Steve Jobs: "Apple sold over 1 million new iPhones"

Fortune ^ | JUNE 22, 2009, 9:08 AM | By Philip Elmer-DeWitt

[Swordmaker]

It’s hard to know which is more significant: Apple’s (AAPL) announcement that it sold more than 1 million units of the new iPhone 3GS last weekend — easily exceeding analysts’ estimates – or the fact that the news was accompanied by a quote from CEO Steve Jobs, his first since Apple’s Jan. 21 quarterly earnings results.

“Customers are voting and the iPhone is winning,” said Jobs. “With over 50,000 applications available from Apple’s revolutionary App Store, iPhone momentum is stronger than ever.”

The same press release announced that six million copies of iPhone 3.0 were downloaded in the first five days after its release last Wednesday.

Earlier Monday several analysts had released their estimates of the 3GS’s weekend sales, including …

Piper Jaffray’s Gene Munster: 750,000 units (see here) Kaufman Bros. Shaw Wu: 600,000 Oppenheimer’s Yair Reiner: 400,000 – 500,000 Jobs, who usually gets the first quote in any Apple press release, had been noticeably absent in these releases since his medical leave began. His reappearance — or at least the reappearance of words attributed to him — two days after the Wall Street Journal reported that he was recovering from liver transplant surgery, may signal the first stage of his return to Apple, scheduled to occur before the end of June.

UPDATE: In an addendum to his Monday morning report to clients, Piper Jaffray’s Munster notes that Apple’s weekend sales not only exceeded both his initial prediction (500,000 units) and his adjusted estimate (750,000), but they matched last years sales — despite the fact that the new iPhone launched in just 8 countries vs. 21 countries last year.

[PugetSoundSoldier]

Why, for pointing out that the iPhone is just now coming up to the standards of 3 year old phones? That it still doesn’t allow even the most basic functions that all other smartphones do? That the iPhone fanbois will never admit the shortcoming of their grail and will mislead people asking about it?

OK, I’ll bow out. You fanbois can continue to have your fun. At least a few facts - and a few differing opinions - were brought into the conversation.

We now return you to your regularly scheduled Jobs adulation fest...

[itsahoot]

Believe on the Lord Jesus Christ, and thou shalt be saved, and thy house...

And old preacher I used to have, long since gone to be with the Lord, would always add to that scripture, "If they also believe." He couldn't help himself, so bound to the doctrine of works, he just couldn't let the scripture stand alone.

[itsahoot]

his liver in that Las Vegas hotel bathtub is still in sad shape, today

Hey could have been anyone, just as easy. Mickey Mantle got two in Palm Springs.

[itsahoot]

I just cannot give up the front number pad and the real, tactile keys. The fact I have more functionality than the iPhone - in a smaller, lighter package - is what sold me.

Old Word Perfect users just couldn't give up either, after having learned about 4 different function key combination's in order to do simple WISYG functions of lesser programs.

I don't know a single soul that wants to go back just because the had memorized all that stuff.

[itsahoot]

Oh, I accept it... But I like tweaking those same egos and lemmings because they refuse to accept that something other than the blessed-by-Jobs iProduct could be useful.

Class envy, is so unbecoming. Buy what you want and be happy, or try to shed your misery around, see which one makes you feel better.

[itsahoot]

I can do it yesterday, today, and tomorrow with my phone. Tethering is a feature that I must have.

Tethering is a function of ATT not Apple's decision.

[SamAdams76]

Well I wasn't a big Apple fan until the iPod came out a few years ago. The iPod is probably the greatest consumer product that has ever been released in the history of modern times and I feel it has only just begun to penetrate the marketplace. Why in ten years time, I would not be surprised if Apple was shipping over one billion iPods per year worldwide. At an average price of around $100, that translates into $100 billion in annual revenue.

My reasoning for this is that there is a potential market of three billion people in the world who would want an iPod and since the average user will want to upgrade within three years, Apple should easily be able to ship a billion of these iPods a year.

Thinking ahead about 50 years, the iPods will become so tiny that they will be about the size of a deer tick and we will be able to have them attached to one of our underarms and hardly notice they are there (it will be like having a tick on you). That will be accompanied with speakers surgically implanted in our ears. For video buffs, there will be specially equipped eyeglasses where you will be able to get video feeds from the iPod. As for capacity, think big. Every song ever recorded and every movie ever filmed will easily fit on a flash drive barely bigger than a grain of sand. As for battery life, who needs a battery? Since the iPod is basically embedded in your body, your heartbeat will keep it recharged. And if your heart was to give out, no big deal, for iPod will live on! The funeral home will be happy to remove iPod from your corpse and have it implanted in a person of your choice - for a small fee. Time to update that will!

Don't even get me started on the iPhone. Probably the second most important consumer product ever introduced to society - that is, second to iPod. In fact, it could be argued that iPhone is but an offspring of iPod.

But don't go putting me in the Apple fanboy camp because I'm am not at all pleased with some of the things that Apple does.

For example, the Apple product is not marketed well and very much underpriced. For example, I purchased the 120GB iPod classic for just $299. Doesn't Apple know that I would have gladly paid over $2,000 to have the ability to store over 20,000 of my favorite songs? So how come I had to actually buy it to realize how many songs could fit on it? If other people know that, they'd pay more money for the iPod too. Lots more.

I also think Apple needs to spend more on advertising. Not many people are aware, for example, that Apple also makes personal computers. Where are the ads telling us this? I was in an Apple store recently and was blown away by the computers that were on sale and yet nobody seemed to know they were there. Why is that?

