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#1 |
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Kasper's Automated Slave
Join Date: Nov 1997
Posts: 6,151
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iPhone 3G now all but sold out in 38 states
With the iPhone 3G not even ten days old, virtually all of the Apple retail store stores open within the United States are without any examples of the device to sell on July 21st.
The shortage is severe enough in the 38 states that claim Apple stores that it's easier to count the locations that do have iPhone 3G units than those that don't. In California, the only Apple store with any iPhones is the Pleasanton store with only 16GB black examples, while New York City's Fifth Avenue store is the only one in all of New York state known to have any examples left, with just 16GB white models in stock. Only a single Honolulu store and the Salem, New Hampshire store can also claim to have any units available, and each only lists one model as ready for Monday. Apple has been continually resupplying its stores with new iPhones -- in many cases on a daily basis -- but has seen fewer and fewer of its stores touting next-day availability in the several days since the July 11th debut of the handset upgrade. The company's own outlets are already seen as the bellwethers for looming American shortages. Sellouts first crept up in late March for Manhattan-area stores but quickly spread through the rest of the country and to AT&T locations in a matter of weeks. For iPhone 3G, shortages manifested as early as launch day and have spread much more quickly than for the end days of the first model, with AT&T running dry of any guaranteed units before the first weekend was over. Whether or not Apple's supply will meet demand in time to prevent a repeat of May's complete stockout is also far from certain. When grilled on an unprecedented spike in preorders, Britain's iPhone carrier O2 said it might take "some weeks" before it could satisfy enough of its customers on a regular basis. |
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#2 |
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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I hope this is what they wanted.
Otherwise, the same-day, worldwide-opening of this highly anticipated product looks to be a rather bonehead move...
Progress is a comfortable disease
--e.e.c. |
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#3 |
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Registered User
Join Date: Jul 2007
Location: Reston, VA
Posts: 367
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Well I blame China, for taking all the time to prepare for the Olympics and not making iPhones.
![]() lol jk |
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#4 |
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Registered User
Join Date: Apr 2006
Posts: 240
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How is selling out a dumb move? They sold unbelievable quantities; probably as many units as they could manufacture. What were they supposed to do - wait until they could make more (and sell none in the meantime)?
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#5 |
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Registered User
Join Date: Dec 2007
Posts: 182
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Apple is now filling more and more Direct Fulfillment orders from AT&T since they gave them the shaft during launch day. My 16GB black iPhone 3G I ordered on launch day will finally be arriving tomorrow.
Apple just didn't prepare for demand. A worldwide launch sounds like a nice thing, but it's a logistical nightmare. The same with introducing colors at the launch of a new product. You run out of stock of one phone (16GB black) faster than others. I really think they learned from this launch that a staggered release is the best approach and that they need to ramp up production for a while before any release. |
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#6 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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Quote:
BTW, is it just me or is this article written in tortured English? |
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#7 |
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Registered User
Join Date: Jul 2008
Posts: 3
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I think he meant not having the whole world selling them on the same day. Such as 4 or 5 countries launching on the 11th, then 4 or 5 more 2 weeks later, and so on so that they could stock all the stores better for each launch. They obviously didn't manufacture enough ahead of time. I still don't have one myself...
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#8 |
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Registered User
Join Date: Apr 2002
Location: No GPS signal.
Posts: 1,169
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I don't think staggering a couple weeks was going to help much. In fact, it would have made the "late" countries' customers (and carriers!) even madder.
Production will catch up. It's a nice problem for Apple to have! And generates publicity too. Not so nice for me, who wanted to get one in about 2 weeks...
nagromme
Would you like a treatment? |
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#9 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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Quote:
Apple is much better off giving everyone a chance to get a phone that releasing in select markets. Who gets to go first? Let me guess: "my country first". You're obviously not suggesting that you wait a few more weeks so someone else could get their phone. |
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#10 |
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Registered User
Join Date: Jul 2008
Posts: 3
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merdhead, no one is claiming that their country should be the first, everyone is saying that if they couldn't ramp up production to make enough for all the countries releasing them at the same time, then they should have staggered them. You are the only one assuming that the these people meant their countries first.
