Verizon expected to cannibalize AT&T's share of iPhone sales
Gene Munster of Piper Jaffray expects the majority of new Verizon iPhone customers to be former AT&T customers. By his estimates, AT&T would sell 17.5 million iPhones in 2011, if they were the only carrier. With Verizon releasing an iPhone some time around the end of the first quarter, he expects that number to slip to 11 million. Verizon will sell 9 million in the last three quarters of the year, adding 14% to Apple's overall U.S. iPhone sales.
Verizon won't be too disappointed by coming up 2 million short of AT&T. Their estimated 9 million units sold in 2011 will only represent 36% of their smartphone sales. On the other hand, the iPhone makes up 80% of AT&T's smartphone sales. But analysts expect the iPhone to continue to grow for both carriers, with both AT&T and Verizon selling 14 million in 2012.
This is all obviously speculation for now, but AT&T is surely starting to get nervous. Then again, many expect the Verizon iPhone to doom Big Red to a similar reputation for slow service. Only time will tell. But how about you? Are you an AT&T customer planning on jumping ship? Or are you an existing Verizon customer intent on getting an iPhone?
1. songwriter17372 posted on 15 Dec 2010, 22:51 1
I've been a Verizon user and previous employee and plan to get the I-phone when it comes. Seeing how the Android users on Verizon have averaged a higher amount of data than the I-phone users on AT&T, and it hasn't slowed the Verizon network I don't see it being a problem for Big Red to take on the I-phone. I think they can handle it especially if it will be capable of running on LTE as well, which is said to be more efficient in the handling of data. Big Red has put billions of dollars into their network over the past several years -- their big draw has been their network, not necessarily a phone -- until the Droid came out. I think they have been expecting this moment for several years and have upgraded their network accordingly - hoping not to follow in the footsteps of AT&T's network.
27. jogutier posted on 30 Dec 2010, 16:27 1
iPhone sucks, go Droid and don't be traped to Apple's buy this only plan. :) Doid Does !
2. MarcMaiden posted on 15 Dec 2010, 22:58 3
Working for AT&T i honestly couldn't be happier. 90% of problems that come to the store are Iphone related. Ive noticed that most people who complain that AT&T has bad service have the Iphone. I owned an Iphone for a week before returning it for other devices and I have never had problems with reception
6. rd311 posted on 16 Dec 2010, 11:08 2
MarcMaiden- Very sorry but I disagree with you one hundred percent. I have been with both carriers and I can say as far as coverage and reliability across the board, Verizon is number 1. AT&T's coverage sucks, you ask if I am just saying that because I am on Verizon? Nope, I have used AT&T through my employer and I along with every other employee have changed to verizon because AT&T's coverage is no where near as good as Verizon's.
30. rd211 (unregistered) posted on 04 Jan 2011, 09:42 0
RD311...well I am a att customer and i disagree with you...verizon does well because it has cdma,,lol...you cant do anything at the sametime with cdma, Plus your acclaim that businesses have went over to verizon,,that is not so,,for the reason is businesses stick with gsm technology. LOL..and please verizon has its drop calls also and bad coverage...Ok thank you..nice try
32. Rob (unregistered) posted on 14 Jan 2011, 08:27 0
No, really, AT&T's coverage sucks. Look at it's phone coverage map and compare it to Verizon's. I can't get a phone signal at the grocery store and I'm in a city. I can finally get coverage in my basement but barely. Several friends have Verizon and have no problem with getting a phone signal.
I don't care if the 3G is slow, I just want to use my phone as a phone when I need to. Can't wait to go to Verizon solely for this reason.
3. bloodpanther posted on 16 Dec 2010, 09:11 0
Instead of bitching about the rumors of the iPhone coming to VZW I am going to now start taking lithium to put myself into an alternate mind set so I am forget all of this. Or maybe I need to take what Miley Cyrus is taking.
4. JeffdaBeat posted on 16 Dec 2010, 10:16 4
The Verizon iPhone is old news...What about that Boost Mobile iPhone...
9. Gcombs (unregistered) posted on 16 Dec 2010, 11:56 3
Joke of the day... lol
29. corey (unregistered) posted on 02 Jan 2011, 14:48 0
Probably around the time that walmart starts selling coach.... get real
5. RoflMAO (unregistered) posted on 16 Dec 2010, 10:30 2
LOL! BOOST MOBILE!!!! BOOST IS A FAIL!!!!!!!!
