iPhone Buyer Statistics, O2 Confirmed for UK?

[ajhill]

Average people posing as Early Adopters

The people around me in line on June 29th were definitely not Mac people, and not early adopters. The guy in front of me was buying 5! Not to resell, but one for him, one for his wife, and three for his kids! Lucky kids! He was using his old cell phone to coordinate with his wife to buy the phones (she had deployed to another Apple store in another part of the city). Dad bought two and his daughter bought one, with daddy's money of course.

The point being, that in my 1hour 15min wait in line we chatted. I can report that he wasn't a Mac fanatic. He wasn't even an iTunes user. He was asking me how the phone would work and what he had to do to activate it! Does this sound like an early adoptor?

People I show it to just love it. The screen is amazing. Perfectly readable even in bright sunlight, which just blew me away when I saw it outside for the first time. As a matter of fact I occasionally find myself having to turn down the screen brightness because its too bright.

No, Apple has a universal winner with the iPhone. Keyboard is not an issue. Edge is slow, but it's also cheap (which I like). I have been averaging a verified 180Kbps lately, which isn't bad.

Overall the design, elegance and ease of use is what is selling iPhones. That and about a million demos from those "early adopter"

Way to change the world (again) Apple, thanks!

 

[defeated]

Apple still faces challenges. The high cost of the two iPhone models — $499 and $599 — ranks as the No. 1 reason consumers interested in the device did not buy one, the survey says. Those consumers said they would pay an average of, at most, $180.

do they have a number of people who "wanted to, but eventually didn't buy one because of price"?

 

[fingers]

I will be very disapointed if 02 get the iPhone gig. My wife got an 02 phone a while back and it was cheaper calling the moon than giving the missus a call.
Maybe their rates have changed, but I will have trouble convincing my work to switch to 02. I have a feeling though, like the iPod, the carriers will be doing back flips.

One question I haven't been able to answer yet:
Is it possible to use Wi-Fi to make and revieve telephone calls using an iPhone?

 

[rob@robburns.co]

Can't see Steve agreeing to go with O2 if they won't change them. That's going to put people off and reduce sales and that's not what Apple want. I guess they might not come down as much as people might like but I expect they'll have to do something.

I imagine that a decently priced unlimited data plan is a big requirement for Apple in terms of negotiating with any provider. It might shake up parts of Europe, but I think that's what Apple would push for.

 

[Avatar74]

Verizon has totally screwed themselves over this. If apple has sold 1million iPhones, which Im sure they have by now, that means roughly 250,000 have left Verizon assuming that 25% of the users have switched to AT&T for the iPhone from Verizon. I can only see the number of people eventually switching from Verizon to reach half a million if not eventually reaching the 1 million mark sometime mid to late next year. If I remember correctly, didnt Verizon end up edging AT&T for most number of users in America? Well I guess they went ahead and screwed that up....

Do you realize how many people would have went to Verizon from AT&T to get the iPhone? FAAAAR more than went from Verizon to AT&T thats for sure....

However as a colleague of mine points out, Verizon has 60 million customers and gains nearly a million customers quarter over quarter... So the picture isn't grim for them just yet. It depends on how quickly their churn rate grows if the iPhone phenomena mushrooms like the iPod did.

But they definitely are keeping a very close eye on iPhone... I guarantee you that.

 

[AmbitiousLemon]

One question I haven't been able to answer yet:
Is it possible to use Wi-Fi to make and revieve telephone calls using an iPhone?

Reports of a complicated work around to use Skype are coming out.

 

[jrk07]

I am really bummed still that Verizon didn't pick up the iPhone. From my experience, the majority of the people I know who use ATT/Cingular have very bad service (dropped calls, conversation goes in and out), while I have Verizon and have honestly had nothing but success and great reception during calls anywhere I would expect service.

I don't have any experience using EVDO or EDGE so I can't comment on the difference in speed there, but from what I've researched it seems like the iPhone would have benefited from EVDO over EDGE (even with the increased speeds).

I went to the Apple Store the other day and played a bit with the iPhone and it really blew me away with just how nice the interface is. The keyboard was fine, it actually didn't look as smudged up as I thought it would, and it was smaller than I thought it was. I really want this phone.....but I refuse to get service with ATT/Cingular because of my experiences.

No matter how nice the device is, at the end of the day it is still a phone that needs to be ready to receive and make calls when I need it to, and I have no confidence in ATT/Cingular to deliver.

 

[borisnatasha]

Early Termination Fees?

It's good to see data like this. Only strengthens my resolve to get an iPhone when my current contract expires. I'd love to get one now, but throwing away $200 in early termination fees just doesn't make much sense to me ...

i guess it really depends on which carrier you are with now. If you're with Sprint, they will "waive" the early termination fees if you complain alot. So, start calling up customer service right away.

http://www.gadgetell.com/2007/07/sp...ervice-if-you-call-customer-service-to-often/

 

[Signal Man]

vodafone

I called my service provider (Vodaphone) to cancel my contract with them , it seems I am not the only one. They tried to put me off the iphone by saying ipods were crap & that I would miss out on an upgrade . Who cares when u want an I phone .

