Pre-CDMA iPhone 4, 28% of Motorola's phone sales were on Verizon
Putting into perspective the threat of Verizon's new iPhone 4 carries for Android handset makers, a new report states that 28 percent of Motorola's phone sales came from Verizon before the iPhone went on sale.
More than a quarter of Motorola Mobility Holdings Inc.'s revenue in 2010 came from sales on Verizon's network, according to a new report filed Friday by Bloomberg. Verizon has played an increasingly important role with Motorola, as the handset maker saw 13 percent of its revenue from the carrier in 2008, and 17 percent in 2009.
Motorola is one of the premier Android device makers, ushering in the "Droid Does" marketing campaign with Motorola in 2009 with the launch of the first Motorola Droid.
Motorola's important relationship with Verizon was detailed in a regulatory filing made on Friday. In it, the Illinois company also indicated that a significant loss of revenue from Verizon "could have a negative impact on our business."
The details underscore the belief that Apple's end of iPhone exclusivity in the U.S. and decision to align with Verizon is strategic. Wall Street analyst Gene Munster with Piper Jaffray has estimated that Verizon accounts for roughly 20 percent of all Android users worldwide.
One rumor this week suggested that both Apple and Verizon are disappointed by launch sales of the CDMA iPhone 4, after it became available at retail on Feb. 10. That report also claimed that 30 percent of Verizon iPhone buyers were Android users switching to Apple's handset.
However, a Verizon spokesperson contradicted that report, and said the company was pleased with initial sales. No sales figures for the Verizon iPhone 4 have been released yet.
More likely, the real test for Android handsets on Verizon for device makers like Motorola will come when the so-called "iPhone 5" launches, expected around Apple's annual June timeframe. Then, both AT&T and Verizon -- the two largest carriers in the U.S. -- could potentially have a simultaneous launch of the new device.
More than a quarter of Motorola Mobility Holdings Inc.'s revenue in 2010 came from sales on Verizon's network, according to a new report filed Friday by Bloomberg. Verizon has played an increasingly important role with Motorola, as the handset maker saw 13 percent of its revenue from the carrier in 2008, and 17 percent in 2009.
Motorola is one of the premier Android device makers, ushering in the "Droid Does" marketing campaign with Motorola in 2009 with the launch of the first Motorola Droid.
Motorola's important relationship with Verizon was detailed in a regulatory filing made on Friday. In it, the Illinois company also indicated that a significant loss of revenue from Verizon "could have a negative impact on our business."
The details underscore the belief that Apple's end of iPhone exclusivity in the U.S. and decision to align with Verizon is strategic. Wall Street analyst Gene Munster with Piper Jaffray has estimated that Verizon accounts for roughly 20 percent of all Android users worldwide.
One rumor this week suggested that both Apple and Verizon are disappointed by launch sales of the CDMA iPhone 4, after it became available at retail on Feb. 10. That report also claimed that 30 percent of Verizon iPhone buyers were Android users switching to Apple's handset.
However, a Verizon spokesperson contradicted that report, and said the company was pleased with initial sales. No sales figures for the Verizon iPhone 4 have been released yet.
More likely, the real test for Android handsets on Verizon for device makers like Motorola will come when the so-called "iPhone 5" launches, expected around Apple's annual June timeframe. Then, both AT&T and Verizon -- the two largest carriers in the U.S. -- could potentially have a simultaneous launch of the new device.
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More likely, the real test for Android handsets on Verizon for device makers like Motorola will come when the so-called "iPhone 5" launches, expected around Apple's annual June timeframe. Then, both AT&T and Verizon -- the two largest carriers in the U.S. -- could potentially have a simultaneous launch of the new device.
I know we will have to wait, and there's no better afternoon sport (tongue firmly in cheek) than handicapping iPhone versus Android sales figures, but in less than 6 months we will have hard data on who is selling/not selling what. I suspect that Android is going to take a serious hit, but I reckon the proof will be in the pudding. Some early numbers should be coming pretty soon.
That is only slightly better than 1/4, there are 4 major carriers so logically it would be a 1/4 split 4 ways.
Now take in to consideration the massive droid ad campaigns from VZ..
I would think this would bring the percentage much higher then just a few points above 25%..
This is being sold as a "See look, iPhone is going to kill Moto"
Not going to happen.
Atrix sales will add to the AT&T%
Is is a shock to me that it is only 28%...
That is only slightly better than 1/4, there are 4 major carriers so logically it would be a 1/4 split 4 ways.
Now take in to consideration the massive droid ad campaigns from VZ..
I would think this would bring the percentage much higher then just a few points above 25%..
This is being sold as a "See look, iPhone is going to kill Moto"
Not going to happen.
Atrix sales will add to the AT&T%
Is it 28% of global sales?
More likely, the real test for Android handsets on Verizon for device makers like Motorola will come when the so-called "iPhone 5" launches, expected around Apple's annual June timeframe. Then, both AT&T and Verizon -- the two largest carriers in the U.S. -- could potentially have a simultaneous launch of the new device.
