iPhone 3G now the second best-selling US mobile handset
In a little over a year, Apple's iPhone has grown to become the second best-selling mobile handset in the United States, according to NPD.
A report issued by the market research firm Monday claims the touch-screen handset now trails only Motorola's RAZR V3 on the US sales charts. It also cited a surge in sales immediately following the introduction of the iPhone 3G that has helped the device garner a 17 percent share of the overall US smartphone market.
More specifically, NPD said the iPhone 3G was the No. 1 US smartphone based on units sales from June through August, outselling the Blackberry Curve, Blackberry Pearl, and Palm Centro.
Of those customers who purchased an iPhone during those months, 30 percent switched from other mobile carriers to join AT&T, according to the firm. That compares to 23 percent of consumers who switched carriers during the same time period for other reasons.
Nearly half of iPhone switchers (47 percent) made the jump to AT&T from rival Verizon Wireless, while 24 percent switched from T-Mobile. Another 19 percent are reported to have switched from Sprint.
"The launch of the lower-priced iPhone 3G was a boon to overall consumer smartphone sales," said Ross Rubin, director of industry analysis for The NPD Group. "While the original iPhone also helped win customers for AT&T, the faster network speeds of the iPhone 3G has proven more appealing to customers that already had access to a 3G network."
The average price of a smartphone sold between June and August was reportedly $174, down 26 percent from the average $236 price tag during the same period last year.
Also on Monday, two independent Apple analysts issued a report suggesting that Apple has more than surpassed its self-imposed goal of selling more than 10 million iPhones during the 2008 calendar year.
A report issued by the market research firm Monday claims the touch-screen handset now trails only Motorola's RAZR V3 on the US sales charts. It also cited a surge in sales immediately following the introduction of the iPhone 3G that has helped the device garner a 17 percent share of the overall US smartphone market.
More specifically, NPD said the iPhone 3G was the No. 1 US smartphone based on units sales from June through August, outselling the Blackberry Curve, Blackberry Pearl, and Palm Centro.
Of those customers who purchased an iPhone during those months, 30 percent switched from other mobile carriers to join AT&T, according to the firm. That compares to 23 percent of consumers who switched carriers during the same time period for other reasons.
Nearly half of iPhone switchers (47 percent) made the jump to AT&T from rival Verizon Wireless, while 24 percent switched from T-Mobile. Another 19 percent are reported to have switched from Sprint.
"The launch of the lower-priced iPhone 3G was a boon to overall consumer smartphone sales," said Ross Rubin, director of industry analysis for The NPD Group. "While the original iPhone also helped win customers for AT&T, the faster network speeds of the iPhone 3G has proven more appealing to customers that already had access to a 3G network."
The average price of a smartphone sold between June and August was reportedly $174, down 26 percent from the average $236 price tag during the same period last year.
Also on Monday, two independent Apple analysts issued a report suggesting that Apple has more than surpassed its self-imposed goal of selling more than 10 million iPhones during the 2008 calendar year.
Comments
Nearly half of iPhone switchers (47 percent) made the jump to AT&T from rival Verizon Wireless, while 24 percent switched from T-Mobile. Another 19 percent are reported to have switched from Sprint.
AT&T, please take some of the extra money you're making now from these
switchers, and get 3G into more areas!
Mr. On-EDGE (and millions like me)
One disturbing trend is that AT&T used to get 40% of their iphone subscribers from other carriers jumping ships --- now it's only 30%.
One disturbing trend is that AT&T used to get 40% of their iphone subscribers from other carriers jumping ships --- now it's only 30%.
I'm not sure I agree with this being "disturbing." When the iPhone first came out, a lot of people switched to AT&T from whatever carrier they had, so they could get the iPhone (I'm one, among those who came over from Verizon). When the 3g came out, many of those who had 2g iPhones upgraded, which would weight the numbers toward non-switchers. The fact that it's still 30% in the face of such a large installed base is actually pretty promising.
(That is, unless I missed the point of your post, and you meant that you are disturbed by the fact that lots of people are still coming to AT&T for the iPhone
I'm not sure I agree with this being "disturbing." When the iPhone first came out, a lot of people switched to AT&T from whatever carrier they had, so they could get the iPhone (I'm one, among those who came over from Verizon). When the 3g came out, many of those who had 2g iPhones upgraded, which would weight the numbers toward non-switchers. The fact that it's still 30% in the face of such a large installed base is actually pretty promising.
