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Apple and AT&T score big with iPhone launch

Everyone knew that the iPhone was going to be big from the moment it was announced in early January. Apple CEO Steve Jobs hailed the device as the ultimate in mobile communications given that it could function as a phone, a mobile Internet device and as an iPod.

As the months progressed, the hype mushroomed even though the iPhone lacked a user-replaceable battery, physical keyboard, expansion slot, voice dialing, A2DP, MMS, iChat, flash support, copy and paste ability and video recording -- not to mention that the iPhone was tied solely to AT&T.

It appears that all of the minuses stacked against the iPhone weren't enough to phase buyers who lined up days in advance to purchase the latest "it device" from Cupertino. Not even the $499 (4GB) and $599 (8GB) price tags were enough to keep Apple from selling around 525,000 iPhones from 6:00 PM Friday evening through close of business on Sunday.

Nearly all of AT&T's stores were depleted of iPhone stock by Saturday whereas Apple's retail stores are currently faring much better (you can check iPhone availability here).

Apple's iPhone launch didn't go off glitch free, however. Many users complained of activation problems with iPhone. The iPhone can be activated through iTunes and the steady rush of users scrambling to activate their phones overloaded AT&T's servers.

"We are working on any issues on an individual basis with customers who were impacted," said Michael Coe, a representative for AT&T.

AT&T spokesman Mark Siegel noted that a "small percentage" of customers were having activation issues. "Our first priority is to get them up and rolling as quickly as we can," Spiegel continued.

For its part in the matter, an Apple spokesman simply said "There are a small percentage of iPhone customers who have had a less than perfect activation experience."

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RE: In 1 years time
By masher2 on 7/2/2007 2:33:09 PM , Rating: 2
> "Ah... So it looks like I have to tackle the masher. I figured this day might come."

I had an interesting idea that you and I could place a public wager on eventual iPhone sales, with DT holding the stakes and informing the public as to the outcome. What do you say?

I don't know if Apple will meet its own projection over the next 18 months, but I'm confident they'll sell at least 9 million units, far more than enough to establish the device as a flash-in-the-pan failure. Want to bet on that figure?

RE: In 1 years time
By Master Kenobi on 7/2/2007 3:49:03 PM , Rating: 2
No. Taking into consideration the worldwide market I expect them to sell around 15 Million. There are over 3 Billion cell phones in the world, so 15 Million should be a drop in the bucket.

RE: In 1 years time
By masher2 on 7/2/2007 6:08:44 PM , Rating: 2
> "Taking into consideration the worldwide market I expect them to sell around 15 Million..."

That's 50% higher than even Apple's estimates. You seem to be simultaneously predicting the phone will be a flop and a resounding success. :p

RE: In 1 years time
By Master Kenobi on 7/3/2007 10:15:13 AM , Rating: 2
Well a flop compared to the size of the market, but lets be serious, Apple has only (as someone corrected me) shot for 1% of the market. I was under the impression it was 4%, in which case I can't see them getting that much. 1% however is doable just on hype. If they are only shooting for 10 million iPhone's, they should be able to manage that, but not necessarily by the end of this year, maybe end of 08.

"Well, we didn't have anyone in line that got shot waiting for our system." -- Nintendo of America Vice President Perrin Kaplan
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