My Photo

Ordering Information

Subscribe


Blog powered by TypePad

« Nuggets and Tidbits from Asia Digital Media and Entertainment Forum | Main | Coach leathergoods latest fashion brand with its own phone »

October 21, 2008

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00e0097e337c8833010535a14ca5970c

Listed below are links to weblogs that reference So iPhone reached 11.6 million unit sales in past 12 months:

» mobile phones with free gifts from mobile phones with free gifts
Did you know you can get a valuable free gift with your next contract moble phone... such as Wii, HDTV,top spec Laptops, Playstation, Tom Tom and much more? And its all from a name you can trust... Tesco! YOu'd be nuts to go direct to network with this... [Read More]

Comments

mark

Tomi, I know that you know quite a lot about the cellular industry, but I disagree that Apple cut profitability much with the iPhone 3G. Go do the numbers. Apple's deferred revenue line includes both iPhone and AppleTV. If we agree that AppleTV sales are negligible (at most 2% of the the deferred revenue; in today's analyst conference call- Jobs says "I don't think anyone has succeeded at it", and he presumably is including the AppleTV); then when I do the numbers, it works out that Apple generated about $4.3B selling 6.892M iPhones (or ASP of $624 upfront).

Regardless, on that conference call, Jobs openly says Apple recorded $4.6B in phone revenues selling those 6.892M iPhones this quarter, or ASP of $667. (It's possible the difference between my number and his is the AppStore sales.) In any case, how much additional carrier revenue (amortized over 24 months) did you think Apple was getting with the original $499 iPhone?

By the way, based on Netapplications iPhone daily browser share tracking numbers (see http://marketshare.hitslink.com/report.aspx?sample=17&qprid=42&qpcustom=iPhone) relative to what those numbers were on the week of July 5th, I forecasted 7M iPhone 3G sales. I know I need to make an adjustment for channel fill, but those browser share numbers seem like they can be a very useful tool.

mark

One more point: On the conference call, Jobs reported that, measured by revenue, Apple has become the world's 3rd largest mobile phone supplier:
1. Nokia, $12.7b
2. Samsung, $5.9b
3. Apple, $4.6b
4. Sony/Ericsson , $4.2b
5. LG, $3.4b
6. Moto, $3.2b
7. RIM, $2.1b
(I don't know the source of Apple's numbers and have not checked if they are accurate.)

By the way, Apple's RIM comment boast was payback for how RIM, in its conference calls over this past year, has consistently refused to acknowledge (even when questioned directly by analysts) the impact of Apple's iPhone on its revenue. Even analysts have written that this refusal is comical.

alex

Jobs also added that he doesn't know whether this strong quatertly position (eg. #3 in revenue share) is sustainable.
A fairer comparison at this point would be over last 12 months as Tomi did for unit sales.

While unit sales comparisons maybe best reflect the consumer view of the competition, revenue share and profitability comparison are more important business measures.

Also important that those $4.6b iPhone revenue are based on subscription accouning (over 24 months). Apple's non-GAAP revenues, which account sales as other phone vendors do, are $3.8b higher.
Neglecting AppleTV (the only other product where Apple uses subscription accounting), this yields about $8.4b iPhone revenue in Q3 - compared with Nokia's $12.7b.

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Working...
Your comment could not be posted. Error type:
Your comment has been posted. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.

Working...

Post a comment

Available for Consulting

  • Alan Moore
    is a bestselling author and the CEO of SMLXL the Engagement Marketing specialist firm in Cambridge. Its website is www.smlxtralarge.com Book a speaking engagement Call Sandra Nolan or Karen O'Donnell at the Leigh Bureau + 353.1.230.2322 Book an Engagement Marketing Workshop contact alanm (AT) smlxtralarge.com
  • Tomi T Ahonen
    is a five-time bestselling author and consultant on digital convergence and mobile telecoms, based in Hong Kong. Tomi lectures at Oxford University's short courses on high tech and convergence. His company website is www.tomiahonen.com. Book a speaking engagement or workshop around 7th Mass Media or any topics on this blog or relating to his books by writing to tomi (at) tomiahonen (dot) com

Google Search

  • Google

    Communities dominate brands
    The WWW

Tomi's eBooks on Mobile Pearls

  • Pearls Vol 1: Mobile Advertising
    Tomi's first eBook is 171 pages with 50 case studies of real cases of mobile advertising and marketing in 19 countries on four continents. See this link for the only place where you can order the eBook for download

Tomi Ahonen Almanac 2009

  • Tomi Ahonen Almanac 2009
    A comprehensive statistical review of the total mobile industry, in 171 pages, has 70 tables and charts, and fits on your smartphone to carry in your pocket every day.