Verizon Wireless iPhone

According to a report by TechnoBuffalo Apple and Verizon were very careful to make sure that the iPhone 4 launch stayed under wraps until the announcement. A source close to the process claims the device was codenamed Acme and employees were privy to information only on a need-to-know basis. Some were testing Verizon connectivity at Apple stores up to six months in advance of the February release.

Some Verizon employees received iPhone 4 units two weeks prior to the official launch. This privilege required the signing of a four-page non-disclosure agreement (NDA) from Apple before they could get their hands on the device. The CDMA iPhone 4 itself had unique security features to ensure that a device wouldn't go missing as happened in 2010 with a prototype GSM iPhone 4.

Despite the rampant rumors surrounding the next generation iPhone, thanks to Verizon Wireless at least two points of speculation have been cleared up. Thanks to an interview of the Chief Financial Officer Fran Shammo by Reuters, hardware and data plan details for the iPhone 5 have been divulged. First the hardware: it's widely known that the Verizon iPhone 4 already has a hybrid wireless modem installed, making it possible to connect to GSM or CDMA networks.

Currently the chip is locked into CDMA mode for the Verizon network and can't be used on GSM networks in the US or overseas. In contrast, the AT&T model iPhone 4 has only a GSM modem. Shammo explained that Apple's next hardware release would take place on both carriers simultaneously, indicating that the hybrid chip would be installed and activated for use on both network technologies.

Well it was nice while it lasted. Just like AT&T dropped unlimited data plans in June 2010 for its iPhone customers, Verizon will cap data in the coming months. The switch to tiered data plan offerings is expected to happen this summer, in advance of the iPhone 5 launch.

Verizon CFO Fran Shammo announced the plan to move ahead with tiered data plans on the iPhone during an investor conference. Shammo also explained that consumers might not be thrilled when they're stuck with an iPhone 4 contract after the next generation device is launched by Apple.

According to the Wall Street Journal, short lines and quiet Verizon Wireless retail stores are misleading when it comes to iPhone 4 sales. Verizon CEO Daniel Mead responded to allegations that the iPhone 4 launch was a flop, explaining that it has outsold any other device release in Verizon Wireless history.

Staggering the pre-order dates, a strong online sales focus, and wide availability at third party retailers such as Best Buy helped contribute to the small lines. Official sales numbers have not been released, but analysts put the figure of CDMA iPhone 4 units sold in the first pre-order round at half a million. Verizon's next quarterly report will include updates on actual sales quantities.