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Verizon to Close App Store in January
'Evolving Strategy' By Giving Up on Lost Cause

Hoping to retain control in the wireless market, back in 2009 Verizon announced their app store in the hopes of taking market share away from Android Marketplace and, ultimately, iTunes. In 2010 the app store launched, though interest in the store was tepid when compared with its iOS and Android rivals. In 2011 Verizon tried to revamp the store somewhat, partnering with a company named Chomp to revamp search functionality, while also eliminating the VCast name and simply calling the store "Verizon Apps."

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It didn't help to make the store any more popular.

According to a Verizon blog post, the company says that they'll be acknowledging defeat and will start shutting down their app store in January. The company says users will be notified of the store closure in January, with the store itself shut down completely by the end of March, 2013.

Verizon doesn't mention the lack of consumer interest, or their belated realization that it was futile for an innovation-challenged network operator to compete with the Apple app store or Android marketplace. According to Verizon, the company is simply "evolving our strategy to further simplify today’s experience and meet the needs of tomorrow."
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wheelbarrow
join:2010-01-06
USA

wheelbarrow

Member

Ha!

Good riddance.
ssavoy
Premium Member
join:2007-08-16
Dallas, PA

1 recommendation

ssavoy

Premium Member

Expensive Dumb Pipe

Being a dumb pipe is inevitable. Charging $50 for the first gigabyte of data is a nice way to make sure they don't lose any revenue from becoming one.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Expensive Dumb Pipe

said by ssavoy:

Being a dumb pipe is inevitable. Charging $50 for the first gigabyte of data is a nice way to make sure they don't lose any revenue from becoming one.

They do not charge $50 for the 1st GB. If so I guess the minutes and texting are free then. Is that what you are implying that Verizon offer FREE unlimited minutes and texting? Kind of offsets the $50 for the 1 GB doesn't it since unlimited family texting cost $30 under old pricing.
ssavoy
Premium Member
join:2007-08-16
Dallas, PA

1 recommendation

ssavoy

Premium Member

Re: Expensive Dumb Pipe

Then why is it $40 to add a smart phone and only $10 for tablets? They still charge you for minutes and texts on top of the data.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Expensive Dumb Pipe

said by ssavoy:

Then why is it $40 to add a smart phone and only $10 for tablets? They still charge you for minutes and texts on top of the data.

The $40 is the DEVICE fee. The minutes and text come with the DATA part. Try actually going to the site and see how the package is laid out.

ssavoy
Premium Member
join:2007-08-16
Dallas, PA

1 recommendation

ssavoy

Premium Member

Re: Expensive Dumb Pipe

The pricing still makes no sense. Why is there a sliding scale based on the device you add? They should all be $10 by that logic. Plain and simple - devices that can utilize calling and texting cost more per month than those that can access only data.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Expensive Dumb Pipe

said by ssavoy:

The pricing still makes no sense. Why is there a sliding scale based on the device you add? They should all be $10 by that logic. Plain and simple - devices that can utilize calling and texting cost more per month than those that can access only data.

A) I never said it made sense. I'm just pointing that the minutes and texting are in fact part of the data. The device fees is what is stopping us from switching to Share Everything more than the data pricing.

B) If you just want a tablet they do have plans for that. The "data" part is $40 cheaper. For example 4 GB is $30 not $70. So you can say the minutes and texting are valued at $40.
ssavoy
Premium Member
join:2007-08-16
Dallas, PA

1 recommendation

ssavoy

Premium Member

Re: Expensive Dumb Pipe

Well they're at least double-dipping.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Expensive Dumb Pipe

said by ssavoy:

Well they're at least double-dipping.

Not sure what you mean by that.

amarryat
Verizon FiOS
join:2005-05-02
Marshfield, MA

1 recommendation

amarryat to ssavoy

Member

to ssavoy
said by ssavoy:

The pricing still makes no sense. Why is there a sliding scale based on the device you add? They should all be $10 by that logic. Plain and simple - devices that can utilize calling and texting cost more per month than those that can access only data.

