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Sprint sold 1.5M iPhones in March quarter, but lost 560,000 customers

post #1 of 39
Thread Starter 
Sales of Apple's iPhone were down at Sprint, as America's third-largest wireless carrier lost more than a half-million subscribers last quarter, but still posted returns that beat Wall Street's estimates.

sprint


Even with the loss of 560,000 subscribers from January through March, Sprint's losses in the quarter narrowed and the carrier lost $643 million, whereas it lost $863 million in the same quarter last year. At the end of the quarter, Sprint had 31.3 million customers on contract paying an average of $61.47 per month.

Apple's iPhone actually brought in a considerable number of new customers, Sprint said, with 43 percent of iPhone customers being new to the carrier, compared with 38 percent in the holiday quarter.

In the previous quarter, the 2.2 million iPhone units Sprint moved accounted for more than 50 percent of the carrier's smartphone sales. This past quarter, though, Sprint's 1.5 million iPhone sales made up just 30 percent of the five million total smartphone units sold.

The iPhone represents a substantial investment on Sprint's part, as the company committed $15.5 billion over four years to subsidizing the cost of the device beginning in 2011. That expenditure to this day impacts the carrier's bottom line, though Sprint expects to make up for the cost over time with subscriber revenue.

Sprint shares have more than tripled over the past ten months, as the carrier is now at the center of a bidding war. Late last year, Japan's Softbank made a $20 billion bid for Sprint, which would see it taking a 70 percent stake in the company. More recently, though, Dish Network proposed a $25.5 billion merger with Sprint, which would create a hybrid company offering television, home Internet, wireless Internet, and voice.
post #2 of 39
I wish Apple would buy a controlling interest in Sprint and Dish...and really stick it to ATT and Verizon....And with Dish, show the media/cable companies how to run a modern media company! 1smile.gif
post #3 of 39
Lets see:
AT&T iPhone gets 80%
Verizon iPhone gets 55%
Sprint iPhone gets 30%

Odd. I understand the AT&T being so strong but it really puzzles me on Sprint and Verizon being so different.
post #4 of 39
Quote:
Originally Posted by Steven N. View Post

Lets see:
AT&T iPhone gets 80%
Verizon iPhone gets 55%
Sprint iPhone gets 30%

Odd. I understand the AT&T being so strong but it really puzzles me on Sprint and Verizon being so different.

ATT said yesterday that the iPhone line accounted for 67% of last quarters smartphones, or about 4M in total.

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post #5 of 39
Quote:
Originally Posted by Steven N. View Post

Lets see:
AT&T iPhone gets 80%
Verizon iPhone gets 55%
Sprint iPhone gets 30%

Odd. I understand the AT&T being so strong but it really puzzles me on Sprint and Verizon being so different.


LTE

post #6 of 39
Sprint's subscriber loss is expected; they were running with two networks, doubling their costs. They are shutting down Nextel iDEN, thus solving the problem. Unfortunately when you do that, some people are going to jump to another carrier. The actual Sprint brand is adding subscribers.

The financial damage Nextel did also delayed network upgrades, resulting in abysmal speeds which is being rectified with the LTE deployment.


I've been buying S since it hit the 2.65 mark because the causes of their problems have been obvious, fixable, and management has been making good decisions (Network Vision, iPhone, etc)
post #7 of 39
Quote:
Originally Posted by Gatorguy View Post

ATT said yesterday that the iPhone line accounted for 67% of last quarters smartphones, or about 4M in total.

no. 4.8.

post #8 of 39
Quote:
Originally Posted by Steven N. View Post

Lets see:
AT&T iPhone gets 80%
Verizon iPhone gets 55%
Sprint iPhone gets 30%

Odd. I understand the AT&T being so strong but it really puzzles me on Sprint and Verizon being so different.

Because Android has been on there for so long. Is it really that hard to understand?
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post #9 of 39
Quote:
Originally Posted by christopher126 View Post

I wish Apple would buy a controlling interest in Sprint and Dish...and really stick it to ATT and Verizon....And with Dish, show the media/cable companies how to run a modern media company! 1smile.gif

And do what exactly?
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post #10 of 39
Quote:
Originally Posted by Gatorguy View Post

ATT said yesterday that the iPhone line accounted for 67% of last quarters smartphones, or about 4M in total.

 

Perhaps it's about time that you changed this?

 

"Fornecedor de verdade"

post #11 of 39
Quote:
Originally Posted by Gatorguy View Post

ATT said yesterday that the iPhone line accounted for 67% of last quarters smartphones, or about 4M in total.

