Analyzing Apple's weekend phone sales - Top Stocks Blog - MSN Money
 
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Analyzing Apple's weekend phone sales

Posted Jul 14 2008, 12:42 PM by Kim Peterson
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Apple sold 1 million of its new 3G iPhones over the weekend -- an impressive achievement given the glitches, server issues and other frustrations that accompanied the launch. The company's shares are up more than 1% today to $175.06.

The number may be a bit misleading, as Fortune points out. Apple retail stores mark a phone as sold when it leaves the store in a customer's hands. But phones going to partners like AT&T and other wireless carriers get classified as sold when they're shipped from the factory. So a phone could be on a boat somewhere and already look like it's sold on the books.

Any phones in transit should sell fast, so we'll go with the 1 million figure. Add that to the 6 million original iPhones sold, and Apple will have no problem hitting its goal of selling 10 million iPhones by the end of this year. Now, the guessing game will focus on how far above that goal the company is able to go. I think 20 million is within reach. Friedman Billings Ramsey thinks Apple will build at least 15 million 3G phones this year.

Apple's online "App Store" has a figure to brag about as well. More than 10 million programs have been downloaded from the store since it opened last week. We don't know what this means in terms of revenue, since many of the applications are free. But it does show that the iPhone is on its way to becoming a mobile personal computer -- the next big platform for developers and users. And the next big profit generator for Apple.

Related reading:

3G iPhone rollout suffering glitches

New iPhone will jump-start demand for wireless broadband

iPhone: The new personal computer

Did Apple set developers up for failure?

iPhone's mediocre battery life still beats rivals

Update: I clarified the distinction between sales at Apple's retail stores and to partner carriers in the second paragraph.

Comments

 

what a collassal waste of $$$$$$$....do you really need to be connected 24/7, if you do you need some new friends or just friends in general.  All you iphone buyers are just brainwashed sheep...

I would take with a grain of salt any of Apple's "official" sales figures regarding any of their overhyped and overpriced gadgets, especially the plane Jane iPhone.  I seriously doubt that they sold over the weekend anywhere near the 1 million they claimed.  There are hundreds of thousands of the original iPhones still sitting unsold and unwanted on store shelves in Europe. So much for Apple's claims of millions of these clunkers sold. Blackberry kicks iPhone back to the Stone Age without all of the "revolutionary" Jobs' hype.

I just got my Iphone and LOVE IT!!! Who ever said that alot of the previous Iphone owners would upgrade...they were right. I'll bet have the people in line Firsay morning already had Iphones and were there to get the newest one! I've had mine now for 3 days and Love It! I think everyone should have one! As for it being girly...there were alot of Hott guys there to get their new new Iphone!! :)

Its a friggen phone...getta life people!...If you waited in a line to get one?...LOOSERR!!!!!

The iPhone 3G sucks!  Went to purchase one today and wanted to "link" a Bluetooth keyboard to the iPhone for easier use.  Hate the darn touch keypad.  Anyhow, was told by Apple Geek that no can do.  Only the keypad can be used.  iPhone does not link to any Bluetooth keyboards, not even an Apple keyboard.  Go figure.

Also, there's no video recording, camera is only 2 megapixel, E-mail and even webbrowsing is pretty slow.

All considered, would rather stick with my Nokia which has 5 megapixel, video recording, internet browsing, GPS, applications, etc.  Only thing it does not have is the touchscreen and MS EXchange.

Wanted the iPhone just for MS Exchange so I can sync with my office, but with all the deficiencies, and the high cost of the calling plans, I walked out of the Apple Store in disgust.  

Personally, it just did not live up to the hype.  There are some things that it does well but the downs outweigh the ups.  Besides, it's locked to AT&T.  Would rather spend the money for a top of the line unlocked phone from either Europe or Asia.

I guess we, in America are so behind the times that the iPhone looks like cutting edge.

Sorry, but it's just not worth the money, time or hassle.

Why are so many Blackberry users compelled to degrade the Iphone?  Is their any reason for Blackberry owners who are soooo in love with their perfect phones to read articles concerning Iphones?  I can't figure it out.  

I own an Iphone and I don't feel the need to degrade other phones.  I'm secure in my ownership.

No one HAS to buy these "goodies". People should take responsibility for their finances and not buy what they can't afford. If you can afford an iPhone, great, if not, don't buy it. There are great deals out there on other types of cell phones. No one HAS to have an iPhone.

I tried to buy an iphone for my business, the Apple store had the phone but could not set-up a business account, only personal account - they sent me to AT&T. The AT&T store said we can set-up the business account but we have no phones, the two store were a few feet away from each other. Jobs wants to crack the Blackberry market but doesn't seem to understand corporate America doesn't have time to play his retail games. The AT&T people said Apple has the phones but won't release them so they can create buzz in market. AT&T forecasted 3 days to a month for delivery on "direct fulfillment orders" . I placed my order with AT&T and now I'll go back to Verizon to look at the new Blackberry and probably cancel my iphone order.

Using an iphone with ATT is like putting lipstick on a pig.

i have the old 8gig iphone  and ive had nothing but problems with it sincce i got it, if i didnt have att i would get rid of this piece of ***, also i tried to get apple or att to give me a rebate or one of the new phones because they came out with the new 3G and they basically told me to bad, both of the companys are a bunch of *** and i would never recomend it to anybody.

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