I agree with you. Tablets can't make calls and texts. That's why they are $10/line. The first GB of data ~does~ cost $50, no matter how they list it out. Smartphones are $40 which give you the unlimited talk and text, despite that info being listed as part of the data. That's why it costs $160 for 4 smartphones before you add the data, but would be $40 for 4 tablets before adding the data.

PhoenixAZ
Get A Mac
Premium Member
join:2004-01-04
Phoenix, AZ

1 recommendation

PhoenixAZ

Premium Member

Verizon thought...

That they could do the same thing they did to their feature phones on their smartphones. Good riddance. Hopefully Verizon & other carriers will become more like "european carriers" when it comes to selling phones the way they came from the manufacturer...UNBRANDED. Sure let VZW keep their Droid branding etc, but I don't need my bootscreen, wallpaper, and phone itself to say Verizon all over the place.

(Look at the Galaxy Note II, Why the hell does it have to say Verizon on the HOME BUTTON?)

The ONLY place I should see Verizon would be the network identifier area of the OS (whether its iOS, Android, whatnot), and whatever "My Account" or account management app there is, and if I elect to have other Verizon services, like TV, then allow me to install them myself from the App Store/Play Store.
elefante72
join:2010-12-03
East Amherst, NY

1 recommendation

elefante72

Member

Re: Verizon thought...

Now remove the bloat and give us a pure android experience and timely updates. That would be value add.

Interestingly if they used the channel for real value apps and optional, they would have had more traction. They could have provided a "malware" service for Google Play. Imagine that. I'd pay.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Verizon thought...

said by elefante72:

Now remove the bloat and give us a pure android experience and timely updates. That would be value add.

Ok they'll remove it and your $200 Galaxy SIII would be $300. Is that worth it to you? Companies make money by installing bloatware they aren't going to remove and not get that money back somehow. So be careful what you wish for.

SimbaSeven
I Void Warranties
join:2003-03-24
Billings, MT
·StarLink

1 recommendation

SimbaSeven

Member

Re: Verizon thought...

said by 88615298:

Ok they'll remove it and your $200 Galaxy SIII would be $300. Is that worth it to you? Companies make money by installing bloatware they aren't going to remove and not get that money back somehow. So be careful what you wish for.

You're already spending $200+(CostofServiceperMonth*24) anyway.

..which would be around $2500-3000 for 2 years.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Verizon thought...

said by SimbaSeven:

said by 88615298:

Ok they'll remove it and your $200 Galaxy SIII would be $300. Is that worth it to you? Companies make money by installing bloatware they aren't going to remove and not get that money back somehow. So be careful what you wish for.

You're already spending $200+(CostofServiceperMonth*24) anyway.

..which would be around $2500-3000 for 2 years.

How does paying for your monthly service have to do with anything? When you buy a car you still have to pay for gas.
jauman
join:2001-12-06
Kent, WA

1 recommendation

jauman

Member

Re: Verizon thought...

Since the total cost of the contract is now $2700 vs $2600 (contrived $100/mo plan as basis), the percentage increase is ~4% over the life of that contract.

Since folks will enjoy that difference (unbranded) over that time, that's why the longer-term analysis resonates more with some of us.

The upfront device cost is but one component of the overall, and I, like apparently Simba7, consider the total cost more than the isolated device price.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Verizon thought...

said by jauman:

Since the total cost of the contract is now $2700 vs $2600 (contrived $100/mo plan as basis), the percentage increase is ~4% over the life of that contract.

Since folks will enjoy that difference (unbranded) over that time, that's why the longer-term analysis resonates more with some of us.

The upfront device cost is but one component of the overall, and I, like apparently Simba7, consider the total cost more than the isolated device price.

