Shortly after Verizon announced it 2.2 million iPhone sales, AT&T rushed out with its sales numbers – 3.6 million iPhones in the first three months of 2011, which is a 33% increase from a year prior. Although the iPhone activation seems unaffected by Verizon entering into the picture, tablet activations were much lower, at just 322,000.
iPhone activation increased by a million in Q1 of 2011, with 23% of new subscribers going to AT&T. This might lead many back to the Verizon launch and say that the CMDA iPhone launch was not as successful as expected, but the 2.2 million iPhone activations is a very friendly number achieved in just six weeks
However, there are other aspects such as the slower 3G network compared with AT&T’s. Verizon has a larger 3G network footprint and its customers experience fewer dropped calls though. Another important aspect consumers keep in mind when they choose their carrier is whether they want simultaneous voice and data connections – AT&T allows it, while Verizon does not.
AT&T added 62,000 new consumers, which is somewhat surprising as Wall Street analysts expected AT&T to lose 83,000 customers following the Verizon iPhone launch. However the Verizon launch clearly affected AT&T as new activations were significantly reduced from 400,000 in the previous quarter.
Randall Stephenson, AT&T chairman and chief executive officer, said:
We delivered another robust mobile broadband growth quarter for a very solid start to the year, We posted double-digit wireless revenue growth, and we set new first-quarter records in total net adds, connected device net adds and smart-phone sales. Growth in tablets and other branded computing subscribers also continues to be strong.