It would make sense to do the top selling countries first and then move on to the newer markets at a later period. And why would the US being one of the first countries be bad? It's their original and top selling market... should Zimbabwe be the launching ground of the iphone 3G? It's business, not a game in preschool where everyone is equal. |
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#11 |
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Registered User
Join Date: Jun 2003
Location: Tinton Falls, NJ
Posts: 702
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If I were Apple, what I would have done is have the launch on July 11th with each handset costing $600, and pre-announce that in 6 weeks the handsets will be subsidized and start costing $200 with an AT&T (or whatever for your given country) lock-in. That way everyone knows what's happening, Apple can sell them online and have at-home activation (no insane lines), and a tidy extra profit is made off the first phones sold.
Of course, once supply matches demand, do the "second launch" of the $200 phone and do the in-store activation and all that jazz. In the meantime, soak the early adopters for some extra money and let supply and demand dictate the cost. Or just sell them all at auction. |
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#12 | |
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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Quote:
![]() Either way, I think maybe it would have been advisable to stager the openings so they could get a better handle on demand and production needs so as not to run out world-wide. While it can generate some good press, if delays continue they can also lead to resentment. Some people might get hyped up about buying a new phone thinking of the iPhone and then purchase another brand if the iPhone is unavailabe for a while. Finally, it could possibly take some of the shine off the vaunted halo. What does it say about the company that couldn't see this comming? I mean I worried about the world-wide rollout as soon as I read about it and I am no genius. Anyway, as an aside, I remember many of posters knocking on anyone who would wait in line on the first day with statements like "you can wait in line for 5 hours if you want, but I will roll up and buy one at 4:00 PM without any wait at all!" I wonder if they have theirs yet..
Progress is a comfortable disease
--e.e.c. |
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#13 | ||
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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Quote:
Conversely, if demand is significantly higher than expected, there is some time to ramp up production while blowing out the cushion. Quote:
Progress is a comfortable disease
--e.e.c. |
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#14 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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Quote:
It's all so reasonable when it's just so happens your country is the most important, and that's the attitude, nothing more, nothing less. It's just a American centric point of view and you don't even know you have it. |
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#15 |
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Registered User
Join Date: Jul 2008
Posts: 1
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#16 |
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Registered User
Join Date: Jan 2005
Location: Brooklyn, NY
Posts: 5,249
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Are you people actually arguing that selling out of your product is a bad thing? What company would rather have product sitting on shelves collecting dust rather than to be sold out?
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#17 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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Quote:
The fact is that staggering will exclude people completely. They won't get one no matter how early they line up. That's unfair to most people and would reflect much more poorly on Apple. And the fact is that international markets are more important than the American market these days (and even more so after the US slips in the deep and long recession that is coming) so American companies can't treat international customers with complete contempt anymore. |
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#18 |
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Registered User
Join Date: Jun 2007
Posts: 585
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#19 |
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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![]() ![]() I like this idea! Talk about free markets setting the price... As an aside, am always annoyed when tickets to popular concert tours are only available at a significant markup from professional ticket resellers. It just seems wrong to me that the tickets are being sold for, say, $75 originally when a significant portion of them will be resold for much, much more. Why should the concert promoters continue selling at an irrational price letting resellers make the profit? I assume it is because the backlash against the artist and/or their promoters would be extreme if they were the ones asking $500 a seat. My solution would be to sell the tickets at a declining rate--sort of a reverse auction. Tickets would be sold in order from best to worst. Prices would start out very high but decline as time passes. Those wanting the best seats would have to pony up while prices were high. Very popular concerts would start selling out earlier and thus would have a higher average selling price. $100 might get you fantastic seats at a Menudo concert, but might leave you towards the back of a Pearl Jam show...
