Comments on: Report: iPhones piling up at AT&T stores

The huge gap between the number of iPhones sold by Apple and the number activated by AT&T can't be explained by international sales or unlocked units alone.

[ittesi259]

Why I don't own an iPhone

It has nothing to do with the hardware, though I would prefer 3G...and everything to do with that I think AT$T's plans for the service are horrendously overpriced. 450 minutes for 60 bucks? I know that includes data...but only 200 SMS messages? HELLO THIS IS A PHONE.

[ibeetle]

Some points you need to know about the iPhone

The reason the iPhone is not 3G is because you need not only a 3G
phone, but you need a 3G network right now only about 10% of
AT&T's network is 3G. I suspect Apple is waiting for AT&T to expand
their network before offering a 3G iPhone.
The plan for data and and talk minutes at $60 is very comparable
for a phone of this type with the market the phone is intended for.
Your last statement is 100% correct.."HELLO THIS IS A PHONE". You
are right it is a phone. You talk on it. Apple considers this as a iPod
with a phone built in. Not a phone with texting and music capabilities. If you are looking for texting first I would say that the
iPhone, the plan that AT&T has set-up, and even AT&T as a carrier
are the wrong places to look. Texting would be much better on a
Ocean from Helio or LG enV from Verizon. Something with a tactile
keyboard.

[bpaskin]

I am waiting

I live part time in America and in Italy. I personally bought 3 iPhones for friends in Italy, but I waiting until they go 3,5 G. Instead of buying an iPhone I purchased 2 Nokia 6120 phones, one for Italy and one for America. I plugged in my AT&T SIM in one and it works fine. The phone is 3,5G and works everywhere. I just had to update some settings. Needless to say, my 3 Italia SIM and phone works fine in America.

The iPhone has a cool interface, but other phones have just about better everything else. Since my phone is based on Symbian, there are thousands of apps out there already.

And the best part...the 2 phones cost less than 1 iPhone.

[jumanji98]

waiting on exchange integration

i know they have imap for exchange, but until it has full exchange integration, i'm not jumping onboard. i do hate that the plans are expensive also.

[oludir]

I expect to apple shares to fall further

Can you imagine Microsoft Shares trading at 33.25 and Apple Inc at 135.25. On which rational world is Apple worth 4 times microsoft(a very very very simple view). Its time share prices reflect company fundamentals.

[db2123]

I hope you're not serious

I don't know if I'm reading your post correctly, but it seems like you think that because apple's price per share is 135.25 and MSFT's is 33.25 that AAPL is 4 times as valuable as MSFT.

AAPL's market capitalization is 118 Billion and MSFT's is 311 Billion. That would indicate that AAPL is a bit more than a Third as valuable as MSFT.

UM. Does this mean that you now think Apple's share price is going to go up?

[ThinkBeforeYouPost]

AAPL vs MSFT valuations

Relative share prices have nothing to do with relative company
valuations. MS market cap is about $311B now, and Apple's is
about $120B That makes Apple worth about 40% of MS.

[harscoet]

Please keep your ignorant comments for yourself

It's the market cap that reflects a company's worth, the share price alone means absolutely nothing. Apple is not worth 4 times more but 2.62 times less !

[bignumone]

Let's not be mean

This person is just mistaken. Lets not be mean.
S/he doesn't understand the markets that well. MS is a good
company, so is Apple.
I do think Apple's stock is "on sale" right now. Certainly not
worth $200/share, they need an attitude adjustment first. But
worth well more than $150.

[kr3bstar]

are you an idiot?

Ummm... are you an idiot? MSFT's market cap is like 3x what aapl's is. I had to go out and specifically create a cnet account to reply to your moronic comment.

[jscott418]

Apple makes such good profits

Apple makes such good profits from their products they don't need
to sell high volumes to make large profits. Unlike Dell who actually
has 5 times the market share as Apple and Microsoft products are
by far a majority in the OS and Office software. Apple is a niche
company that makes every dollar add up. I won't say they screw
customers. But they don't sell cheap stuff with low margins ether.

[sapporobaby]

European Sales

The slower European sells could be contributed to Europeans being
more "mobile savvy" than their American counter-parts. If you take
the basic Nokia phone and compare it side by side with an iPhone,
the iPhone loses in just about every category. If the UI were
stripped away, the iPhone would reveal itself to be a 3 to 4 year old
phone and many to most Europeans know this. Why buy yesterdays
technology? Buy an iPod Touch, BluEye kit, and you have, instant
iPhone.

