AT&T Activates 3.2 Million iPhones in Q2 as New Customer Draw Slows

[thetexan]

...and Verizon refused the 1st iPhone offer from Apple....business blunder of the decade.

That statement shows you know nothing of running a business.

There is a such thing as too much growth too quick, as AT&T full well experienced. Their reputation is tarnished, and it'll take years for it to be repaired.

Verizon, on the other hand, has had positive customer and revenue growth every single quarter since the iPhone was released. More importantly, they're on the other end with a reputation for being a solid company.

The iPhone may have actually cost AT&T more than it'll make for AT&T in the long run.

 

[Unspeaked]

Pretty safe bet that most people who want an iPhone have one by now. They're reaching the saturation point of the users who get decent AT&T network coverage. They probably won't see an increase until they have broader, more reliable coverage.

Are you implying that almost anyone who lives in an area with good AT&T reception will have bought an iPhone by now?

I'm sure there are loads of people who live in spots with gleaming AT&T coverage that prefer another carrier, or even who've signed up with AT&T and would rather have a phone other than Apple's...

 

[stevensocal]

Please Please Please Give to Verizon and TMobile

Att customer here. I can't wait for another carrier to get iphone. I am confident that when they get it , they will have the same issues and perhaps more than AT&T has now.. So come on new carriers (Verizon, TMobile etc) bring it on. Jump ship and follow the iphone. You might be surprised how it works on the others network.... Then we can stop hearing all the whining and complaining about AT&T and see the true colors that it's not just a network issue , it's the phone as well Get a clue America and get over it ...

 

[Unspeaked]

That statement shows you know nothing of running a business.

There is a such thing as too much growth too quick, as AT&T full well experienced. Their reputation is tarnished, and it'll take years for it to be repaired.

Verizon, on the other hand, has had positive customer and revenue growth every single quarter since the iPhone was released. More importantly, they're on the other end with a reputation for being a solid company.

The iPhone may have actually cost AT&T more than it'll make for AT&T in the long run.

 

[thetaylor13]

Really? Everything he said is completely wrong? Pls reread his post....

Here, let me add a sentence to my original post so it matches better for you.

Not at all, everything you've said is completely wrong. I personally think AT&Ts demise is coming, if not at least a breaking point. If I had my iPhone in Columbus, OH this whole time I would love AT&T. But as I lived in San Francisco the last 3 years AT&T was **** and a half. Couldn't do anything ever, unless I was outside. In my living room there was a designated corner I used to make calls because the rest of the house ate my reception away.

There's valid complaints for AT&T, especially when my roommates used Verizon and never had the problems I had. And I can definitely validate the 30-40% drop calls when living in SF.

Now a days I'm in Ohio and everything is perfectly fine, I can't remember the last time I had a drop call since moving here. That doesn't make their network great, it makes me (and you) lucky.

Makes sense to me.... obviously you can't see the demise of a company if your standing on top of everyone else who's having the problems.

So no AT&T, don't keep laughing at us, its not nice. And no, your service is not top notch in any way, just some people can't see that.

 

[lkrupp]

Cold, hard numbers won't silence the critics. I always keep in mind what Liberace said on the Tonight Show many years ago. Johhny Carson asked him if the constant panning by the critics had affected him emotionally in any way. Liberace was the butt of jokes about his wardrobe, his piano playing, his Las Vegas act, etc. It was never ending. Liberace's response to Carson's question was one for the ages. He said that, yes, he was deeply affected by the critics, so much so that he cried all the way to the bank.

Apple and at&t are crying all the way to the bank. The "at&t sucks!" crowd are a laughable lot these days. Their obsession is wearing thin on people and their constant ranting makes them look foolish. Same goes for the "Apple sucks/Android rules!" crowd. If the numbers actually supported any of their claims it would be one thing but they are so far out of touch with reality it's kinda scary that people like this think the way they do. And they are always ranitng about Steve Job's RDF and Apple's stupid customer base.

We are all crying tears of laughter these days at their buffonery.

 

[ten-oak-druid]

Why does discussion of a second carrier always become an argument about which carrier is better? I see people commenting that ATT is crap and ATT customers saying they hope other carriers get the iphone and have the same issues.

The point is that having only one carrier is crap. It doesn't matter which carrier it is. You should be able to purchase a phone and pick your carrier. I'm sure that if there was an actual choice, the competing providers would do their best to attract customers and that benefits the consumer.