Progress is a comfortable disease
--e.e.c. |
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#20 |
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Registered User
Join Date: Jan 2008
Posts: 457
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This past Friday, I called the Apple store in a mall here in Dallas - they told me to hurry. I got on a line with 50 people in front of me. An employee closed the line after 1 more guy behind me and told everyone they only had 16GB Black left. Over the next hour or so, many, many people showed up and were turned away. Some drove from the boonies. I got a perfect specimen - no dead pixels or other visible problems.
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#21 | ||
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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Quote:
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The point here, is expectations. Staggered rollouts happen all the time--especially with hi-tech items for this exact reason. Sony started with the most recent Playstation in Japan months before it got to the US if I remember correctly. This was announced before hand and there were no riots and few recriminations. And merdhed, please note that I already agreed with you in my reply that you quoted. I NEVER said that the rollout had to begin in the US. They could have started with every country that had not had official resellers of the first gen iPhone and probably would have scored some fantastic publicity. By the way, your turning this into an America bashing excercise is a little tiresome. Are you rooting for the US to suffer a big recession? Will that make you happy? I mean, I am all about finding fault with American policies and American corporations, but you are putting words into my mouth and seem to be hoping individual Americans get hurt--that makes you a putz in my eyes if it is true...
Progress is a comfortable disease
--e.e.c. |
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#22 | |
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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Quote:
Now, there is always the chance that the hype of selling out creates good publicity and buzz and increases sales in the long term. But this is far from certain. If supply is severly constrained, people will buy other phones.
Progress is a comfortable disease
--e.e.c. Last edited by Bageljoey; 07-21-2008 at 01:26 AM.. Reason: Trying to answer the question more clearly... |
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#23 |
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Registered User
Join Date: Jul 2008
Posts: 1
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Line Up
I guess it was a good thing I waited in line for three hours to get mine! Now they're all gone!
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#24 |
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Registered User
Join Date: Aug 2007
Posts: 594
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Reality check
I expect to appear an Apple apologist, but this whole multi-platform, multi-national product launch is extremely complicated and kudos go to everyone at Apple and the cellular providers for how well things have actually gone. Apple has the whole world watching as it develops, markets, and produces a very technically complex device for a global market. Sure it would be great if the pent up demand for the iPhone 3G could be immediately satisfied--if product development and testing (including multiple government authorizations) could be completed far enough in advance of product launch that a huge cache could be accumulated. All considered, I'd say Apple pulled it off pretty well. The snafu on Friday 7/11--which was generally confined just to Friday--is not terribly surprising when you've got several corporations with computer systems that must talk with each other on a global scale at a time when a sizable fraction of the 6 million original iPhone owners were also trying to activate their upgraded devices. People forget how difficult the original iPhone launch was, when a mere 250K devices were sold in the first 3 days. This time, 6 million iPhones were already out in the wild and reasonable estimates suggest nearly 500K iPhone 3Gs were sold in the same length of time. Yes, problems remain a week later, but the history of the original iPhone launch suggests Apple will clear up the most serious ones very soon, with a simple software update. At least here's hoping!
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#25 | |
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Registered User
Join Date: Jun 2008
Posts: 4
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Funny?
Quote:
Also; they did stagger the launch. There are 50 more countries waiting in line already. As for Zimbabwe as an alternative launch country - yes, I agree that it makes sense to compare one third world country to the other, but still - how is US the natural launch for a 3G phone? 3G in the US is a joke. Which I think also the salesfigures show. They should have launched the 3G in Europe and Asia now, and let the US have the 1 gen iPhone for another year - so you can catch up with the rest of us. All of Europe was only so-so to the first phone. We all just waited for this release - because you see, 3G is pretty much the standard over here. I know it sounds crazy. |
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#26 |
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Registered User
Join Date: Sep 2007
Location: California
Posts: 87
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Update
Its 11:15 PM PST on July 20th, and I just checked the availability listings for the iPhone 3G. In the U.S., there are only 3 stores that have the iPhone, 1 in CA, 1 in NH, and 1 in NYC. In the U.K., however, all stores have the 8 GB and the 16GB White with only one having the 16GB Black. So either the U.K is getting restocked before the U.S., or it isn't selling as well there. In any event, the sales must be monster in the U.S. for Apple to be having these kind of supply problems.
