Neil Hughes
Verizon announced on Wednesday that it activated 9.8 million smartphones in the 2012 holiday season, with a "higher mix of Apple smartphones," suggesting the carrier accounted for more than 5.3 million iPhone sales in the quarter.
The figures from Verizon were revealed in an 8-K filing with the U.S. Securities and Exchange Commission. Like rival AT&T, which reported sales of 10 million smartphones on Tuesday, Verizon declined to give specific figures for the iPhone.
In the fourth quarter of 2011, Verizon activated a total of 7.7 million smartphones, 4.2 million of which were iPhones, giving Apple a 54.5 percent share. If Apple were to have secured the same share of activations in 2012, it would mean 5.3 million iPhones were sold through Verizon.
It's unknown whether Verizon's comments about a "higher mix" of iPhones refer to year over year data, or whether the carrier is simply referring to sequential comparisons. In the previous September quarter, the iPhone accounted for a smaller 46 percent share of smartphone activations at Verizon.
Analyst Gene Munster of Piper Jaffray said on Tuesday that he believes AT&T sold at least 8 million iPhones in its record holiday quarter. While Verizon is the largest wireless carrier in the U.S., sales of the iPhone are typically greater at AT&T, because AT&T was Apple's exclusive carrier partner for years.
Apple's third carrier partner in the U.S, Sprint, has not yet signaled how many smartphones or iPhones it sold in the holiday quarter.
The fourth-largest carrier in the U.S., T-Mobile, will begin selling the iPhone this year. The company revealed to Reuters on Wednesday that the iPhone will become available in the next three to four months.
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AI just HAS to ruin a decent article by mentioning Gene Munster.
[quote name="AppleInsider" url="/t/155383/verizons-higher-mix-of-holiday-iphone-activations-likely-topped-5-3m#post_2256277"]Verizon announced on Wednesday that it activated 9.8 million smartphones in the 2012 holiday season, with a "higher mix of Apple smartphones," suggesting the carrier accounted for more than 5.3 million iPhone sales in the quarter.[/quote] So Apple's shares drop another half percent.
[quote name="jragosta" url="/t/155383/verizons-higher-mix-of-holiday-iphone-activations-likely-topped-5-3m#post_2256292"] So Apple's shares drop another half percent.[/quote] And two analysts reiterated their buy rating on the stock. This morning on CNBC they were really ragging on Apple saying it was the most hated stock on the market and this rumored low cost iPhone is something they should have done a year ago. Of course go back to the middle of last year and Jim Cramer couldn't talk up the company enough. Now he hates it. :rolleyes:
Jim Cramer...so difficult for me to take stock advice from a guy who uses fart noises while "educating." .
So, the majority of smartphones sold by Verizon were iPhones? And yesterday, AT&T reported that the majority of smartphones sold through them were iPhones in their record breaking quarter?
That is extremely disappointing, since iPhones did not account for 100% of all phones sold. Anything less than 100% can be considered a failure for Apple, because that's what I have decided, and I am an analyst, and I know what I'm talking about.
I am going to have to cut my price target on AAPL down to $79.99, based on these frightening figures and most disturbing news.
Apple doesn't really innovate anymore, especially now that Steve's gone. At CES, other companies are releasing innovative and interesting products such as a 27" tablet that you can carry around with you! Why doesn't Apple have a 27" iPad? I always wanted a 27" iPad to use when I ride the subways in the morning. That 27" tablet is going to be such a hot seller! I can see people pimping off their sisters in order to get one.
And Apple recently announced that there are now over a half billion active iTunes accounts. That alone should be good for at least another 3.5% drop in AAPL.
And when that China Mobile deal happens, AAPL will be revisiting the 400's again.