 

[giosaccone]

Now fix the network

with what we pay......!!!!

 

[kdarling]

...and Verizon refused the 1st iPhone offer from Apple....business blunder of the decade.

Yet it is nothing in comparison to the blunder Apple made by signing a longterm exclusive with AT&T.

Verizon is even in a much better bargaining position.

Not only did Apple (according to Wired) want to go back to Verizon within months of being out on AT&T, but the exclusive has allowed other phone makers (e.g. HTC) and OS's plenty of breathing space.

Android is now selling at well over a million units a week, and Froyo with Flash will soon be all over the place.

 

[duaneu]

Pretty safe bet that most people who want an iPhone have one by now. They're reaching the saturation point of the users who get decent AT&T network coverage. They probably won't see an increase until they have broader, more reliable coverage.

Most cell phone subscribers are still using non-smart phones. Many of them expected to upgrade to smart phones over the next year or two, and no doubt a significant number of those will be iPhones. I just made the jump myself - iPhone 4 is my first smart phone.

 

[schwell]

Not at all, everything you've said is completely wrong. If I had my iPhone in Columbus, OH this whole time I would love AT&T. But as I lived in San Francisco the last 3 years AT&T was **** and a half. Couldn't do anything ever, unless I was outside. In my living room there was a designated corner I used to make calls because the rest of the house ate my reception away.

There's valid complaints for AT&T, especially when my roommates used Verizon and never had the problems I had. And I can definitely validate the 30-40% drop calls when living in SF.

Now a days I'm in Ohio and everything is perfectly fine, I can't remember the last time I had a drop call since moving here. That doesn't make their network great, it makes me (and you) lucky.

That is because Ohio actually has a reasonable process to allow carriers to put up additional cell towers. In SF it takes years and years of fighting BS.

 

[TheClarkster]

Yet it is nothing in comparison to the blunder Apple made by signing a longterm exclusive with AT&T.

Verizon is even in a much better bargaining position.

Not only did Apple (according to Wired) want to go back to Verizon within months of being out on AT&T, but the exclusive has allowed other phone makers (e.g. HTC) and OS's plenty of breathing space.

Android is now selling at well over a million units a week, and Froyo with Flash will soon be all over the place.

Yeah, I think Apple waited too long to go to other carriers. In the same time they sold 3.2 million iPhones, there were 14.5 million Android phones sold.

 

[Popeye206]

Android is now selling at well over a million units a week, and Froyo with Flash will soon be all over the place.

Really? Do you have a link to back this up?

BTW... AT&T has treated me fine. I travel a ton and have had very little problem. I've also had Verizon... they are not perfect either.

 

[steph280]

All you Verizon worshipers, have you ever considered IF iPhone start to flood their network, they would also come to a crawl? Who do you blame then? Apple?

Can you hear me now? no.

 

[WiiDSmoker]

All you Verizon worshipers, have you ever considered IF iPhone start to flood their network, they would also come to a crawl? Who do you blame then? Apple?

Can you hear me now? no.

I think their point is, is that, instead of one carrier being flooded, having two would atleast spread out the traffic. Stop being snoody.

 

[Mistrblank]

I wonder if this was another reason for ATT to allow early upgrade? And meanwhile, when the 3GS dies, there's one more addict for apple to feed. Does anyone know the average lifespan of an iPhone? My family has had 8 and so far the longest we've gone with one is 15 months. (apple has always provided a nice refurb - except for the ocean kayak incident)

Average lifespan of an iPhone is 3 years. That's one year past contract and the time period it takes Apple to make your phone completely obsolete for any new operating system update.

As for the early upgrade option, it's pretty clear AT&T fears that another carrier will enter the picture in the second half of 2010 (maybe sometime early next year though as well). AT&T likely analyzed their userbase and found that 6 months knocked off of contract is more than justifiable over the extra two years (or early termination) they get from a consumer by locking them in now.

 

[jzuena]

Lowest churn in the industry, no one is leaving AT&T. I think what we have here are a few vocal bloggers who are unhappy (or who have a hidden agenda)..

Of course they have an agenda... to get the iPhone on Verizon

What the analysis fails to examine, when considering that only 27% of the customers are "new", is that many of those 73% "old" customers, such as myself, had fallen off contract and were no longer bound to AT&T. I chose to re-up for another 2 years, rather than seek a different carrier. So I am just as good as a new customer to them -- bound to a 2 year contract.

