The introduction of the iPhone, which hits stores on Feb. 10, also comes as the carrier introduced a new policy that gives it the right to potentially slow down the connection of its heaviest bandwidth users, a process known as throttling.
Throttling isn't new--others employ the same network management techniques-- and is one of several ways the carriers are dealing with the dilemma of offering unlimited data while managing the costs associated with carrying that traffic on their networks. Verizon is offering the iPhone with a $30 unlimited data plan
While the preorders may only represent a small subset of enthusiastic customers, the early online interest offers a small peak at the pent-up demand brewing for the Verizon iPhone. While the highly anticipated device is expected to convince existing Verizon subscribers to upgrade their phones and data plan, as well as attract new people, it also will likely bring a dramatic increase in traffic.
To combat potential traffic jams that might arise down the line, Verizon said it is reserving the right to throttle the customers who fall in the top 5% of bandwidth use. The throttling isn't mandatory, and will only be used in areas where the user is affecting the surrounding customers. The policy only affects new customers and subscribers who sign new contracts.
Verizon Wireless spokesman Jeffrey Nelson said the introduction of the policy wasn't related to the coming debut of the iPhone.
"This is clearly something we've been looking at for some time and introducing now," he said. "There's nothing magic about the timing."
T-Mobile USA, a unit of Deutsche Telekom AG (DTE.XE, DTEGY), is the other U.S. carrier that has opened the door to throttling. AT&T Inc. (T) doesn't throttle, but it has instituted bandwidth caps to new customers.
Verizon and Apple saw a spike in traffic to their websites during the first hour that the iPhone was available for preorders, but Verizon Wireless spokeswoman Brenda Raney said the process has "been going smoothly."
Raney admitted some customers had gotten error messages but that the carrier was dealing with many of those customers directly. In anticipation of the iPhone launch, Verizon shored up its online ordering system and streamlined the in- store sales process, she said.
There were early complaints that Verizon and Apple were affected by the heavy traffic, but Raney said the order system never went down.
Raney declined to provide iPhone sales estimates but said there were still phones available. For the latest updates PRESS CTR + D or visit Stock Market news Today
No comments:
Post a Comment