AppleInsider Staff
The number of mobile 3G subscribers in China surged 83 percent in 2012, again underscoring the importance of the country to potential growth for Apple's iPhone.
At the end of 2012, China had 233 million 3G subscribers, analyst Brian White of Topeka Capital Markets noted on Tuesday. The number of subscribers was up from 127.5 million at the end of 2011.
China gained 11.8 million 3G subscribers in the month of December in 2012 alone. 3G subscribers now represent 21 percent of China's wireless subscribers, up from a 13.1 percent share a year prior.
Still, White noted that 3G penetration in China remains low compared to the developed world. As such, he sees "significant growth opportunities" for mobile companies, including Apple.
He projects that China will have between 325 and 350 million 3G subscribers by the end of this year.
The Chinese market has been a major focus for Apple Chief Executive Tim Cook. Last year's iPhone 5 launch saw the fastest global rollout ever for a new Apple handset, and iPhone 5 launch sales in China topped 2 million in its first weekend of availability in December.
Apple's potential growth is expected to grow even more once the company forges a deal with China Mobile — the largest carrier in the world, and the last major Chinese carrier to not offer the iPhone.
White expects that Apple will finalize a deal with China Mobile this year. Cook himself met with China Mobile executives in a recent trip, in which the two sides discussed "matters of cooperation."
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14 Comments
I say it's time to drop the hammer on China Mobile.
I say it's time to drop the hammer on China Mobile.
What would happen if Apple announced the iPhone on China Mobile during the conference call?
Would the stock drop at ALL afterward?
[quote name="Tallest Skil" url="/t/155571/chinas-3g-subscribers-grow-83-in-2012-reach-233m#post_2262399"] What would happen if Apple announced the iPhone on China Mobile during the conference call? Would the stock drop at ALL afterward? [/quote] I doubt they'd do that during an earnings call but I would imagine the stock would shoot up considerably on that news.
[quote name="SolipsismX" url="/t/155571/chinas-3g-subscribers-grow-83-in-2012-reach-233m#post_2262411"]I doubt they'd do that during an earnings call but I would imagine the stock would shoot up considerably on that news.[/quote] I agree. China is a market that investors cannot deny; if Apple gains CM as their customer Wall Street will understand this is significant. Heck, analysts will praise that news.
Apple needs a larger screen iphone now more than it needs China Mobile. If they can't get one in the market by June they have missed the boat bigger than they have already. One simple device is all they have to ship compared to dozens of smartphones put out by Samsung in various shapes, sizes and OS'es. Apple needs to understand there is huge demand for large screens and get on it before more iPhone users leave for Android. This is not hard stuff. Why can't Cook get it done?
And our supply chain guy also seeing iMac's pushed back again. This is months now after they were announced. Not good. Add to this the worst capital allocation strategy of any company ever and I have to wonder if Cook should be CEO after all? I think you can leave him in supply chain role but running Apple and the supply chain is simply too much. Apple needs a showy charismatic front man and is lacking this now. Somebody who, like Jobs, goes for the jugular when threatened or mocked. Apple sat idly by while Samsung mocked people waiting on line for iPhone in a commercial. Apple's silent response was deafening.
Time to find a great CEO who has vision, can push the army to move faster and let Cook focus on supply chain, what he does best.