When Verizon announced that it will also be offering Apple’s iPhone on its CDMA network, many (including us) wondered how the loss of iPhone exclusivity would affect AT&T’s results.
AT&T has just announced their Q2 2011 financial results today and it looks like it has not been affected as they have activated 3.6 million iPhones, with 24 percent of the subscribers new to AT&T.
Here’s a snippet from AT&T press statement:
AT&T continues to deliver robust smartphone sales. (Smartphones are voice and data devices with an advanced operating system to better manage data and Internet access.) In the second quarter, 5.6 million smartphones were sold, a second-quarter record and the third-highest quarter ever. Smartphone sales also increased more than 43 percent year over year. Sales of non-iPhone smartphones more than doubled year over year. Nearly 70 percent of postpaid device sales were smartphones. During the quarter, 3.6 million iPhones were activated.
At the end of the quarter, 49.9 percent of AT&T’s 68.4 million postpaid subscribers had smartphones, up from 35.8 percent a year earlier. The average ARPU for smartphones on AT&T’s network is 1.8 times that of the company’s non-smartphone devices. More than 85 percent of smartphone subscribers are on FamilyTalk or business plans. Churn levels for these subscribers are significantly lower than for other postpaid subscribers.
AT&T said that it is confident it will win the approval for the $39 billion deal to acquire T-Mobile.
Last year, AT&T activated 3.2 million iPhones during the second quarter. It will be interesting to see how many iPhones Verizon has activated when it announces the results tomorrow.