Apple WHOW! Ping!
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Posted on 07/14/2008 8:44:37 PM PDT by Swordmaker
Josh Martin beat me to the punch with his post on the Apple press release this morning (curse you!), but I thought I’d add a bit more context to the story.
Those one million iPhone 3Gs sold this weekend provide a pretty good clue for why Apple and AT&T’s activation servers are slammed and barely able to keep up. This was a big deal. Why? Because not only was it about 4 times more phones than Apple had to deal with last year at this time, but because it is probably the largest consumer electronics launch in history.
I noted when I was analyzing Apple at my prior company, the original 2007 iPhone launch was the largest first weekend consumer electronics launch in history as measured in inflation-adjusted dollars, garnering somewhere around $150 million in its first weekend on sale. That eclipsed the Microsoft XBox 360 ($128 million in the first weekend), Microsoft Windows 95 ($122 million in the first four days), and the Sony Betamax (not even close at $58 million in the first 7 months). But Apple just broke its own record. Assuming an average price after carrier subsidy of $433 (2/3 8 GByte models, 1/3 16 GByte models), Apple just posted approximately $433 million in first weekend iPhone sales. Said another way, if this had been a movie, it would have broken all box office records for a first weekend opening — by a factor of nearly 3.
And the AppStore? That’s harder to get a handle on. My estimate is that most of those downloads were free programs, and that Apple pulled in somewhere around $3.5 million in AppStore revenue, of which it got to keep just about $1 million (the other $2.5 million went to the pay application developers). But again, for a first weekend launch, that isn’t too shabby — it took the original iTunes store a week to reach the $1 million mark in revenue in 2003.
Now some will ask why we’re gushing about the iPhone — after all, it’s just a phone. But from my personal point of view, it’s important for a very specific reason: it’s an Anywhere phone. What’s an Anywhere phone? One that provides first-class, two-way, broadband access to both the world-wide voice and Internet networks. Most phones have been first class phones and second-class Internet devices; the iPhone has changed that, and done it in such a way that even my technology-phobic mother could use one. We shouldn’t be surprised when good technology gets a good reception.
Yes, there were a lot of server and activation problems this weekend, and both Apple and its carrier partners should get their acts together. But making history is never easy or smooth. And Apple’s competitors should be happy about the problems they had. Imagine how many iPhone 3Gs Apple would have sold if the launch had been problem-free.
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I built an iPhone 3G out of a paperclip and a dead star-nosed mole.
As soon as things calm down, I’ll be off to buy one. I’ve been saving for this for months, but I want it too be a hassle-free and special day when I get mine.
(I’m guessing I’m not the only one waiting a week or so until everyone calms down before making the purchase.)
I bit.
Totally out of character for me but I actually took my camping cot 40 miles East and slept in front of the closest AT&T store to get my 16GB iPhone. I could not be happier over a piece of tech ... except maybe for my Nikon D3.
Never had a smart phone before. Barely know even 1/3rd of the many acronyms used in this tech segment. But I’m picking them up fast. This phone/ipod (never had one of those either and now I’m downloading my fave classical music from iTunes) /gps/computer is really fun! Detractors and naysayers make me laugh. Poor shmucks.
When will they come out with a Windows Mobile 6 iPhone?
copycat..
Why should they turn out an iPhone with a crappy OS that crashes frequently?
When are they going to make a real good phone that won’t do anything but make and receive phone calls?
check out tracfone and net10 on the web (same company).
Hahahahahahaha.
My Pocket PC Phones don’t crash, never have. Not even once.
But seriously, I have wondered why MS can’t make a desktop OS as good as Windows Mobile.
If I didn’t have to sign up with AT&T, I would buy an iPhone just cause I like new toys, and it is neat, but, I couldn’t live with myself giving AT&T a penny of my money.
I’ve had Pocket PC Phones since they came out, and I haven’t ever had a crash, even though my current one, a Wizard, is oc’d. Besides, later this year and next year we’ll be seeing some really dazzling new phones come out, and the competition will be hot and heavy...I’ll wait.
What’s stopping you from getting one right now?
Have to stick with Verizon, they are the only company that doesn’t have massive dead areas, at least in So. Calif.
Over the years we’ve had Celular, Sprint, ATT. and Verizon.
People my wife works with trackphones and thrir just as bad.
I’m just tired of having all the built in garbage like camera, text,(which we have had blocked both in and out on our phones).
A phone is exactly that, a tool not a toy!
What they offer that won’t do anything but make and receive calls are junk.
In a brief could anyone explain why? I was a part of CE shows a few years ago but it involved HDTV. This new product does what for someone living day to day?
I don’t own an iPhone, yet, but considering you were involved with HDTV I’d ask what an HDTV had to do with living day to day. If it were not for the January mandate, I’d be happy with an analog TV. I don’t watch that much. An iPhone, on the other hand, would replace the cell phone I keep in my pocket, the Palm which I keep in my pocket and the laptop when I travel (which we use to check weather, traffic, make reservations and such). Daily I like to keep up with the weather, read some posts here and Hot Air, and make a call or two. I’d get a lot more day to day use out of an iPhone than an HDTV, but that’s just me.