(That is, unless I missed the point of your post, and you meant that you are disturbed by the fact that lots of people are still coming to AT&T for the iPhone
The percentage may be lower, but the sheer number of switchers due to the iPhone is significantly higher than the original launch. The first 30 hours (the last 30 hours of Apple's Q3) they sold a reported 270k. In Apple's Q4 they sold a reported 1.4M. That is about 1.7M units. If 40% were switchers that means that 680k from other carriers. If these new estimates are accurate, even on the low end, then 30% would mean that over 2M new customers were had from the other carriers.
That is significant, but I look forward to the actual reported numbers as to how the various carriers faired overall for the quarter. i'd wager that Verizon added more customers than it lost.
Also on Monday, two independent Apple analysts issued a report suggesting that Apple has more than surpassed its self-imposed goal of selling more than 10 million iPhones during the 2008 calendar year.
[ View this article at AppleInsider.com ]
For the record this actual goal was from when the first iPhone went on sale until the end of calendar year 2008. So, 10 million for a year and a half.
Like I said; they'll hit 27 million by Macworld. Total since iPhone began.
For the record this actual goal was from when the first iPhone went on sale until the end of calendar year 2008. So; 10 million for a year and a half.
Oh no! Not this discussion again. At this point i would that it doesn't matter if it's 10M for 2007 and 2008 combined, just 2008, or 1% of the number of phones sold for the respective duration, as it looks like the iPhone will clear all of them... but we still need actual numbers from Apple before we can be certain.
PS: When do they release Q4 results?
... 30 percent switched from other mobile carriers to join AT&T, according to the firm. That compares to 23 percent of consumers who switched carriers during the same time period for other reasons.
I visited a major AT&T store in DC and was told that the iPhone "does not support tethering" while many other phones, such as the phone he was carrying, "supported tethering". I snapped right back and said that the iPhone did have an app that allowed for tethering but AT&T pulled it, he got a little embarrassed but still insisted that the iPhone does not support tethering, and that AT&T could not control the features in Apple devices, what a nerve!!
Anyway, AT&T apparently has a connection called 3G Plus which allows up to 3Mbps, but when I checked on AT&T's website all they had was Mobile TV Plus!! The same guy told me that this connection allows for much faster browsing because the same connection that brings the TV channels also provide faster internet.
Whatever it is, AT&T needs to return the favor to all those switchers and improve their network to virtually eliminate dropped calls and improve 3G coverage.
I visited a major AT&T store in DC and was told that the iPhone "does not support tethering" while many other phones, such as the phone he was carrying, "supported tethering". I snapped right back and said that the iPhone did have an app that allowed for tethering but AT&T pulled it, he got a little embarrassed but still insisted that the iPhone does not support tethering, and that AT&T could not control the features in Apple devices, what a nerve!!
Why harass a CSR scraping out a crappy paycheck? AT&T doesn't support tethering for the iPhoen so you have to buy a different phone or buy a USB/EC for your PC. It's not his fault.
As for why it got pulled we only know that Apple pulled the app. It makes sense that AT&T is the dominate force behind it but there are other carriers that don't allow tethering either. Regardless, snapping at a CSR has the same overall effect like suing Apple because US laws allow for the manufacturer to lock phones.
It seems that the stock price does not reflect how well Apple is really doing.
Why harass a CSR scraping out a crappy paycheck? AT&T doesn't support tethering for the iPhoen so you have to buy a different phone or buy a USB/EC for your PC. It's not his fault.
As for why it got pulled we only know that Apple pulled the app. It makes sense that AT&T is the dominate force behind it but there are other carriers that don't allow tethering either. Regardless, snapping at a CSR has the same overall effect like suing Apple because US laws allow for the manufacturer to lock phones.
I gently snapped at him I wasn't rude or anything, he was a cool dude. I'm usually a polite person TILL SOMEONE CRITICIZES APPLE THAT IS!!!
The percentage may be lower, but the sheer number of switchers due to the iPhone is significantly higher than the original launch. The first 30 hours (the last 30 hours of Apple's Q3) they sold a reported 270k. In Apple's Q4 they sold a reported 1.4M. That is about 1.7M units. If 40% were switchers that means that 680k from other carriers. If these new estimates are accurate, even on the low end, then 30% would mean that over 2M new customers were had from the other carriers.
That is significant, but I look forward to the actual reported numbers as to how the various carriers faired overall for the quarter. i'd wager that Verizon added more customers than it lost.
But overall it's a very small number.
In the xmas quarter 2007 --- AT&T Wireless had 2.7 million subscriber net adds. In the same period, AT&T activated 900K iphones --- of which 40% were switchers from other carriers. So, that's 360K out of 2.7 million ---- a 13% contribution.
