Menu
iPhone grabs top smartphone spot

iPhone grabs top smartphone spot

Apple boosted its share of the U.S. consumer smart phone market by 55 percent after cutting the price of its iPhone and rolling out a 3G model this summer, a research firm said Monday.

According to data from NPD Group Inc., the iPhone's share of the market grew from 11 percent before the July launch of the iPhone 3G to 17 percent as of the end of August. Apple's device is currently the best-selling consumer smart handset in the U.S. and was often in short supply during the first few weeks after its release.

"The last three months, we have it ranked number one," said Ross Rubin, an analyst with NPD. The research firm bases its findings on online surveys it conducts with more than 150,000 American consumers each month.

Rubin credited the second-generation iPhone's lower price and access to the faster 3G network for the increase in share, with the latter particularly important to the iPhone's gains. "The iPhone 3G was more efficient in pulling buyers from other carriers than the first-generation," Rubin said, citing statistics gleaned from NPD's surveys.

In the three months surrounding the iPhone 3G's launch, 23 percent of American consumers switched mobile carriers; during the same June-August time period, 30 percent of iPhone buyers switched from another carrier to join AT&T Inc., Apple's exclusive network partner in the U.S.

The bulk of new iPhone owners who switched -- 47 percent -- left Verizon Wireless, while another 24 percent dumped T-Mobile and 19 percent switched from Sprint.

"Carriers withstood the pull of the first-generation iPhone, but Apple's taking advantage of AT&T's 3G network," Rubin said. Verizon has been especially susceptible to defections because, unlike rivals such as Sprint, it has not had a handset competitive with the iPhone. "It's proven more vulnerable to the iPhone because of that, and also because of its size," he said.

Apple and AT&T, however, will face increasing competition, predicted Rubin, who called out the new G1 from T-Mobile -- the first smart phone powered by Google Inc.'s Android operating system -- as a prime example. "Now we're seeing other manufacturers launching full-fledged smart phones," said Rubin, who also cited the still-unofficial BlackBerry Storm from Research In Motion Inc. as another potential iPhone rival.

Apple has scheduled a conference call with Wall Street analysts and reporters for Oct. 21, when it will announce its fiscal fourth-quarter earnings, and reveal iPhone sales figures for July through September.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags iPhoneinternational newsus consumer market

Featured

Slideshows

Meet the leading female front runners of the Kiwi channel

Meet the leading female front runners of the Kiwi channel

Reseller News honoured the leading female front runners of the New Zealand channel at the 2018 Women in ICT Awards (WIICTA) in Auckland. The awards honoured standout individuals across seven categories, spanning Entrepreneur; Innovation; Rising Star; Shining Star; Community; Technical and Achievement.

Meet the leading female front runners of the Kiwi channel
Meet the top performing customer-centric Microsoft channel partners

Meet the top performing customer-centric Microsoft channel partners

Microsoft honoured leading partners across the channel following a year of customer innovation and market growth in New Zealand. The 2018 Microsoft Partner Awards recognised excellence within the context of the end-user, spanning a host of emerging and established providers.

Meet the top performing customer-centric Microsoft channel partners
Reseller News launches new-look Awards at 2018 Judges’ Lunch

Reseller News launches new-look Awards at 2018 Judges’ Lunch

Introducing the Reseller News Innovation Awards, launched to the channel at the 2018 Judges’ Lunch in Auckland. With more than 70 judges now part of the voting panel, the new-look awards will reflect the changing dynamics of the channel, recognising excellence across customer value and innovation - spanning start-ups, partners, distributors and vendors.

Reseller News launches new-look Awards at 2018 Judges’ Lunch
Show Comments