News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
You are here: Home / Mobile Tech / Older iPhones Bolster Record Sales
DDoS Protection Powered By Verisign
Older iPhone Models Bolster Record Global Sales
Older iPhone Models Bolster Record Global Sales
By Adam Dickter / NewsFactor Network Like this on Facebook Tweet this Link thison Linkedin Link this on Google Plus
PUBLISHED:
JULY
24
2013



Even with competitors swarming into the market with equal or better specs, Apple's iPhone continues to be a consumer favorite around the world, with record sales of more than 31 million in the quarter ending in June -- the highest ever for that period.

The iPhone continues to be Apple's most lucrative product, contributing strongly to the Cupertino, Calif.-based technology giant's $35.36 billion in revenue and $6.96 billion in net profit slightly better than Wall Street analysts' projections for the quarter.

Undercut by 4S

Analysts say the vibrant iPhone sales may largely be attributable to the sales of the discounted, penultimate device, the 4S, which is now available in emerging overseas markets.

In the U.S., the most recent iPhone, model 5, which was released last fall, amounted to slightly more than half of iPhone sales, according to surveys by the Chicago-based Consumer Intelligence Research Partners, which polls 500 consumers every quarter.

"The iPhone 5 hasn't done as well as the 4S," said Michael Levin, co-founder of CIRP. "At this point in its lifecycle, the 4S accounted for 70 percent of iPhone sales, while the 5 is at 52 percent."

Apple hasn't disclosed a breakdown of iPhone sales. But in an earnings call with analysts on Tuesday, CEO Tim Cook confirmed that overall sales of the iPhone 5 amounted to slightly more than half, according to a participant in the call.

Levin attributed the difference to increased competition from devices such as Samsung's Galaxy S 4 and new devices running the latest version of the BlackBerry and Windows operating systems.

"Consumers have a lot more choices at the high end," Levin told us. He added that increasing its customer base is a mixed blessing for Apple since newcomers tend to buy the cheaper models. "Previously, customers would upgrade or buy the top iPhone, and now a lot of first-time buyers are buying the legacy device rather than the flagship."

The basic model (16 gigabyte) iPhone5, which has a larger screen and access to long-term evolution, high-speed data, sells for $200 with a two-year voice and data contract. But the top wireless carriers are selling the 4S for $99 and giving away the iPhone 4 for free with a two-year contract. Lower revenue from the cheaper devices is already being seen in lower margins.

New Products Needed

Apple's third-quarter numbers were particularly encouraging given that it hasn't launched a major new product yet this year. But Apple, under CEO Tim Cook, clearly recognizes that it can't rest on its laurels for long. Speculation is rife that the company will refresh the iPad and iPhone lines soon with a variety of screen sizes. While the iPhone 5 is the first to increase the display from 3.5 inches to 4, The Wall Street Journal recently reported that Apple is looking at larger screens for the phones and smaller screens for tablets.

Apple already has the 7-inch iPad mini. But its biggest rival, Samsung, has a range of 27 screen sizes for its tablets and phones.

With a new iPhone on the horizon, Apple should be glad for the new customers incorporated into its ecosystem of the App Store, iTunes and iCloud, who may well be enticed to "generation skip" from the older models to the newest when their contracts are up.

Read more on: iPhone, Apple, Sales, mini iPad
Tell Us What You Think
Comment:

Name:

Like Us on FacebookFollow Us on Twitter
TOP STORIES NOW
MAY BE OF INTEREST
Protect 100% of your Data The prevalence of laptops and mobile devices in the enterprise makes corporate data increasingly vulnerable to loss and breach. And yet, workforce productivity is now inextricably linked to mobility. Click here to access the white paper "Top 10 Endpoint Backup Mistakes" to learn more about how to confidently protect data across platforms and devices while also providing features designed to enhance the end user experience.
MORE IN MOBILE TECH
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Dairy Queen Latest Retailer To Report Hack
Known for its hot fries and soft-serve ice cream, Dairy Queen just made cyber history as the latest victim of a hack attack. The fast food chain said that customer data at some stores may be at risk.
 
Lessons from the JPMorgan Chase Cyberattack
JPMorgan Chase is investigating a likely cyberattack. The banking giant is cooperating with law enforcement, including the FBI, to understand what data hackers may have obtained.
 
Who Is the Hacker Group Lizard Squad?
Are they dangerous or just obnoxious? That’s what many are wondering about the hacker group Lizard Squad, which tweeted out a bomb threat that grounded a flight with a Sony exec aboard.
 

Enterprise Hardware Spotlight
Intel Intros Lightning-Fast PC Processors
Call it extreme. Intel just took the covers off its first-ever eight-core desktop processor, which is aimed at hardcore power users who expect more than the status quo from their computers.
 
HP Previews ProLiant Gen9 Data Center Servers
Because traditional data center and server architectures are “constraints” on businesses, HP is releasing new servers aimed at faster, simpler and more cost-effective delivery of computing services.
 
Apple Set To Release Largest iPad Ever
Tech giant Apple seems to have adopted the mantra “go big or go home.” The company is planning to introduce its largest iPad ever: a 12.9-inch behemoth that will dwarf its largest existing models.
 

Mobile Technology Spotlight
iWatch Watch: What Will Apple Ask Us To Wear?
There are still more questions than answers when it comes to details about the smart watch Apple seems poised to debut on Sept. 9. In fact, nobody seems completely sure that it will be a smart watch at all.
 
Google Successfully Tests Its Own Delivery Drone
While top technology companies are engaged in an "arms race" to develop drones that can quickly deliver goods to anyone anywhere, Google has revealed it successfully tested its own version.
 
Will iPhone Finally Catch Up with NFC Mobile Payment Ability?
Apple's latest version of the iPhone may have a mobile wallet to pay for purchases with a tap of the phone. The iPhone 6 reportedly is equipped with near-field communication (NFC) technology.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.