8. ledzepmsu (unregistered) posted on 16 Dec 2010, 11:20 2
I also have worked for both companies and have used both carriers. Everyone is wrong, the best coverage ever was Alltel and I remember 3 years ago when Verizon was getting the Iphone. How were sales on that, oh wait, it never happened. As for the coverage argument, it is all releative. Not all carriers have towers in all areas so what may work fantastic for one person may not work for the otehr. Liike MarcMaiden said before. The main issue that people have with AT&T is due to the I-phone. It actually is one of the worst "Phones" out there. The data and apps are agreat, but as a "phone" it sucks.
33. Rob (unregistered) posted on 14 Jan 2011, 08:29 0
No, AT&T as a phone company sucks, no matter what phone you have.
10. spagrant85 (unregistered) posted on 16 Dec 2010, 11:56 0
I am a Verizon customer that is nearly fanatical about getting an iPhone in the upcoming year. Plus, Verizon's 4G LTE looks to kick all other carrier's butts once it is completely rolled out. Can you imagine an iPhone that is 4G compatible?!
11. beillax (unregistered) posted on 16 Dec 2010, 15:37 0
I have owned a t-mobile unlocked iphone for about 5 months and the only complaint I have is it does not have 3G. I will never go back to android and always have an iphone. I wish t-mobile would support the iphone fully like they do in europe but I will just have to hope. Either way, I will never go back to Android. Anyway, if your an android user on Verizon and you are having mixed feelings about switching to an iphone, do it!
12. NightFox50 posted on 16 Dec 2010, 16:00 0
I completely respect your comment, but i have to disagree with you on a few things.
1st of all when Alltell came around, if i'm not mistaken, it was running on a very similar network as Sprint and Verizon. On top of that i know for a fact that Alltell borrowed Verizon and Sprint towers to allow its customers to roam around the 50 states when they were outside Alltells coverage, before the Verizon merger.
2nd Number one reason VZW waited for Iphone this long is so they can upgrade their network to be ahead of all the other carriers. YES PEOPLE this multi million dollar company did infact have plans to start rolling LTE (4G) before news of any Iphone came out. So kudos to Verizon for sticking to upgrading their network.
3rd of all what you say is very true about certain towers being closer or farther from people making or breaking their contentment with the provider, but if you dos ome reasearch you can see that across the US Verizon actually has more towers up and running. Not only that their towers are so good that other cell phone providers run through their towers as well.
So to sum my essay comment lol , crAp TnT will be falling behind all of the other carriers.
Oh yea and just n fyi, i've had t-mobile, cingular, at&t and verizon. (in that order) Take a wild guess as to who i gladly hand over my money every month.
hahaha and to beillax how could you like an iphone and not a droid, i'm guessing ur still running an Iphone 3g on ur tmobile, as might as well save some money and get the ipod touch cause u dnt even need the 3g.
13. anonymous67 (unregistered) posted on 16 Dec 2010, 18:40 1
I have had the droid x and the iphone 4.....hands down IPHONE4!!!!! Android sucks ass compared to the iphone. As far as the reception goes I never experienced a dropped call yet with at&t, maybe its because I live in Chicago not really sure but I definitely have no complaints. But honestly I dont think Verizon is ever coming out with the iphone, they have been saying it for like 6 years now and it still hasnt happened. I used to work for VZW and they claim that they do not need the Iphone, in some ways they are right, they rank no.1 as far as reception and reliability. But hey who wouldnt want the iphone on a verizon network?? I
14. doubleD posted on 16 Dec 2010, 20:04 1
"who wouldnt want the iphone on a verizon network??" >>> ME
15. CRICKETownz posted on 16 Dec 2010, 23:02 0
iPhone...eh, i could take it or leave it. would be nice to have a smooth sync with iTunes, but that's not a necessity. recently hit a Apple Store since it was new to our area mall. touched the iP4 and didn't see what the hype was about. it was unexciting, cute & little, & the Retina display was not very enticing. I was more enticed by the iMac with the 27" widescreen display starin me in the face. Once you've held a droid x or a samsung fascinate with the large display it's almost like trying to go from a 55" LED back down to a 19" plasma tv. hopefully Verizon's version has a 4"+ screen, if not...i'm not interested. I'd be more interested in seein the HD7 hit Verizon than a petite iPhone.
