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Cincinnati Bell: To Begin Offering iPhone 5 Starting August 16th

Updated on Oct 6, 2013 by Emmanuel Banks

The iPhone 5 has found itself, over the past year, joining forces with cellular companies both large and small. The largest being of course Verizon and T-Mobile, with many smaller more regional acquisitions as well. Starting August 16th, one of the more regional partnerships will include that of Cincinnati Bell, a telephone service that also services Indiana and Kentucky.

But why is this significant? The partnership of Apple with such a small cellular company serving a little over a half a million people shows Apple’s willingness to make the iPhone a phone more approachable for all types of users. In the past, AT&T and Apple were partners because AT&T was able to agree to the stringent rules and expectations of the company that was proved to be expensive for a cellular company to uptake. Now, companies like Cincinnati Bell are able to not simply provide an unsubsidized model, but subsidized models as well.

cincinnati_bell_iphone_5

Cincinnati Bell plans to start carrying Apple’s iPhone 5 this month, which will be the first time the company has offered the popular phone. Why the company’s opted against carrying the iPhone until now vividly illustrates its wireless dilemma: Apple can force carriers to buy a certain number of iPhones, and those carriers must eat the cost of any unsold iPhones. Carriers also typically subsidize the cost of the $600 iPhones, which they sell for about $200.

The landlocked local market’s size is a challenge for Cincinnati Bell, which must pay other carriers when local customers roam outside its service area, and limits its options. Cincinnati Bell, which does offer a 4G network, continues to evaluate whether upgrading to LTE network speeds that optimize the newest smartphones’ performance is worth the investment. – The Cincinnati Enquirer

There is a drawback, however. Cincinnati Bell’s subsidization is much smaller than much larger companies. While most subsidizations would allow for a $199 iPhone, no strings attached, Cincinnati Bell is offering theirs for $399, before a $100 mail-in rebate. But, there is some good news. The company is offering the iPhone for $100 cheaper, at $299 before the $100 mail-in rebate.

Disclosure: As an Amazon Associate, I earn from qualifying purchases. The commission help keep the rest of my content free, so thank you!

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