Apple could struggle to sell 10 million iPhones by 2008

Apple’s aim of selling 10 million iPhones by the end of 2008 could be too lofty a goal, according to Forbes. Noting that the iPhone will compete in the smartphone handset segment, Forbes’ Taesik Yoon reports: “Worldwide shipments of converged mobile devices (i.e. smartphones) increased 42% year-over-year to 80.5 million units in 2006. It also remains under-penetrated and offers plenty of growth potential. But the bad news is that it currently represents less than 10% of the total number of handsets likely sold last year. This suggests a much smaller market for the iPhone than one might assume. Even if the growth in smart phones could support the sale of 10 million iPhones by 2008, Apple’s own strategic decisions could easily prevent the company from meeting its target. The most limiting of these is its decision to offer the product only through AT&T.”