[SenorFrog]

Wow!

I think I'm in love! Thanks for the heads up. It's everything I've been looking for.

[JKM808]

Waiting...

I for one am waiting on a 3G version AND lower prices. I'm sure there are others like me out there...

[blisster138]

Waiting as well...

...but not for the same reasons you've listed, and I realize I might be waiting for quite some time, but it's worth it to me. Until Apple severs it's ties to AT&T, I'll postpone both iPhone and iPod purchases. I'd love to have a single device that encompasses both that I currently own, but I've been a Cingular customer in the past and have absolutely no interest whatsoever in ever being one again. If that means that I never own an iPhone because it never exists on a different network, then so be it and Apple loses my business. Period.

I'd just as soon switch over to a Helio Ocean or other smart device.

[sapporobaby]

Others there may be

....But they are not foolish enough to think that Apple will suddenly
lower their prices. Get this and remember this. APPLE IS NOT YOUR
FRIEND. They are no better than M$ when it comes to money. Did
you already forget the $20 iPod Touch application upgrade. Real
friendly there.

Dude, stop believing the Apple hype and join the real world.

[wylbur]

phenomena do fade

The iPhone phenomenon was never quite as big as hoped for and it is possible that it could fade as other phones catch up (and many were all ready there) and as many iPhone users have admitted that the touch screen is not great for e-mail. It could also be that the AT&T produced commercials (which Apple required them to make) were dilutive to the brand-- I am sure Jobs regrets having AT&T make commercials for his product now because they were way off the brand image he has been cultivating.

[His SHadow]

It's Still Funny

The iPhone phenomenon was never quite as big as hoped for and it is possible that it could fade as other phones catch up (and many were all ready there)

You keep telling yourself that. It might even make reality go away. Maybe in that parallel Universe you inhabit, Windows Mobile is a huge success, too.

[coutch]

Bad math...

ATT does not include customers like me that were already using
ATT cell service and just switched to an iPhone, ergo - that is
where the "other" iPhone sales are.

Very poor reporting by your staff.

Shame on you for trying to "make news" rather than reporting
news!

[Tim.b]

Except that...

the story clearly quotes AT&T as saying they "activated" just 900,000 and later that it wrapped up the year with "just at or slightly under 2 million iPhone customers." --- that would seem to INCLUDE users like you that 'just switched'.

[jsheaney]

Waiting for...

I'm just waiting for more storage. 8 Gigs just isn't enough. I think
they would have had me if they bumped it up to 16 to match the
iTouch.

[hdjones]

iWhat??

There's no such product as an iTouch.

[jediman98]

if the product was more complete...

I know that 3G iphones will use more power and that only roughly about 10% of at&t's network runs 3G...but if I am to spend that much for a phone than I would like it to be more complete, with more indepth features. The iPhone is great and the idea is awesome, but when the demand lowers and people point out flaws about the device, maybe Apple should listen to potential customers and their needs...

[bignumone]

I agree!

Listen to this person, Steve. Listen to your customers, or watch
Apple wither back to what it was....irrelevant.

[technikallyright]

3G and...

With a lower price, an expanded 3G network, more storage (min.16GB) and the ability to run more apps the iPhone would become an option for me. I happen to live in an area where ATT (Cingular) coverage is very good and would like the mobile browser capability. I use Apple computers but am no fanboi, SJ has to earn my product/software $ !

[Lee in San Diego]

Are they piling up at the Apple Stores?

If not it may have something to do with the experience of shopping
at an AT&T Store compared to an Apple Store.

I am sure people have had bad experiences shopping at an Apple
Store, but it has been my experience that is generally better than
any cell phone store.

[oohlala13]

The AT&T Store is awful

My sister went in to buy an iphone at an AT&T store last week and
she got a 30 minute lecture about why she shouldn't buy one--all
the problems with the phone and apple computers, more
specifically--They were trying to get her to buy any other "smart"
phone. She ended up leaving with no phone at all!!!!
I understand why they are piling up at at&t stores. I am waiting for
iphone 2 and when I get it, it will definitely be at the apple store.
Apple must remember that when you lay down with dogs....

