Is AT&T killing the iPhone?

It seems that the iPhone is facing a somewhat hostile AT&T retail sales force. According to MacDailyNews and iPhone Topic stories, several AT&T retail outlets have removed the iPhones from their displays, and are refusing to show them to interested customers unless they buy them first.

If this is true, and prevalent, it could prove troublesome for Apple. Although Apple clearly has the upper hand in the iPhone selling experience, the success of the iPhone does depend upon distribution. And as any Mac user from the 90′s will tell you, letting a hostile retail outlet control your customers buying experience can have devastating results.

Nobody outside of AT&T and Apple knows how long the AT&T exclusive sales deal is slated to last. If low paid AT&T employees are truly anti-iPhone, then the exclusive arrangement cant end soon enough for Apple. Many will argue that the iPod success was largely based upon broad distribution from stores like Best Buy, Circuit City, and other electronics store chains. The sooner Apple can expand iPhone sales to a wider chain, the faster they will hit their sales mark.

Category: iPhone