It's only a matter of time until Verizon has an iPhone or a very close facsimile. It makes more sense to me that Verizon's discussions with Apple are for an iPhone to jump start Verizon's new LTE 4G network which will begin rolling out on the new UHF frequencies acquired in the FCC auction last year.
The LTE technology will also be used by AT&T in its new 4G network. Apple stands to win by allowing both Verizon and AT&T to sell an LTE iPhone.
In either event, iPhone on CDMA or LTE, I'll be a customer.
"...In a recently quarterly conference call with investors, Tim Cook, Apple’s chief operating officer, cast some doubt on the prospect of an imminent deal with Verizon. He said that Apple was wary of building a phone for a network using C.D.M.A. technology — which Verizon’s current network uses — because, Mr. Cook said, the C.D.M.A. infrastructure may have a short life span.
Verizon, however, is moving to a new network in 2010 that would not rely on C.D.M.A technology. Verizon has said previously that even as it deploys its new network, it plans to retain its C.D.M.A. network for a time to transmit voice communications.
The person who had been briefed on discussions between Verizon and Apple said that it was not out of the question that Apple could build an iPhone for the current network..."