsi. |
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Reviews:
 ·TekSavvy DSL
| said by battleop:I expect that Verizon and AT&T will become even more competative as they fight for customers. Just don't expect some sort of price war where one starts to undercut the other. They will continue to match each other's moves just like Coke and Pepsi.
except coke and pepsi are drinks and not services. Here in canada, all the incumbents run duoploys in all areas ( other then new cell phone entrants in few areas). In these cases, matching each others moves means both of them raising prices at the same time. |
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 tiger72SexaT duorPPremium
join:2001-03-28
Saint Louis, MO
kudos:1
 ·T-Mobile US
| reply to battleop
said by battleop:I expect that Verizon and AT&T will become even more competative as they fight for customers. Just don't expect some sort of price war where one starts to undercut the other. They will continue to match each other's moves just like Coke and Pepsi.
Why would they become even more competitive? They will certainly match each other, but if you look at history, ATT and VZW have typically only responded to T-Mobile or Sprint, and then matched each other.
Sprint comes out with WiMax, ATT and VZW declare LTE their next upgrade. T-Mobile deploys 7.2 HSDPA nationwide, ATT responds a couple months later. TMO deploys HSPA+, ATT suddenly begins deploying HSPA+ before they move to LTE. Sprint and T-Mobile cut pricing, a few months later ATT and VZW lower their pricing.
Notice that ATT or VZW are never the first ones to actually come out with anything or alter the market status quo (Save for LTE, but that's due to VZW's 3g data network being utterly unable to compete with HSDPA, much less HSPA+ -- LTE was an implementation of competitive necessity, not to provide its customers additional value: see caps).
The question is: what happens when ATT and VZW account for 85% of the marketplace? What incentive do they have to compete with Sprint anymore, other than to do what they can to drive them out of business?
And when Sprint is gobbled up or files bankruptcy, what then?
It will be *just* like Coke and Pepsi.
They'll have the same pricing. Same general offering. And everyone else (Dr. Pepper, A&W) will either be owned by them, or rely on their distribution.
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 Steve BPremium
join:2004-08-02
Seattle, WA | Exactly! |
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| reply to Romney2012
I don't think I would describe the current market as 'intensely competitive'. More like mildly competitive in certain areas they choose to compete in. Price typically isn't one of them. |
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 MSaukMSaukPremium
join:2002-01-17
Sandy, UT
 ·Vonage
| reply to Romney2012
said by Romney2012: quote:
"The industry is intensely competitive now, and will be intensely competitive after the deal," insists Stephenson.
It is very competitive now. But he should have said less competitive after a merger. Are you being sarcastic about it being competitive now? I can't really tell. I hope you are to be honest.
Competitive ran out the door about 10 years ago. Prices are out of control and not sure if you have noticed but just about every cell company has the same pricing. How is that competitive?
Text messaging went from being 5 dollars a month, which is fair, to 20 dollars a month for the same service.
The market is not competitive at all, just like the airline industry.
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| reply to tiger72
"Why would they become even more competitive?"
Because they want to be the biggest with the most market share. Competiton does not always mean lower prices. |
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| reply to MSauk
I have to agree with MSauk here.
Being a level 3 network engineer on the "inside" of the business the costs for the same old services have become almost comical. Whats worse is that executive pay is WAAAAAYYYYY up while "worker bee" pay has either flat-lined or declined and that is not even considering how much more is being outsourced than used to be.
Executive greed is out of control and everything is geared to making the shareholders happy. A company can only be successful while doing this for a short time. People are leaving my company in droves due to this disparity as well only to be replaced with more outsourcing.
It's about the most un-American thing I have ever witnessed. |
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| reply to gruntlord6
"Here in canada" Guess what. I don't really care about what it's like "Here in Canada" because I was not talking about Canada. I was talking about AT&T and Verizon who are competing in the USA and not Canada.
I know it sucks that you have been cheated out of your birth right to 10Gb uncapped service for $2/year but enough is enough. |
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| said by battleop:"Here in canada" Guess what. I don't really care about what it's like "Here in Canada" because I was not talking about Canada. I was talking about AT&T and Verizon who are competing in the USA and not Canada.
I know it sucks that you have been cheated out of your birth right to 10Gb uncapped service for $2/year but enough is enough.
