The new Apple Inc. (NASDAQ: AAPL) iPhone is even a bigger hit than analysts had expected. During its debut weekend, about a million units of the phone that can do everything but your taxes were sold. This number is already higher than earlier estimates from today Doug McIntyre has posted. Even Apple's prickly Chief Executive Steve Jobs was impressed."iPhone 3G had a stunning opening weekend," he said in a press release issued this morning. "
Indeed, diehard geeks camped out and around Apple and AT&T Inc. (NYSE: T) stores to be among the first to get their hands on the sleek new phone. A 22-year-old college student from New Zealand named Jonny Gladwell was the first to purchase the mother of all gadgets. He waited outside his Vodafone store for 60 hours, according to Vnunet.com. His parents must be proud (or horrified).
What makes this even more amazing is that many Apple fans are fuming over technical glitches and shortages of the phone their lives will not be complete without. Gizmodo dubbed this the iPocalypse. Mitch Wagner of Information Week argues that Apple has got some fence-mending to do with customers who clearly expected better.
"Some kind of apology would be nice, along with a bit of cash to compensate customers who had problems with activation, similar to the gift certificates Apple gave out last year when they cut iPhone prices too much too fast and left customers feeling ripped off," he writes. "But more importantly, Apple needs to sit down and figure out what went wrong on Friday, and make sure it never happens again."
Gene Munster of Pipper Jaffray & Co. figures AT&T sold a combined 225,000 devices in the U.S. even though a computer snafu in Apple's system meant that some buyers had to activate their iPhones at home, according to Bloomberg News.
Sounds like people are so enthused about the iPhone 3G that they are willing to put up with some major hassles to get it. Heck, I am going to buy an iPhone for my wife once the hoopla dies down, which I figure may happen sometime before the presidential election.
Steve Jobs apologizing twice in the same decade? I'll believe it when I see it.
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Reader Comments (Page 1 of 1)
7-14-2008 @ 1:04PM
bk said...
i just wish i could find an iphone. apple is only pissing me off by making me call around daily to see if any att or apple store around me has a new stock. had they stores all been stocked, i bet apple could have sold 2 million this weekend!
7-14-2008 @ 1:07PM
Stan said...
People need to get a life. The iPhone is a state-of-the-art device. Glitches happen when a device is new or when it is updated. Take a deep breath relax and Apple will correct any snafus as quickly as possible.
7-14-2008 @ 1:19PM
Human said...
I'm not convinced that Apple fans in general were upset with Apple. An extremely successful launch WORLDWIDE?! Please - how can you test for such demand? Will it happen again? Maybe - Apple will always push the envelope with new products.
For those of us that knew the server would be busy (I waited until Sat a.m.), I can only write my new download took 20 min. As far as supply - this isn't a new heart valve. Stand in line like a good child and get over it.
7-14-2008 @ 1:28PM
Beltway Greg said...
Apple and Jobs will correct any problems long before you correct this piece of sanctimonious garbage. People who blog and overstate the problems associated with Apple are the TMZ.coms of the blogging world destined to forever post snapshots of Miley's midriff and pay millions for pictures of the Pitt/Jolie twins. No news, let's create some and destroy a little more shareholder value. "Apple at $100 Care to take a bite?" How about an article on how incredibly incorrect the blogging stocks mob of morons have been in regard to Apple. You folks make the "Fast Money Nitwits", look astute.
Beltway Greg
Don't make me come down there wherever there is.
7-14-2008 @ 1:51PM
KenC said...
Can you ask Doug McIntyre why everything he writes about Apple has NEGATIVE spin?
As for the guy who has to call around, Apple has a webpage he can check every night for Apple Store inventory:
http://www.apple.com/retail/iphone/availability.htm
7-14-2008 @ 2:10PM
The Voice of Reason said...
What makes you think you can't do taxes on the iphone? It has a browser that is more than capable of doing taxes, trading stocks, etc. through web-based service providers and internet brokers... probably won't be long before standalone apps are available through the app store to do it without websites. People are going to have to come to terms with the fact that this is the greatest device of this generation and that the capabilities are almost limitless. So, next time you want to say it can't do something you may want to think it through and be sure that it really can't. Here I'll give you a better opening statement. 'During its debut weekend, about a million units of the phone that can do everything but offshore drilling were sold' :)
7-14-2008 @ 2:16PM
veronica said...
AS I've said before today, didn't all the whiners (and reporters) realize that standing in line to join a feeding frenzy might wind up having a few snags? Are most consumers and many of your colleagues so stupid as to think a worldwide product introduction would go flawlessly in the first 24 hours?
I smell either notorious journalistic sensationalism (i use the word journalistic LIGHTLY), or attempted stock manipulation cooking here. Either way, it makes a stink.
Personally, I think getting a million phones and 10 million application downloads into people's hands and having them operable within 24 hours is an unforgettably, ground-breakingingly, world-record accomplishing GREAT achievement.
Thanks for listening.
VERONICA
7-14-2008 @ 5:01PM
mb said...
I went to the Apple Store today thinking things would die down Monday afternoon ... and there was a line of 50 people! Apple should provide more frequent updates regarding availability ...
7-15-2008 @ 2:08PM
Doc said...
We have seen the same snafus during the sale of good SuperBowl tickets, The Rolling Stones Reunion, and oh yeah the 2000 Presidential Election. It happens get off of it. Apple and At&T did great considering the obstacles the had to dodge on the fly. There was no way to test for this maddness and these issues will be solved soon.
Not to start a MAC/PC war but Steve Balmer and Bill Gates are not apologizing to us for Vista and the forced upgrades many of us got when we bought new computers for the last two years.
People set expectations for Apple way too high or way to low. Be fair and stop this nonsense.
7-15-2008 @ 4:15PM
Stock Investor said...
I think this presents a great opportunity of buy AT & T (T) which is going to benefit from all the iPhone sales with a 2 year contract and a costly data plan. The stock is currently trading at a PE of around 15.5 and has an attractive dividend yield of 5%. See http://stockhaven.blogspot.com for a more detailed discussion.
Stock Haven
http://stockhaven.blogspot.com