During Apple's Q1 2013 conference call, when asked about the mix of iPhone 5 compared to the lower priced iPhone 4S and iPhone 4 still on the market, Apple CEO Tim Cook responded that not much had changed from last year's iPhone 4S mix relative to the iPhone 4 and iPhone 3G, then the discount options.
Apple is apparently quite strict when it comes to allowing carriers to offer the iPhone 5 as an LTE device, requiring carriers to allow Apple to independently test the quality of their LTE network. If the network is up to Apple’s standards, then they will enable LTE functionality on the iPhone 5. This test can mean that, as carriers across the world start rolling out their LTE networks, the iPhone 5 won’t be immediately useable as an LTE device.
If you're in the U.S. it's probably not so easy deciding which carrier is best for your iPad or iPad mini needs, AT&T, Verizon, or Sprint. Price is always a huge factor to consider when choosing a carrier, but coverage should be just as, if not more, important when making a decision. Since the iPad and iPad mini support LTE cellular technology, you're going to want to take a close look at which carriers offer the best LTE coverage in your area.
If a carrier, like AT&T, wants to improve profitability on iPhone sales, it has to do so by reducing the subsidy. The only way to reduce the subsidy is to get Apple to drop its pricing, or to sell at a higher contract price
Yesterday, on Wall Street, we saw something rare. An Apple analyst downgraded the stock from a “buy” to “neutral” rating. Most analysts who cover Apple are incredibly bullish. So it’s interesting to think about why this analyst, Walter Piecyk from BTIG Research, disagrees.
I haven’t seen his research report with my own eyes, so I’m relying on the good reporting done by AllThingsD here. The crux of the downgrade reasoning seems to come down to subsidies.
According to a report by Fierce Wireless, U.S. Cellular apparently turned down the opportunity to carry Apple's new iPhone 4S:
U.S. Cellular turned down Apple's (NASDAQ:AAPL) iPhone because it did not make sense for the company economically, CEO Mary Dillon said on the company's third-quarter earnings conference call. Dillon said that the carrier had the opportunity to sell the iPhone but that Apple's "terms were unacceptable from a risk and profitability standpoint."
Looks like the CDMA variant of Apple's iPhone might eventually make its way to carriers in China, Korea, and Japan. According to the not always reliable Digitimes, Apple suppliers currently expect around 7 million CDMA iPhones to be sold in the first quarter of 2011. That's a lot of iPhones, no matter how you look at it.
iPhone has tiny market shall, monumental profit share according to Canaccord Genuity and IDC, and pretty much everyone else who's ever mentioned it. TiPb's been pointing this out for a long time of course, but boy does the above graphic make it visually apparent just what the difference is.