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iPhone and AT&T: Another Explanation

Posted July 25, 2007 6:00 AM by Paul Levinson
Categories: AT&T 

Cellphone by LevinsonGreg already posted here, yesterday afternoon, about the news, surprising to some, that AT&T activations are below reported sales.

Here is another explanation:

How many of you bought your iPhones because you were unhappy with your cell phone service?  Or, if there are things that do displease you about your cell phones - such as dropped calls, poor service in some areas, you know, the usual suspects - how many of you expected your iPhone to resolve or reduce such problems?

I bet the answer is none.

And that’s because the most remarkable thing about the iPhone, even though its name is phone, is the kind of web access it gives you.  Which can be had via WiFi, not AT&T.

For example, all of you who are reading this right now via your iPhones - you’re not talking on your iPhones, you’re using the iPhone as a web browser and performer.

Nor is there anything even the slightest that is bad news in this, though I’m sure AT&T may be less than thrilled.  But the course of true media evolution never did run smooth.  It proceeds in uneven fits and starts.  Eventually, it will all settle into an iPhone that is used for talking and much as webbing.

But until then, I wouldn’t be at all surprised if some people with iPhones continue with their current cell phones and providers.

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Comments

  1. If Wi-Fi is the answer for iPhones sales, why not to buy a Nokia Wi-fi enabled handset? There is more than ten models available today; almost all of which are 3G capable, too. And in US - unlocked.

    Posted by Anon on July 25, 2007 6:46 AM

  2. Um…

    Is everyone forgetting that we heard much talk of iPhone activation problems in the first day and a half? Just because “only” 146,000 activationsw ere completed, doesn’t mean that’s all that were attempted. I know of at least one person who had to wait a week for a contract to expire, and another who had to wait a week to move a number over.

    Posted by Paul on July 25, 2007 7:55 AM

  3. To Anon - because iPhone also had all kinds of goodies - such as the YouTube interface - that go beyond Wi-Fi. But, yeah, I’d say any cell phones with great Wi-Fi web service would be iPhone’s strongest competition.

    Paul - true, activation is more than a purchase, and people with existing plans might indeed have wanted to wait before switching.  But Wi-Fi would explain what people are doing with their iPhones, prior to the activation.

    Posted by Paul Levinson on July 25, 2007 11:07 AM

  4. Mr. Levinson-
    I believe you are mistaken-
    Prior to activation the iPhone is a brick—no wifi or EDGE access, no iPod functionality,  and (like any other US cell phone) only 911 phone access

    Posted by Brian Bauer on July 25, 2007 12:03 PM

  5. The figures ATT released were for the first 30 hours of sales. From my talk with customer service reps on activation day new accounts were easy to activate but anything that was being transferred from another service provider could take very long. I called for activation at about 8 pm on the 29th and she told me that transferring was so backed up that it could take between 3 and 5 days to activate. None of these phones could have made it into ATTs activation numbers.

    Posted by Marcos on July 25, 2007 12:03 PM

  6. Sales are probably at least 40% higher than activations.

    Posted by Neil Anderson on July 25, 2007 12:55 PM

  7. I bought my iphone and used and existing AT&T acct and number. I wonder if this was counted or if the low number was just new activations?

    Posted by learner on July 25, 2007 3:02 PM

  8. Thanks for the additional comments.  Brian, I’ll stand corrected - but, then, what explanation do you have for so many people sitting with $500 bricks?

    Posted by Paul Levinson on July 25, 2007 11:33 PM

  9. And one additional point on this question - I don’t want to publicize or endorse illegal activities, but there are comments all over the web about people - e.g., DVD John - getting their iPhones to work as iPods and wifi devices without activation.

    Posted by Paul Levinson on July 25, 2007 11:44 PM

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