The iPad Bolts to Big Red

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Apple's (Nasdaq: AAPL  ) logo will be on display at Verizon Wireless stores later this month, but don't go in looking for an iPhone 4.

Verizon Wireless -- the pairing of Verizon (NYSE: VZ  ) and Vodafone (NYSE: VOD  ) -- will begin selling three iPad models that offer 3G connectivity through optional "MiFi" gadgets that can connect to Verizon's data network when Wi-Fi access isn't available. Similar to the arrangement with AT&T (NYSE: T  ) , there are no long-term contracts here. Customers who want 3G access simply pay by the month.

AT&T deserves this. It tripped Apple up just weeks after the 3G iPads became available in late April. Apple charges $130 more for the 3G model over the Wi-Fi-only units, but it was originally tied to an unlimited data plan for $30 a month through AT&T.

In June, AT&T decided to stop marketing unlimited data plans to new customers. The only plans available now are $15 for 200 megs and $25 for 2 gigabytes. It may seem like less, but this is a potential roadblock for a device where its two most popular third-party downloads at launch were streaming applications for Netflix (Nasdaq: NFLX  ) and Disney's (NYSE: DIS  ) ABC.

Verizon Wireless isn't coming to the rescue for those who want the confidence and flexibility of unlimited connectivity. Its data plan will set owners back $20 a month, but it's capped at a single gigabyte. It's a pity. Verizon really could have wrestled away the iPad 3G market from AT&T if it had come in with an unlimited plan, but now it will have to bank on its network's heartier reputation to drive buyers.

The larger story, of course, is that Verizon probably wouldn't be offering one Apple product come Oct. 29 if the iPhone wasn't coming sooner rather than later. Why promote Apple's brand and expose Apple's sticky iOS platform to Verizon Wireless loyalists?

The iPad is coming to Verizon -- and the iPhone can't be all that far behind.

Walt Disney is a Motley Fool Inside Value recommendation. Apple, Walt Disney, and Netflix are Motley Fool Stock Advisor picks. The Fool owns shares of Apple. Try any of our Foolish newsletter services free for 30 days. True to its name, The Motley Fool is made up of a motley assortment of writers and analysts, each with a unique perspective; sometimes we agree, sometimes we disagree, but we all believe in the power of learning from each other through our Foolish community.

Longtime Fool contributor Rick Munarriz is starting to see more Apple products creep into his home lately. He does not own shares in any of the companies in this story, except for Disney, Netflix, and Novatel. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (10)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1332552, ~/Articles/ArticleHandler.aspx, 10/21/2016 4:49:00 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/21/2016 4:00 PM
AAPL $116.60 Down -0.46 -0.39%
Apple CAPS Rating: ****
DIS $93.03 Up +1.00 +1.09%
Walt Disney CAPS Rating: *****
NFLX $127.50 Up +4.09 +3.32%
Netflix CAPS Rating: ***
T $37.49 Down -1.16 -3.00%
AT and T CAPS Rating: ****
VZ $48.20 Down -0.94 -1.91%
Verizon Communicat… CAPS Rating: ****