16. kdotcom (unregistered) posted on 16 Dec 2010, 23:55 0
The iPhone in general is old news. Everything that once made the iPhone great has become a hassle. iTunes sucks. 3.5in screen sucks (though retina is nice). Call quality sucks on the iPhone. I hate Verizon with a passion. If hell froze over and I were to switch to Verizon I would get a Droid X, Droid 2 or Fascinate. Those are the three best phone on Verizon, even if they had the iPhone. Sure the phone would sell a TON if/when Verizon gets it. But I don't think it's going to be as much as people think. At&t with most likely get the latest version first. So die hard iPhone fans will stick with them. Also Verizon has spent so much time advertising for Android I think that people are starting to care less and less about the iPhone. If people really wanted it, I think they already have it. I don't see people paying 300 some dollar fees to leave At&t. Either way people need to stop caring about a Verizon iPhone. Verizon has great phones using a more rapidly growing OS.
17. DroidhavinCellPhoneGuy (unregistered) posted on 17 Dec 2010, 09:55 0
I think you all are wrong.... Kdotcom, you should really do some research on phones and you would find that the Fascinate is not the 3rd best phone on our network. You would find the Incredible in that mix. The fascinate runs bing that should be enough said, but remove the google nav, google maps, and google search and you have the fascinate a nice screen and thats it..kinda Iphone esque if you ask me. My droid X does everything that yours does but one thing and thats suck. Att likes to throw gimmicks at you and say they cover 95% of the people. Yeah if you include home TV and Internet. Which will take care of next year. I aint worried one way or another about a Iphone. Droid sales and doesn't usually have a problem we cant fix. Keep yah head up ATT, VZW we rule the AIR
25. mmgbmt posted on 24 Dec 2010, 11:23 0
in addition to the 95% coverage that you were explaining, that also includes there 2g and 3g network. verizons LTE 4G network already covers 1/3 of the poplulation almost 100,000,000 people and expanding once phones launch on the network verizon WILL BE THE FASTEST 4G ANYWHERE IN THE WORLD. and as for the i phone, i could care less if it comes to verizon, it would help to balence out the market and not create a verizon monopoly so they can boost sevice prices through the roof. they already have driod on a lock, keep it that way
18. Sele (unregistered) posted on 17 Dec 2010, 15:48 0
I've had a droid 2 and currently have a samsung fascinate and I'm not loyal or too impressed by either one. Sure the fascinate is nice, nicest phone on vzw right now, but it has too many glitches and definitely not as simple as the iPhone. The thing that sells me on the iPhone is the practicality of the phone! I'm not an apple fanatic and I don't bow down to apple, I don't own any other apple products except an iPod touch, but no one can say the iPhone sucks because it doesn't.
24. CRICKETownz posted on 20 Dec 2010, 19:45 0
the iPhone is "practical" b/c most ppl have used the iPhone in a iPod touch so its more familiar than it is practical. if you think the UI on the iPhone is any easier than Android you are bein ridiculous. i've used both and neither is easier than the other to grasp. someone can say the iPhone sucks b/c not everyone likes the device. i won't go as far as to say it sucks but its not for me. i've been spoiled by my 4" screen. these glitches you speak of don't exist in mine and iPhone is not exempt from glitches and from what i hear from those who have experienced the iP4 its not that great. its just a brand name for the trendy people to gloat about. this is not '07 anymore, iPhone is just another option nowdays like blackberry or webOs.
19. dp (unregistered) posted on 17 Dec 2010, 20:54 0
WOW! so many unedjucated statments in this discussin i could puke...
heres the breakdown people;
FACT- alltel used vzw towers in the past (same technology)
FACT- vzw ownes alltel so when you say alltel had better service you dont make sense at all
FACT- iphone is so far behind the curve that experts suggest it will take them 15 years to catch android OS
FACT-yes att's statment about 95% coverage is including landline TV and internet
FACT- Fascinate is not the nicest phone at vzw unless you are only considering apperance. (it runs bing which is crap and has much less processing speed)
FACT-Apple has had more than a handfull of successful court cases against att for their false claims that the iphone itself is the problem (it is mostly network problems)
FACT-apple could put out a brick and people would still buy it and say its the best phone (even though it doesnt make calls) just because its made by apple
well i think that sums it up for the most part lol
all that said... it doesnt matter what phone is better than another because most people buy a phone because of the look of the phone or what is advertised more. few people actually do the research anyway.
