Apple sells one million iPhones in 74 days

Apple today announced it sold its one millionth iPhone yesterday, just 74 days after its introduction on June 29. iPhone combines three devices into one-a mobile phone, a widescreen iPod, and the best mobile Internet device ever-all based on Apple’s revolutionary multi-touch interface and pioneering software that allows users to control iPhone with just a tap, flick or pinch of their fingers.

“One million iPhones in 74 days-it took almost two years to achieve this milestone with iPod,” said Steve Jobs, Apple’s CEO, in the press release. “We can’t wait to get this revolutionary product into the hands of even more customers this holiday season.”

Apple has hit the first of their two publicly-stated goals: 1 million iPhones sold by the end of September 2007 (21 days early). Apple also has a goal (however laughably conservative it may be) of selling 10 million iPhones in calendar 2008.

Apple CEO Steve Jobs said in his Macworld Expo 2007 keynote address that Apple would set the goal of selling 10 million iPhone units in 2008, the first full year on the market. (Macworld Expo 2007 iPhone Introduction: Jobs’ remarks on iPhone goals begin at 1:15:52 into the QuickTime video). On July 25, 2007, during Apple’s conference call discussing Q3 – 2007 financial results, Apple CFO Peter Oppenheimer reiterated Apple’s goal of selling 10 million iPhone units in “calendar 2008.” (Apple’s Q3 07 Apple Quarterly Results Call: Oppenheimer’s remarks on iPhone goals begin at 6:05 into the QuickTime audio stream).

Going forward, Apple’s iPhone price reductions and launches outside the U.S. will change much about these figures, but here’s what we know today about Apple’s position in the market:
• Apple sold an average of 13,514 iPhone units per day in each of the first 74 days (mostly at launch prices)
• Without taking the price cuts into account, Apple will sell 1.233 million iPhones in the first quarter.
• Using the latest numbers Canalys has available on their website (Q4 2006 – Holiday Quarter):
– Apple (with summer U.S. sales only) outsold Sony Ericsson’s worldwide holiday smartphone unit sales (1.137 million units, 5.1% market share)
– Apple (with summer U.S. sales only) outsold Palm’s worldwide holiday smartphone unit sales (1.211 million units, 5.5% market share)
– Apple (with summer U.S. sales only) places just behind Motorola’s worldwide holiday smartphone unit sales (1.463 million units, 6.6% market share)
– According to Canalys, Nokia led with 11.114 million “smart mobile device” shipments in Q4 2006 (50.2% share); RIM was second with 1.829 million (8.3% share).

(Note that we are comparing projected Apple iPhone sales in Q3 2007 (summer) to Q4 2006 (holiday) figures for others because they are the best numbers we have available to us at this time. We conduct this exercise in order to give some sense of where Apple stands in the market.)

With the iPhone’s stunning price cut, the ramp up around the world soon to begin, and the holiday season approaching, you can see just how quickly, viciously, and gluttonously Apple has moved into the world of smart mobile devices.

There’s no chance that the iPhone is going to get any significant market share. No chance.Microsoft CEO Steve Ballmer, April 30, 2007

[UPDATE: 1:40pm EDT: Corrected Nokia Q4 06 unit sales as per Canalys.]

73 Comments

  1. Symbian With a 72% marketshare for last year selling 18.7 million
    Gave a worldwide market of 25.97 million smartphones.
    Leaving the rest of the OSes (including Windows Mobile) to share 7.272 million, FOR THE YEAR.

    Apple selling 1 million in 74 days is impressive and on track for 10 million by end of 2008 will put them in an impressive position as far as marketshare, ahead of the less than 17% MS has

  2. Bad, bad news for the Razr 2.

    It always boggles my mind how people, when questioning the validity of the 10m by 2008 estimate, never consider global sales, the 2nd Generation iPhone, an expansion of the lineup and even further price drops of the current model.

  3. @eh and medelegant

    Medelegant, I fear that what you heard is true. However, the powerful counter-argument is that the only way to actually increase market share over competitors is to poach customers from said competitors. iPhone has a proven track record of poaching 25% of its customers from others, and we are not yet counting those who are waiting for there contracts/phones to run out before switching. Personally, I won’t move from my current provider (Bell) until there is a good reason. The iPhone is a very good reason.

    Further, I sort of hope that Apple stands up for what is right in this. Personally, I don’t use data, ’cause it’s too frickin’ expensive! Not much money to be made off me as long as things stay status quo.

    I these points make sense to Ted.

  4. “We can’t wait to get this revolutionary product into the hands of even more customers this holiday season.”

    Steve, you wanna put the iPhone into the hands of even more customers?? Make it available in more countries round the world! How ’bout starting with your friendly neighbours to the north?! So close…yet so far….!!

