iPhone sales shortfall could leave Verizon owing Apple $14 billion

“Two in five smartphones sold in the U.S. this spring were iPhones. But that may not be good enough for Verizon Wireless,” Paresh Dave reports for The Los Angeles Times.

“The company must sell $23.5 billion worth of iPhones this year to meet a commitment it made to Apple Inc. in 2010, according to an investment research firm’s analysis of SEC filings,” Dave reports. “Because of slower-than-expected sales, Verizon now must double its iPhone sales of last year. If it falls short, the company could be on the hook for as much as $14 billion, Moffett Research said in a report released this week.”

Read more in the full article here.

MacDailyNews Take: A quick visit to Verizon Wireless’ homepage shows a very strong Apple presence* – with iPad, iPhone, and related accessories prominently featured, so that is good news at least. Hopefully, this extends into Verizon Wireless stores and the staff is not steering customers towards dervative, inferior, and insecure knockoffs instead of real Apple iOS devices.

As Verizon works to provide their customers with the world’s best mobile devices in order to meet their contractual commitment, this is very bad news for all of the other devices stuck running also-ran mobile OSes in the U.S. 🙂

*This could possibly be because we’re visiting on Macs, so Verizon serves us Apple products upfront. If anybody would volunteer to fire up Winblows and hit http://www.verizonwireless.com/ for us and report back what they see in the comments below, we’d appreciate it since we just ate.

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

37 Comments

  1. Perhaps droid manufacturers give them more profit and more commission for salesman. Apple should launch their baby iPhone before it’s too late and they should make bigger display iPhone instead of try to make it so thin. People don’t need something thinner than iPhone4 but need bigger battery.

  2. checked the page on my MacBook in Safari, working from Luxembourg (Europe) :
    nothing but Droid-stuff.
    one has to look explicitly for iPhone to see one. seems Verizon has banned anything Apple from its front-page and site.
    Apple should keep the deal with Verizon and make them pay for every season-sales under the contractual minimum. within max 2 years we can speak of the ‘late Verizon’

  3. Here’s a little suggestion for Verizon – Start pushing Apple product at least as hard as you push non-Apple product. What do you think? Pretty amazing suggestion huh?

    Of course we all know that the outcome ultimately makes Apple look like they’re not selling many iPhones, which I believe is what Verizon, for some unfathomable reason, wants.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.