Steve
20" Aluminum iMac (August 2007) - Leopard 10.6.1
13" MacBook Pro (2.53 Ghz) - Leopard 10.6.1 32 GB iPhone 3GS 8 GB iPhone (Original) 2 iPod Minis (Blue, 4GB) |
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#27 |
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Registered User
Join Date: Mar 2007
Posts: 115
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#28 | |||||
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Registered User
Join Date: Apr 2006
Location: The Ansible
Posts: 11,779
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So you are saying that there are "two bit" countries in Africa? That sound quite elitist. I've been to many countries on almost all continents and no matter how destitute or poor the average populace is there is no place I've visited that I'd describe as such... not even that really filthy one (you know the one I mean). |
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#29 | |
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Registered User
Join Date: Mar 2005
Location: Stuttgart, Germany
Posts: 60
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Release already staggered
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#30 | |
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Registered User
Join Date: Feb 2007
Location: England
Posts: 557
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Quote:
A couple of weeks isnt so bad, but would definitely annoy me. |
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#31 |
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Registered User
Join Date: Apr 2007
Posts: 1,567
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isn't it always?
I don't see how an anti M$ stance can be seen as a bad thing on an Apple forum I really can't!
nagromme - According to Amazon: "SpongBob Typing Tutor" is outselling Windows |
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#32 |
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Registered User
Join Date: Jun 2008
Location: UK
Posts: 86
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I'm glad i got up early and queued
not so sad now am I :P
MacBook 2.1Ghz
iPhone 3G 8GB Black |
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#33 | |
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Registered User
Join Date: Jul 2008
Posts: 3
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Quote:
Oh, and the stock update isn't to be relied upon. I checked it on Friday night and it said that the Southampton Apple Store had 16GB Black iPhones. However, after a 2 hour trip there on Saturday morning I was told (after 20 minutes in a stationary queue) that they'd run out of those on Friday evening. (The stock update didn't change until Sunday evening to reflect this.) As for the people in the queue when told about the lack of 16GB black stock, most (including myself) just gave up and left. |
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#34 |
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Registered User
Join Date: Jun 2006
Location: Jersey (new)
Posts: 1,001
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True, true enough. I missed that. But is it my imagination or are the 22 July 11th countries the biggest fish in the market? If so, then the benefits of staggering are somewhat lost...
Progress is a comfortable disease
--e.e.c. |
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#35 |
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Registered User
Join Date: Aug 2007
Posts: 594
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Ask questions, get results
I'm told by Apple store sales staff that many (Apple) stores receive small shipments of iPhone 3Gs just about every day but Sunday, but the daily allotments aren't enough that the stores are indicated on www.apple.com as having stock for the next day, and the staff don't know when the shipments will arrive nor how many. Shipments at this one particular store have arrived any time from 9-noon. But a person could wait for hours and no iPhones would be delivered. The iPhones arrive in boxes of 10 of each model. Stores that produce higher sales figures tend to receive more boxes. The store I inquired at is a full-sized store, generally busy, and had received 6 boxes (60 iPhones) that day, with some of all 3 models.
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#36 | |
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Registered User
Join Date: Aug 2007
Posts: 594
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#37 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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Quote:
Now I have nothing against America, I sometimes live in America, have American friends and buy American products. It isn't just an anti-American rant, it's a critique of the American attitude. And yes, Africa is full of two-bit countries, it's the least developed continent on Earth. How is saying that elitist? What wrong with favouring the elite? Or are you a communist, each according to his need, from each according to his labour? That's strange if true, because at the price, the iPhone is not the People's phone, comrade. |
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#38 |
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Registered User
Join Date: May 2008
Posts: 12
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I also went the direct fulfillment route but not until last Thursday. It'll be interesting to see when mine shows up.
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#39 |
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Registered User
Join Date: Nov 2005
Posts: 25
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#40 | |
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Registered User
Join Date: Jun 2007
Posts: 585
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