I'm not sure what language all that gibberish was. The fact is If pressured to remove bloatware companies will find ways to make that revenue back somewhere else. To think otherwise is being both naïve and obtuse. I'm not sure why anyone would argue that.
rradina
join:2000-08-08
Chesterfield, MO

1 recommendation

rradina to 88615298

Member

to 88615298
Really? I've purchased two i-Devices and I don't recall ANY bloatware being installed. Are you suggesting carriers just lose more money with the i-Products?
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Verizon thought...

said by rradina:

Really? I've purchased two i-Devices and I don't recall ANY bloatware being installed. Are you suggesting carriers just lose more money with the i-Products?

yes they do. In fact most of Sprint current financial problems stem from the iPhone.
itguy05
join:2005-06-17
Carlisle, PA

1 recommendation

itguy05

Member

Re: Verizon thought...

said by 88615298:

said by rradina:

Really? I've purchased two i-Devices and I don't recall ANY bloatware being installed. Are you suggesting carriers just lose more money with the i-Products?

yes they do. In fact most of Sprint current financial problems stem from the iPhone.

Yes, not having the iPhone. The unlocked iPhone (which is free of subsidies) is roughly the same price as an unlocked high end Android device.

If the iPhone were such a bad deal for carriers, they would not carry it...
88615298 (banned)
join:2004-07-28
West Tenness

-1 recommendation

88615298 (banned)

Member

Re: Verizon thought...

said by itguy05:

said by 88615298:

said by rradina:

Really? I've purchased two i-Devices and I don't recall ANY bloatware being installed. Are you suggesting carriers just lose more money with the i-Products?

yes they do. In fact most of Sprint current financial problems stem from the iPhone.

Yes, not having the iPhone. The unlocked iPhone (which is free of subsidies) is roughly the same price as an unlocked high end Android device.

If the iPhone were such a bad deal for carriers, they would not carry it...

Actually it is bad for carriers. They carry it because so many Apple cult members insist on an iphone.

U.S. carrier market could be on the hook for more than $10 billion
»gigaom.com/apple/analyst ··· bsidies/

iPhone kills carrier profits
»betanews.com/2012/06/07/ ··· profits/

Cell phone carriers will get whacked by the iPhone 5
»money.cnn.com/2012/09/12 ··· dex.html

Are iPhone subsidies destroying carriers?
»www.digitaltrends.com/mo ··· arriers/
rradina
join:2000-08-08
Chesterfield, MO

1 recommendation

rradina

Member

Re: Verizon thought...

I've had two iPhones and I certainly don't fit that description. Neither do millions of other users. The iPhone is a great device, as are Android and lately, Windows phones. Regardless, the iPhone is still considered the Cadillac of smart phones because it invented the market. Carriers want it because a lot of ordinary folks ask for it.

If the carrier is willing to sell it for a third of its cost and hope to turn a profit over the life of a two year contract, that sounds like a plan. If it isn't working, we cannot say that they went into the i-Deal with their eyes shut.
openbox9
Premium Member
join:2004-01-26
71144

openbox9 to itguy05

Premium Member

to itguy05
Click for full size
Unlocked iPhone from Apple
Click for full size
Unlocked Nexus from Google
The carriers pay a large chunk of change to offer the iPhone, and then discount the cost to consumers. The win with the iPhone (and other devices) is locking customers in long term contracts. I suspect the margins on offering iPhones are thinner for the carriers than with Android devices.

And no, the unlocked iPhone is not roughly equivalent in price to an unlocked Android device.

SimbaSeven
I Void Warranties
join:2003-03-24
Billings, MT
·StarLink

1 recommendation

SimbaSeven

Member

Re: Verizon thought...

said by openbox9:

And no, the unlocked iPhone is not roughly equivalent in price to an unlocked Android device.

I think it'd be better to compare an iPhone 5 to a Samsung Galaxy SIII or Note 2. Although the Nexus4's specs are rather impressive for the price.
openbox9
Premium Member
join:2004-01-26
71144

openbox9

Premium Member

Re: Verizon thought...

Why? Anyway, buying an unlocked iPhone 5 in Canada (when it becomes available) will cost 700+ USD with today's exchange rate. A factory unlocked Galaxy S3 via Amazon looks to come in around $550ish.

SimbaSeven
I Void Warranties
join:2003-03-24
Billings, MT
·StarLink

SimbaSeven

Member

Re: Verizon thought...

iPhones will always be overpriced and underspec'd. I've seen several phones that could kick the crap out of the iPhone, even before said iPhone was released.

