iPhone 5 rumors: new LTE iPhone could bring AT&T customers to Verizon

Analyst Thomas Seitz of Jeffries & Co. says that the future smartphone will have LTE capabilities.

He speculates that this new feature may prompt users to switch carriers in order to take advantage of it.

“We believe this network advantage could lead to a share shift towards Verizon, primarily at AT&T’s expense,” Seitz says, “which we estimate could see its market share of iPhone sales decline modestly to 45 percent in 3Q12 from 47 percent in 2Q12.”

“Though its customers still have a choice to stay with the traditional plans, those who find it cheaper to move to the shared data plans are going to find that AT&T’s price advantage vis-a-vis Verizon has shrunk,” he added.

Jefferies & Co. projects U.S. iPhone 5 sales to see a 156 % boost in iPhone sales in last year’s third quarter, totaling an estimated 11.3 million iPhones.