 

[cliffjumper68]

Great news. And I would think that early adopters would be as critical as anyone.

As for AT&T, I occasionally think about how the folks there take it as they keep hearing that the number 1 problem with the iPhone is... AT&T. I suppose the fact that 51% of iPhone users are new AT&T customers helps them get through the pain.

I do wish that the iphone was available on a better (faster) carrier, but some is better than none. Perhaps Europe or Canada have a chance at a better carrier. For now I will keep hopping from one wi-fi network to the next to get good data services.

 

[BKF]

Quote: "Apple still faces challenges. The high cost of the two iPhone models — $499 and $599 — ranks as the No. 1 reason consumers interested in the device did not buy one, the survey says. Those consumers said they would pay an average of, at most, $180."

Challenges, ha!

Apple is getting $500 and $600 now from people who are able and willing to pay it. When Apple is good and ready (or when, eventually, the competition obliges them), then they'll lower the price and reach the next level, and so on, and so on. A la iPod.

 

[ortuno2k]

I suspected that a high percent of iPhone buyers were switching to AT&T from another carriers, and another large amount paid an early termination fee.
This is what I will be doing when the 2nd generation comes out - I'll cancel my contract with T-Mobile (1.5 years to go), pay cancellation fee and roll on with an iPhone!
Can't wait.

 

[lazyrighteye]

I switched from a Treo 700p with EVDO. And the browsing speed is probably comparable on the iPhone due to the better/faster page rendering. On the treo I would not try to browse full sites due to the time it took to render and use.

Beyond that, the browsing expereience is obviously much better on the iphone.

arn

Agreed.
Is that a byproduct of tight Safari code?

Thanks.

 

[chromos]

Those 51% are exactly why AT&T wanted the deal, _and_ they are the reason why it is an exclusive deal. AT&T doesn't care what phone you use. They care slightly that switching an AT&T customer to an iPhone will also switch them to a more expensive data plan. What they really, really care about are 600,000 or so customers already leaving Verizon and others and joining AT&T; that is where the money is. At 60 dollars per month and an estimated 600,000 switchers today, that is $864 million over two years, and more to come!

I slightly disagree: I think that AT&T does care what phone you are using, as long as that phone is from Apple. What AT&T needs right now is to regenerate its brand (after ditching Cingular), while going up against the Verizon juggernaut. How better to achieve that than to align itself with a company that embodies cool and hip, innovation, and attention to the consumers' needs?

[Edit] There have been rumors of revenue sharing of the monthly fees with Apple, so it might be that AT&T is losing a small amount for each new customer, compared to if the customer were using a non-Apple handset (after taking into consideration the lack of having to subsidize handsets in the iPhone case). However, as you point out, it's a new customer/revenue, swiped from a competitor. And, AT&T is riding Apple's mindshare coattails, so perhaps they thought it all financially worthwhile.

 

[Random Ping]

Is it possible to use Wi-Fi to make and revieve telephone calls using an iPhone?

Not yet; although, I would not be surprised to see a future software update that enables this. Clearly, integrating phones into WiFi service is the direction most advanced phones are taking. This would also be a very nice feature for those at our homes who have WiFi but have lousy cellphone reception.

 

[JoJoCal19]

However as a colleague of mine points out, Verizon has 60 million customers and gains nearly a million customers quarter over quarter... So the picture isn't grim for them just yet. It depends on how quickly their churn rate grows if the iPhone phenomena mushrooms like the iPod did.

But they definitely are keeping a very close eye on iPhone... I guarantee you that.

Thats true, its not hurting them YET.... but from what I can tell so far, word of mouth advertising is working wonders. Everytime I show people the iPhone they start seriously considering it and go to look into it further. Its like a snowball effect really. The momentum will stay strong and more and more people will switch.. and when you think the momentum is slowing Im sure Apple will pull an Ace out from their sleeve and release/do something to bring the momentum back.

But at the end of this year/early next year I plan on getting a Verizon phone and using their prepay. They changed it to where any phone can be pre pay and I will need a second phone that wont have coverage issues so I will definitely be getting a phone with them again.

 

[lazyrighteye]

I slightly disagree: I think that AT&T does care what phone you are using, as long as that phone is from Apple. What AT&T needs right now is to regenerate its brand (after ditching Cingular), while going up against the Verizon juggernaut. How better to achieve that than to align itself with a company that embodies cool and hip, innovation, and attention to the consumers' needs?

[Edit] There have been rumors of revenue sharing of the monthly fees with Apple, so it might be that AT&T is losing a small amount for each new customer, compared to if the customer were using a non-Apple handset (after taking into consideration the lack of having to subsidize handsets in the iPhone case). However, as you point out, it's a new customer/revenue, swiped from a competitor. And, AT&T is riding Apple's mindshare coattails, so perhaps they thought it all financially worthwhile.

This is bigger than "financially worthwhile." This will save/reinvent AT&T. And they damn well know it. Kudos to them for seeing the bigger picture - something that eludes most American corporations.

