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Apple sells 500,000 iPhones?

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By Charles Starrett

Contributing Editor
Published: Monday, July 2, 2007
News Categories: iPhone

Apple may have sold as many as 500,000 iPhones over the launch weekend, according to Piper Jaffray analyst Gene Munster. Munster had projected sales of 200,000, an estimate that was beaten according to J.P. Morgan analyst Bill Shope, who estimated sales of 312,000 units. While Apple has yet to release any exact sales figures for the new device, the launch is already being viewed as a success by industry pundits. “This is a very successfully handled launch,” Munster said in an interview with Bloomberg. “The real sign of success would be what kind of legs this product has in 2008 and 2009. In 2009, we estimate a third of Apple’s sales will be from iPhone. This is a huge product.”

Spokespeople for AT&T have declined to confirm numbers, but have been enthusiastic about the launch. Mark Siegel, AT&T spokesperson, claimed “things have just gone extraordinarily well.” The cellular provider said that most of its 1,800 stores sold out of iPhone stock in 24 hours. Checks on iPhone availability from Apple’s retail web site show that more than a third of Apple stores around the country are listed as “Sold Out” of the device. In addition, Apple co-founder Steve Wozniak is also bullish on the device, claiming “I was going to only use the iPhone as a test phone at first, but I’m ready now to make it my primary number.” Wozniak, who got in line at 4 a.m. on June 29 to buy the phone, continued, “I was still a bit negative after a couple of test calls, but then I tried the browser and was shocked at how wonderful it was to have real Web pages.”

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Comments

1

Well that would make sense why some people might have had some activation issues… 500k phones in approx 72 hours all activating would be about 3 phones per second average, 24/7 since launch…

Posted by Hmmm on July 2, 2007 at 7:37 AM (PDT)

2

Sad that The Woz has to line up for one :-(

Posted by Warren Piece on July 2, 2007 at 8:11 AM (PDT)

3

“I was still a bit negative after a couple of test calls, but then I tried the browser and was shocked at how wonderful it was to have real Web pages.”

But isn’t it supposed to be primarily a phone? it is called the iPHONE. being discouraged by the phone part is like bbeing discouraged about having an oven that doesn’t cook food.

Posted by Dave on July 2, 2007 at 8:24 AM (PDT)

4

With all the hype…you woulda thought Apple sold 10 million iPhones.

Definitely sad that Woz had to get in line…saw somewhere that Jobs said he would send Woz one, but it wouldn’t get to him until this week…is that really how Steve Jobs treats his friends?

If they really only sold 500,000 then I guess you can say that everyone who wanted one got one…considering that Apple said they would have 3 million available at launch.

I wonder how this compares to XBOX 360, PS3 and Nintendo Wii launches..?

Posted by YouKnowItsTrue on July 2, 2007 at 8:25 AM (PDT)

5

YKIT, I believe the 360 and PS3 both sold around a quarter million units at launch. I know that Microsoft claimed to sell 10+ million 360s worldwide by the end of 2006, but Sony’s figures have been a little more nebulous.

I think 500k is an excellent first-weekend haul, especially considering all the public objections regarding the price and some of the omitted features. Personally, I’m thrilled with my iPhone so far and I feel like Apple is going to support this product well (read: software updates will be fruitful and frequent) because of the stakes.

As for Wozniak’s comments regarding call quality, I have been pleasantly and surprisingly thrilled with mine. No drops, and nothing garbled after a weekend of steady use. Most impressively, I didn’t have to go outside my house to improve the signal or clarity, and I had to do that constantly with my Treo 650.

Posted by Flippy Hambone on July 2, 2007 at 8:34 AM (PDT)

6

YouKnowItsTrue,

Woz was offered a free phone, but refused and stood in line just like everyone else.  He also stuck to the 2 phone sales policy, even though he was offered more to get one for all 3 of his kids.  This is an example of Woz’s humilty, not Job’s beiing a bastard.  Get your facts straight before becoming another Forum Troll.

Posted by nilesmitchell on July 2, 2007 at 8:43 AM (PDT)

7

Niles-

My facts are staright.  Woz stood in line after being told he wouldn’t be getting an iPhone on Friday by any other way.

Woulda been nice for Woz if he coulda just drove a few miles to the Palo Alto Apple Store (where Jobs was hanging out) and Jobs coulda given him one (or however many he wanted) instead of camping in line.

How crazy is that for Jobs to tell Woz he can have a free one on Saturday?  You know that’s lame. 

And, so Nice of Jobs to offer his co-founder the opportunity to buy a few extras for his kids.

Niles, I know you love Jobs, but that whole situation was wrong and you know it was.

Posted by YouKnowItsTrue on July 2, 2007 at 9:19 AM (PDT)

8

Flippy,

Thanks for the sales figures.  I remember trying to get my XBOX360 the day it came out and EVERYWHERE was sold out!  I bet the game industry will re-think their launch strategy when the next “must have” console comes out.  Supplies were very low for the 360 and PS3 launches. 

I think the gaming industry kinda liked the scarcity they created with low supplies, whereas Apple went out with enough supply so that everyone who wanted one could get one.

I guess the iPhone frenzy was also intensified by the fact it was only being sold at two retailers, whereas the game consoles were sold at a wider range.  I remember people camping out at Target, Best Buy and EB games all in the same shopping mall.

Posted by YouKnowItsTrue on July 2, 2007 at 9:31 AM (PDT)

9

If it’s a choice between your friends and your customers…
(even for iPhones!)