[libertyforall1776]

iPhone (a work in progress) still a long way to go

As good as it is, it's still a work in progress. Apple ripped off
initial customers with high prices and an incomplete feature-set,
only offering a $100 credit to early adopters.

3G is still not out, and Apple keeps shutting out 3rd party apps,
and has no system of their own (due next month). Many of
Apple's programs on iPhone still lack things people expect and
other apps still aren't there, like full push-email functionality,
A2DP, MS Exchange support, computer data-connection
sharing, iChat, MMS, Video Capture, GPS, VoIP, etc.

As good as it is, it still has a long way to go. The worst part is
the ridiculously slow AT&T EDGE network!

Apple should have made the initial iPhone with HSPA/Edge, and
allowed the HSPA features to be turned on at a later time with a
firmware update, instead -- existing customers will be alienated
and have to buy new hardware...

Apple should also make a combo wireless radio that can work
with ANY wireless carrier in the same phone -- that would
greatly help sales...

[sapporobaby]

Wrong

First it's HSDPA. Second, EDGE runs on a different network while
HSDPA does the same. SImply putting in a 3G radio would have
been the best bet to sort of future proof the iPhone but Jobs and
Co are greedy just like everyone else. My Nokia blows the iPhone
out of the water in terms of specs. If you take away the UI, the
iPhone is a 4 year old phone that people were dying over. Look
at the Europeans. They are buying the iPhone not for the
technological advantage but simply to carry their music and
phone in one platform. They are smart enough to know the
difference.

[mailbox001]

Maybe if it was a True Smartphone

Yeah pinching and flicking is innovative. But they can't do the basic as working with Corp email, spreadsheets, docs, etc. Newton was innovative at the time too and look what happened to that.

[jessiethe3rd]

It's a true smart phone!

For dumb a$$ people. Seriously - this thing is cool and all but goodness gracious the hype is just too much. They have a long way to go to provide actual business VALUE to business USERS.

[mttruman]

I don't use AT&T

I am a long time member at another carrier. If it was pen to other than AT&T, I would have bought 1 (or two). Until this happens, I will wait.

[harleighquinn]

The Deal Breaker is AT&T

I would have purchased 3 iPhones by now, on a family plan
between my fiance, her sister, and myself.......If it had been with
T-Mobile. Going with a more progressive company like T-Mobile
wold have increased eh amount of phones sold, rather than
going with the biggest and worst, AT&T, in hope to gain market
share.

That was a huge mistake.

So T-Mobile doesn't have a 3G network? So what? it's not like
the iPhone is 3G. Everything is focused on wifi, and the wifi
network they use is T-Mobiles!!!!!!

I am a big apple fan, and am even writing this on a brand new
24" iMac, and will still say, as I said the day it was announced
the partner was AT&T:

That was the biggest mistake ever and will turn around to bite
Apple later.

[snatchmo]

I doubt it

I can't imagine that the iPhone is piling up anywhere, especially in
AT&T stores, based upon the T's advertising lately. T is advertising
their blackberries and everything but iPhones. Likewise, Apple's
advertising is also down lately. Tells me there is no surplus.

[harleighquinn]

The Deal Breaker is AT&T

I would have purchased 3 iPhones by now, on a family plan
between my fiance, her sister, and myself (just as I did with our
Blackberry Pearls).......If it had been with
T-Mobile. Going with a more progressive company like T-Mobile
wold have increased eh amount of phones sold, rather than
going with the biggest and worst, AT&T, in hope to gain market
share.

That was a huge mistake.

So T-Mobile doesn't have a 3G network? So what? it's not like
the iPhone is 3G. Everything is focused on wifi, and the wifi
network they use is T-Mobiles!!!!!!

I am a big apple fan, and am even writing this on a brand new
24" iMac, and will still say, as I said the day it was announced
the partner was AT&T:

That was the biggest mistake ever and will turn around to bite
Apple later.

[partytildawn-20159620461052270]

AT&T the Reason I Won't Do iPhone

I've got to agree with you that there is no way in heck that I'd go with AT&T for cell service. Every person that I know who uses AT&T does so only because they are on a company plan purchased by their employers and they hate the AT&T network.

[bschmidt25]

Deal breaker for me...

The deal breaker for me is that it becomes a $400 paperweight if/when you deactivate the cell service on it. Talk about sticking it to you...

