Apple’s iOS device activation numbers spiked 353% on Christmas Day. In addition, app sales jumped 252% after millions of people opened their new iPhone 4S, iPad 2 and iPod touch and headed straight for the App Store.

Estimates from Flurry Analytics peg iOS and Android device activations averaging around 1.5 million per day, but Christmas day saw around 6.8 million devices activated.

In terms of App Store and Android Market downloads, estimates suggest the number of apps purchased on Christmas day more than doubled from 108 million downloads per day in December, all the way up to roughly 242 million downloads across iOS and Android devices.

To make things interesting, Localytics also issued a report indicating a 15 fold increase in iOS device activations, with the iPod touch seeing as high as a 21 fold jump (most likely due to the low cost of entry into the iOS ecosystem). This contrasts the difference between how analysis of sales and App Store purchases are calculated, but the main point remains the same.

Apple had a huge Christmas day.

Source: Flurry, Localytics

Today, the UK see a rise in their VAT from 17.5% to 20%. This morning, Apple’s Online Store went down and when it reopened, it showed the new prices, with the new VAT.

Check after the break for a list of the new prices for the iPad, iPhone, iPods and the AppleTV.

iPad

• 16GB – £439
• 32GB – £510
• 64GB – £612

iPad 3G

• 16GB – £541
• 32GB – £612
• 64GB – £714

iPhone 3GS

• 8GB – £428

iPhone 4

• 16GB – £510
• 32GB – £612

iPod Touch

• 8GB – £193
• 32GB – £254
• 64GB – £336

iPod Nano

• 8GB – £131
• 16GB – £163

iPod Shuffle

• 2GB – £40

iPod Classic

• 160GB – £197

AppleTV

• £101

Free Shipping now only applies to orders over £80 instead of £78. Not much difference, and you’ll probably end up more than £80 at Apple anyway.

Do these prices still make it compelling for you to buy from Apple? What do you think about the new prices? Leave your thoughts in the comments below

So while Apple is ramping up production of the iPhone 3G, it looks like the rest of the cell phone industry is in a serious slump. Kind of. According to the NPD, (via Ars Technica) only 28 million cell phones were sold this quarter representing a 13% year-to-year decline. But looking specifically at the model-by-model numbers, it looks like everyone is enjoying success on Motorola’s dime.

“Quarterly unit-sales of handsets fell to their lowest level, since NPD begin tracking the category in 2005,” NPD director of industry analysis Ross Rubin said in a statement. “Even so, most major manufacturers picked up market share that was lost by Motorola.”

In related news, MobileSafari has been on an absolute tear since the release of the iPhone 3G. According to Analysts, (via MacDailyNews) MobileSafari has nearly doubled its market share to 0.31% since the launch. Doing rudimentary math, having more handsets on the market that are twice as fast as the old one, well, I guess it adds up.

And to top it all off, our friends at Engadget have created an iPhone specific web page. Why, you ask? Because in 2008, the iPhone/iPod Touch Family has accounted for nearly 96% of all mobile views on their full Engadget site. That’s just jaw dropping.

So that’s the state of the industry. Surprised that the iPhone 3G has had such an effect on the numbers? What’s to come?