Same with me. I was off contract for over three years before getting the iPhone 4.

 

[johnntd]

Agree with you 100%

Have been with AT&T since the iPhone came out. It the best network there is. I used to have Verizon and I don't think Verizon is anywhere as good as AT&T. So happy I switched.

JD

You people have been forecasting AT&T's demise for years yet they're still around and going strong. Jroadley you have no clue, some things are better left unsaid
I wish iPhone would go to other carriers in the states so people would stop whining about AT&T and could start whining about their new carrier. (because that's what these people do) I've never understood why people stay with a provider that isn't providing the service they expect. Pretty stupid if you ask me.

My AT&T service is top notch and I couldn't be happier. Keep up the good work AT&T and keep laughing at those that continue to predict your downfall.

Agree 100% Vrz had their chance and pissed it away. Would be funny if apple went with t-mo over vrz for new iPhone carrier.

 

[csouv]

Not so fast...

Yet it is nothing in comparison to the blunder Apple made by signing a longterm exclusive with AT&T.

Verizon is even in a much better bargaining position.

Not only did Apple (according to Wired) want to go back to Verizon within months of being out on AT&T, but the exclusive has allowed other phone makers (e.g. HTC) and OS's plenty of breathing space.

Android is now selling at well over a million units a week, and Froyo with Flash will soon be all over the place.

What you forgot to mention is that Apple's studies found that VZ's network would be no better than AT&Ts' and that was one of the reason they decided to stick w/ AT&T along with the added costs of manufacturing a CDMA version of the Iphone. Until another US carrier get the Iphone, it's easy to say AT&T's network sucks. No other carrier has had a device like this that while being phenomenal, wrecks havoc on one's network. As it stands, the Iphone would not even be an Iphone on a CDMA network. One other thing, We can't keep comparing all Android devices to Iphones. A fairer comparison would be to compare Android devices to devices using iOS4 which would be Iphones, Ipads, and wifi Ipods etc. If we compared the Iphone to any other individual Android phone, there is no real comparison in the number of units sold. Just my 2 cents and a half.

 

[beebler]

I'd consider Japan a major market as well. The iPhone is exclusive to Softbank.

 

[thetexan]

What you forgot to mention is that Apple's studies found that VZ's network would be no better than AT&Ts' and that was one of the reason they decided to stick w/ AT&T along with the added costs of manufacturing a CDMA version of the Iphone. Until another US carrier get the Iphone, it's easy to say AT&T's network sucks. No other carrier has had a device like this that while being phenomenal, wrecks havoc on one's network. As it stands, the Iphone would not even be an Iphone on a CDMA network. One other thing, We can't keep comparing all Android devices to Iphones. A fairer comparison would be to compare Android devices to devices using iOS4 which would be Iphones, Ipads, and wifi Ipods etc. If we compared the Iphone to any other individual Android phone, there is no real comparison in the number of units sold. Just my 2 cents and a half.

Verizon's network already handles a significant more amount of data than AT&T's network. In fact, Sprint's network handles more data than AT&T. While AT&T has the iPhone, both Sprint and Verizon have sold way more data cards and Mifi devices which put the iPhone to shame when it comes to using data.

 

[BBCWatcher]

one more major market is also locked to one carrier only: japan, on softbank.

And China, on China Unicom.

 

[aneftp]

Yeah, I think Apple waited too long to go to other carriers. In the same time they sold 3.2 million iPhones, there were 14.5 million Android phones sold.

Wrong: That's 3.2 million iPhones on one carrier in one country.

14.5 Million Android phones on multiple carriers in multiple countries.

Again, iphone OS/iOs vs. Android OS is a fair comparison. That means you need to include all ipod touches/ipad and iPhones sold world wide vs. Android worldwide.

Apple is still the leader.

Do I think Android will eventually overtake iOs? Yes. Android will eventually overtake Apple's iOS simply by the fact that there are more carriers and options available.

 

[smithrh]

Yet it is nothing in comparison to the blunder Apple made by signing a longterm exclusive with AT&T.

Yes, this has hurt Apple severely...

 

[a.gomez]

Really? Do you have a link to back this up?

BTW... AT&T has treated me fine. I travel a ton and have had very little problem. I've also had Verizon... they are not perfect either.

during Google second quarter earnings they noted about 160k activations a day so that would be 1.12 mill a week - think that is what the post is based on.