AT&T Talking More iPhone with Apple

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AT&T is in talks with Apple to extend its exclusive iPhone deal until 2011, reported the Wall Street Journal (WSJ).

The present AT&T iPhone deal will expire next year. AT&T added 4.3 million iPhone subscribers in the second half of 2008, about 40 percent of whom were new to the operator.

Chief executive Randall Stephenson told the WSJ that AT&T plans to invest heavily in wireles in to "future proof" the business .

AT&T plans to end restrictions mandating customers subscribe to AT&T's home-phone service to qualify for discounts on TV or broadband Internet services. Being a mobile subscriber should be enough, Stephenson said: "We have 77 million wireless customers and 30 million consumer phone lines. Which customer base would you rather work from? ..."

Since Stephenson came to AT&T two years ago, the firm has invested $18.8 billion to acquire spectrum and smaller wireless operators, and has spent over $1.3 billion on iPhone discounts.

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