[gonumber2539]

My Sony Ericsson K800i does more...

1. Stereo Bluetooth headset from Sony plus 2Gig memory card =
'iPod'/Walkman functionality - and excellent sound quality too
thanks to the pre-amp Sony built into the stereo bluetooth
thingi.
2. Stereo FM RDS radio with equally impressive quality.
3. Email client
4. Very well conceived address book with various smart features
that SE keep improving
5. 3G for speedy web browsing etc. (And in a way, the way it
renders pages is better than the iPhone because you can read
the text without needing to zoom in. Think about this!)
6. Zillions of apps for downloading.
7. Probably, even today, the best mobile phone camera - with a
very effective flash.
8. Fairly good battery life. (And you can remove the batter too.)
9. Tactile keypad still faster than touch screen for texting.
10. Available on all networks, even almost 2 years since launch
or no cost or about £80 on pay as you go.

I will end this post by saying that I have spent much time playing
with iPhones in the stores and the multi-touch interface is
stunning and brilliantly implemented. However, the phone is so
garden walled it lacks anything to make it a creative tool. (K800i
has various fun apps for making music, editing photos, video
etc.) But the biggest flaws are the lack of a decent camera,
stereo bluetooth, a slide out mechanical keyboard like the
Samsung F700 and of course, 3G. (Battery life excuse is b*ll*cks,
most British 3G phones last just as long as their 2G counterparts
today.) Apple failed to do their market research - as they did
with the sexy but flawed (and possibly doomed) MacBook Air.

This typed on the very well researched and conceived MacBook
(Black) that does lots of things very well.

P.S. iPhone 2.0 will be even more amazing and will make up for
the flaws in 1.0. And I'll buy one if it is available on Vodafone.

[jumpjetta]

Who cares?

I really don't care what your sad Sony Ericsson can do. I had only SE
phones until the iPhone and my last SE was so pathetic in terms of
build quality and feature set I'd never consider another.

[artistjoh]

You are Kidding about the SE K800i

I am also an SE K800i owner and user. The superb camera is the reason I will have to stick with SE for the foreseeable future, and I do like the phone but to say it does more than the iPhone is nonsense.

Yes it has a nice radio. It needs it because the MP3 player is so poor, The sound quality is very poor compared to an iPod and the volume is poor. Web browsing is also poor. I use Opera Mini on it and it is a poor browser compared to Safari on the iPhone. Opera Mini works for reading web pages by zooming in. It has to zoom on such a small screen.

Emails? Okay so I can read them, but replies are painful because there is no keyboard. It matters little that the cramped numeric key pad is "tactile".

Battery Life is important when using 3G features, TV can flatten a battery in 30 to 40 minutes.

The list of apps is not zillions, and most of them are very limited or simple. The small screen reduces the useability of things like Google Maps.

Most importantly the software is flakey. Some features work poorly like the voice activated dialling that just turns itself on for no reason every so often. Video calling? Great! if you could ever find someone who also can do video calling which is virtually never. Animated picture messaging? 90% of all phones can't accept the messages. Blog This? Nope, the carriers won't let that feature work.

The long list of features is not so useful as it looks on paper. What is the good of a large set of features if they work poorly? You and I both may have good reasons for sticking with the SE K800i but don't get carried away beleiving that it is better than it really is, or that the iPhone is poor in comparison. It ain't.

From the number of my friends who have purchased iPhones from the US and hacked them to work on local Australian networks I suspect it is likely the hack market figures may easily be too low due to unknown usage outside the USA.

[jscott418]

Apples Hype does not always work

Sometimes Apple over hypes a product and people buy the product
just because they thing everyone else is going to buy it. Americans
do this all the time. However, I think Many found the iPhone to be
harder to use or lacked features or simply hated AT&T. Whatever
the case the iPhone has lost the enthusiasm it had when it was
released. Plus, the competition has already come out with similar
phones, some of which are cheaper and in some ways better.

[His SHadow]

Gales of Derisive Laughter.

"Plus, the competition has already come out with similar phones, some of which are cheaper and in some ways better."

I'll never tire of hearing this. Similar? Yes, similar in that they make phone calls. That's pretty much where it ends. Cheaper? You get what you pay for, and in light of the iPhone, what you get isn't much.