I guess iFans don't really care about specs. They care more about the User Interface, which honestly could be dumbed down to run on anything.. even an original iPhone (if they didn't drop support for it to make you buy a new one).

Robert
Premium Member
join:2001-08-25
Miami, FL

Robert to 88615298

Premium Member

to 88615298
said by 88615298:

said by rradina:

Really? I've purchased two i-Devices and I don't recall ANY bloatware being installed. Are you suggesting carriers just lose more money with the i-Products?

yes they do. In fact most of Sprint current financial problems stem from the iPhone.

Ha, their current financial problems stem from poor management and inadequate coverage.

All the iPhone did was make it obvious that their network is no where near ready to support the growth that comes with carrying an iDevice.

Nobody asked them to gamble $20 billion for 30 million phones. That was their decision, and hopefully in 2014, they see a return on their investment.

In the meantime, AT&T and VZW are seeing huge returns.
rradina
join:2000-08-08
Chesterfield, MO

rradina to 88615298

Member

to 88615298
What about the bloatware? I don't recall any being installed on either of my iPhones. I know there were some accusations of background things of a nefarious nature but certainly nothing in my face.

dib22
join:2002-01-27
Kansas City, MO

dib22 to 88615298

Member

to 88615298
said by 88615298:

yes they do. In fact most of Sprint current financial problems stem from the iPhone.

HA! Sprints current financial problems existed long before they picked up the iphone...

anyway the braintrust that kept sprint down will soon be gone... long live softbank!
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Verizon thought...

said by dib22:

said by 88615298:

yes they do. In fact most of Sprint current financial problems stem from the iPhone.

HA! Sprints current financial problems existed long before they picked up the iphone...

anyway the braintrust that kept sprint down will soon be gone... long live softbank!

Kiss that unlimited data good-bye too

amarryat
Verizon FiOS
join:2005-05-02
Marshfield, MA

amarryat to 88615298

Member

to 88615298
said by 88615298:

said by elefante72:

Now remove the bloat and give us a pure android experience and timely updates. That would be value add.

Ok they'll remove it and your $200 Galaxy SIII would be $300. Is that worth it to you? Companies make money by installing bloatware they aren't going to remove and not get that money back somehow. So be careful what you wish for.

T-Mobile will sell the Nexus 4, and that won't have any bloatware on it.

As far as I know, none of the iPhones have any bloatware on them. At least I don't think my wife's does.

When you buy a 3G/4G tablet, does it have bloatware?

PhoenixAZ
Get A Mac
Premium Member
join:2004-01-04
Phoenix, AZ

PhoenixAZ

Premium Member

Re: Verizon thought...

said by amarryat:

said by 88615298:

said by elefante72:

Now remove the bloat and give us a pure android experience and timely updates. That would be value add.

Ok they'll remove it and your $200 Galaxy SIII would be $300. Is that worth it to you? Companies make money by installing bloatware they aren't going to remove and not get that money back somehow. So be careful what you wish for.

T-Mobile will sell the Nexus 4, and that won't have any bloatware on it.

As far as I know, none of the iPhones have any bloatware on them. At least I don't think my wife's does.

When you buy a 3G/4G tablet, does it have bloatware?

No but there is Apple bloat ware. Such as integrated twitter.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned) to PhoenixAZ

Member

to PhoenixAZ
said by PhoenixAZ:

That they could do the same thing they did to their feature phones on their smartphones. Good riddance. Hopefully Verizon & other carriers will become more like "european carriers" when it comes to selling phones the way they came from the manufacturer...UNBRANDED. Sure let VZW keep their Droid branding etc, but I don't need my bootscreen, wallpaper, and phone itself to say Verizon all over the place.

(Look at the Galaxy Note II, Why the hell does it have to say Verizon on the HOME BUTTON?)

Why is that even an issue to people? Seriously if it bothers you that much then go with another carrier to use some white out.

The ONLY place I should see Verizon would be the network identifier area of the OS (whether its iOS, Android, whatnot), and whatever "My Account" or account management app there is, and if I elect to have other Verizon services, like TV, then allow me to install them myself from the App Store/Play Store.