I was a Phillips guy in 03’ working with the digital stream guys from Korea. I had the easy part of the HV supply’s and timing. What I don’t understand is why all this info on demand helps someone understand life. I was out by myself on major waterways catching fish at 12 with no guarantee of making it home. I think it is being taken away, that’s all.
That's what my iPhone is—a tool—and a very useful one.
Last November, after the death of my Aunt, as executor of her estate, I was arranging her funeral in Southern Indiana. The funeral home offered several caskets for approximately $3000 to $4000. I asked if I could use the restroom. While in the restroom, I used my iPhone to log onto Costco.com and found that they were selling better caskets for $987, delivered. I browsed Costco's online selection of coffins, selected and bought one on-line, arranged delivery, and paid for it, all on my iPhone before I returned from the restroom—a total of five minutes.
My iPhone saved my Aunt's estate over $2000.
While out on the road, I also frequently use my iPhone to look up businesses, addresses, etc., and show me their location on the built in Google Maps function... which gives directions... and that's on a Generation 1 iPhone. Want to call the business? Tap the phone number that pops up on the Map info or on the business' webpage.
You are so full of it. I’ve had a stupid ‘phone’ since’86. Just got an iPhone ‘smartphone’ and its a great toy and a wonderfull phone. I’m listenimg to Volodos play Rachmaninoff on it right now. Putz!
BTTT
YES!
Silly troglodites. They mock what they know nothing of.
I don’t have an iPhone, but I aspire to someday. When I first heard of it, I thought it was going to be a rare Apple misstep — it sounded like a phone was being slapped on the back of a Palm Pilot. But when I was trapped on a crowded bus alongside a guy who passed the time checking his stocks, calling his broker, reading online papers, and answering email, I became a believer.
Wow. How advanced you must be. Be Nice. Sinatra would be cool.
Pop music is for the unwashed.
Then find some water, you seem capable.
I can see it now: Boot Camp for iPhone, so you can run Windows Mobile. Then Parallels (and VMWare) for iPhone so you can run Windows Mobile simultaneously.
I don’t ever listen to music, I find it extremely anoying.
I don’t even have a radio in my truck and don’t want one.
I turn the phone off whenever i’m driving, nothing in the world is so important that they can’t leave a message for a call back.
Even if I didn’t turn it off I wouldn’t answer it.
I didn't say I did it while driving...
Then you don't need a smart phone.
I think you are going to have to come to terms with the fact that you are very much in the minority on what you want in a phone. You are of course free to block texting, but it is truly one of the more useful features on a phone.
I don’t understand why people hate having cameras on phones so much. If you don’t want to use it, don’t. I rarely if ever use it. The fact that it is there does not add to or take away from the features I use my phone for.
When are they going to enter a saturated market with hundreds of players to make a device providers give away for free? I’m sure that’s their top priority.
Seriously, they might come up with a minimalist iPhone, like they did for the iPod (with the Shuffle), but I wouldn’t expect it any time soon.
Those are a hoot. LOL
“While in the restroom, I used my iPhone to log onto Costco.com and found that they were selling better caskets for $987, delivered. I browsed Costco’s online selection of coffins, selected and bought one on-line, arranged delivery, and paid for it, all on my iPhone before I returned from the restroom—a total of five minutes.”
That would make a ghoulishly cool commercial for Apple/AT&T and the iPhone.
And condolences on the passing of your Aunt.
Costco sells COFFINS???
Wow...
Ed
Jim, I bought and read the book, “The Politically Incorrect History of America.” As I recall, some Freeper co-authored it and I sometimes think it was you. Right?? If not, do you remember who it was?
Thanks,
Larry
I got my first iPhone too on Friday. I am still learning so much. I just tried the GPS and it is awesome. Can’t wait until it starts syncing everything like the calendar and stuff I haven’t gotten to yet. I also want to get a dock for the car.
Oh, no, Apple’s dooooooooomed. ;’)
[clunking noise as ‘Civ falls out of chair, helpless with laughter in the face of SB’s profound sense of irony]
I’d like to think that my next phone (I do prepaid, now, PagePlus, the time purchased is good for four months, and I don’t live on my phone, or view it as an alternative lifestyle, which, as much as I love Apple products...) would be something like the Jitterbug, which I can see to operate, something that can’t be said by, uh, AARP-eligible folks like me. :’)
Yeah, that was a bit jarring to see the display as the kid processed my new membership a couple of weeks ago... and appropriately enough, the display is near the exit...
Not me. If I had the time to write a book, it would be an expose of the people preventing a college football playoff.
I guess if you're OK with that, I shouldn't have a problem with it. Still, the idea that someone with working ears never enjoys music makes me feel sorry for you.
Oh my...Costco has coffins displayed at the exit??
That’s ghoulishly funny...and kinda macabre!
I sure wish we had ATT coverage where I live, I’d get an iPhone toute de suite.
Ed
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