The customers are the ones paying and putting food on the table for ya…  oh, and the media (paper, tv, radio, etc) reviewers too!


I think Woz meant to play with the iPhone, but it ended up being his primary phone (number).

Posted by will_bc on July 2, 2007 at 10:55 AM (PDT)

10

YouKnowItsTrue - Wrong. Wozniak was offered the iPhone but opted to stand in line anyway to purchase some for his family and to experience the launch firsthand.

Posted by Gecko on July 2, 2007 at 12:21 PM (PDT)

11

a little off topic but..has anyone ordered it from apple.com? and if so, has it shipped yet? I ordered mine yesterday and of course got the typical 2-4 week wait time. i’m just curious if anyone has had theirs ship or if it really will be that long of a wait

Posted by scott on July 2, 2007 at 12:30 PM (PDT)

12

360s (and Wiis and PS3s) were sold out due in significant part to pre-selling. While the big-box stores didn’t participate in the practice, the gaming retailers like EB Games and Gamestop did. Unlike Apple, the gaming industry doesn’t discourage it.

Played with one Sunday at a local Apple Store…pretty nifty and smaller than what I had envisioned, but that EDGE connection when surfing was bloody S-L-O-W…even more painful than my BlackBerry on T-Mobile’s EDGE network. Amazon’s home page took a LONG time to load, and then everything was too small to read, even in landscape view (that auto-landscape feature IS cool, though). Also couldn’t figure out how to zoom in without accidentally tapping a link and starting another page load. Even Google’s home page took longer than I’m used to in loading.

Guess a half a million users (assuming they could all get activated) and a browser that makes webpages look like they’re supposed to will do that to a network. Really lovely (bleah) finger prints, though.

Posted by flatline response on July 2, 2007 at 1:04 PM (PDT)

13

ordered mine on sat via the web store - same 2-4 week wait…we’ll see

Posted by gersly on July 2, 2007 at 1:13 PM (PDT)

14

Out of curiosity, how well will this touch screen/ sensor work under cold conditions? Will it work with gloves?

This may be a problem for those who live in the colder climates during the winter.

I guess we’ll find out in the winter.

Posted by dealfreak on July 2, 2007 at 1:46 PM (PDT)

15

Gecko…and others who are telling me to get my fact straight may wanna refer to this Los Angeles Times article and check their own facts…

http://www.latimes.com/business/la-fi-iphone29jun29,0,4233409.story?coll=la-home-center

Also, it seems like Wozniak was quite the trooper for being first in line to support the iPhone launch, but he was not actually the first in line.  The guy who was first in line gave his spot to Wozniak outta respect (something I’m suggesting Jobs should have shown a little of).

This great image of Woz being first in line sells well, but how would it have looked if he was stuck further back in the line like he woulda been if this guy didn’t give him his spot?

Woz shoulda been the first guy with a free iPhone in his hand (especially considering the announcement that Apple is going to give every full-time employee one for free). 

And, Woz shouldn’t have had to wait until Saturday to get it.

Posted by YouKnowItsTrue on July 2, 2007 at 1:46 PM (PDT)

16

Hey, at least Woz is on speaking terms with Jobs and Apple.

Could be worse. I hear there’s some animosity between the 2 main (billionaire) guys at YouTube and the third (not a billionaire) guy…

Posted by will_bc on July 2, 2007 at 2:37 PM (PDT)

17

I’m pretty happy…just got a note from apple web store that they are shipping my phone next day on 7/13 - ordered it on 6/30…that’s not too bad…

Posted by gersly on July 2, 2007 at 2:43 PM (PDT)

18

Steve and others inquiring about Apple web orders,

I waited patiently for Apple’s site to be updated 6PM West Coast time and 9PM East Coast time (Brooklyn, NY) to be exact. Got thru within five minutes since the website was bombarded with others also trying to get their orders in. I purchased two and of course got the shipping time from 2 - 4 weeks. Today I get an e-mail from Apple and they said my iPhones should ship by July 6th. They are saying based on where you were in line on the web some people will receive it earlier than the 2 - 4 week time frame.  I’m happy that at least Apple made enough iPhones for their online community. No way in hell would I stand in line a day before or even hours before a launch for a cell phone.

Posted by PrimalTheory on July 2, 2007 at 8:37 PM (PDT)

19

Sorry I meant Scott not Steve lol.

Posted by PrimalTheory on July 2, 2007 at 8:38 PM (PDT)

20

Hmmmm…...So, Apple has sold around 500,000 iPhones so far. Too bad I wasn’t one of the lucky buyers. I would’ve bought one if I didn’t have to get that 2-yr contract. That just sucks. Now, I can only hope that their 6G iPod comes out near holiday season and has all of the features iPhone does (of course, not the phone). If you guys listen to Buzz Out Loud, Tom Merritt said that he thought eventually the phone will be a built in feature of the iPod.
I’m not sure about this, I somewhat believe it and somewhat don’t. You would think that they would want to keep them separate so that consumers have to buy both products. But, in a way, that’s good if they merge the 2 products. Think of it. If they put the phone inside of the iPod, there’s no way they would make you have a 2-yr contract in order to use the iPod.
And also, if they did merge the products and made you get a contract in order to use the product, they would have a lot of unhappy customers.
So, anyway, what do you guys think   will happen?

Posted by doompod on July 3, 2007 at 4:20 PM (PDT)

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