One third of iPhone owners waiting for Verizon to upgrade
A survey of 1,000 consumers indicates that a significant number of subscribers are waiting to purchase the expected Verizon iPhone 4, indicating new threats for both AT&T and Android.
A report by market research firm Morpace shows that the majority of interest being expressed in a Verizon-compatible iPhone comes from existing Verizon customers.
While 29 percent of all respondents said they were somewhat or very likely to purchase an iPhone on Verizon's network, 51 percent of current Verizon subscribers said they were waiting to buy it. Those sales would likely come from Android and BlackBerry customers.
Among all AT&T subscribers, 23 percent said they'd be interested in switching to Verizon for an iPhone, while 22 percent of Sprint subscribers and 20 percent of T-Mobile customers said the same. However, among AT&T's iPhone users, 47 percent said they "would consider" a switch to Verizon once the iPhone becomes available there.
Additionally, over a third existing iPhone users who have not yet upgraded to the latest iPhone 4 said they were waiting for it to become available on another carrier before they upgrade, indicating significant pent up demand over and above the record sales Apple has already seen on AT&T since the launch of iPhone 4.
At the same time, the fact that only a third of users who decided not to upgrade to iPhone 4 waited because they wanted the option of another carrier seems to be good news for AT&T, and flies in the face of claims that most users aren't satisfied with AT&T.
The responses seem to align with the unexpectedly high satisfaction rates iPhone users expressed for AT&T in a recent Yankee Group survey that said 73 percent of US iPhone users were happy with their carrier.
Additionally, a ChangeWave report indicates that only 13 percent of iPhone users said they were "very likely" to switch to Verizon, while another 18 percent said they were only "somewhat likely" to make the switch.
The impact of broader iPhone 4 availability in the US
In its report, Morpace concluded that "the impact on other Verizon smart phones that have not previously had to compete directly with the iPhone may be significant if Verizon begins to carry the iPhone. It could drastically impact the purchase of other phones."
The lack of availability of the iPhone on Verizon has offered Android a fertile niche to expand its sales as a platform, allowing Android to outpace Apple's iPhone in unit sales in the US in stark contrast to most other markets globally, where Android has experienced real growth but has not yet rivaled iPhone sales.
The report also noted that a sharp increase in iPhone subscribers on Verizon may result in "concerns over how the Verizon network will handle the bandwidth demands of iPhone users."
Growing tensions between Apple and AT&T appear to now outweigh the benefits Apple has enjoyed in its exclusive partnership with the carrier in the US. Along with the increased competitive threat from Android-based devices on Verizon, this has resulted in circumstances that make it appear all but certain that Apple will launch a Verizon model of the iPhone early next year, with new evidence regularly pointing to that inevitability.
A report by market research firm Morpace shows that the majority of interest being expressed in a Verizon-compatible iPhone comes from existing Verizon customers.
While 29 percent of all respondents said they were somewhat or very likely to purchase an iPhone on Verizon's network, 51 percent of current Verizon subscribers said they were waiting to buy it. Those sales would likely come from Android and BlackBerry customers.
Among all AT&T subscribers, 23 percent said they'd be interested in switching to Verizon for an iPhone, while 22 percent of Sprint subscribers and 20 percent of T-Mobile customers said the same. However, among AT&T's iPhone users, 47 percent said they "would consider" a switch to Verizon once the iPhone becomes available there.
Additionally, over a third existing iPhone users who have not yet upgraded to the latest iPhone 4 said they were waiting for it to become available on another carrier before they upgrade, indicating significant pent up demand over and above the record sales Apple has already seen on AT&T since the launch of iPhone 4.
At the same time, the fact that only a third of users who decided not to upgrade to iPhone 4 waited because they wanted the option of another carrier seems to be good news for AT&T, and flies in the face of claims that most users aren't satisfied with AT&T.
The responses seem to align with the unexpectedly high satisfaction rates iPhone users expressed for AT&T in a recent Yankee Group survey that said 73 percent of US iPhone users were happy with their carrier.
Additionally, a ChangeWave report indicates that only 13 percent of iPhone users said they were "very likely" to switch to Verizon, while another 18 percent said they were only "somewhat likely" to make the switch.
The impact of broader iPhone 4 availability in the US
In its report, Morpace concluded that "the impact on other Verizon smart phones that have not previously had to compete directly with the iPhone may be significant if Verizon begins to carry the iPhone. It could drastically impact the purchase of other phones."
The lack of availability of the iPhone on Verizon has offered Android a fertile niche to expand its sales as a platform, allowing Android to outpace Apple's iPhone in unit sales in the US in stark contrast to most other markets globally, where Android has experienced real growth but has not yet rivaled iPhone sales.
The report also noted that a sharp increase in iPhone subscribers on Verizon may result in "concerns over how the Verizon network will handle the bandwidth demands of iPhone users."
