Survey shows significant number of Verizon customers covet Apple iPhones

“Riffing on rumors of a Verizon iPhone, Morgan Stanley analyst Katy Huberty theorizes in a research note this morning that given the opportunity, nearly 17 percent of the carrier’s customers would upgrade to an iPhone,” John Paczkowski reports for AllThingsD. “‘According to our [Alphawise U.S. consumer iPhone survey], there is substantial pent up iPhone demand within the Verizon installed base as 16.8 percent of Verizon subscribers said they are ‘very likely’ to purchase an iPhone if offered on the Verizon Network,’ Huberty writes.”

“‘This 16.8 percent is higher than AT&T subscriber’s 14.6 percent extreme interest in the current AT&T iPhone,’ Huberty elaborates, ‘and well above the overall iPhone extreme interest of 7.5 percent,'” Paczkowski reports. “Assuming Verizon does add the iPhone to its smartphone lineup and that most of its subscribers who said they were ‘very likely’ to purchase the device do so over a two-year period, Huberty figures Verizon stands to sell about seven million to eight million iPhones annually.”

“Interestingly, Huberty’s forecast for Phone demand at Verizon does not assume sizable subscriber losses at AT&T. In her view, the end of the carrier’s iPhone-exclusivity deal won’t be the blow some observers claim. AT&T and Apple will obviously remain partners, she says,” Paczkowski reports. “In markets where the iPhone has gone from single-carrier to multiple-carrier distribution–France, for example–the carrier that lost exclusivity hasn’t suffered much at all.”

Paczkowski reports, “One final point: Huberty sees Apple shares hitting $400 sometime in 2011.”

Full article, with more info and charts, here.

[Thanks to MacDailyNews Readers “Fred Mertz” and “Andrew W.” for the heads up.]

11 Comments

  1. RIMM is the loser in this. If they have to stay with Verizon (or Sprint) the choice is what phone. If Japan is 72%, what is 72% of the smart phone market in the USA? If Apple wants it, they can take that too!

  2. “This 16.8 percent is higher than AT&T;subscriber’s 14.6 percent extreme interest in the current AT&T;iPhone,”

    uh, does AT&T;’s figure include current iPhone owners or not? That makes a big difference – people on AT&T;already who don’t have an iPhone probably don’t want one, for whatever reason. Otherwise they would have one. If they can’t afford $99 plus a data plan, they won’t be able to buy one anyway when a new iPhone comes out.

    If that figure includes current iPhone users, then I can see why they would not fall in the “extreme” category – they already own an iPhone!

    Rather silly to compare Verizon’s numbers to AT&T;’s without more clarification. I know many, many Verizon customers who will jump at the chance to get an iPhone when it becomes available. Almost all of them bought a Blackberry instead.

  3. Verizon would be taking a big risk if they brought over the iPhone. If they did, and the traffic bogged down the network like it does for AT&T;, they will lose all leverage in their differentiation. They will have nothing to tout. Right now, by not having it is making the rest of their phones look superior(in all fairness, I have zero problems with dropped calls or slow data connections since I had the first gen iPhone). They aren’t willing to give Apple the kind of deal they want because they do benefit from not having it as well.

  4. You can add my mother in law to that list; she keeps asking me when Verizon is getting the iPhone because she doesn’t want to hassle with switching, but really wants the iPhone.

  5. Apple would like 17% of Verizon’s customers, but only if the carrier lets Steve control the experience. No iTunes, no iPhone.

    Sprint would agree to anything to get the iPhone.

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