iPhone Activations Rise 25% at Verizon, Account for 55% of New Smartphones

Discussion in 'iOS Blog Discussion' started by MacRumors, Apr 18, 2013.

  1. macrumors bot


    Apr 12, 2001

    Verizon today became the first major U.S. carrier to report financial results for the first quarter of 2013, and with Apple's earnings not being released until next week, Verizon's numbers offer the first look at how Apple's quarter might turn out.

    Verizon reported activations of 7.2 million smartphones during the quarter, and TechCrunch notes that on the company's conference call the carrier revealed that 4 million of those were iPhones, which corresponds to 55% of total smartphone activations. Verizon also noted that the iPhone 5 accounted for roughly half of iPhone activations on the carrier, with the iPhone 4S and 4 accounting for the remaining half.

    Verizon's overall iPhone numbers are down from 6.2 million iPhones representing nearly two-thirds of Verizon activations last quarter, but the fourth quarter of 2012 was the launch quarter for the iPhone 5, skewing the company's numbers.

    A more relevant comparison comes from the first quarter of 2012, which saw Verizon activate 3.2 million iPhones for just over half of the carrier's total smartphone activations in a quarter when Apple shipped 35.1 million iPhones worldwide. Those numbers show that iPhone activations on Verizon rose 25% year-over-year and are giving Wall Street analysts optimism that Apple may meet their overall targets for the quarter, which are generally in the 35-37 million range.

    Article Link: iPhone Activations Rise 25% at Verizon, Account for 55% of New Smartphones
  2. macrumors 6502


    Jan 26, 2006
    SLC, Utah
    Is it safe to say that iPhone is winning in the US but losing worldwide?
  3. macrumors 68040

    Mad Mac Maniac

    Oct 4, 2007
    A little bit of here and a little bit of there.
  4. macrumors 68000

    Dec 13, 2010
    Wow only half of new activations are for the 5. Thats a bad sign.
  5. macrumors 6502


    Jun 6, 2012
    This can't possibly be true. It appears to be good news.
  6. BC2009, Apr 18, 2013
    Last edited: Apr 18, 2013

    macrumors 68000


    Jul 1, 2009
    As I have said elsewhere: I thought the analysts told me that Apple ceased ordering components for all their products? They must be making these iPhones with fairy dust.

    UPDATE: Here is a little perspective:

    2011Q3: Verizon sold 5.6M smartphones -- 2M iPhones / 3.6M Android
    2012Q3: Verizon sold 6.8M smartphones -- 3.1M iPhones / 3.7M Android
    Q3 YEAR OVER YEAR CHANGE: iPhone +55% / Android +4%

    2011Q4: Verizon sold 7.7M smartphones -- 4.3M iPhones / 3.4M Android
    2012Q4: Verizon sold 9.8M smartphones -- 6.2M iPhones / 3.6M Android
    Q4 YEAR OVER YEAR CHANGE: iPhone + 44% / Android +6%

    2012Q1: Verizon sold 6.3M smartphones -- 3.2M iPhone / 3.1M Android
    2013Q1: Verizon sold 7.2M snartphones -- 4M iPhones / 2.9M Android / 0.3M Other
    Q1 YEAR OVER YEAR CHANGE: iPhone + 25% / Android -3%
  7. macrumors G3


    Mar 20, 2003
    San Francisco
  8. macrumors 68030


    Sep 6, 2007
  9. macrumors 68000


    Jul 20, 2008
    Let me rub this is my sister's face. She works at Verizon and is a total android fangirl.
  10. macrumors G5


    Nov 14, 2011
    Same as it was last quarter. How does this fit into the narrative that Apple is doomed because they don't have an iPhone with a 4.5-5" screen size? Or is that only doom outside the USA, and the USA doesn't care about large screen phones? Or does price trump screen size? Or maybe people are looking at the iPhone 4 and thinking its a pretty damn good phone for free on contract?
  11. macrumors regular

    Jan 8, 2007
    West Bend, WI
    Maybe the Verizon users going with the iPhone 4S don't want to give up their grandfathered unlimited data. Activating the iPhone 5 requires you activate LTE on your contract, which will then force you into a tiered data plan unless you pay the full, unsubstidized price of the iPhone 5.

    My wife is paying $75/month for the lowest voice plan, 250 texts, and unlimited data. She would be forced to pay at least $85/month for the same voice plan, 250 texts, and 2GB of LTE data with the iPhone 5. We are trying to lower our monthly payments, not increase them. ;)
  12. macrumors newbie

    Jun 7, 2012
    Verizon will force you off unlimited whether you upgrade to a 3G or LTE device. However, it may be that heavy users are holding off upgrading because they don't want to give up unlimited data. The people upgrading now may be less heavy users and therefore OK with a 4 and 4S. The Share Everything plans may be playing a role too, adding a smart phone is only $10 more than a feature phone, so if you are already on a Share Everything plan, getting a free smart phone might be attractive for a low data usage user.
  13. macrumors 68000


    Jun 29, 2007
    Not everyone wants bigger phone?
  14. macrumors 68000


    Jul 23, 2012
    well when one rises the prices the others will follow
  15. macrumors 65816


    Aug 23, 2008
    Somewhere in Florida
    My wife would love an iphone 5 mini (i.e. same size as the 4s)
  16. macrumors 604


    Jan 24, 2008
    Not at all. Same as last quarter. And Cook said the were seeing the same product mix as last year. ASP also remained the same compared to last year.
  17. macrumors 65816


    Oct 22, 2011
    Montreal, Quebec
    Apple is doomed. :rolleyes:


    Oh brother...
  18. macrumors 604


    Nov 26, 2007
    iPhones rose 25% Yr/Yr at Verizon, so if they did the same thing worldwide, that would mean they would rise from last year's 35.1 M to 43.9 M for the same quarter this year, well beyond the 35-37 M the analysts are expecting.
  19. macrumors G5


    Nov 14, 2011
    I know several people who haven't upgraded because they don't want to lose their unlimited data.
  20. macrumors 6502a

    Aug 4, 2007
    Then they should just buy a used phone, or buy the phone at full retail.

    Even at full retail it's cheaper than the garbage share everything plans, at least on a single line.

    1GB is $50 for share everything. The old unlimited plan was $30 a month. If you take the $450 iPhone subsidy and break it down over a 24-month period, that's $18.75 a month.

    $30 + $18.75 is $48.75 per month to keep unlimited, paid out over two years, which is cheaper than the new plans.
  21. macrumors 68020

    Mar 31, 2010
    With the iPhone accounting for 80% of profits for the entire mobile phone industry (both smartphone and dumb phone), it's safe to say the iPhone is winning period.
  22. macrumors 65816


    Jan 5, 2010
    Almost Rock Solid
  23. macrumors newbie

    Apr 18, 2013
  24. macrumors 6502


    Jun 6, 2012
  25. macrumors 6502a

    Dec 19, 2011
    I love how people were so critical of buying the device at retail when it launched to keep unlimited data just 7 months ago, and now that T-Mobile is doing almost the same thing, its "revolutionary". LOL, riiiiiiiight.

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