  5. Whether the iPod Touch will cut into sales of the iphone in the U.S. remains to be seen. But obviously this won’t be an issue anywhere else in the world right now, since you can only get the iPhone in the U.S.

    I think AAPL has done a real smart thing with the Touch: release a product worldwide that is kinda, sorta like the iPhone…just to satisfy everyone who is patiently waiting for an iPhone in their respective countries. You know, something to tide you over till the iPhone arrives. It’s a given that the Touch will sell like hotcakes.

  6. Forecast in this thread too! But upped in order of likelihood.

    1,000% chance of raining chairs in Redmond.

    MDN Word: Thinking. As in what was I thinking when the I said the iPhone won’t sell- S. Ballmer

  7. That average sales rate works out to 5 million iPhones per year, not 10 million. Trouble in paradise!

    On the other hand, the sales rate will almost certainly pick up with (1) the huge price drop, (2) Christmas, and (3) the caving-in of all the people, like me, who knew only one thing, and knew it full well: that we were going to WAIT a little, and not get the Revision A iPhone, at the highest prices.

    Despite my self-discipline, I’ll be getting one sometime after seeing what accouncements Macworld ’08 brings, and I’m probably not alone.

  8. remember, its 10 million iphones based on US sales.

    Now, Apple will launch the iphone in Europe in november which means that they are gonna sell shit loads!

    10 million in the 1st year?

    NO WAY! – more like 20 million!

  9. I have to admit, I jumped in with comments before reading the very full explanation of why 10 million is plausible, even without some sort of pricing-and-holiday-season deus ex machina.

    European and world sales.

    I do hope, once the American press reports how happy Europeans are with their 3G, unlocked iPhones, that the American carriers will start coming under pressure to treat us less abusively. It’s not only a humiliation and an embarrassment to have such a substandard data infrastructure as we near the end of the decade, but it amounts to a whopping national economic disadvantage.

    I only wish the upcoming spectrum auction were going to take place under a Democratic president, and not with the current short-sighted, bought-and-paid-for, telecommunications-lobbyist-friendly FCC. It seems like our last chance to have any real hope of catching up to the rest of the world over the next decade or so.

    Having said that, let’s please not take this thread political, if possible.

  10. > 1M in 74 days means they will only sell 5M in 365 days unless sales pick up allot.

    That’s right 5 million or more in the U.S. and 5 million or more in the rest of the world. Sounds like Apple is on track to meet or exceed.

    And folks… it’s 10 million units IN calendar year 2008. 2007 is just the warm-up lap.

  11. Save The Zune!:

    What the f*ck was that load of nonsense? Apart from the fact it was semi-literate, poorly written, so badly spelt as to be embarrassing, it was flat out wrong.

    Point 1. Assumption. And wrong at that. Who are ‘most’ that you talk about? Personal experience isn’t the same as real statistics.

    Point 2. This has been refuted so many times here and on RoughlyDrafted.

    Point 3. You obviously have no clue about marketing Apple-style, nor know anything about brand positioning.

    Point 4. What?? The Chinese knock-off is unsellable anywhere outside of China except as contraband.

    Point 5. No idea what this clown is talking about here.

    The iPod touch and iPhone’s screen is too small? You’re joking, right?

    And what the h*ll has Steve Job’s eyesight got to do with anything?

    The most embarrassing thing about this post is this person could quite easily be driving a car somewhere, or operating dangerous machinery, or – as is more likely – making your burger in McD’s. Breathtaking lack of command of the language and knowledge of the subject. Shockingly ignorant.

  12. @ Inquisitive
    How long before Apple sold 1 million iPods?

    It took Apple 2 years to sell it’s first million iPods. I believe this was before they released their iTunes for Windows. Things were Mac only unlike with the iPhone.

  13. Do not underestimate the Apple sales machine. The iPhone, iPod line-up and Intel machines make a formidable product line. The snowball is getting bigger and bigger.

    Consumers are getting smarter about buying products that not only look elegant, but actually perform as advertised. Apple fills that “niche”.

  14. So, in the 25 days that remain in this quarter, it is possible that the iPod Touch will outsell the iPhone 3:1, i.e., sell 1 million units?

    I think it is possible, but maybe not quite likely. In any case, a lot will be sold. But will we even be told how many sell? Apple reports the number of “iPods” sold each quarter without further detail or breakdown by model. As with the iPhone, will they report the iPod Touch separately? I thing they might, as it will be a runaway best seller, and good news is nice to report.

  15. “There’s no chance that the iPhone is going to get any significant market share. No chance.” – MS CEO Steve Ballmer

    Ballmer proves that it’s possible for his own breath to smell like his own ass.

  16. @Bill

    He’s right you know. Can the iPhone fully support Exchange? You know, sync email, calendar, notes… all that stuff? It can’t so as much as you hate it, Ballmer is right. I don’t like him that much, but he does make some sense here.

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