Don't like it go with at&t, sprint or T-Mobile then. Simple solution.

••••

NOCMan
MadMacHatter
Premium Member
join:2004-09-30
Colorado Springs, CO

NOCMan

Premium Member

Or

They could just realize there is no money to be made trying to be all things to all people. Focus on core services and reliability, and let the App stores be handled by those best equipped to provide a good experience. Even a dumb pipe operator can make money if they play their cards right.

jmn1207
Premium Member
join:2000-07-19
Sterling, VA

jmn1207

Premium Member

Re: Or

said by NOCMan:

They could just realize there is no money to be made trying to be all things to all people. Focus on core services and reliability, and let the App stores be handled by those best equipped to provide a good experience. Even a dumb pipe operator can make money if they play their cards right.

You can be all things to some people. <sarcasm>Yep, no money to be made when you build the devices, develop the operating system, sell and support these devices through your own retail stores, and provide an exclusively controlled app store for these same devices. That would never make money. </sarcasm>
eco
Premium Member
join:2001-11-28
Wilmington, DE

eco

Premium Member

Re: Or

Apple doesn't operate a cellular network though. Those things you listed that Apple does well do not mean it could also run a cellular network well. I think his point was let the phone makers handle what they do best and let the carriers do what they do best. If carriers spent less time worrying about this stuff and focused more on their networks, our networks would be more on par with the quality of European networks that understand their role in the ecosystem and what they're good at and don't worry about things like running an app store.

Dominokat
"Hi"
Premium Member
join:2002-08-06
Boothbay, ME

4 edits

Dominokat

Premium Member

Want to block apps.

What no one mentioned was that Verizon (and MetroPCS) want to CONTROL (block) applications, siting it's "First Amendment" This post is only a couple days old.

»bgr.com/2012/11/01/veriz ··· pps-fcc/

"Verizon Wireless (VZ) and MetroPCS (PCS) have filed paperwork to appeal a Federal Communications Commission policy that prevents carriers from controlling apps and other services on devices that run on their networks. The FCC decision, which went into effect in December 2011, has already forced Verizon to stop its practice of blocking tethering apps while also fining the carrier $1.25 million. Both mobile operators, however, argue that the FCC is overstepping its mandate and look to reverse the decision. Verizon and MetroPCS argue that the ruling is unconstitutional and violates the First Amendment, claiming that “broadband networks are the modern-day microphone by which their owners engage in First Amendment speech.” The carriers state that the rules are “arbitrary and capricious,” and also violate the Telecommunications Act of 1996."

Eddy120876
join:2009-02-16
Bronx, NY

Eddy120876

Member

Re: Want to block apps.

Thats one part of the reason why i left MetroPCS. They would block any tethering,video chat and streaming if you weren't part of a specific plan. Mind you their LTE plans for 50 didn't work if you tried any of that. Instead they always wanted you to jump to the 60.
banner
Premium Member
join:2003-11-07
Long Beach, CA

banner

Premium Member

VZ Navigation App

Hope they get rid of VZ Navigator. On my thunderbolt, that bloatware's relentless prompting to choose it or google maps is a dangerous distraction to drivers.

Hopefully dropping the VZ store will facilitate upgrades to ICS or Jellybean.
eco
Premium Member
join:2001-11-28
Wilmington, DE

eco

Premium Member

Re: VZ Navigation App

said by banner:

Hopefully dropping the VZ store will facilitate upgrades to ICS or Jellybean.

Don't bet on it..

SimbaSeven
I Void Warranties
join:2003-03-24
Billings, MT
·StarLink

SimbaSeven

Member

Re: VZ Navigation App

said by eco:

Don't bet on it..

I agree. They only way some phones get ICS or JB is a third party ROM, like Cyanogenmod.
mmay149q
Premium Member
join:2009-03-05
Dallas, TX

mmay149q

Premium Member

Finally!

