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

[Avatar74]

This is a good indication that the market for iPhones is reaching maturity/market saturation. In other words, sales are still up, but coming from upgrades and fewer new customers because everyone and their dog has an iPhone now.

What to look for is ways that Apple will continue to transform the mobile space, through devices like iPad which is having much stronger penetration than people anticipated. I think this shows that consumers are ready to start the migration away from desktop computing and take on new interfaces.

A couple years ago, I didn't think people were ready for a touchscreen laptop or desktop, but now they might be... thanks largely to Apple's structured, conservative plan to get them accustomed one hop at a time, instead of by major leaps.

 

[OrangeSVTguy]

Maybe its, " Anything But Android And Tmobile" lol jk

I chuckled on that one....

 

[schwell]

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.

Source?

 

[bergmef]

Source?

I think ABI Research published the report. It was the data cards in the laptops that ran up the totals for verizon and sprint. I think I read that att had the most smartphone traffic, but the data cards for the others were orders of magnitude larger.

From a cell website, I don't want to pay for the ABI Reseach report:

One would think AT&T would be the carrier to look at when you consider the network that's known to transfer the most amount of data across their network; especially with data hungry iPhone owners eating up their fair share. Interestingly enough, AT&T wasn't the actual leader in that category, but both Verizon and Sprint managed to stay on top of the number two wireless carrier all of last year. Most of the blame can be attributed to AT&T's network issues that hindered them from being placed higher on the list for carrying the most data traffic in 2009. According to ABI Research, both Sprint and Verizon topped AT&T – Big Red took the number one spot with Sprint coming in at second; when combined, the two carriers generated 63 percent of the US market's mobile network data traffic. In reality, it's not the myriad of smartphones that cause the most amount of data to be transferred. Instead, Verizon's and Sprint's laptop mobile data connections far exceeded the numbers put up by AT&T – strangely enough, lower data-consuming business customers consisted a good majority of Sprint's and Verizon's laptop connections. Looking at projected trends, Verizon is expected to keep its spot at number one over the course of the next five years while AT&T's traffic will increase steadily and eventually take the runner up position by 2012. T-Mobile unfortunately takes the fourth spot followed by a bunch of other mobile operators – obviously being late to the 3G game can have a drastic affect on these numbers.

 

[thejadedmonkey]

Not reported by MacRumors, but reported elsewhere:

AT&T Also posted something like a 20% increase in profits, for a total of 4 Billion.

 

[alent1234]

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

not really

AT&T never made that much money from the iphone. a lot of the revenues they paid to Apple as subsidies. Verizon probably makes more from Android phones than AT&T does from the iphone

i remember from prior earnings releases they always said that we will earn money later once we get the money from the contracts to pay off the subsidy we just paid Apple

 

[2005CTS]

I think unless Apple breaks free from AT&T - the iPhone will start to plateau in sales as it cateres to its established brand following. Right now - there are so many phones out there that are finally truly comparable to the iPhone in power and features. Also - many people are demanding larger screens and 3G Mobile hotspots and/or tethering.

Android is going to take a big bite out of RIM's business and a bite out of Apple's business. I think Apple and RIM both acted foolishly in thinking their core following wouldn't leave for some Google start up phone.

Times have changed and market leaders are now having to realize that this is a very different environment to work in.

 

[Full of Win]

I think its Amazing that in the US these things are still only officially available on AT&T (Who sound rubbish by the way).

UK have got it spot on... give the user the choice of their favourite network.

While I'm no fan of ATT, at least we got the opportunity to sign up for unlimited data plans. Correct me if I'm wrong, but AFAIK, the UK has always had metered plans for the iPhone, no matter the carrier.

I think unless Apple breaks free from AT&T - the iPhone will start to plateau in sales as it cateres to its established brand following. Right now - there are so many phones out there that are finally truly comparable to the iPhone in power and features. Also - many people are demanding larger screens and 3G Mobile hotspots and/or tethering.

Android is going to take a big bite out of RIM's business and a bite out of Apple's business. I think Apple and RIM both acted foolishly in thinking their core following wouldn't leave for some Google start up phone.

Times have changed and market leaders are now having to realize that this is a very different environment to work in.

Yep, a year ago people had to "settle" for an Android phone. Today, people are "choosing" Android phones. I wonder one of the reason we have not seen a CDMA phone is because Verizon does not want one bad enough to make any concessions other than treating Apple as just another device vender.

 

[Kintheory]

Network doesn't matter. The poorly designed iPhone will drop calls on every network.

 

[Laird Knox]

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.

Really? 14M Android phones sold in three weeks? I'd like to see you back up that claim.

 

[ten-oak-druid]

Network doesn't matter. The poorly designed iPhone will drop calls on every network.

Not really. Only a few. Mostly its a bunch of phones with bars dropping but without calls being affected. It happens with other phones too but those companies won't admit it.

If your iphone drops calls then take it in for replacement.

 

[Laird Knox]

And no, your service is not top notch in any way, just some people can't see that.

Haven't dropped a call in years, 3.5M download speeds. Seems pretty OK to me.