Love the arrogance
Here's a clue - big corps are the same, whether they are in Canada or the US.. don't think these guys don't take notice in what's happening on the other side of the boarder |
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 Simba7I Void Warranties
join:2003-03-24
Billings, MT | said by Eldorados:Here's a clue - big corps are the same, whether they are in Canada or the US.. don't think these guys don't take notice in what's happening on the other side of the border That is true. Some are watching it happen here, but most customers just don't care until they receive their bill or finally realize they no longer have a choice between providers.
The lobbyists have finely crafted the laws to be in favor for huge businesses. Do you think what happened to AT&T in 1984 actually stopped them? No. They just figured out ways to get around it. Sure it took them almost 25 years, but now they can do whatever they want.
If you want choice and change, do this quote (from a specific movie): "Time to nut up or shut up".
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ackman
join:2000-10-04
Acworth, GA | reply to battleop
said by battleop:"Here in canada" Guess what. I don't really care about what it's like "Here in Canada" because I was not talking about Canada. I was talking about AT&T and Verizon who are competing in the USA and not Canada.
I know it sucks that you have been cheated out of your birth right to 10Gb uncapped service for $2/year but enough is enough.
What an ignorant and closed-minded individual you are. Let me guess, you're a conservative? |
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 FreedomBuildWell done is better than well saidPremium
join:2004-10-08
Rockford, IL
 ·Comcast
| reply to Romney2012
said by Romney2012: quote:
"The industry is intensely competitive now, and will be intensely competitive after the deal," insists Stephenson.
It is very competitive now. But he should have said less competitive after a merger. Agreed, but part of the requirement for getting fat bonuses is downplaying the real truth
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| reply to ackman
LOL..... WTF does this have to do with politics? Not every post is segway to bitch about the current state of broadband in Canada.
We all know and understand it sucks. Anyone who is upset about broadband in Canada is preaching to the choir here, so stop trying to work the "Poor us in Canada" bit in to every thread. |
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chimera
join:2009-06-09
Washington, DC Reviews:
·Comcast
| reply to battleop
No, they want the most profits. The trick here is that with a duopoly collusion becomes very, very easy. This can lead to price gouging as both company's investors realize that fighting for market share would be a waste of resources that they would rather take as profits. If you want I can even work out the basic math for you, it's basic economic theory which is why we TRY to outlaw collusion and cartels in the United States. Unfortunately when a field becomes too small (two players) this becomes next to impossible. |
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 jslikThat just happenedPremium
join:2006-03-17 | reply to battleop
said by battleop:They will continue to match each other's moves just like Coke and Pepsi.
Yes, but I have LOTS of choices for beverages besides those two. Wireless services after this merger? Not so much.
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| reply to tiger72
This is 100% true. If you all want to maintain competition in the industry, YOU are the ones in power to do so by moving your service to Sprint... Especially all of you T-Mo subscribers that don't want to become at&t customers.
By the way, I'm no lawyer, but WHEN the at&t+t-mobile mergers goes through, I'm sure as part of the "conditions" placed by the Federal Trade Commission and Dept. of Justice is that at&t+t allow legacy T-Mobile customers to switch their service WITHOUT a Early Termination Fee (ETF) or Penalty. So for all of you saying that you can't afford the ETF... There will be your chance to jump ship to either Sprint or Verizon (if you want to pay their higher prices). |
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| reply to chimera
I have not said anything that disagrees with what you are saying. I've not said anything that is PRO AT&T or Verizon, I've only said that AT&T and Verizon will strongly compete with each other. The result of this competition will be good for them and NOT the consumer. This competition will have the same effect that the ILECs and Cable cos have had on the indie ISPs. Over time the AT&T / Verizon battle will wear away at companies like Sprint, Cricket, MetroPCS, etc., and one by one they will be swallowed up by AT&T, Verizon, or Sprint. AT&T and Verizon will want for Sprint to stick around so they can always point at Sprint every time someone throws the Duopoly card. |
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BiggA
join:2005-11-23
EARTH Reviews:
·Comcast
| reply to battleop
I totally agree. They will become more competitive, not on price (that's for Metro/Sprint/USCC), but on features, speed, coverage, phones, amount of data, etc etc.
Right now they are pretty close to a deadlock, but after this, they won't be. This will throw the duopoly out of balance and, in the end, create a better environment for the consumer. |
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