AT&T activates 3.2 million iPhones in Q3

Hot on the heels of Apple's 8.4 million iPhones sold in Q3, AT&T announces a record-breaking 3.2 million of those were activated on their network. Their churn levels were lower than ever as well, 1.01 percent postpaid churn and 1.29 percent total churn, and the all-important ARPU (average monthly revenues per subscriber) up 3.4 percent.

On June 24, AT&T began offering iPhone 4, the most powerful iPhone yet. Preorder sales of iPhone 4 were 10 times higher than the first day of preordering for iPhone 3GS a year earlier. For the full second quarter, AT&T iPhone activations totaled 3.2 million, the most quarterly iPhone activations ever. Approximately 27 percent of those activations were for customers who were new to AT&T.

27 percent new to AT&T, going into the 4th year of exclusivity? Yeah, that's probably why they stick with that "I hate you, don't leave me" borderline relationship with Apple.

And all this with iPhone 4 demand still exceeding Apple's supply, and the white iPhone 4 still waiting on a limited, late July launch.

[Business Wire via TechCrunch]

Rene Ritchie

Editor-in-Chief of iMore, co-host of Iterate, Debug, Review, Vector, and MacBreak Weekly podcasts. Cook, grappler, photon wrangler. Follow him on Twitter and Google+.

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Reader comments

AT&T activates 3.2 million iPhones in Q3

13 Comments

Supply has to ramp up before we can even talk about other carriers. Even if other carriers end up getting the iPhone, I can still see AT&T getting first billing on iDevices.

If AT&T cannot keep their service from going down. This last one is still going on, and it seems they have been having problems with their service for a time now. It's nice that they have 3.2 million activated on their service, but you have to be able to use them.

If half of AT&T's customers switch to another carrier when the iPhone moves, that would lift some weight off of AT&T's network. Wouldn't that naturally make it better?

I am one of the new AT&T customers that will be getting an iPhone if 4 more days (going from a BB, before that windows smartphones). I am with VZW and plan on staying with them, so I will be getting the Palm Pre Plus for the free hot spot with my upgrade. I know about AT&T's spotty coverage, but to be realistic, I have little to no signal in my home with Verizon, so that won't bother me. I was tired of waiting for the iPhone to come to Verizon, it may never happen, but if it does, I will still have my account.

I wonder why AT&T and Apple seem so shocked at the demand for the iPhone 4. All those iPhone 3G users (myself included) were due for real upgrades this time around so I would think they should have been expecting that plus the normal Apple fanatics.

@Isaac65 - Apple's fiscal year ends late September each year - so the results were the 3rd quarter results of their fiscal year.