"AT&T sold 4.8 million iPhones last quarter, a mixed blessing for the carrier because of the resulting subsidy payments."

http://www.bloomberg.com/news/2013-04-23/at-t-s-sales-miss-estimates-amid-decline-in-landline-business.html

 

"Of the 6 million devices that AT&T sold, the carrier said 4.8 million of those were iPhones."

http://www.technobuffalo.com/2013/04/23/att-q1-2013-earnings/

 

4.8/6.0 = 80%.

 

Do you have a different source?

 

Verizon had 4 million iPhones.

post #12 of 39
Quote:
Originally Posted by dasanman69 View Post


Because Android has been on there for so long. Is it really that hard to understand?

Verizon was fully dominated by Android and the iPhone crushed it pretty fast.  What is different with Sprint? Fledgling LTE? Coverage? Cost (Sprint is cheaper than Verizon/AT&T)?

post #13 of 39
Quote:
Originally Posted by piot View Post

 

Perhaps it's about time that you changed this?

 

"Fornecedor de verdade"

He has always been a source of bias not so much truth.

post #14 of 39
Quote:
Originally Posted by Steven N. View Post

"AT&T sold 4.8 million iPhones last quarter, a mixed blessing for the carrier because of the resulting subsidy payments."

http://www.bloomberg.com/news/2013-04-23/at-t-s-sales-miss-estimates-amid-decline-in-landline-business.html

 

"Of the 6 million devices that AT&T sold, the carrier said 4.8 million of those were iPhones."

http://www.technobuffalo.com/2013/04/23/att-q1-2013-earnings/

 

4.8/6.0 = 80%.

 

Do you have a different source?

 

Verizon had 4 million iPhones.

According to 9to5

 

AT&T’s Q1 results revealed sales of 4m iPhones, or 67% of all its smartphone sales. This is down from 84% in the final quarter of 2012 which is of course the holiday quarter where people give and receive gifts…

http://9to5ma*.com/2013/04/24/att-and-sprint-both-report-falling-iphone-sales-percentages-in-q1-2013/

 

Put a c in place of the asterisk.

 

Just because they said it doesn't make it so of course. That's just the source for my post.

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post #15 of 39
Quote:
Originally Posted by Steven N. View Post

Verizon was fully dominated by Android and the iPhone crushed it pretty fast.  What is different with Sprint? Fledgling LTE? Coverage? Cost (Sprint is cheaper than Verizon/AT&T)?

Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?
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post #16 of 39
Quote:
Originally Posted by gwmac View Post

I don't think that is reason. The same could be said about Verizon. The iPhone came to Verizon about 6 months before Sprint. It was also about 6 months before the iPhone 4S release. The iPhone came to Sprint to coincide with the release of the 4S even though the 4 was also offered. That was less than 2 years ago for Sprint and more than 2 years ago for Verizon. The upgrade cycle has far more to do with it. Many Sprint customers will soon be eligible for upgrades soon so you will probably see a much higher percentage of iPhone sales especially once the 5S or 6 is released. 

That would make sense if everyone upgraded at the same time or all phones were released at the same time. Out of 100 customers that were either new or upgrading on Sprint only 30 chose the iPhone. How it that influenced by the upgrade cycles? Do you really believe that they bought Win phones or BBs? Or is it more likely that they went with Android?
Edited by dasanman69 - 4/24/13 at 9:13am
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post #17 of 39
Quote:
Originally Posted by Gatorguy View Post

According to 9to5

 

 

Great! So they ain't a Fornecedor de verdade either.

post #18 of 39
Quote:
Originally Posted by Gatorguy View Post

According to 9to5

AT&T’s Q1 results
 revealed sales of 4m iPhones, or 67% of all its smartphone sales. This is down from 84% in the final quarter of 2012 which is of course the holiday quarter where people give and receive gifts…

[URL=http:/2013/04/24/att-and-sprint-both-report-falling-iphone-sales-percentages-in-q1-2013/]http://9to5ma*.com/2013/04/24/att-and-sprint-both-report-falling-iphone-sales-percentages-in-q1-2013/[/URL]

Put a c in place of the asterisk.

Just because they said it doesn't make it so of course. That's just the source for my post.

9to5 Mac is wrong I think. WSJ says 4.8M up from 4.3M from the same quarter last year.

http://online.wsj.com/article/SB10001424127887323735604578441141770990394.html
post #19 of 39
Quote:
Originally Posted by dasanman69 View Post


Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?

 

Upgrade cycle!

 

iPhone 4S is, still, less than two years old.

post #20 of 39
Quote:
Originally Posted by Rogifan View Post


9to5 Mac is wrong I think. WSJ says 4.8M up from 4.3M from the same quarter last year.

http://online.wsj.com/article/SB10001424127887323735604578441141770990394.html

Agreed. Based on the links some others provided in this thread 9to5 made a fairly big rounding error.1bugeye.gif

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post #21 of 39
Error in article - Sprint Q4 2012 was 2.2 MM iPhones out of 6.1 MM smartphones or 36%. This quarter was 1.5 MM iPhones out of 4.5 MM smartphones or 33%. For 2012 - iPhone was about 33%. Sprint is the only one of the 3 not to increase the percentage iphones year over year.
AT&T is at 80% iphone and Verizon at 56% iphone. Sprint's non-LTE network is very slow so I suspect they are not getting the lower end sales that the other carriers are getting.
post #22 of 39
Quote:
Originally Posted by gwmac View Post

Since AT&T were the exclusive iPhone carrier for several years they managed to gain subscribers from other carriers specifically to get an iPhone. Now that all the carriers have the iPhone that is no longer an issue and you may start to see some leave AT&T again to go back to their former carriers. Right now everything is all in flux since Verizon is the only carrier with a pretty developed LTE network. But by the end of the year AT&T and Sprint will both have substantial LTE coverage as well then people can start comparing plans, costs, in addition to coverage and you might start to see far more churn. 

I doubt that many people will move because of the new data plans. Why would I leave a grandfathered unlimited data plan with AT&T for a capped one on VZW?
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post #23 of 39
Quote:
Originally Posted by piot View Post

Upgrade cycle!

iPhone 4S is, still, less than two years old.

But not all other phones were released on that same day. Not all other upgrade cycles are synchronized, and what about the other 70%? They were upgrading, were they not? But they chose a different device. Again out of 100 people buying a smartphone with Sprint last quarter only 30 chose the iPhone. So why did the other 70 not choose the iPhone? Because the iPhone 5 was 4,5,6 months old? Did they choose a older SGS 3,or a equally old Motorola phone, or Win phone?
Edited by dasanman69 - 4/24/13 at 9:31am
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post #24 of 39
Quote:
Originally Posted by Steven N. View Post

Lets see:
AT&T iPhone gets 80%
Verizon iPhone gets 55%
Sprint iPhone gets 30%

Odd. I understand the AT&T being so strong but it really puzzles me on Sprint and Verizon being so different.

Subscriber socio-economics (at least in part), I am guessing?

post #25 of 39
Quote:
Originally Posted by Gatorguy View Post

According to 9to5

AT&T’s Q1 results
 revealed sales of 4m iPhones, or 67% of all its smartphone sales. This is down from 84% in the final quarter of 2012 which is of course the holiday quarter where people give and receive gifts…

[URL=http:/2013/04/24/att-and-sprint-both-report-falling-iphone-sales-percentages-in-q1-2013/]http://9to5ma*.com/2013/04/24/att-and-sprint-both-report-falling-iphone-sales-percentages-in-q1-2013/[/URL]

Put a c in place of the asterisk.

Just because they said it doesn't make it so of course. That's just the source for my post.

AT&T's call sheet has 4.8 million. 9to5Mac seems to have dropped 800,000 units due to rounding.
post #26 of 39
Quote:
Originally Posted by anantksundaram View Post

Subscriber socio-economics (at least in part), I am guessing?

I just looked on the Sprint website and they have the iPhone 5 for $99.99. If you're to broke to afford that then you shouldn't be getting a smartphone.
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post #27 of 39

Sprint is dead.  The once cell phone titanic is on its way to the bottom.  The other companies will scramble to save the surviving tech from it's hull and let it sink.  Yay.

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post #28 of 39
Quote:
Originally Posted by dasanman69 View Post


But not all other phones were released on that same day. Not all other upgrade cycles are synchronized, 

Why do you find this so hard to understand?

 

 

US smartphone ownership passed 50% back in 2012.

 

Therefore, the majority of smartphone buyers (in Q1 213) are upgrading from.... a previous smartphone.

 

Probably after a period of around 2 years.

 

iPhone users tend to buy another iPhone.

 

Two years ago the majority of AT&T's smartphone users ... had an iPhone. Two years ago the majority of Verizon smartphone owners.... didn't.

 

 

 

 

Simples!

 

<Disclaimer> There are, of course, additional reasons. </>

post #29 of 39
Quote:
Originally Posted by piot View Post

iPhone users tend to buy another iPhone.

