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Print 33 comment(s) - last by timothyd97402.. on Mar 4 at 7:02 PM

Carrier could have $100 million worth of unsold iPhones by midyear

The iPhone 5 has been a sales success for most carriers around the world. However, Cricket Wireless – the no contract prepaid network operated by Leap Wireless -- isn't having luck selling the iPhone 5 and is seeing stock levels climb as consumers opt for other devices.

Leap Wireless says that it believes it will sell about half as many iPhones as it committed to sell during the first year of its contract with Apple, which ends in June. Leap Wireless believes that the poor sales could leave it with as much as $100 million worth of unsold iPhones by the middle of 2013.


Leap Wireless has 5.3 million subscribers and areas where it can sell the iPhone are limited by its limited network coverage. Leap was the first of the major prepaid carriers in the US to offer the iPhone last year.

Perhaps the biggest challenge facing Leap Wireless and other prepaid carriers who offer the iPhone is one of cost. While carriers that require a contract, such as AT&T and Verizon, are able to subsidize the cost of the iPhone making it significantly cheaper up front, Leap charges the full retail price of $500.

Considering that pre-paid carriers tend to attract customers shopping on a budget coming up with $500 could be a stretch for many subscribers leading them to “cheaper”, subsidized phones.

Source: Wall Street Journal



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RE: MVNO's
By xti on 2/28/2013 10:39:35 AM , Rating: 3
the only spec you mentioned that appeals to the masses is the screen and 4G. I really wish my gs3 didnt have the clunky plastic look and feel. I hate how much better the apple app store is than google play. NFC is cool and obviously used heavy in marketing, but if you google tech sites, which are pro-heavy users, the usage is barely half...which translates to minimal given the average joe.

the point is, "cricket" and "non-subsidized phones" are practically opposing concepts.


RE: MVNO's
By Samus on 2/28/2013 11:38:32 PM , Rating: 2
considering the average lifetime of s phone is about 2 years maybe they should be made out of basic recyclable plastic.

also, if you drop the lighter, more impact resistant galaxy s3 from the same height as the heavier steel, aluminum and glass case of the iphone, guess which one is more likely to break?


RE: MVNO's
By xti on 3/1/2013 8:36:39 AM , Rating: 2
dont drop the phone? lol...


RE: MVNO's
By timothyd97402 on 3/4/2013 7:02:48 PM , Rating: 2
iPhone 4s is still the best made piece of kit I have ever owned. It is very nice looking and feels very solid. I have dropped it naked twice and you'd never know it. I checked out the Galaxy S3 and was not impressed with the look and feel and didn't really care about the screen size. I am not sure I feel the same about the iPhone 5.


"I want people to see my movies in the best formats possible. For [Paramount] to deny people who have Blu-ray sucks!" -- Movie Director Michael Bay














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