Analyst: Verizon iPhone activations portend better-than-expected quarter for Apple

“Activation figures from Verizon show that sales of the iPhone 4S and iPhone 4 were relatively strong prior to the launch of the iPhone 5, suggesting Apple’s September quarter could be stronger than expected,” Neil Hughes reports for AppleInsider.

“Gene Munster of Piper Jaffray noted that the 3.1 million iPhones activated by Verizon in the September quarter was a number up 15 percent from the prior June quarter,” Hughes reports. “‘Verizon’s iPhone number suggests that the slowdown of older iPhones may not have been as drastic as previously suspected,’ Munster wrote in a note to investors. ‘Based on Verizon’s report, it appears that non-iPhone 5 sales were down 9% (quarter over quarter), while we are currently modeling Apple to see a 35% (quarter over quarter) decline due to the impact of customers waiting for the iPhone 5.'”

Hughes reports, “Verizon’s chief rival, AT&T, will report its own quarterly iPhone sales in its earnings call next Wednesday. Total iPhone sales for the September quarter, including iPhone 5 sales made in the last week of the quarter, will be revealed by Apple when the company announces its earnings the following day, Oct. 25.”

Read more in the full article here.


    1. This is not a sporting event. Apple doesn’t need to “win” the internet. It’s going to sell every iPhone 5 it can build for a long long time to come. They are going to make crazy bucketsfull of money.

      1. It’s not about activations- it’s about being dominant in usage. Whatever platform has the most internet usage will be what developers and web designers target. For example, when MS gave away IE and destroyed Netscape they essentially were able to define web standards or conventions.

        Now that Google’s Fandroid not only has more units but is using the web more, the ability of Apple/iOS to guide the development of the web for Tablets and Phones will be diminished. Even with Fandroid using webkit, there is no reason they cannot branch in a manner that could conflict with Apple’s intents for the mobile web.

        1. You’re right, that’s a point, but what developers will really target is where the money is. And that’s IOS by a mile. Also raw data is not the best measure. Tthe maps thing actually skews the results a bit – Google maps use substantially more (4x) data than Apple’s.
          And considering that Apple will sell every iPhone 5 and every iPad Mini that they can build, and do so for a long time to come, that usage should swing back the other way.

    2. And in the mean time, Google the Android King is getting crushed today. Stock is halted down $68. The only thing missing is Eric Schmidt coming out and saying “I like our strategy. I like it a lot.”

  1. No one seems to notice that last year at the same time Verizon sold only 2,0 million iPhones and now 3,1 million. So this is way up. Last year they sold 5,6 million smartphones. This year 6,8 million smartphones. So the iPhone has increased it’s penetration from 36% to 46%. I think this is significant.

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