And I'd say that Android users tend to buy another Android which is why the numbers for VZW and Sprint are not the same as AT&T. Why is THAT so hard for YOU to understand? If it's true one way can it not be also true the other? If you have another theory on why 7 out of 10 people on Sprint getting a smartphone did not choose the iPhone I'd like to hear it.
Edited by dasanman69 - 4/24/13 at 12:49pm
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post #30 of 39
Maybe Sprint wouldn't lose customers if their flipping 3G service didn't suck so bad. I'm hoping 4G goes live in my area soon. What good is an unlimited data plan if I can barely use it.
post #31 of 39

Well I agree with you on Sprint and yes in LTE area where there is good coverage Sprint is great. Problem is their coverage area.  It sucks.  I am using a Virgin Mobile internet device and it is on 3G.  It uses sprint network.  The 3G usage is terrible compared to my ATT iPhone that gets way better data speeds.  I made a mistake purchasing this Virgin Mobile sprint network device.

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post #32 of 39

You seem to have forgotten which post I responded to: post #17

 

"Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?"

 

Other people have provided possible reasons for Sprint's figures.

 

 

Quote:
Originally Posted by dasanman69 View Post


And I'd say that Android users tend to buy another Android which is why the numbers for VZW and Sprint are not the same as AT&T. Why is THAT so hard for YOU to understand? If it's true one way can it not be also true the other? If you have another theory on why 7 out of 10 people on Sprint getting a smartphone did not choose the iPhone I'd like to hear it.

 

 

OK. You seem to be getting the picture now. That's a good thing!

 

Look, I realize that you are getting your panties in a bunch because 3 models of iPhone are posting higher figures, in the US,  than all other brands put together.... but that's just the way it is. It was the same throughout 2012... and 2013 has started in the vein.

 

Don't worry. I am sure it won't always be this way.

post #33 of 39
Quote:
Originally Posted by piot View Post

You seem to have forgotten which post I responded to: post #17

"Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?"

Other people have provided possible reasons for Sprint's figures.




OK. You seem to be getting the picture now. That's a good thing!

Look, I realize that you are getting your panties in a bunch because 3 models of iPhone are posting higher figures, in the US,  than all other brands put together.... but that's just the way it is. It was the same throughout 2012... and 2013 has started in the vein.

Don't worry. I am sure it won't always be this way.

Read the previous posts. I've always had the picture correct. It was other posters that couldn't understand those simple facts. Upgrade cycle is not a good answer to explain why 7 out of 10 people didn't choose the iPhone because their upgrade cycle is up for renewal. The iPhone was there for them to choose but they chose otherwise. Are they saying that because the iPhone 5 isn't 'new' or just released that they'd rather choose a different phone for the next 2 years?
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post #34 of 39

The industry wide accepted practice is comparing sales in the current quarter to sales in the same quarter the following year. You don't come consecutive quarters. When using the proper measure, Sprint sold the same amount of iPhones in Q2 last year as this Q2 this year. So, Sprint's sales of iPhones were not down. 

post #35 of 39
Quote:
Originally Posted by dasanman69 View Post


Read the previous posts. I've always had the picture correct. It was other posters that couldn't understand those simple facts. Upgrade cycle is not a good answer to explain why 7 out of 10 people didn't choose the iPhone because their upgrade cycle is up for renewal. The iPhone was there for them to choose but they chose otherwise. Are they saying that because the iPhone 5 isn't 'new' or just released that they'd rather choose a different phone for the next 2 years?

 

"Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?"

 

"Upgrade cycle is not a good answer to explain why 7 out of 10 people didn't choose the iPhone because their upgrade cycle is up for renewal"

 

 

Maths problem?

post #36 of 39
Quote:
Originally Posted by piot View Post

"Then why the difference in numbers? Why are iPhones only 55% of the sales on VZW, but almost 70% on AT&T?"

"Upgrade cycle is not a good answer to explain why 7 out of 10 people didn't choose the iPhone because their upgrade cycle is up for renewal"


Maths problem?

Not at all. I was referring to the 30% of people on Sprint that chose the iPhone.
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post #37 of 39
How is sprint loosing so many sales, they are my second choice for a company.
post #38 of 39
sprint service sucks ass and it's signal quality is horrible. Siri does not work on the network anywhere I try in New Mexico and i'll be another loss for them as soon as my contract is up in October. And my wife with her iPhone so make that 2 more losses.
post #39 of 39
Quote:
Originally Posted by Curtis Hannah View Post

How is sprint loosing so many sales, they are my second choice for a company.

Like that helps.
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