back to article Unlocked iPhones help drive Apple Q2

Announcing its second quarter financial results today, Apple confirmed the obvious by saying a "significant" number of iPhones are being purchased from its outlets with the express intention of unlocking them. That trend, coupled with higher-than-expected demand, has resulted in inventory shortages, the company claimed. COO …

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  1. Anonymous Coward
    Jobs Horns

    Apple has a 3.35 market share

    So, Apple's worldwide PC market share is 3.3%, a magnificent gain from their 3.0% market share for the 2nd quarter of 07.

    Apple reports it sold 2.28 million Macs in the last quarter.

    IDC reports worldwide PC shipments of 69.5 million units in the 1st quarter of 08.

  2. Sooty

    is it just me...

    or would most normal companies seeing this

    "Apple confirmed the obvious by saying a "significant" number of iPhones are being purchased from its outlets with the express intention of unlocking them. "

    Immediately think, wow! theres a big market for unlocked iphones, why don't we start to sell them.

  3. Anonymous Coward
    Anonymous Coward

    Not sure

    AC 3->3.3% is a market gain of 10% for them, depends how you cut your pie?

    and no i don't own one, never will

  4. Anonymous Coward
    Jobs Halo

    insert favorite father ted quote regarding the distance and size of cows here.

    looking back at the iphone presentation at macworld this year, I would say that it also depends on what angle you look at your pie from ;o)

  5. Dangerous Dave
    Thumb Down

    iphone

    1.7 million idiots can't be wrong surely!

    IMAP and POP3? Do they seriously believe that sysadmin's are going to open these ports up to the world on their exchange boxes? I'm not that's for sure. My apple luser can forward all his exchange mail to his gmail if he's really that bothered :)

  6. JayKay
    Jobs Halo

    IMAP and POP3

    @ Dangerous Dave,

    What's the problem with opening up IMAP and POP3? My God man, if everyone had that attitude, we'd all still be on standalone machines and the internet would still be a dream.

    Maybe it's your Exchange server that's the problem, if opening up legitimate ports for legitimate users to access their legitimate accounts is a cause for concern.

    Weird.

  7. Scott Mckenzie

    @Dangerous Dave

    Wow, you're paranoid.... just out of interest, what is the danger in your opinion of IMAP over SSL? I've yet to find any significant danger having opened up IMAP in the company i work for....

    Or are you just scared to admit that then other people may like the idea of an Apple product (since i got one, our company has added 5 more and it's growing) and you would lose face in your office.... and then be in danger of having to support something you don't know or understand and look even worse.

    Tragic.

    As for a 10% increase in your market share in an incredibly competitive market, i'd be happy.... and then comparing the sales of one brand against the combined sales of all the PC manufacturers... hmm.

  8. JayKay
    Gates Horns

    congratulations

    I forgot to say, well done Apple and all the employees.

  9. Joe
    Thumb Down

    @ Dangerous Dave

    Lonely day in the server room? Enjoy the feeling of power, it will only be replaced by petty bitterness in your old age!

  10. MarmiteToast
    Stop

    @Sooty

    If they could make an infinite (or practically infinite) number of iPhones in a given time then yes.

    Seeing as they can only make so many it's better for them to sell them locked and benefit from the phone provider kick backs.

    e.g. THey make 1000 phone.

    1000 02 contracts = 1000 x Retail Price + 1000 x 02 monthly fee to Apple

    1000 unlocked = 1000 x Retail Price

  11. Anonymous Coward
    Paris Hilton

    EXCLUSIVE!!! MUST CREDIT ANONYMOUS!!!

    What's that? A little birdie? What say you?

    "The non-activation rate on O2 approaches 45%"

    Really little birdie? Wow.

    Paris because I'd rather have her sitting on my shoulder.

  12. T LI
    Paris Hilton

    @ Dangerous Dave - iPhone's Exchange support

    iPhone 2.0, due to release in late June, will have built-in native ActiveSync support for exchange, complete with push email/contacts/calendar, global address lists, plus:

    * Certificates and identities

    * WPA2/802.1X

    * Enforced security policies

    * Cisco IPSec VPN and other VPN protocols

    * Device configuration

    * Remote wipe

  13. John

    Exchange is a non-issue

    By June or July Apple will have released a firmware update that will cover that issue.

    The iPhone isn't complete however it's much easy to add stuff to a well designed OS than to redesign and fix a badly designed OS.

    This gives Apple a huge advantage however Apple's desire to own the hardware as well might prevent it from gaining dominance however maybe not as it didn't stop the iPod. I know it's not the same business however it remains to be seen if the mobile market is closer to the MP3 business or to the desktop business. If it's closer to the MP3 business, Apple have probably already won. The iPod wasn't the first to market then either.

  14. Anonymous Coward
    Boffin

    @JayKay and Scott McKenzie

    The way I read it was, the problem isn't opening up POP3 and IMAP4 to the outside world so much as opening them up on M$-sExchange.

  15. Alan Edwards
    Boffin

    Unlocking demand

    >e.g. THey make 1000 phone.

    >

    >1000 02 contracts = 1000 x Retail Price + 1000 x 02 monthly fee to Apple

    It's isn't though. It's (1000 - the amount unlocked) x 02 monthly kickbacks.

    At the moment it's only geeks like me that buy them and unlock them, mere mortals tied into a contract elsewhere etc. doesn't bother.

    If they offered an official unlocked version, anyone who wanted an unlocked one buys an official one, even if it costs a bit more to cover the lost kickbacks, and they'd sell more.

    I wouldn't have bought my iPhone if PwnageTool didn't exist, but if there was an official unlocked one I might have considered it.

    Having got it turns out I hate it, but that's a different story. The jerk that decided copy/paste wasn't needed should be introduced to the cluebat. All it needs is an Apple key on the virtual keyboard, and Apple-C/Apple-X/Apple-V becomes trivial.

    Alan.

  16. Anonymous Coward
    Thumb Down

    @Alan Edwards

    "At the moment it's only geeks like me that buy them and unlock them"

    Seriously, 45% of them are never seen on the O2 network. Either they get sent abroad or they show up on another network, or they're used as doorstops - but the fact is that unlocking iPhones is big business, either at home with iLiberty for free or down your local unlocker for £15-£30.

  17. Chad H.
    Flame

    @ dangerous dave

    iPhones support outlook web access to download email, just like the blackberry prosumer service (the one that doesnt need a blackberry enterprise server)

    But hey, let's not let facts get in the way of an anti apple rant.

  18. cp

    21% in the U.S. consumer market.

    "According to IDC, Apple’s worldwide market share grew from 2.4% in 2006 to 2.9% in 2007. (See chart below.) Munster is conservatively modeling global market share to remain flat this year, but he notes that enterprise sales account for 70% of the worldwide market, a segment Apple is not aggressively targeting. In the consumer market, where Apple does compete, he estimates the Mac’s share is now 10% worldwide and an impressive 21% in the U.S."

    http://apple20.blogs.fortune.cnn.com/2008/04/01/analyst-apples-us-consumer-market-share-now-21-percent/

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