backtop


Print 86 comment(s) - last by sleepeeg3.. on Feb 2 at 6:03 PM


  (Source: Edible Blog)
iPhone likely seized over a half of all U.S. smartphone sales

AT&T Inc.'s (T) blowout quarter was newsworthy enough, but it dropped a bit of a shocker in its numbers release -- 7.6 million iPhone activated for the quarter, with 9.4 million smartphones sold.  That means the iPhone outsold Android and Windows Phone combined nearly 4-to-1 on America's largest carrier.

(Now some have pointed out that "activated" phones can include third party sales, free phones, etc. and are distrustful of AT&T's assertion that the "majority" of activated iPhones are iPhone 4Ss... in other words they're saying that Verizon and AT&T's iPhone numbers are skewed in Apple's favor.  But a report indicates that 9 out of 10 iPhones purchased are iPhone 4Ss -- and much of the remainder is likely iPhone 4 sales, so this seems like sour grapes. -JM)

Apple, Inc.'s (AAPL) success with iPhone 4S is so startling that it deserves a recap:

The players:
  1. Verizon Wireless
    (joint venture between Verizon Communications Inc. (VZ) and Vodafone Group Plc. (LON:VOD))
  2. AT&T
  3. Sprint Nextel Corp. (S)
  4. Deutsche Telekom AG's (ETR:DTE) T-Mobile USA
Results (Confirmed: AT&T and Verizon; Pending: Sprint and T-Mobile's, italicized):

iPhone dominates
So, the disclaimer here is that Sprint and T-Mobile did not report their quarterly earnings yet, much less their smartphone sales.  And judging by past earnings reports, Sprint may not give solid numbers for iPhone sales and neither carrier is likely to give concrete estimates of smartphone sales.  But there's no reason, based on past numbers, to expect these carriers to be selling smartphones at a significantly higher per-subscriber percentage than Verizon/AT&T.

Let's say we're horribly off and that the iPhone sold only ~52%.  Recent estimates show Canada's Research in Motion, Ltd. (TSE:RIM) to hold about 6% of U.S. sales, while Microsoft Corp. (MSFT) and others took up about 5 percent of sales.  That would place Android at around 37%.

The odd thing is even the best analyst estimates didn't see this coming.  They predicted a near tie for Apple in the U.S., but did not predict an Apple victory to this extent.

Android and Apple have had a dramatic role reversal.  Ironically this reversal came on a launch that many analysts complained lacked enough new features (the only major upgrade was Siri) to impress buyers.  

iPhone 4S
Analysts thought the iPhone 4S would flop.  How wrong they were.
[Image Source: The Tech Journal]

The iPhone on AT&T was boosted in part due to strong legacy sales -- the iPhone 4 retails for $99 USD with 2-year contract on AT&T, while the iPhone 3GS is free with contract.

Will the mass-market invasion of Android 4.0 Ice Cream Sandwich in H1 2012 stem the rising iPhone tide?  Will Windows Phone finally gain a leg up in the U.S. market? There are plenty of unknowns for the upcoming year, but it is clear that Apple absolutely owned the holiday 2011 U.S. sales.

Source: AT&T



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: Just goes to show
By mckinney on 1/26/2012 7:53:44 PM , Rating: 2
Eric Schmitt keeps claiming 255 million (700,000 per day) Android activations per year. Who is building these? According to the above, there are only 110k per day in the US. Who is building the other 590,000 per day? Samsung is the largest Android handset maker and at last report were "shipping" 20 million per quarter (80 million total per year)
If the other manufactures are selling less, where are all the 175 million handsets coming from? Not Nokia....


RE: Just goes to show
By mcnabney on 1/27/2012 11:30:10 AM , Rating: 2
HTC, LG, Motorola...

Also, I think Eric was talking about Android devices, not just smartphones. Apple frequently ropes Apple TV, iPods, and tablets in with their numbers as well. The lines really blur now between products.


RE: Just goes to show
By priusone on 1/27/2012 12:56:29 PM , Rating: 2
Worldwide vs the USA


"If they're going to pirate somebody, we want it to be us rather than somebody else." -- Microsoft Business Group President Jeff Raikes














botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki