Apple and AT&T keep the spoils from the little guy

Quick, what do Apple resellers and AT&T independent dealers have in common? Answer: Neither can sell the hottest product from the company with whom they've pledged their allegiance.

For years, Apple resellers have watched the constant march of Apple-owned stores into their territories. To be honest, there were/are a lot of independents that couldn't match the experience and know-how of the Apple Store. At the same time, there are/were many dealers who've devoted years cultivating a user base, and giving excellent service. Some have survived. Some, like Boston's Tek Serve have watched Apple move in literally next door.

Next, you have AT&T. From day one, the iPhone has only been available from Apple Stores or AT&T-owned stores. This left many AT&T resellers in the dark, and probably with a bad taste in their mouthes. Imagine you're an independent business owners, allied with AT&T. Each day customers ask you about the iPhone. You don't have any to sell, and any positive remarks will result in a sale for someone else. This puts these owners in the awkward position of either painting the product in a negative light, in hopes of remaining in business, or to be honest with the customer regarding the features the iPhone, and risk losing their business.

The line from Apple and AT&T has been that they need to be cautious of unlocked phones being sold. Why one model of phone is the only one to rise to this level of concern by AT&T is questionable. Sure, it's in high demand, but it's still a tiny part of AT&T's overall phone sales. If unlocking was the real concern, why sell any phones through third parties at all?

Today comes word that Best Buy will sell the iPhone starting in September. The phone will be available in all Best Buy locations within AT&T service areas. You'll recall this is the same Best Buy that's on year three of rolling out Apple computers in less than half of their locations so far.

The bottom line is, Apple/AT&T want to control as much of the pipeline as possible, from the iTunes app store as the sole source of applications, to the shutout of resellers and independent dealers, while working with Best Buy, a company with no loyalties to either company: Rest assured that if Verizon had a phone far superior to the iPhone, Best Buy would try for that exclusive as well. Why not make the distribution as wide as possible? Both Apple resellers, and independent AT&T dealers should be able to carry the full product line. Imagine going car shopping, let's say for a Ford Mustang, and having your local dealer tell you that model is only available from a Ford-owned dealership. (which as I understand it, doesn't exist. Hmmm.) Of course given the economics of the car industry right now, it might not serve as the best example. Still, it seems if you can reward loyalty and expand your distribution points, that's the most logical thing to do.