Apple’s iPhone has added a new dimension to an already heated rivalry between Verizon and AT&T for wireless supremacy.

Speaking at the Goldman Sachs Communacopia conference in New York City Wednesday, senior executives from both companies acknowledged the iPhone’s impact on the market.

Ralph de la Vega, AT&T group presidents, regional telecommunications and entertainment, said the iPhone has goosed usage of lucrative data services and Apple’s surprise $200 price cut earlier this month will give the company a boost before the holiday shopping season.

“Since the price cuts took place, we’ve seen signs of an uptick,” he said.

Ivan Seidenberg, chairman and chief executive of Verizon Communications, majority owner of Verizon Wireless, conceded that Apple’s price cut produced a dip in new subscribers just months after the product launch produced a similar dip.

Still, Mr. Seidenberg said the iPhone effect will not last long and could ultimately help sell smart phones overall.

“What our people said is that it will add sizzle to the category, that we might lose business to people who wanted that device,” he said. "[But] we think we’ve taken market share and done pretty well with it.”

Verizon Wireless, a joint venture with Vodafone, had 62.1 million wireless subscribers at the end of the second quarter, trialing No. 1 AT&T which had 63.7 million.

In the second quarter, AT&T tacked on 1.5 million net subscribers, including 146,000 iPhone users, while Verizon added 1.3 million net customers. Apple said it sold its 1 millionth iPhone on Sept. 9.

AT&T and Verizon, both once part “Ma Bell,” the national telephone network, now also are competing with cable companies to offer new television services based on Internet protocols, or IPTV.

By year end, Mr. de la Vega projected that AT&T will be installing its U-verse IPTV service, which now has 100,000 subscribers, in 10,000 homes a week. Installation time has been cut by one hour to 6 ½ hours from the beginning of the year, he said, and further improvements are expected.

He acknowledged that telcos are paying more for TV programming than competitors like cable and satellite operators, but added that as the service grows, costs will fall in line with competitors’. Further, Mr. de la Vega said AT&T is cutting deals with content providers seeking access to both the TV screen and the diminutive screens on wireless devices.

Mr. Seidenberg said that cable companies are pulling out all the stops to halt the advance of Verizon’s FiOS TV and broadband Internet services.

“If you look at the activities of the cable companies, they’re off the wall,” he said. “But that hasn’t frozen the market.”