I also think they should be putting Apple stores in more upscale locations so they can market to people with lots of money to spend. Might be a good idea to put them where the Starbucks and Whole Foods supermarkets are.

I feel bad that Steve Jobs is missing out on all this extra money due to poor marketing and bargain-basement pricing. Hopefully he will find some bean counters and marketing people that can teach him how to properly promote and price his product so that he can increase his profit margins.

[webschooner]

I know that ... but doesn’t matter whose decision it is — American customers can’t partake.

[Mr. Blonde]

The things you bring up have been brought up by others in a less rude manner. It can be done.

In fact many with iPhones have said they love them and can’t wait for those features to be added. At least those software wise. The chances of a physical keyboard or replaceable battery being added are very slim. But where the virtual keyboard is concerned most seem to come around to it pretty quickly.

[PugetSoundSoldier]

Old Word Perfect users just couldn't give up either, after having learned about 4 different function key combination's in order to do simple WISYG functions of lesser programs.

But see, you can set Microsoft Word to USE those old WordPerfect key strokes. The software adapts to YOUR needs and desires. Not forcing you to do things the way it wants... That is what I think a UI/computer should do.

[PugetSoundSoldier]

Now if only they actually TASTED like an Apple when you licked them. Maybe scratch-and-sniff covers for your iPod? Cherry, Strawberry, Apple, Grape, Bubblegum, Coconut?

I think we’re on to something! Now if that embedded iPod could be placed in the nasal passage, I think it would be better. After all, I don’t want to have to scratch my armpit all the time to get the scent - just picking the nose would accomplish the same thing! It’s a two-fer! ;)

[PugetSoundSoldier]

I just think it’s a hoot how it’s “ohmigosh-iPhone-now-records-video-WTFOMGBBQ” when cell phones - not iPhones - have done that for 3 or more years.

And also included the features to send the video right to another cell phone, no e-mail or web browsing needed...

Apple’s iPhone has a VERY nice touch-screen; it is probably the best I’ve ever seen. And the media access is quite amazing, too. But most of the new features that are being pushed as “revolutionizing” the market are, in fact, ancient. Heck, they just got around to adding something novel called “cut and paste”! ;)

To each their own...

[PA Engineer]

Not what you are drinking.

Sure this isn't the picture of you on the Apple threads?

[Swordmaker]

Tethering, for one.

Included in iPhone 3GS but not 3G or 1G... unfortunately, not activated by AT&T at this time. It is available right now from 20 other providers around the world.

MMS for the last two years

I have not really needed it. Pictures can be easily sent by eMail. However, that is also available on the iPhone 3GS and, as you mentioned, will be available from AT&T later this summer. For both tethering and MMS, AT&T is concerned about band width... the iPhone accounts for the vast majority of their data transmissions already and has put strains on the system in populated areas. AT&T is rapidly upgrading their cell towers to a faster system capable of handling four times the bandwidth.

A real keyboard with a separate numeric keypad

In many tests, the iPhone's virtual keyboards, with experienced iPhone users, have been able to out-type experienced fixed keyboard phone users. In addition, the iPhone can change the keyboard for language, application, usage, on the fly. Now even better with landscape keyboard in most apps. I think that it is a superior keyboard. That, is of course, an opinion.

Video recording Now on the iPhone 3GS... but not on 3G or 1G.

Cut and paste (or was that just added?)

it was. Reviewers give kudos to Apple's implementation as superior and easier to use than others... and is phone wide, available in all apps that need it.

A replaceable battery, meaning I can carry an extra with me for those extended trips where I want to watch a lot of movies, or read several e-books while listening to music.

I've traveled extensively with my iPhone... the battery has outlasted the day from charge point to next charge point for over two years. However, there are third party rechargeable battery packs that plug into the iPhone to extend the utility.

Edit Word, Excel, and PowerPoint files natively (no need to buy extra software).

There are numerous apps that allow the editing of Word and Excel on the iPhone... some of them are free. I don't know about PowerPoint files... but iPhone users have been using iPhones to make Keynote presentations although they aren't created on the iPhone yet.

[Swordmaker]

Apparently your iPhone doesn’t show the little winking emoticon usually used to indicate sarcasm. Better talk to Steve about adding that feature! ;)

I see the smiley... I just don't use the plug ins that would convert perfectly good punctuation marks into cartoons.

;^)>

[Swordmaker]

and you’re vindictive too.

I am? Not that I ever noticed...

[PugetSoundSoldier]

Thanks... Looks like the 3GS finally gets to the functionality of the i760 from 3 years ago. If the iPhone works well for you, then good for you! It didn’t work well for me, and so I’m living with what does work fine. And for me, that’s the i760.

[Swordmaker]

Thanks... Looks like the 3GS finally gets to the functionality of the i760 from 3 years ago. If the iPhone works well for you, then good for you! It didn’t work well for me, and so I’m living with what does work fine. And for me, that’s the i760.

Re: Editing of Word, Excel and Power Point documents without buying additional software. Has this changed? The original Samsung i760 reviews said it was view only for those file and that you had to purchase Pocket Word and Pocket Excel to maker changes in those files. The iPhone could view both Word and Excel documents from the first generation. Editing for the iPhone was added by third parties shortly after the intro of the App store. As I recall, there was also a Web based App that allowed editing of all three on the iPhone that came out about 1 month after the iPhone intro.

[PugetSoundSoldier]

Editing Word, Excel, and PowerPoint is a functionality of Windows Mobile, and been since Windows Mobile 5.0. The Version 6.0 that the i760 came with, and the 6.1 update, both allow view, edit, and save of Word, Excel, and PowerPoint files.

[Swordmaker]

Thanks for the information.