Everyone keeps thinking this. But actually, if Apple's pattern of every other iPhone release being a minor one holds true, then the iPhone 6 launch will be the true test. iPhone 5 would likely maintain the same design as the iPhone 4 and simply receive minor speed improvements, just as the iPhone 3GS wasn't a necessary upgrade from the 3G. That, and iPhone 4 owners' contracts will be expiring next summer, not this one. Only the most fanatical iPhone owners upgrade every year, considering contracts are for two years and you don't get the full discount until 24 months have passed.
[snipped pic]
Got 5. Hop on one of the bandwagons and move to Texas too.
Edit Oh, and I LOL'd at the pic. Good stuff.
Pfft! My iPhone gets 3-4 bars and can drop a call with 5!
Pfft! My iPhone gets 3-4 bars and can drop a call with 5!
Now that's magical!
Everyone keeps thinking this. But actually, if Apple's pattern of every other iPhone release being a minor one holds true, then the iPhone 6 launch will be the true test. iPhone 5 would likely maintain the same design as the iPhone 4 and simply receive minor speed improvements, just as the iPhone 3GS wasn't a necessary upgrade from the 3G. That, and iPhone 4 owners' contracts will be expiring next summer, not this one. Only the most fanatical iPhone owners upgrade every year, considering contracts are for two years and you don't get the full discount until 24 months have passed.
But if iPhone 5 has resolved antennae issues then I can see a lot of users upgrading. I certainly will for that reason alone if it's sorted - as it should be.
Is is a shock to me that it is only 28%...
That is only slightly better than 1/4, there are 4 major carriers so logically it would be a 1/4 split 4 ways.
Now take in to consideration the massive droid ad campaigns from VZ..
I would think this would bring the percentage much higher then just a few points above 25%..
This is being sold as a "See look, iPhone is going to kill Moto"
Not going to happen.
Atrix sales will add to the AT&T%
Its actually huge considering Moto sells phones worldwide.
Why buy the iPhone4 when they can wait 4 months and get the iPhone5? What surprises me is that so many people actually DID buy the Verizon iPhone 4.
What amazes me is there are people that keep saying they are surprised that people aren't waiting for an unknown amount of time for an unannounced product with unannounced features.
Just exactly what new feature should people being putting off their purchase for?
Is is a shock to me that it is only 28%...
That is only slightly better than 1/4, there are 4 major carriers so logically it would be a 1/4 split 4 ways.
First, this is 28% of *all* MMI sales. That includes the billions of dollars of cable boxes they sell every year. Verizon's share of MMI mobile devices sales is 38%.
Second, this is across all carriers in the world, not just the four US carriers.
Finally, the VZW sales make up a disproportionate share of MMI smartphone sales. Remember, MMI still sells almost two "dumb" phones for every smartphone, but the vast majority of the dumb phone sales are on other carriers. VZW accounts for at least 50% of MMI smartphone sales, if not more.
There is no doubt that they will be hit hard by the Verizon iPhone. I will be surprised if they do not slide back to a loss in the coming quarter. The Xoom's DOA pricing scheme won't help either.
Atrix sales will add to the AT&T%
AT&T's Android share has remained trivial, even with them now offering top models like the Galaxy S. The simple fact is that Android is not the preferred phone choice when iPhone is available on the same carrier, and AT&T is not the preferred network choice when a given phone is available on all carriers. If you cross the unpreferred phone with the unpreferred network, you get...not a lot of sales.
What amazes me is there are people that keep saying they are surprised that people aren't waiting for an unknown amount of time for an unannounced product with unannounced features.
Just exactly what new feature should people being putting off their purchase for?
I can see that, but I think most people (here) are really saying, ?I?m holding off on a new Mac until I see what they have out next. Until then my current Mac will suit me just fine as the current models aren?t enough to make me want to upgrade again just yet."
Why buy the iPhone4 when they can wait 4 months and get the iPhone5? What surprises me is that so many people actually DID buy the Verizon iPhone 4.
Because some of us have been dealing with AT&T's lack of coverage for data and voice (and I live in a major metropolitian area) and dropped calls for years that it was time to move on. Besides, the iPhone 5 is vapor-ware at this point. Why wait four more months for something that just might be more of a software upgrade than a hardware upgrade?
With Apple just begining to hire LTE engineers, I can't see the next iPhone being 4G compatible.
With that said, a lot of Verizon customers wanted this phone, but wanted Verizon more than AT&T.
I can see that, but I think most people (here) are really saying, “I’m holding off on a new Mac until I see what they have out next. Until then my current Mac will suit me just fine as the current models aren’t enough to make me want to upgrade again just yet."
I agree with your point for the select number of people who visit these types of forums. However, I would say that most of the Apple consumers have no idea about these things until it makes it to the mainstream news outlets. For people to say you should wait some unknown amount of time for a phone with features we know nothing about is a bit crazy to me.
These are the same boards that were calling people crazy for buying iPad's during Christmas because the new iPad was coming right after Christmas. While that still may hold true, there has been nothing from Apple about it. Meanwhile, those people are happily using their iPad's.
Why buy the iPhone4 when they can wait 4 months and get the iPhone5? What surprises me is that so many people actually DID buy the Verizon iPhone 4.
Are you sure that the iPhone 5 is going to be coming in 4 months?
But if iPhone 5 has resolved antennae issues then I can see a lot of users upgrading. I certainly will for that reason alone if it's sorted - as it should be.
Why would the resolution of an "issue" that affects virtually no one result in mass user upgrades?