BizJournals Portfolio
Dec 28 2009 12:59pm EDT

The iPhone New York Connection Is Weak

Wired reports: The Consumerist reports that one of its readers has been unable to buy an iPhone from AT&T’s online store. According to the report, an AT&T customer representative told him that “the phone is not offered to you because New York is not ready for the iPhone…. You don’t have enough towers to handle the phone.”

The Consumerist obtained a written statement from AT&T spokesman Fletcher Cook, in which Cook said, “We periodically modify our promotions and distribution channels.”

This story is being taken by many to be an attempt by the carrier to follow up on AT&T mobile boss Ralph de la Vega's statement that “the company is…working on getting the data hogs to cut down their usage,” while at the same time “pushing its wireless margins into the 40 percent range next year from around 38 percent in the third quarter.”

Other reports are speculating about the possibilities of credit-card crime, and that the hold on online sales in NYC is a security measure to curb fraud through online purchases. This would make some sense, as the iPhone can still be bought in physical stores. In fact, simply refusing online orders from zipcodes where fraud is rife seems like a remarkably effective and elegant cure.

What is certain is that AT&T’s lack of a quick response is causing it PR damage. A simple, clear statement of intent would have been enough to diffuse this story. Well, that and some new cell towers in New York.

AT&T Customer Service: "New York City Is Not Ready for the iPhone" [Consumerist]

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