AT&T's iPhone 3G causes wireless subscriber gains, defying consumer slump

Posted Dec 4th 2008 5:00PM by Brian White
Filed under: Products and Services, Apple Inc (AAPL), AT and T (T)

AT&T Inc. (NYSE: T) may be defying the economic slump (err, recession) by signing up more wireless subscribers even as those same customers tighten up their wallets and purses. Analyst Will Power with Robert W. Baird & Co. indicated that the largest wireless carrier in the U.S. may snag up to 1.5 million new subscribers in the current quarter compared with the 1.2 million subscribers AT&T gained in the year-ago quarter. Impressive prediction, yes?

Apple, Inc.'s (NASDAQ: AAPL) iPhone may be the variable that makes this happen. Yes, there are now touchscreen wireless handsets from all the major wireless carriers, but the iPhone still was the first to market and set the standard in whiz-bang marketing to help AT&T nail these impressive numbers. The iPhone is not a phone, nor a hand-held computer nor a music/video/television player: it's an icon. And, that's all that counts.

Just like the iPod before it, the iPhone's biggest draw isn't the mind control it has over its fans -- it's the icon status just like the groupthink materials citizens feel they need to have. Nothing wrong with that -- it's present human nature. Apple is just exceptionally great at creating the perception that customers "need" these devices. The good news for AT&T is that it gets all the subscribers from Apple's marketing efforts.

Tags: AAPL, Apple, ATT, Inc., inthenews, iPhone, iPhone sales, IphoneSales, T

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Reader Comments (Page 1 of 1)

12-04-2008 @ 6:16PM

Henry said...

I will admit that I jumped in the iPhone craze at the beginning, but I abandoned it when everyone started to have it. I don't miss it. My 5.5G iPod is still the best model, and my Moto ROKR E8 is cool looking. I am part of those early adopters that want freedom of our products. That's why I love to buy unlocked phones even at a premium because I can do whatever I want in it. Whether change the firmware or add my own mp3s. I like my phone to be unique like the Samsung SPH-N270 or Matrix phone as everyone calls it. It's the uniqueness that draws me to the phone and the feeling that I am one of few that have it.

12-04-2008 @ 10:10PM

John Pozzi said...

New World Order - GRB.NET

12-04-2008 @ 9:22PM

nickker said...

Here is a crazy thought: maybe we like iphones because they are better than the other pap offered by cheap imitators.

Or is liking the best, most easy to use and well-designed product only a "herd" mentality to the experts?

12-05-2008 @ 3:20AM

Marco said...

I might be an old fart (67 years old).
I have a small business and a lot of hobbies. I "needed" an I phone as soon I saw one.
It's great! I don't have to carry a camera anymore, I can listen to Pavarotti, check the Stock Exchange ( I don't have stocks but is fun), the wheater, I have a translator and a dictionary in my pocket and i have a lot of "bragghing rights"!

12-08-2008 @ 8:33AM

Wild Wes said...

The iphone is a pretty toy, but the Blackberry Storm is for adults. Plus, AT&T is a company I will never again do business with after the way they have treated me in the past.