Money Matters - Simplified

AT&T hints at network issues in New York

New York -- AT&T's decision to stop selling iPhones to customers in the New York City area online may be a way to concede its network isn't up to snuff, a reviewer said.

The Federal Communications Commission and customers have complained that the AT&T network cannot keep up with the heavy data demand of iPhone users, PC World reported Monday.

And, while it's possible the phone, not the network, is where the technical problems lie, AT&T explained it had stopped online sales of the iPhone in New York because, "we periodically modify our promotion and distribution channels."

But "cutting off sales of the iPhone in NY alienates a huge pool of consumers and tacitly admits that the critics are right -- the AT&T network can't handle the iPhone. At least, not in New York," PC World reporter Tony Bradley wrote.

MacWorld reported Monday that a customer service representative said, "the phone is not offered … because New York is not ready for the iPhone. You don't have enough towers to handle the phone."

The iPhone is available at retail outlets in New York, but not through AT&T's Internet store, PC World said.

Copyright 2009 by United Press International.

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