But overall it's a very small number.
In the xmas quarter 2007 --- AT&T Wireless had 2.7 million subscriber net adds. In the same period, AT&T activated 900K iphones --- of which 40% were switchers from other carriers. So, that's 360K out of 2.7 million ---- a 13% contribution.
You've said this before, and I have no idea how you think that one model of one phone that cost $400 and required a 2-year contract with a minimum monthly fee of $60, generating 13% of all new customers to a carrier is not excessive. Tying a phone model to a carrier is very common in the US but you haven't shown one other single phone model that has come close to increasing the customer base the way the iPhone has for AT&T.
Without tracfone's contribution to AT&T's numbers, Verizon has beaten AT&T in net adds in every single quarter since the iphone's launch. Maybe they should spend that money on improving AT&T's network.
Without tracfone's contribution to AT&T's numbers, Verizon has beaten AT&T in net adds in every single quarter since the iphone's launch. Maybe they should spend that money on improving AT&T's network.
Verizon has been just beating out AT&T with new subscribers, but how does that make million of people switching to AT&T from other carriers specifically for the iPhone less significant of an achievement? I see that as making it more significant as many people who did not like Cingular/AT&T are willing to go to them for the device they want. I am one of those since I've never liked any carrier I've been with I hoped getting a device i liked would be the better solution. SInce web browsing and iPod are main uses of the iPhone, it was worked out well, but I so few calls that I have no clue how good or bad AT&T's voice service is in my area.
PS: When do they release Q4 results?
I believe on October 21st.
The problem is that carriers can sit back, do nothing and more people would migrate to the $99 unlimited voice plan.
Without tracfone's contribution to AT&T's numbers, Verizon has beaten AT&T in net adds in every single quarter since the iphone's launch. Maybe they should spend that money on improving AT&T's network.
You are comparing all of Verizon sales to the sales of the iPhone. A better comparison would be one smartphone on Verizon that sold for $400 and outsold the iPhone.
In a little over a year, Apple's iPhone has grown to become the second best-selling mobile handset in the United States, according to NPD.
A report issued by the market research firm Monday claims the touch-screen handset now trails only Motorola's RAZR V3 on the US sales charts. It also cited a surge in sales immediately following the introduction of the iPhone 3G that has helped the device garner a 17 percent share of the overall US smartphone market.
OMG, its beating a phone that came out 5 years ago, and vitually noone has bought in the last 3 years. Seriously when is the last time you have seen ANYONE with a Razr? I don't even see poor teenagers with a phone outdated as the Razr.
More specifically, NPD said the iPhone 3G was the No. 1 US smartphone based on units sales from June through August, outselling the Blackberry Curve, Blackberry Pearl, and Palm Centro.
NPD? Thanks for letting us know who that is and what it stands for. National police of dimwits?
I don't doubt the iphone is outselling these phones, but will say, I know atleast 80+ people personally with those 3 exact models. While at the same time I know exactly 4 people with iphones, and all 4 of them use them as data only devices.
Nearly half of iPhone switchers (47 percent) made the jump to AT&T from rival Verizon Wireless, while 24 percent switched from T-Mobile. Another 19 percent are reported to have switched from Sprint.
No surprise here. Sprints 3g coverage almost blankets the whole US, their prices are half of ATT, their voice quality is 10x better, so there is little incentive for them to switch. I would bet out of the Sprint users that did cross over to ATT to try the iphone, atleast 40% of them switched back.
OMG, its beating a phone that came out 5 years ago, and vitually noone has bought in the last 3 years. Seriously when is the last time you have seen ANYONE with a Razr? I don't even see poor teenagers with a phone outdated as the Razr.
And how does it make it any less true?
NPD? Thanks for letting us know who that is and what it stands for. National police of dimwits?
If you don't know what NPD stands for by now, you can look it up. Unless you are too dimwitted to do a simple Google search.
I don't doubt the iphone is outselling these phones, but will say, I know atleast 80+ people personally with those 3 exact models. While at the same time I know exactly 4 people with iphones, and all 4 of them use them as data only devices.
I put professional analysts pretty low on my list of things that are true, so can you guess where your anecdotal perceptions places you on that list?
No surprise here. Sprints 3g coverage almost blankets the whole US, their prices are half of ATT, their voice quality is 10x better, so there is little incentive for them to switch. I would bet out of the Sprint users that did cross over to ATT to try the iphone, atleast 40% of them switched back.
Prove it. Show me where the prices are half.