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AT&T activated 3.6 M iPhones in Q2 2011

AT&T said it was not concerned about the Verizon iPhone and its Q2 2011 earnings suggest this confidence was not misplaced. In the last three months, AT&T activated 3.6 million iPhones and 24% of these activations were for new customers, not renewals. iPhone subscriber churn was down slightly, suggesting there was no mass exodus of AT&T iPhone owners to Verizon.

Similar to other carriers, AT&T is experiencing a smartphone explosion. AT&T sold 5.6 million smartphones, a 43% year over year increase. The iPhone accounts for about 60% of this growing number, while the remaining 40% include BlackBerry, Android and Windows Phone devices. AT&T reportedly activated two million Android handsets last quarter, a number this respectable but not high enough to topple leader Apple. AT&T's postpaid business was the main beneficiary of this growing interest in smartphones. Almost 70% of its postpaid sales are now smartphones, not feature phones.

On the Apple side of the coin, AT&T accounted for almost 18% of Apple's Q3 2011 iPhone sales. The Cupertino company confirmed earlier this week that it shipped 20 million iPhone units last quarter and 3.6 million of these phones landed in the hands of AT&T customers.

[Via ZDNet's Between the Lines]



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AT&T said it was not concerned about the Verizon iPhone and its Q2 2011 earnings suggest this confidence was not misplaced. In the...
 

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Robert Perez

When you're on At&t with it's super fast 3g and ability to surf the web while on the phone (a godsend when you're on hold with customer service) who would want to go to Verizon? That plus the killer penalty fee make it a tough sell to ever jump ship. Most people on At&t get great coverage so it's no big deal.

July 21 2011 at 5:12 PM Report abuse rate up rate down Reply
The Jesus

How many of those 3.6m iPhones were 3GS? VZ's better service can't compete with a $50 iPhone, which still looks pretty damn good to lots of people that just want an iPhone, not necessarily the newest one.

July 21 2011 at 12:03 PM Report abuse rate up rate down Reply
asksf2003

I was one of the people that waited for the Verizon iPhone but now that I have it I am not impressed with the slow 3G. In retrospect I should have jumped ship and gotten the ATT iPhone. My brother's ATT iPhone is consistently faster than my Verizon 3G. I feel like I bought into the hype about Verizon having the best 3G network and I feel quite silly about it. I do have to say that the sound quality however is very good as opposed to the ATT iPhone.

July 21 2011 at 11:39 AM Report abuse rate up rate down Reply
1 reply to asksf2003's comment
The Jesus

Guess it depends where you are. In San Fran I share my Verizon hotspot with all the ATT iphones in my office, because their faster 3G is worthless without coverage.

July 21 2011 at 12:04 PM Report abuse rate up rate down Reply
Mike Gaudiello

Drat... I really want an iPhone but there's no point in buying it now with the iPhone 5 more than likely so close to release.

July 21 2011 at 10:26 AM Report abuse rate up rate down Reply
2 replies to Mike Gaudiello's comment
cabindory

If you always wait for the "next best thing" you'll never have anything, especially with Apple. The iPhone 4 is a solid phone that will still be supported for a few years. Go and get your iPhone, I upgraded to an iPhone 4 last week.

July 21 2011 at 11:19 AM Report abuse rate up rate down Reply
1 reply to cabindory's comment
Mike Gaudiello

I mean I can wait until September, I usually do get phones when they first come out.

July 21 2011 at 11:30 AM Report abuse rate up rate down
nrodriguez2@mac.com

If the next iPhone is to be designated as iPhone 5, I doubt it will be anything more than the iPhone 3Gs was to the iPhone 3G. I feel that the 3Gs is still a very good phone for $50.

July 21 2011 at 11:38 AM Report abuse rate up rate down Reply
2 replies to nrodriguez2@mac.com's comment
yarbogogo

There are no iPhoes for $50. When you have to add a 2 year contract- that plus the so call phone price are what you are paying. Try buying a phone without a 2 year contract. That would be a true phone price.

July 21 2011 at 1:31 PM Report abuse rate up rate down
Wayne Luke

Whether you buy it with contract or without, you're going to pay the same monthly fee if you want service. Spending retail on a phone is throwing money away. AT&T's iPhones start as low as $9.00 (refurbished models) now with the two-year contract. I am sure that boasted sales a little.

July 21 2011 at 6:39 PM Report abuse rate up rate down
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