20. PBC (unregistered) posted on 18 Dec 2010, 07:39 0
HAHAHA.. I couldnt agree with you more (dp). Half these people have no idea how to use a damn smartphone and don't even want to pay the data rates (I'll never use it) and then thats followed by... Are you getting the iPhone!? (yes I work for VZW). Who cares!!! You just want it bc it's called an iPhone. And VZW never once said they were getting it, RUMORS started that. There is way more ability with the android OS then apple. But hey what do I know... it doesn't have an apple on it!
21. dp (unregistered) posted on 18 Dec 2010, 09:45 0
lol PBC i obviously work for vzw too. i get the same thing every single day.
me: hi what can i help you with today
well id like to upgrade my phone and i dont need anything with the data plan
me: ok well let me show you some of our feature phones....
i heard you were getting the iphone, i was thinking about waiting for that to come
me: well thats just speculation at this time so i couldnt tell you if it was or was not coming to vzw. i thought you said you didnt want a data plan. you do realize that is a smart phone and requires a data plan right?
yes i do realize that is has a data plan and would be willing to pay for that on the iphone
me: let me show you or android products, they are around 3-4 times faster online, have more free apps, faster processing speeds, better camera, they are customizable, the lens wont shatter every day, it doesnt require you to spend extra on an apple care plan etc
well i dont want a droid i want the iphone...
me: can you explain why that phone would be a better fit than a droid? it doesnt do anything better than the droid..
its an iphone
me:you realize thats just a brand and you are paying more for less correct?
yes but its an iphone
22. DroidMclovin (unregistered) posted on 18 Dec 2010, 23:41 0
OMFrigginGah.... I know right. Drives me insane. I was in a store waiting on my gf to come out of the dressing room, the guy next to me was playing angry birds on his iphone, so i started talking to him and asked him if he liked his phone, "oh i love this phone," he said. I asked what he loved about it. "It's an iphone!" I said, I understand that, what are 3 things you love about your phone.. "Uh, my email, i can download apps, facebook." FML I was like ok, we have all that covered, check this out.... So i showed him several things on my Droid X, he was like, "man, that's awesome, my phone can't do that. Aren't you guys getting the iphone in Jan?" Holy Moly
23. Jay Chavez (unregistered) posted on 19 Dec 2010, 11:59 0
1st cell phone I ever owned was with Cingular (2002), the coverage was a disaster (I live in Chicago). During that time, the popularity of Nextel's walkie-talkie was booming, so I switched over just for the convenience of having the ability to connect with Nextel users (about 80+ friends) in 2 seconds. I loved it. However, the dropped/missed calls and late/missed texts infuriated me that I eventually left Sprint (after the Nextel/Sprint merger). I went to Verizon @ North Riverside Mall outside of Chicago in early '08, connected w/ them and I'm proud to say I LOVE VERIZON since. I now own the BB Tour and the coverage is great. If VZW does get the iPhone, I'm almost positive I'll be buying it just beacause of Verizon's reliable network.
26. Norcalgal (unregistered) posted on 27 Dec 2010, 10:29 0
I have just returned from a road trip from Northern California to San Diego and back. I have a 5 year old Blackberry with Verizon and my daughter has a 3 year old iPhone with A&TT. I could not believe how much better the coverage and speed were with my old phone! I was able to make calls and surf the net where the iPhone could not... in numerous places up and down the entire state!
I will be staying with Verizon and I'm anxious to see the iPhone with them. I hope that there will be plenty of apps to chose from, which was the only drawback when I switched to the Blackberry Storm.
31. Lorranna posted on 08 Jan 2011, 17:44 0
I was not able to view the entire forum yet, but I was laughing at the people talking about the Verizon I-Phone, umm Verizon is not getting the I-Phone Verizon customer's will be able to get the IPhone once the entire Merger is complete there will not be any more Verizon eventually, AT&T has bought them out with Alltel and Unicel and eventually T-Mobile
thought that I would let you all know.