iPhone gold rush still flowing for AT&T

Android phones may be all the rage right now, but for AT&T the Apple iPhone remains its more alluring gold mine.

Android phones may be all the rage right now, but for AT&T the Apple iPhone remains its more alluring gold mine.

In its third-quarter earnings released Thursday, AT&T reported that it activated a record 5.2 million iPhones, a 62 per cent increase from the company’s previous record of 3.2 million iPhones activated in the second quarter. AT&T says that nearly a quarter of those activations were for new customers.

White iPhone seen in the wild, but you can't have one

Those 1.25 million new iPhone users represented just under half of the 2.6 million wireless subscribers that AT&T added in the third quarter. AT&T reported healthy gains in wireless revenues over the past quarter, as its $13.7 in revenues represented a 10.5 per cent increase over the $12.4 billion in wireless revenues the company posted in the third quarter of 2009. AT&T’s wireless churn rate dropped to 1.32 per cent in the third quarter, down from 1.42 per cent in Q3 2009, meaning that AT&T is turning over fewer customers this year than it was a year ago.

Overall, AT&T this past quarter posted net income of $12.3 billion, nearly four times the $3.2 billion in earnings it posted in the third quarter of 2009. However, a good chunk of the earnings were a result of a one-time tax settlement and from a gain in selling its Sterling Commerce unit. On the year, AT&T has so far posted earnings of $18.8 billion, nearly double the $9.5 billion net income the company had posted through three quarters last year. Revenue crept up to $31.5 billion from $30.7 billion in Q3 2009.

AT&T’s strong earnings report comes during a time when rumors have been flaring up that Verizon and Apple might be close to finishing a deal to bring a CDMA-based iPhone to Verizon. AT&T has had exclusive rights to sell the iPhone to customers in the United States since its debut in 2007. The iPhone’s popularity has been a major factor in helping AT&T keep pace with Verizon’s total number of subscribers, as AT&T now has a total of 92.8 million wireless users nationwide.

Read more about anti-malware in Network World's Anti-malware section.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags smartphonesbusiness issueswirelessAppleNetworkingPhonesfinancial resultscorporate issuesconsumer electronicsat&tservice providersLAN & WANApple iPhones

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Brad Reed

Network World
Show Comments

Brand Post

Bitdefender 2019

Shop safely with our award-winning security solution. Protect yourself this Black Friday and get the exclusive Black Friday discount for Bitdefender 2019!

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?