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Apple iPhone sales may suffer if AT&T strike

The word is, ongoing negotiations between AT&T and the Communications Workers of America have halted with a result of nothing definite on what to expect, so America could well be facing the largest strike since 1997.

Talks have taken a downturn as AT&T threaten to take an axe to employee healthcare, and the union didn’t like the new contract proposal and is preparing its 90,000 strong workforce for strike action according to a post on mp3newswire

As AT&T have an exclusivity deal with Apple for the Apple iPhone, if this strike happens Apple iPhone services could well be in serious trouble, and if the strike goes on for an extended amount of time many customers could begin to look elsewhere, and simple put, Apple could only sit back and watch as the strike action hampers iPhone sales.

Comments

11 thoughts on “Apple iPhone sales may suffer if AT&T strike”

  1. Reply
    Dale says:

    I don’t see how this would affect Apple at all.

    From what I read, this does not directly affect the wireless division and I certainly don’t see how this would effect the iPhone or apple.

    Could someone please tell me a scenario where the iPhone and Apple will be adversely affected by the strike?

  2. Reply
    truth says:

    the truth is although wireless settled their contract, WIRELINE workers are the ones that fix, upgrade, and utimately connect. not only wireless, but dsl, tv, satelite tv, phone and internet all travel accross the most advanced network ever. Wirelines fibers.

  3. Reply
    Jim says:

    If the wireline division of AT&T goes on strike, you will be affected. Where do you think the fiber/copper goes when it leaves the cell tower? The network is still maintained by wireline craft technicians.

  4. Reply
    Jim says:

    I know a lot of the general public does not understand the fiber/copper network but let me tell you..without the wireline workforce none of the service you depend on works. The wireless contract is settled yes, that is great if you want to purchase a new plan or phone. However without the wireline contract, the best cell phone in the world won’t work. Keep in mind that AT&T wireline employees are highly trained skilled technicians. Trained by AT&T, for AT&T. Wireline employees play a very large role in making and keeping this company very successful.

  5. Reply
    Dale says:

    I do understand what is being said here.
    The wireline certainly is important for the cell phones to work, but a strike will not automatically make the network go down will it?
    AT&T does have backup plans in case of a strike and though there will almost certainly be some glitches that will take longer to solve than normal, it is not as if everyone’s iPhone will suddenly cease to operate.

  6. Reply
    Jim says:

    You are correct, the network will not “just crash”. It is a great, reliable network. BUT, it is a great reliable network because of the weekly, daily, and sometimes hourly (around the clock in severe cases) maintenance that the wireline techs provide. If there is strike, the plan that AT&T has brewed up is very amusing. They plan to have the core management, of which there are 1 to every 15 or so techs and a few retirees come in (contractors) and run a skeleton crew to provide the service that 90,000 techs provide. In other words they will have to run limited service in most areas because the techs that they put all the training into won’t be there to maintain all that wonderful reliable network. I have seen the three contractors that are assigned to my boss that are supposed to do my job. One is 66 years old and is a retired C.O. tech. One is 59 years old and was a long distance rep, and the other is a very heavyset 60 year old retired operator. Good luck doing my work. I hope its not raining or really windy 20 feet up that telephone pole. So my point is.. they have a plan in place but it certainly won’t take the place of the skilled workforce that they already have in place. If they would just let us do our jobs, that they trained us to do without the need for corporate greed.. we will have no problems. The company grossed over 12.8 billion dollars in 2008.. are they really in a position to take away any of our benefits? Somehow they are trying to compare themselves to the big three automakers.. UMMM they were not profitable. AT&T was very successful. How will it end? We shall see. Believe me, the core employees do not want to strike, but we will if we have to.

  7. Reply
    rich says:

    For the techs who think they are indispensible. The trouble load goes way down when there is no activity in the plant. Management can usually maintain, they may not work many new orders but they can usually keep up with the trouble load. I have been thru 2 strikes and you all know if it lasts more than a week or so you never recover your lost pay, but the union officials get theirs.

  8. Reply
    Tracy says:

    Rich,

    I made almost twice my pay last year ALL due to a lack of understanding of management. They have forced out most of the people, in management, that actually know how the miricle occurs. It is a falicy that managers can keep up with the normal workload, they have been turned into paper shufflers because the 3rd and 4th line managers have no clue! The corporation could be managed better with a magic 8 ball and a pair of dice!!! We are managed for mediocrity at best and failure in most situations.

  9. Reply
    Joe says:

    Lets see…. I think people also forget that the at&t wire line tech’s also maintain the fiber/copper connections for other providers besides at&t.

    And those tickets have to be done before at&t tickets.

    Every day, even on the driest and coldest days when the mositure and water shouldn’t affect service because there isn’t any or its frozen, there is still troubles.

    And the money we lose is a necessary evil, in the big picture and in the long run.

  10. Reply
    Mike says:

    Why do you think Southwestern Bell (SBC) was able to go from the smallest baby bell to one that was able to acquire Pacific Bell, Ameritech, Bell South, ma bell AND build wireless from nothing? SBC has been such a success because of a great workforce and management that has made more good decisions than bad. You are living in the past if you think that the company can continue to pay all of your healthcare while still being a success. In order to thrive in a changing competitive environment you must adapt. AT&T makes tough decisions to not rehab the plant so that they can fund things like the iPhone – take a look at the last quarterly results and see how that paid off. No, holding back on rehab is not a long term solution but certainly a smart one when you are positioning against a rival like Verizon. Many want to point to decisions like this because they see the short term impacts rather than the big picture. How many companies still pay 100% of the healthcare for their employees? How about a full pension? How about matching your 401k? How about giving you a great chance at lifetime employment? Let’s not forget about Job Offer Guarantee – very similar to the Jobs Bank at the auto companies. AT&T occupational get all of these things –

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