Growing tensions between Apple and AT&T appear to now outweigh the benefits Apple has enjoyed in its exclusive partnership with the carrier in the US. Along with the increased competitive threat from Android-based devices on Verizon, this has resulted in circumstances that make it appear all but certain that Apple will launch a Verizon model of the iPhone early next year, with new evidence regularly pointing to that inevitability.
Comments
The report also noted that a sharp increase in iPhone subscribers on Verizon may result in "concerns over how the Verizon network will handle the bandwidth demands of iPhone users."
Yes, Verizon gets a taste of its own medicine. Don't you hate it when they brag about their "superior" network, and it drops calls like AT&T's? Let's bring the Verizon network down, guys!
If that's true then apple needs to start speeding up iPhone 4 production asap.
I remember all the people that said the iPhone was too expensive, then the $99 version came out and not many folks bought it, or not as many people at they thought.
By the time Apple makes the deal with Verizon and cranks up the Foxcon sweatshop, my iP4 contract will have long expired. Apple can't execute.
I wouldn't blame Apple for not going with Verizon yet. There's so much involved here that we couldn't possibly know about. Don't get me wrong... I love my iPhone and want to see Apple sell as many of them as possible. More iPhones = more money for iPhone developers. That = even better apps for us.
Yes, Verizon gets a taste of its own medicine. Don't you hate it when they brag about their "superior" network, and it drops calls like AT&T's? Let's bring the Verizon network down, guys!
I've been telling that to all my buddies. I can't for everyone to jump from AT&T to Verizon so my call quality and network speed improve drastically.
Yes, Verizon gets a taste of its own medicine. Don't you hate it when they brag about their "superior" network, and it drops calls like AT&T's? Let's bring the Verizon network down, guys!
AT&T's network was bad in 2007 - when (comparatively) few iPhones were on it. The Droids have been selling hand over fist on Verizon and no one that I am aware of has complained about it. And Droid users gobble up even more data than iPhone users.
http://www.cultofmac.com/study-droid...m-iphone/52792
So good luck bringing down the network. And since you'll be on Verizon, enjoy use of your phone in places that you could only dream about with AT&T.
"51% of verizon subscribers waiting to buy it"
If that's true then apple needs to start speeding up iPhone 4 production asap.
This is really funny. Verizon in Q1 2010 had 92.8 million customers and this poll was a sample of 1000. And this is suppose to mean something?
This is really funny. Verizon in Q1 2010 had 92.8 million customers and this poll was a sample of 1000. And this is suppose to mean something?
Have you ever heard of modern polling techniques? Google "Gallup".
This is really funny. Verizon in Q1 2010 had 92.8 million customers and this poll was a sample of 1000. And this is suppose to mean something?
No kidding, a 1,000 people? What a joke, a 'sample' is being generous.
Have you ever heard of modern polling techniques? Google "Gallup".
Of course. But this is what grabbed me.
"A survey of 1,000 consumers indicates that a significant number of subscribers are waiting to purchase the expected Verizon iPhone 4, indicating new threats for both AT&T and Android. "
When you have a customer base of 94 million and the term "significant number" is used after polling 1000 customers I would say thats a bit over the top and the poll is pretty much meaningless.
Also to say that Android could suffer when it was just reported that 200k units are being activated per day is also a bit much with only 1000 polled.
Clearly Verizon customers would be interested in having the iPhone come to Verizon as I am sure Sprint customers would be also if Apple made a CDMA version of the iPhone I see no reason for them not to roll it out to both Verizon and Sprint.
No kidding, a 1,000 people? What a joke, a 'sample' is being generous.
Thats pretty much what I was thinking even more so when you start throwing around the term "significant number".
Of course. But this is what grabbed me.
"A survey of 1,000 consumers indicates that a significant number of subscribers are waiting to purchase the expected Verizon iPhone 4, indicating new threats for both AT&T and Android. "
When you have a customer base of 94 million and the term "significant number" is used after polling 1000 customers I would say thats a bit over the top and the poll is pretty much meaningless.
Also to say that Android could suffer when it was just reported that 200k units are being activated per day is also a bit much with only 1000 polled.
Clearly Verizon customers would be interested in having the iPhone come to Verizon as I am sure Sprint customers would be also if Apple made a CDMA version of the iPhone I see no reason for them not to roll it out to both Verizon and Sprint.
Don't want to belabor the point, but I checked something from one of my textbooks from a few years ago on polling. The relevant info is for a sample of 250,000,000 (US population then), only 1500 people needed to be asked to get the results within +/- 3%. So as long as the poll was scientific, 1000 people for just over 90,000,000 people would yield valid results.
On Sprint, the reason I doubt that the iPhone will go there is because Sprint is going Wi-Max for 4G. As surprising as it is that Apple will apparently support 2 wireless technologies with the iPhone soon, it is extremely doubtful that they would continue to do so. But if the goal is stopping Android, who knows?
PS - What was most surprising about this article is that Daniel is finally acknowledging the need for a Verizon iPhone!