Apple’s exclusive US iPhone carrier, AT&T has announced their Q2 2009 financials, and when it comes to the iPhone, more is… well, more.
- 2.4 million iPhones activated during the quarter
- (Apple sold 5.2 million, so that obviously doesn’t include international or as-yet unactivated iPhones).
- 1.4 million new customers.
- 3.4 billion (with a b!) in data revenue.
The downside? AT&T had to swallow those iPhone subsidies up front, leading in part to a 15% fall year over year:
“Increased operating expenses in the second quarter of 2009, in part, reflect volume-based acquisition costs associated with the success of the iPhone 3GS launch, which started June 19. AT&T’s iPhone customer characteristics are attractive, with (average revenue per user) significantly higher than and churn rates well below the company’s postpaid averages; as a result, robust iPhone demand drives strong recurring revenues and substantial long-term value. AT&T iPhone subscribers, both new customers and upgrades, take two-year contracts with data packages. As a result, robust iPhone demand drives strong recurring revenues and substantial long-term value.”
Translation: It cost them a few hundred bucks per user now, but those users are giving them back a hundred bucks a month for the next 24 months. Do. The. Math.
The big picture remains, however, that AT&T needs the iPhone to keep customers, get new customers, and earn big money off those high value customers.
[via Apple Insider]
UPDATING ON LIVE CONFERENCE CALL:
- Waiting for call to start, any minute now. Will post updates only when major iPhone-ish news is announced (or inner fanboy takes over).
- Covering Macs
- iPod touch growth, customers embrace superior features and apps.
- US market share for MP3 players 70%, gaining share in most international markets
- UK, France, Germany, Japan, Australia, China, growing.
- iTunes store had good quarter.
- DRM free now all 4 major labels and indies.
- App Store unparalleled succes.
- 35,000 apps, +20,000 since last call
- Almost at 1 billion downloads
More after the break!
Read the rest of this entry »
Exclusive US iPhone 3G carrier AT&T announced their Q2 results yesterday, and during their conference call informed us of this staggering little factoid:
[S]ales of Apple’s iPhone 3G during the first twelve days were nearly double that of last year, this despite shortages that have seen backorders stretch one to three weeks at its retail stores.
We already knew Apple had sold 1,000,000 of their second-generation handsets in just 3 days (almost 25 times faster than the original iPhone 2G), but that was (I assume) a global number covering the 22 launch countries (and may have included units in partner channels). This quantity — while ironically not quantified — is US specific, and is impressive given that some pundits felt the all-important early adapters already had iPhones, and would get 2.0 for free, and so would likely have less incentive to upgrade. Maybe, maybe not. The $199 cost-of-entry could have triggered an even bigger flood of first time buyers who had balked at the previous price point.
Read