As far as the company goes, it went to crap when they sold off the wireless division to Cingular. I really don't like the company, service plans and general service. On the other hand my wireless performance hasn't been an issue.

 

[thedoctor9]

I think something may be wrong here....

I agree...

 

[-aggie-]

Network doesn't matter. The poorly designed iPhone will drop calls on every network.

You believe too much what the media writes/says is true. Everything on the internet isn’t true either.

 

[OllyW]

While I'm no fan of ATT, at least we got the opportunity to sign up for unlimited data plans. Correct me if I'm wrong, but AFAIK, the UK has always had metered plans for the iPhone, no matter the carrier.

OK, you are wrong.

The iPhone was available with unlimited data on O2 up until the release of the iPhone 4.

https://www.macrumors.com/2010/06/1...ounces-upgrade-offer-t-mobile-and-3-on-board/

 

[lkrupp]

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.

You pulled this right out of your anal cavity, right? You think stating something as fact makes it, in fact,a fact? I'd really like to see you prove your assertion with some statistical links. Until then it's just unadulterated b.s.

 

[Wampahoofus]

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.

All I keep hearing is if VZW gets the iPhone that the network is instantly going to suck. Wrong. With another network, the more the iPhone traffic can spread out. I know a good chunk of AT&T customers will jump ship to VZW, but a lot will probably stay with AT&T (a) because the coverage is decent for them or (b) they don't wanna pay the ungodly termination fee. VZW's network is not the greatest, but at least spreading out the amount of iPhone's on a single network will help.

 

[marcfogel]

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

That appeared to be the case in 2007. Not sure that statement is valid. Verizon is doing pretty well with Android.

 

[wreckshop]

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.

That's all BS reasons given by apple. I bet the real reason is that VZW is not getting the iphone is because they're doing just fine with their droid branded phones, and I'm sure the last thing VZW wants is a good chunk of their subscriber base tied to a device that can get yanked by a turtlenecked CEO who likes to throw hissyfits when he doesnt get his way.

VZW spent a ton of money building up their droids, so it would be very stupid to bring in iphone now because it be competing against its own brand.

 

[Kintheory]

You believe too much what the media writes/says is true. Everything on the internet isn’t true either.

Yeah yeah yeah. I get it. Doesn't change that my iPhone and everyone else's iphone is a terrible phone. Has been true since the very first iPhone. But I get it, if we all pray really hard maybe we can make it true that the issues with the 4 are just a myth created by the media to bring down poor widdle innocent Apple.

 

[egret]

I think unless Apple breaks free from AT&T - the iPhone will start to plateau in sales as it cateres to its established brand following. Right now - there are so many phones out there that are finally truly comparable to the iPhone in power and features. Also - many people are demanding larger screens and 3G Mobile hotspots and/or tethering.

Android is going to take a big bite out of RIM's business and a bite out of Apple's business. I think Apple and RIM both acted foolishly in thinking their core following wouldn't leave for some Google start up phone.

Times have changed and market leaders are now having to realize that this is a very different environment to work in.

And you dont think current andriod users are just waiting for iphone to come to another network in the US? When iPhone goes to multiple carriers android is going to get hurt.

 

[egret]

Network doesn't matter. The poorly designed iPhone will drop calls on every network.

TROLL.

 

[bergmef]

You pulled this right out of your anal cavity, right? You think stating something as fact makes it, in fact,a fact? I'd really like to see you prove your assertion with some statistical links. Until then it's just unadulterated b.s.

And he could say the same to you. If report was bogus, why wouldn't ATT say so? They only quoted the one part ... that they have the most smartphone traffic. Why not come out and say the report was wrong and that they handled the most overall data in the US?

I can't wait till the iphone is available on every carrier. Maybe we can argue about when G5's will FINALLY make it into laptops.

 

[kdarling]

You pulled this right out of your anal cavity, right? You think stating something as fact makes it, in fact,a fact? I'd really like to see you prove your assertion with some statistical links. Until then it's just unadulterated b.s.

Being rude does not constitute a worthwhile counter argument to his assertion.

Neither does being too lazy to do any research of your own before speaking up.

The worst type of forum poster is one who contributes no information at all, whether right or wrong, but just makes snide comments.

Here's the source he was talking about:

... according to a new study by ABI Research, both Sprint and Verizon both actually carried more wireless data traffic in 2009 than AT&T.

Verizon (which the firm predicts will retain the top spot over the next five years due to broader coverage) and Sprint carried 63% of the US market's mobile network data traffic, though third place AT&T did have the most activated data devices in 2009

According to ABI, Verizon Wireless and Sprint each carried over 16 billion more megabytes of mobile network data than AT&T in 2009.

 

[4nNtt]

The numbers are that way cuz AT&T skewed them

The numbers are definitely going to drift toward those upgrading from an earlier iPhone because AT&T is letting you do it up to 6 months early. Not to mention it will mostly be existing users that rush out to buy the latest model. This doesn't really mean anything for AT&T's ability to continue to gain new customers from the iPhone.