Why Verizon Should Sell the Next iPod touch
July 22nd, 2009 by Mark Spoonauer 
I wasn’t all that surprised during Apple’s earnings call yesterday when it announced it had sold 5.2 million iPhones during the second quarter. After all, the company reached 1 million after a single weekend. The number that stood out for me was 130 percent. As in 130 percent growth for the iPod touch. Verizon Wireless should get in on this action, pronto, by selling the next iPod touch bundled with a MiFi for a sweet two-year contract price.
With the exception of a microphone and camera–features that are rumored to be added this fall–the only real difference separating the iPod touch from the iPhone 3GS is a 3G radio. You get all the same apps. Great gameplay. Cut and paste. You name it. And you can add mobile broadband with a product like the Verizon Wireless MiFi 2200.
So why shouldn’t Verizon sell a bundle that includes the next iPod touch and MiFi this fall, especially given all of the complaints levied against AT&T’s network? Last week TechCrunch’s MG Siegler called AT&T a big, steaming heap of failure. (I get great coverage in the burbs and decent coverage in NYC, but I agree with him that 3G is spotty at best in the Bay area.)
Now, I’m not privy to the particulars of the exclusivity agreement between AT&T and Apple, but I would hazard a guess to say that iPods aren’t part of the equation. And with a mic presumably being added to the mix, you’ll be able to make calls with the next iPod touch via Skype and other VoIP apps without having to have a headset plugged in (though Skype has to be running to receive calls, at least for now). Plus, having a MiFi in tow would let you connect with other devices on the go at the same time, like a netbook.
So what would this mystical bundle cost? The 8GB iPod touch today sells for $229, but that’s not a subsidized device. I think Verizon could still make a hefty profit if it sold the next iPod touch bundled with a MiFi (which today sells for $99 on a two-year contract) for $199. So for the same price as the iPhone 3GS, you would get an iPod that’s nearly as powerful, plus a device that provides connectivity for up to five gadgets.
There are certainly some caveats with this combo–and we have a review posting soon of the current iPod touch + MiFi that elaborates–but I bet a lot of people would be willing to schlep around a second gadget to get an iPhone-like experience on Verizon’s network long before the AT&T exclusivity agreement lifts.
Am I nuts? Tell us what you think.
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4 Responses to “Why Verizon Should Sell the Next iPod touch”
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July 23rd, 2009 at 3:06 pm
I think you’re spot on. This was the exact application I thought of when I first discovered the MiFi2200. I have a 1st Gen. Touch and love it. The only downside is the reliance on WiFi and not always having access to them. I’m holding out for the 3rd Gen. Touch to see if they add a camera and microphone, as well as improve the speakers. If they do all that, it truly will be an awesome device that will allow you to truly take advantage of all the apps in the App Store.
July 23rd, 2009 at 5:49 pm
You kidding? I already have that combination! Ok, no microphone, etc, but it’s a terrific set up! Love the MiFi and iPod combination.
July 23rd, 2009 at 9:45 pm
Funny, this potential marriage of gadgets is exactly what drove me to investigate the Verizon Wireless site last night. I’ve decided that I’ll take the plunge after Apple releases the nextgen Touch. MiFi is a much more flexible approach than a 3G USB dongle or a netbook with a 3G card embedded. The new iPod Touch, MiFi and an iPhone/Touch Google Voice client could be an extremely compelling combination that sways some people to Verizon from AT&T. In concept, the combination has already won me over.
August 3rd, 2009 at 10:16 pm
I’ve been using the iPod Touch with the Verizon MiFi for two months now and find it absolutely terrific. I’m able to accept the inconvenience of having to hook up a mic to the Touch and of not being able to receive incoming calls. This isn’t acceptable for heavy users of mobile phones, understandably. If Apple does what the rumors proclaim, installs a speaker, I can guarantee that it will take off as a phone of choice for many people who aren’t happy with AT&T coverage or with excessive phone and data charges. The MiFi at $60 a month isn’t cheap but it does cost less than most cellphone plans and isn’t limited to one user or one device.