Apple iPhone Sales Break Record - InformationWeek

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9/22/2014
03:05 PM
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Apple iPhone Sales Break Record

More than 10 million iPhone 6 and iPhone 6 Plus devices were sold over the weekend.

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Apple's iPhone still has it. Apple said it sold more than 10 million iPhone 6 and iPhone 6 Plus devices in the past three days, a new record for the company.

CEO Tim Cook in a statement said sales have exceeded expectations: "We would like to thank all of our customers for making this our best launch ever, shattering all previous sell-through records by a large margin. While our team managed the manufacturing ramp better than ever before, we could have sold many more iPhones with greater supply and we are working hard to fill orders as quickly as possible."

Investors evidently had higher expectations: Apple's stock was down slightly by mid-afternoon Eastern Time. Nonetheless, the reception for Apple's iPhone 6 and iPhone 6 Plus bodes well for the company, which has been under pressure to keep pace with the growing worldwide popularity of mobile devices running Google's Android operating system.

Apple's share of the worldwide smartphone market, 11.7% during the second quarter, has declined during the same period for the past three years, according to research firm IDC. Apple's second-quarter share of the smartphone market was 13%, 16.6%, and 18.8% in 2013, 2012, and 2011, respectively.

[We poll InformationWeek readers: Read Apple Watch? No, Thank You.]

But Apple's share of smartphone industry profits during the fourth quarter of 2013 has been estimated to be about 87%, according to Raymond James analyst Tavis McCourt, or 76%, according to Canaccord Genuity analyst T. Michael Walkley. Either way, Apple's mobile business looks healthy.

The company's iPhone sales record is twice what it was in 2012 and a million more than in 2013. In September of that year, Apple said it had sold 5 million iPhone 5 models three days after launch. Last year, with two models, the iPhone 5S and iPhone 5C, the company sold 9 million in three days.

Apple's iPhone 6 launch this year will reach 115 countries by the end of the year, compared to 100 countries in 2012.

Financial analysts, however, consider early sales figures far less meaningful than sales over an extended period of time.

The iPhone 6 and iPhone 6 Plus have larger screens than previous iPhone models, sporting 4.7-inch and 5.5-inch displays, respectively. Both run on Apple's 64-bit A8 processor and feature iSight and FaceTime cameras with image stabilization improvements, faster wireless networking, and Apple Pay, an NFC-based payment system that's scheduled to be available next month.

Both devices come with Apple's iOS 8, which provides several significant new API frameworks for developers and will allow Apple's devices to function more seamlessly with devices running OS X Yosemite, an update to the company's desktop operating system that's expected next month.

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Thomas Claburn has been writing about business and technology since 1996, for publications such as New Architect, PC Computing, InformationWeek, Salon, Wired, and Ziff Davis Smart Business. Before that, he worked in film and television, having earned a not particularly useful ... View Full Bio

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pcharles09
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pcharles09,
User Rank: Ninja
9/25/2014 | 10:35:23 PM
Re: Bigger ? Finally.
@ClassC,

I guess it's one of those things that you'll always get accustomed to things you've paid for.
ClassC
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ClassC,
User Rank: Moderator
9/23/2014 | 5:14:38 PM
Re: Record sales

@[email protected]    I don't think so , Apple really hates to produce shoddy products, part of their allure is the quality that is built in. 

So I really do believe they work hard to ensure that the production chain stays as exceptional as possible.

ClassC
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ClassC,
User Rank: Moderator
9/23/2014 | 5:11:32 PM
Re: Bigger ? Finally.

@pcharles09     I thought the same about the size before I purchased my Note II   but you get use to it - dedicate a pocket to it ( usually the left ) and after a while it works as a counter balance as well as a phone.

Seriously, The size also works well to see the text and numbers.   I mainly used it for those two functions - email and texting.   Haven't watched a movie on it yet - that is what I have a laptop or tablet for.   

Samsung is not unlike most companies who don't truly understand why their faithful are so - but it makes for a cute commercial.

H@mmy
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[email protected],
User Rank: Ninja
9/23/2014 | 4:23:50 PM
Record sales
I hope this record sale doesnot compromise on production quality of the phone. Not surprised too see great love and excitement among people to have hands on new phone as soon as possible. Waiting in long ques doesnot seem to bother.
pcharles09
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pcharles09,
User Rank: Ninja
9/22/2014 | 10:02:44 PM
Re: Bigger ? Finally.
@Technocrati,

I'm not in that camp. I'd still like my phone to fit comfortably in my pocket & don't desire to watch movies on it for hours.
Technocrati
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Technocrati,
User Rank: Ninja
9/22/2014 | 7:11:35 PM
Bigger ? Finally.

"...Apple's iPhone still has it. Apple said it sold more than 10 million iPhone 6 and iPhone 6 Plus devices in the past three days, a new record for the company."

There is no denying 10million sold over the weekend represents a major sales achievement, not to mention having at least that many units on hand.

 

But what really drove it ( this unprecedented demand) ?   Was it the fact that "big does seem to be better" in the world of cell phones ?    

I am not a iPhone user -  Samsung is my brand, and while I try to remain objective - it really looks like Apple users really in the end just wanted bigger and finally got it.

Jack N FranF583
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Jack N FranF583,
User Rank: Guru
9/22/2014 | 3:24:32 PM
By what accounting standard can Apple book a sale without receiving payment? not cash must be the blow in the analyst's ear standard.
NT

 
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