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What happened: AT&T on iTunes activation problems

CIO.com interviewed AT&T spokesperson Mark Siegel, who confirmed that Friday's activation server outage was due to massive worldwide demand. This may not come as a surprise, but it's the only official comment we've heard.

"The iTunes software appeared to have been so overwhelmed by demand [Friday] that customers were not able to go through that final stage and sync their iPhones," Siegel said.

Apple has not commented on their servers' performance on Friday. Nor have we learned any more about the other great mystery: the details behind the rocky MobileMe transition that lasted Wednesday through the weekend.

The CIO article also discusses Apple's physical supply chain for the iPhone 3G, and how it performed for the rollout. Analyst consensus: top notch. "Good job to Apple for mastering the physical supply chain so well that you have this high-profile launch and your problems are not on the physical side -- you have product in stock," said Kevin O'Marah, chief strategy officer at AMR Research.

[Via Reddit.]



CIO.com interviewed AT&T spokesperson Mark Siegel, who confirmed that Friday's activation server outage was due to massive worldwide...
 

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Ig

Apple is full of crap! While they plentifully stocked their stores with 3g iPhones, they neglected to stock the at&t stores. I can't even begin to wrap my head around the reason why but they are making at&t look really bad. When you think about it, most people go to corporate stores owned by their carrier to purchase a phone, obviously its different in Apple's case but that doesn't mean they shouldn't be sending constant supplies of the iPhone to at&t stores. Maybe its at&t trying to cut costs since apple employees do not work on commissions and at&t employees do.

July 16 2008 at 10:14 AM Report abuse rate up rate down Reply
primemotherboss

I really don't understand the methodology here. Apple hordes all the phones for themselves and makes it so that you are forced to wait hours in line and activate from sales associates who have very little experience with the activation process (as opposed to say, AT&T employees). So, even in a large city like Los Angeles (where I live), with 8 Apple Stores in the area, can at most deal with like 24 people at once. Wouldn't it be smarter to spread that supply around so at least people wouldn't have to wait hours in line before they are turned away?

Also, as someone who has a job, I can't wait in line until I get off work. I tried waiting at the Pasadena store at 6PM and the wait was 4 hours. While I was talking to the Apple Store employees about the wait another person in line offered to save my spot in line for $300. Apparently, the employees condone this behavior because the employees I was speaking with didn't say a word. But what if I had waited in line for 3-4 hours and then this douchebag lets 4 people cut in front of me because he "saved" their spots for a price? How can the Apple Store employees allow this to happen?

July 15 2008 at 11:11 PM Report abuse rate up rate down Reply
Ian Klier

Another issue that they were having is that customers with a corporate discount on their accounts couldn't activate new 3G iPhones while the discount was applied to there account; so many people were on the phone with AT&T trying to get that sorted out while other folks waited in line.

July 15 2008 at 7:11 PM Report abuse rate up rate down Reply
Virtuous

Apple should have shipped at least 10 million iPhones to stores worldwide for launch day and 10 million per week thereafter. Nokia sells 10 million phones per week.

July 15 2008 at 6:28 PM Report abuse rate up rate down Reply
homagetogorto

You're sure loving that ex-parrrrrot!

The thing that slays me is that *Twitter* had the foresight to beef up their infrastructure just for WWDC, but Apple and/or AT&T didn't do the same around this launch. Especially WTF-making when that infrastructure is tied into selling a product -- and an expensive product and a long-term contract at that.

July 15 2008 at 6:16 PM Report abuse rate up rate down Reply
Eric

If you cant get an iPhone in Manhattan, there is no supply anywhere. AND YOU CAN'T GET A PHONE IN Manhattan.

July 15 2008 at 5:45 PM Report abuse rate up rate down Reply
Eric

Today is Tuesday and there was a 400 person line around 2 apple stores in Denver - All sold out - again, people turned away.

Kudo's to Apple for the great supply chain mgmt.

July 15 2008 at 5:43 PM Report abuse rate up rate down Reply
Chris

Phone in stock? I don't think so. The entire state of Colorado is sold out of iPhones and has been since Saturday morning, this according to the guy at the Apple Store (Aspen Grove) and another guy at the AT&T store (Park Meadows). AT&T store quoted me 2-3 weeks for shipments to the store, and 10-14 days for a special order delivery.
Why didn't Apple learn their lesson last time? I don't get it? They brag about selling 1 million phones in a weekend...well I figure if they had shipped enough to cover demand that they would have sold 2 million...

July 15 2008 at 5:12 PM Report abuse rate up rate down Reply
adducci

In stock... they ran out of stock on all the phones in all 4 locations. I have been calling EVERY DAY with no luck at all. Where do you get your information?

July 15 2008 at 5:05 PM Report abuse rate up rate down Reply
Dorv

Even if AT&T gets a pass for "not ordering enough from Apple," then Top Notch means Apple Stores in KC being sold out since Saturday at 2:00 (When I was 20 back in line) everytime I call or stop in?

I think not.

July 15 2008 at 4:41 PM Report abuse rate up rate down Reply
1 reply to Dorv's comment
Dorv

Crap... I either double post or no post at all...

July 15 2008 at 4:42 PM Report abuse rate up rate down Reply
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