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Only short lines formed this time around for the iPhone's launch on Verizon. Apple and Verizon were clearing expecting much bigger crowds.  (Source: Reuters/Mike Segar)

Apple's Steve Jobs may not be as far removed from the company as thought. Despite being on medical leave he is reportedly holding multiple meetings and even visited Cupertino campus, preparing for the upcoming iPhone 5 and iPad 2 launches.  (Source: European Pressphoto Agency)
For all the hype AT&T's iPhone 4 launch was far bigger

It was to be the biggest phone launch of the year.  At long last the much beloved iPhone was launching on "America's most reliable network", Verizon Wireless.  The carrier clearly expected an epic turnout, so it erected metal barricades in front of its city stores like in New York and San Francisco.  It also beefed up its staff for launch day (Thursday).

But ahead of the 7 a.m. opening of the store on Thursday only a small contingent of Apple fans gathered outside the building.  In New York City at 6:30 a.m. lines tended to have only 10 to 40 people.  One might suspect the cold winter weather might play a role, but consider that stores in San Francisco, which is enjoying far nicer weather, only saw 20 people.

Through the day a moderate stream of customers came in to pick up their pre-ordered iPhone.  Pre-orders were open two days -- on Feb. 3 for existing customers and on Feb. 9 for the general public.

Intriguingly, despite supposedly being "superior" to AT&T in terms of service quality, the turnout at Verizon seemed quite anemic to the hordes of people that camped outside Apple and AT&T stores last July.

Even Verizon Wireless spokesperson Brenda Raney admits that her company was a little surprised by the low turnout.  While she describes the sales as "brisk and steady" she comments to Reuters, "We prepared for more. When you have people over for dinner, don't you prepare for more?"

It's hard to determine what exactly was the cause of poor response.  Perhaps it's a sign that Apple is losing more momentum to Android.  Or perhaps it's a sign that not as many AT&T customers are interested in switching as predicted.  Regardless, while Apple and Verizon Wireless would never admit it, the launch clearly was a disappointment to their high expectations.

In other related news, Apple founder and chief executive Steve Jobs is now back to work -- from home.  According to The Wall Street Journal, sources at Apple say that while Mr. Jobs' health problems forced him to take a medical leave and largely confined him to home, he's been able to hold regular meetings via teleconference.  And he was even spotted visiting Apple's Cupertino campus on one day.

While Apple Chief Operating Officer Tim Cook is currently guiding the company in an official capacity, Jobs is reportedly continuing to guide the company in an unofficial capacity.  He reportedly is especially focused on executing a successful launch of the iPad 2 sometime in the next few months, and the iPhone 5, which is expected to launch this summer.  Both devices will be offered on both of America's largest carriers -- AT&T Inc. and Verizon Wireless.

An Apple spokesperson commenting to The Wall Street Journal states, "Steve is the CEO of Apple and during his medical leave he'll continue to be involved in major strategic decisions."

Medical experts consulted by the WSJ say that Jobs' increasingly gaunt appearance in recent months and illness is likely a sign either that his cancer has reoccurred or that he's experiencing complications with his organ transplant.  Either way, the hard-driving general isn't able to full step away from his duties at the company; that much is clear.



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RE: not a surprise
By atlmann10 on 2/14/2011 1:34:25 AM , Rating: 2
This is actually kind of funny if you think about it (Maybe not if your on At&t or Verizon's board right now, but to everyone else), iPhone customers to a great percentage (existing ones) have a contract that started from June 14th to probably the middle of July.

I am not saying all here I am saying a large percentage. Then this was advertised as well as know to any long term user, Apple intro's new iPhone's for 3 versions now at there June conference. On top of that if you were with Verizon, and had to have an iPhone you left and went to At&t. If you wanted a smart phone, but were not directly set on an iPhone particularly they had those.

The people that had to have a Verizon iPhone and were customers upgraded a week earlier. The people at At&t that have an iPhone and hate At&t also generally know there will be an iPhone 5 on both networks on June 14th. That is 4 months to the day from today, plus you save money not busting your contract (most likely enough to afford it when the new one comes out).

What Verizon got for new customers are those that had to have it and on there network NOW. Those users will also most likely upgrade when the new one's drop in June even though they just upgraded in the last two weeks. So it actually seems to me on those customers Verizon gets double money, and shortens there time to profitability on the specific product.


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