Verizon President Offers a Look Inside the Apple-Verizon iPhone Negotiations

121131 verizon iphone begins

Bloomberg takes a look at the negotiations between Apple and Verizon that finally led to yesterday's announcement that the carrier will begin carrying the iPhone next month after three and half years of AT&T exclusivity in the United States. Among the interesting tidbits of information revealed in an interview with Verizon President Lowell McAdam:

- The Verizon cell towers on Apple's campus disclosed by Steve Jobs last July were in fact installed to enable testing of the CDMA iPhone on Verizon's network.

The companies erected Verizon cellular towers at Apple's Cupertino, California, headquarters to check the phone's signal and avoid the reliability troubles of the iPhone at AT&T.

- Engineers from Apple and Verizon worked very closely together throughout product development, with a top Verizon engineer spending more than a year working directly on Apple's campus and Apple engineers being provided with "their own laboratory to play with" at Verizon.

- Negotiations were primarily handled by McAdam and Apple Chief Operating Officer Tim Cook, with input from Jobs and Verizon CEO Ivan Seidenberg as needed.

"We probably worked six or nine months on the technical side of this and saw we could make this work," he said. "Then we did the commercial side. The commercial deal took us a day.

- Verizon and Apple also had to reach an understanding about the prominence Verizon's branding would have on the device, with the iPhone carrying no external Verizon logo and no preinstalled applications or custom software changes promoting the carrier.

To reach a deal, Apple and Verizon had to reconcile different approaches to branding. Verizon puts its stamp on other manufacturers' devices, including phones from Research In Motion Ltd. and Motorola. By contrast, only Apple's name appears on the iPhone.

"They don't put a lot of logos on their phones," McAdam said in the interview. "So that wasnt a major issue for us."

Former Apple executive Jean-Louis Gassee notes that Verizon was likely easily persuaded to go along with Apple's demands in the branding department after seeing the success of the device on other carriers under similar terms.

Related Forum: iPhone

Popular Stories

apple store down feature

Here's Why the Apple Store is Going Down

Thursday November 27, 2025 1:01 pm PST by
Apple's online store is going down for a few hours on a rolling country-by-country basis right now, but do not get your hopes up for new products. Apple takes its online store down for a few hours ahead of Black Friday every year to tease/prepare for its annual gift card offer with the purchase of select products. The store already went down and came back online in Australia and New Zealand, ...
iPhone Pocket Short

iPhone Pocket is Now Completely Sold Out Worldwide

Tuesday November 25, 2025 7:16 am PST by
Apple recently teamed up with Japanese fashion brand ISSEY MIYAKE to create the iPhone Pocket, a limited-edition knitted accessory designed to carry an iPhone. However, it is now completely sold out in all countries where it was released. iPhone Pocket became available to order on Apple's online store starting Friday, November 14, in the United States, France, China, Italy, Japan, Singapore, ...
New Intel Logo

Apple and Intel Rumored to Partner on Mac Chips Again in a New Way

Friday November 28, 2025 7:33 am PST by
While all Macs are now powered by Apple's custom-designed chips, a new rumor claims that Apple may rekindle its partnership with Intel, albeit in a new and limited way. Apple supply chain analyst Ming-Chi Kuo today said Intel is expected to begin shipping Apple's lowest-end M-series chip as early as mid-2027. Kuo said Apple plans to utilize Intel's 18A process, which is the "earliest...
streaming black friday 2025

Best Black Friday Streaming Deals - Save Big on Apple TV, Disney+, Hulu, and More

Thursday November 27, 2025 1:14 pm PST by
We've been focusing on deals on physical products over the past few weeks, but Black Friday is also a great time of year to purchase a streaming membership. Some of the biggest services have great discounts for new and select returning members this week, including Apple TV, Disney+, Hulu, Paramount+, Peacock, and more. Note: MacRumors is an affiliate partner with some of these vendors. When...
iphone air camera

iPhone Air Flop Sparks Industry Retreat From Ultra-Thin Phones

Thursday November 27, 2025 3:14 am PST by
Apple's disappointing iPhone Air sales are causing major Chinese mobile vendors to scrap or freeze their own ultra-thin phone projects, according to reports coming out of Asia. Since the ‌iPhone Air‌ launched in September, there have been reports of poor sales and manufacturing cuts, while Apple's supply chain has scaled back shipments and production. Apple supplier Foxconn has...
iphone black friday gold

The Best Black Friday iPhone Deals Still Available

Friday November 28, 2025 6:24 am PST by
Cellular carriers have always offered big savings on the newest iPhone models during the holidays, and Black Friday 2025 sales have kicked off at AT&T, Verizon, T-Mobile, and more. Right now we're tracking notable offers on the iPhone 17, iPhone 17 Pro, iPhone 17 Pro Max, and iPhone Air. For even more savings, keep an eye on older models during the holiday shopping season. Note: MacRumors is...
Apple Foldable Thumb

Foldable iPhone to Debut These Three Breakthrough Features

Tuesday November 25, 2025 7:09 am PST by
Apple's first foldable iPhone is expected to launch alongside the iPhone 18 Pro models in fall 2026, and it's shaping up to include three standout features that could set it apart from the competition. The book-style foldable will reportedly feature an industry-first 24-megapixel under-display camera built into the inner display, according to a recent JP Morgan equity research report. That...