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  1.    #1  

    I agree with tech crunch...I know a great number of people, who will leave AT&T for V, as soon as they get the Iphone....they don't care that V will cost more, they are just fed up with AT&T.

    Most of those that feel that way are in major cities. The be fair, most of them are from NYC, However, since I am originally from NYC, most of my friends are still there...

    The 1st two paragraphs are about the subject at hand, therefore, I have hight lighted them in blue.

    Take care,


    Today's top stories: iPhones, Goldman Sachs probe, Tourre and derivatives rules.
    By Zachary Goldfarb | August 10, 2010; 12:32 PM ET

    Market Cop - Today's top stories: iPhones, Goldman Sachs probe, Tourre and derivatives rules

    The story: AT&T says loss of iPhone exclusivity won't have "material" negative impact on earnings.

    The takeaway: When it comes to financial disclosures, materiality rules. Which is why, with so much speculation that AT&T will lose its exclusive right to distribute the iPhone, AT&T is giving investors a clue into its thinking. But TechCrunch doesn't believe the firm. Writes Evelyn Rusli: "There is that 20% chunk of individual users, who are highly mobile. If Verizon or T-Mobile, or whoever the next iPhone carrier is, attracts a large number of defectors from this slice, guess what AT&T, you have a material impact on earnings."

    The story: Lawyers for Goldman Sachs' Fabrice Tourre, facing civil fraud charges, will receive 9 million pages of investigative documents from the SEC and wants to interview 50 people for trial.

    The takeaway: Barring a settlement, which doesn't seem within reach, this is going to be a long one. Tourre is fighting to clear his name (Goldman is covering his bills) and doesn't want to face the kind of sanction that would kick him out of the securities industry. Goldman settled for $550 million because it has a public stock and knew the damage from a protracted trial would be many times that if it went to court. But Tourre has his future to salvage--and the trial will be a test as to whether the SEC's case was as strong as it said.

    The story: Goldman Sachs is being investigated in the U.S. and abroad for failing to disclose the potential of an SEC suit against it.

    The takeaway: Don't expect much more than a slap on the wrist for this one if regulators decide to bring action against Goldman. The SEC has been very clear that firms do not necessarily have to alert investors they might face an enforcement action if the action is unlikely to have a material impact on the company. And it'll be hard to show that Goldman, which was surprised by the SEC suit, knew the suit come with a $550 million price and billions more in losses in market capitalization.
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  2. #2  
    If I were a betting man (and Im not, just to be honest), I'd say that there would be "some" defection, but not an extraordinary amount. "Material"? Yep. ANY type of signfiicant/consistent decrease in subscribership will eliminate the "growth" that AT&T has experienced with the iPhone.. and "growth" of revenue is what stock prices are increased to represent, versus shrinking of revenue, which will cause a decrease in the stock prices.

    The street looks "forward" at a visible period of time to project revenues and potential profits, and tries to assign a higher stock price based on those numbers. When they see a potential decrease in sales, they have to figure out how much revenue will be lost, and for how long, to project the lower stock price valuations.

    Having said the above, AT&T will likely also have many people staying right where they are with thier iPhones, as well.

    Attention should more likely be paid to the stock price of the carrier (Verizon) who will recieve the iPhone to sell.. that carrier will likely see some increased revenue growth, however, much of it may wind up being same carrier customers switching over from another phone to the iPhone, so they arent new subscribers, hence no revenue "growth" for the carrier.. but, lots of revenue growth for Apple (the one who really benefits from going to a new carrier, now, I believe).

    IMO, of course.
    "The more I learn, the more I realize just how little I really do know!" -Albert Einstein

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