AT&T CEO thinks Apple should give up on protecting encryption

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Should Apple cave when it comes to encryption?
Should Apple cave when it comes to encryption?
Photo: Jim Merithew/Cult of Mac

Apple is a fierce defender of its customers’ privacy, which is why every iPhone and iPad has its data encrypted by default. But according to AT&T CEO Randall Stephenson, Apple and CEO Tim Cook should show their bellies and let Congress decide whether encrypted data should be accessible through backdoors by government agencies.

AT&T CEO Wants Everyone To Pay Full Price For Their iPhones

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Smartphones are deceptively affordable. If you buy an iPhone 5s unlocked, it will cost you $649 upfront for a 16GB model, yet if you bundle that same phone with an AT&T contract, it will cost you just $199 upfront. The rest of the balance is subsidized by your carrier upfront, and paid off over the next 24 months in monthly installments.

It’s a decent system that results in massive profits for carriers, but at the cost of an upfront payment to Apple. Go figure, though, AT&T would rather just rake in massive profits without that upfront payment… which is why CEO Randall Stephenson is now saying the are “unsustainable.”