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Report: iPhone 3G Grabs More Share

Posted In: Business | Nokia Siemens | Backhaul | Mobile Messaging


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Even reports of a crummy 3G network experience weren’t enough to keep the new iPhone 3G down, according to a new study.

The NPD Group reports that 30% of U.S. consumers who bought Apple's new iPhone 3G from June through August switched from other mobile carriers to join AT&T. By way of comparison, just 23% of consumers, on average, switched carriers between June and August 2008.

Nearly half (47%) of new AT&T iPhone customers who switched carriers switched from Verizon Wireless; another 24% switched from T-Mobile; and 19% came from Sprint.

"The launch of the lower-priced iPhone 3G was a boon to overall consumer smartphone sales," said Ross Rubin, director of industry analysis for The NPD Group, via a press release. While the original iPhone also helped win customers for AT&T, the faster network speeds of the iPhone 3G have proven more appealing to customers that already had access to a 3G network, he added.

Before the launch of the iPhone 3G, iPhone sales represented 11% of the consumer market for smartphones (January through May 2008), according to NPD's "iPhone 3G Report." However, after the launch of iPhone 3G, Apple commanded 17% of the smartphone market.

The average price of a smartphone sold between June and August was $174, down

26% from $236 during the same period last year. During June through August, the top four best-selling smartphones based on unit sales to consumers were the Apple iPhone 3G, the Research In Motion (RIM) BlackBerry Curve, the RIM BlackBerry Pearl and the Palm Centro.

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