Thank god, I was tired of hearing about that useless app, I'm glad Verizon took the hint so "quickly" this is what happens when you're a copy cat instead of an innovating beastly machine that drops new ideas at least 2 - 4 times a year....

Matt
b10010011
Whats a Posting tag?
join:2004-09-07
united state

b10010011

Member

Will I still be able to get games for my dumb phone?

Is the "Get It Now" different from the Verizon App store?

IowaCowboy
Lost in the Supermarket
Premium Member
join:2010-10-16
Springfield, MA

IowaCowboy

Premium Member

Direct billing

I would like the ability to charge apps to my bill.

I currently use the iTunes App Store an I wish I could bill apps to my Verizon bill as I could deal with a real human if there is a billing issue.

With google, there is no such thing as customer service and the only recourse is to do a chargeback on your debit/credit card.
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: Direct billing

said by IowaCowboy:

I would like the ability to charge apps to my bill.

]

Actually you can do that for Android devices.
NLiveris
join:2001-11-25
Chicago, IL

NLiveris

Member

yes! I love this sort of news

Is it safe to assume they'll remove that horrific "Apps" app that always needs to run in the background on my phone 24/7?

From a end-user experience standpoint, why would you want to confuse customers with pre-installing so many competing apps? MOG music, Slacker, Play Music, wtf is all that? My Maxx reminds me of those old E-machines with their endless bloat. Say what you want about Apple, but at least they've got their shit together by standing up to network operator's sleazy tactics. I personally enjoy the complexity and utility of Android but Verizon shoveling all their garbage and logos all over my phone is an obvious attempt at a cheap cash grab. Wait and see, I'm sure their marketing team are busy as beavers trying to concoct a new vcast App store removal surcharge.

Imagine if Comcast required you to put a sticker of their logo on the side of your computer. haha
88615298 (banned)
join:2004-07-28
West Tenness

88615298 (banned)

Member

Re: yes! I love this sort of news

said by NLiveris:

Is it safe to assume they'll remove that horrific "Apps" app that always needs to run in the background on my phone 24/7?

yes they will. Also you CAN disable it right now assuming you have at least Ice Cream Sandwich on your phone.

MissR
@100tb.com

MissR

Anon

Cool

Thanks for such a great article here. I was searching for something like this for quite a long time and at last I’ve found it on your blog. It was definitely interesting for me to read about web applications and their market situation nowadays. thanks one more time and keep posting such nice ones in the nearest future too .

antdude
Matrix Ant
Premium Member
join:2001-03-25
US

antdude

Premium Member

So what happens on Verizon's phones?

When users access apps. Will the option go away or connection will fail?

linicx
Caveat Emptor
Premium Member
join:2002-12-03
United State

linicx

Premium Member

I bore easily ...

with carrier BS. It did not take long for me to decide VZN was a bad deal when I could not download my favorite ringer because it was approved --- although the company that carries it was. I had no such problem with Sprint. VZN lied about a number of issues tied to idevices starting with iTunes. The whole deal turned out to be one large pile of road apples.

I generally like Apple products due low vision issues. The iPhone dialer and keyboard was a dream come true that Verizon ruined for me with false demands and abuse. And yes, the iPhone was bloated with Google garbage.

amarryat
Verizon FiOS
join:2005-05-02
Marshfield, MA

amarryat

Member

Get rid of the bloatware too

Let's hope they eventually stop installing apps we can't remove, such as Backup Assistant Plus, My Verizon, VZ Navigator, Blockbuster, Slacker, NFL Mobile, Kindle, Verizon Tones, etc.

They don't make iPhone users deal with that crap.

HoggyDog
@sbcglobal.net

HoggyDog

Anon

Re: Get rid of the bloatware too

said by amarryat:

Let's hope they eventually stop installing apps we can't remove, such as Backup Assistant Plus, My Verizon, VZ Navigator, Blockbuster, Slacker, NFL Mobile, Kindle, Verizon Tones, etc.

Just root your phone and remove the bloatware. I have removed every app you cited, plus several more. Problem solved.
dlogan01
join:2012-11-04
Bristol, WI

dlogan01

Member

Verizon has an app store?

I had no idea.