VZW's practices are short-sighted, nickle-and-dime, typical big corp crap. And they'll be paying the price for not only passing on the iPhone (morons - reminds me of when the Portland Trailblazers passed on Michael Jordan to select UK's big man, Sam Bowie. Sam who? Exactly.) but also for conducting business the way they do. They have been my least favorite carrier to date, by far.

As a small, yet important-to-me, example: take their online experience. Horrendous. Could never tell exactly how much minutes I had used, TXT sent/received, etc. AT&T has the most user friendly account presentation I have seen. As a huge example: they would auto enroll me in things like unlimited data plans (at $45 a pop!) that I did not sign up for. I only noticed 4 months later (so I'm slow...). To their "credit," they did eventually refund those fees (hundreds of dollars) - but those kind of tactics are the very things that made me all to happy to leave.

"Can you hear me now?"

 

[gugy]

that's good to hear!

I am about to drop my Verizon and switch to AT&T. I am just not 100% sure with AT&T reception is that great in San Diego. That's the only thing holding me back. Plus I would love the iPhone to have at least 16gig storage. 8gig won't cut.
Oh my, decision, decisions.

 

[Random Ping]

I just hope apple opens the iPhone up to 3rd party apps; the Macintosh sold very well initially too.....

If I recall correctly, after the initial hype, the Mac struggled and inventory piled up (which in part resulted in Steve Jobs' eventual ouster) until the third Mac model (the Mac Plus) came along with its whopping 1 MB of RAM. .

The Newton also came out with a lot of hype too, but it also struggled soon after launch. (I've read several times that the last revision of the Newton was actually very nice, but by then its reputation combined with Apple's financial woes sealed its fate).

I think the iPhone is a little different in that, by and large, it is meeting its hype. It is not without its limitations (they keyboard and the EDGE network speeds being the most well known), but this time I think Apple delivered a product that pretty much works as advertised and the vast majority of people are very happy.

Still... I desperately want an SDK so I can develop software for the iPhone !!!

 

[gugy]

I am really bummed still that Verizon didn't pick up the iPhone. From my experience, the majority of the people I know who use ATT/Cingular have very bad service (dropped calls, conversation goes in and out), while I have Verizon and have honestly had nothing but success and great reception during calls anywhere I would expect service.

I really want this phone.....but I refuse to get service with ATT/Cingular because of my experiences.

No matter how nice the device is, at the end of the day it is still a phone that needs to be ready to receive and make calls when I need it to, and I have no confidence in ATT/Cingular to deliver.

I am in the same boat as you are.
I want the iPhone so badly. But I am not sure if I want to switch to AT&T.
I'll pull the trigger on the iPhone if by October Apple doesn't release the iPod 6g. So more wait!

 

[defeated]

Agreed.
Is that a byproduct of tight Safari code?

Thanks.

doubt it. more like the mechanism of page rendering, as well as the fact iPhone has a faster CPU inside.

I want the iPhone so badly. But I am not sure if I want to switch to AT&T.

go buy one, then hack it with DVD Jon's method.

 

[timon]

Now if Apple just added a ...

Now if Apple just added a car mount with a built in GPS receiver for say $199.99 complete with full traffic monitoring and maps through google maps think what a product that would be. You get in your car and pop you iPhone into the mount, in landscape mode, and off you go. Never ever need to worry about undating your maps since Google keeps them up to date. They can add an additional speaker and mike option for better hands free service. One minor problem is that they need to add voice dial.

Wow, Apple get going on this ASAP

 

[xStep]

The firm surveyed 1,000 cellphone users July 6-10.

That line suggests they found a random 1000 cellphone users and out of that group _some_ iPhones users. I wonder how many were iPhone users and how that really affects the survey stats.

 

[EagerDragon]

O2, not the best choice for the UK. Vodafone have a much better network.

I guess they were the only company who would bend over far enough for big Jobs to do the business.

This choice will affect iPhone sales, says he who's now thinking twice about it. If it were Vodafone; no issues.

Ho hum.

I wonder if a 3G version is coming for Europe? Seems stupid to go back to slow networks now all the carriers have invested in 3G.

#2's are more willing to bend since it provides them an oportunity to grow their customer base, maybe that's it.

 

[donlphi]

paying more a month with at&t?

That's the only surprise on the article I see. I am actually paying about $100 a month less. I had a Sprint Family Flexible BS plan combined with an all you can eat data plan at it was costing me nearly $200 a month. I was only using, on average, 700 minutes, 30 text messages, and EV-DO data when I travelled.

Granted, EDGE is as slow as my great grandma trying to eat a dry turkey sandwich, but it is fine for checking my e-mail or macrumors. I have also noticed more and more airports are switching to free Wi-Fi or Small Fee Wi-Fi.

Really you shouldn't be browsing the internet while driving, but when I was riding as a passenger with a friend, I tried to look up directions while on the move, IMPOSSIBLE, and we were on a major Highway in the Seattle area. A little disappointing, but still worth the switch.