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Apple's iPhone Market Opportunity Soars Near 650 Million Subscribers

Posted May 16, 2008 02:40pm EDT by Dan Frommer in Electronics, Products and Trends

From Silicon Alley Insider, May 16, 2008:

Distribution deals for Apple's (AAPL) iPhone keep flying across the wires. The latest: France Telecom's Orange, which will sell the iPhone "later this year" in Austria, Belgium, the Dominican Republic, Egypt, Jordan, Poland, Portugal, Romania, Slovakia, Switzerland and Africa.

Once Apple's recent deals kick in -- in June or later -- its mobile market opportunity with carrier partners will be around 650 million subscribers. We continue to think the company will have no problem reaching its goal of selling 10 million iPhones this year -- especially as phones continue to fly off shelves to be unlocked.

A France Telecom spokesman tells the AP that it will be the exclusive iPhone carrier in Belgium and Romania, with non-exclusive deals in the other countries.

Earlier this week, AmTech analyst Shaw Wu estimated that Apple's deals through last week created a market opportinity of about 470 million wireless subscribers. After Wu's note went out, Apple added more deals for Singapore, India, the Philippines, and Australia -- another 94 million potential subscribers via four more carriers. And today's Orange deal will add even more potential subscribers: Outside of France, where it's already selling iPhones, and Spain, where it does't have a deal, it has about 77 million subscribers, bringing Apple's total market opportunity near 650 million subscribers. (Could be a bit less, depending which African countries get iPhones.)

We expect more deals to come soon, too, including distribution to Spain, Japan, and potentially China.

See Also:
20% Of iPhones In "Unlocked" Countries?
What's The iPhone's Europe Problem?
Unlocked iPhone Shopping Guide: World Tour Edition

18 Comments

__A_YAHOO_USER__
__A_YAHOO_USER__ - Friday May 16, 2008 04:17PM EDT

You are officially NUTS. The world can barely feed its people and they are going to buy iPhones. This market is trying to pull the worst scam ever in history and but it will soon end. Record food prices, gas prices, energy prices, people dying of hunger in several placed around the world, worst housing and financial crisis ever in US history and the market is simply in denial. Lets see for how long !

__A_YAHOO_USER__
__A_YAHOO_USER__ - Friday May 16, 2008 04:18PM EDT

You are officially NUTS. The world can barely feed its people and they are going to buy iPhones. This market is trying to pull the worst scam ever in history and but it will soon end. Record food prices, gas prices, energy prices, people dying of hunger in several placed around the world, worst housing and financial crisis ever in US history and the market is simply in denial. Lets see for how long !

Le
Le - Friday May 16, 2008 05:00PM EDT

NUTS

MIKE4JESUS
MIKE4JESUS - Friday May 16, 2008 05:00PM EDT

IT´´s TRUE MEXICO FOR INSTANCE MAKES LESS THEN 100.00 PESO A DAY|

JMMX
JMMX - Friday May 16, 2008 06:22PM EDT

As for nuts - Do YOU guys own cell phone? Well people do, I don't know how many but people do. On the plane in Mexico I saw one guy from Mexico City with an iPhone, and that was more than a month ago. (And yes - he was Mexican) == Re Numbers - it seems to me that the analysts came up with these numbers adding the number of existing customers each given country who are already signed up with the given carrier. It seems to me that you need to add the whole subscriber base for the country. this would be way more.

Platymapus
Platymapus - Friday May 16, 2008 07:40PM EDT

Jamiejz, People will continue to use cell phones even in a down market. People will cut their land lines, drive less, switch to a cheaper cable package but they won't give up their cell phones, until they have to. It's not unreasonable to expect apple to sell 50 million phones next year. There are a lot of cell/smart phones that cost a lot more than the iPhone. It's not unreasonable to expect people to spend their money on the best choice. That's why palm and motorola and eventually RIMM are going to feel the pain.

you
Yahoo! Finance User - Friday May 16, 2008 09:28PM EDT

Yes, the US is in the worst financial crisis in a long time. People compare it to what happened during the Depression, forgetting of course that the worst of the Depression was caused by the incompetence of the response of those in government, from the Fed and Hoover all the way through FDR. Bush and the Fed aren't so stupid. Currently, telecom is booming, and so is the oil industry. They're investing billions in new infrastructure, and in the process creating a lot of jobs to offset what's happening in the the housing industry. Time will tell which will win out.

Acuna_Matada
Acuna_Matada - Saturday May 17, 2008 01:02AM EDT

Oh for crying out loud. The iphone is already loved everywhere it is available. I have one and it is simply a joy. I don't even want to put it down. I ripped DVDs down to MPEG-4 files and loaded it on my iphone using iTunes. I can watch movies while travelling and do almost everything else. The mapping feature is too cool and it has an amazing screen. I am waiting for the email package to be developed. Apple has texted me and has promised automatic updates via wireless when it is ready. It is an amazing machine and once the 3G hits the world, Apple will sell them like crazy. Go to an Apple store and play with one. You will be hooked at first sight. Apple stock will hit $300 per share by summer 2009.

you
Yahoo! Finance User - Saturday May 17, 2008 02:10AM EDT

Gotta love that Apple stock I bought back in 1998, based solely on Job's installation as temp CEO... and you gotta love the products also. Keep up the good work Apple!

Bert
Bert - Saturday May 17, 2008 10:43AM EDT

All around the world, year after year, you will have inflation, financial crisis of sorts and people dying of hunger. Nothing new unless you just happen to crawl from under a rock to read a newspaper for the very first time. At least phones has a practical purpose, why don't you ask why people still buy jewelry? prices of gold, platinum and diamonds are at an all time high.

John
John - Saturday May 17, 2008 12:49PM EDT

650 million......that's roughly 10% of the world's population. Over half the world's population has a cellphone....that's over 3.3 billion cellphones worldwide. Can Apple capture 20% of the market....I think so. They currently have 65-78% of the mp3 player market.I wouldn't bet against them in the cellphone market.

Josh
Josh - Saturday May 17, 2008 02:54PM EDT

It is very diffucult to be a man in a Dog eat dog world. That is precisely why there are none... just a bunch of boys that have yet to figure out how to be men; because thier bodies out grew thier brains! hahaha:)(

you
Yahoo! Finance User - Sunday May 18, 2008 11:57AM EDT

There are many problems around the world markets but It is still big world and I think, there is still many people out there with the decent money to buy the iPhone.

you
Yahoo! Finance User - Sunday May 18, 2008 05:06PM EDT

There are always going to be termoil in society. You need innovators, like Apple. The iPhone allows people to be more productive at work and in their daily lives. Greatest phone ever!

Josh
Josh - Sunday May 18, 2008 05:20PM EDT

There doesn't have to be turmoil to create innovation. Turmoil is exists because it entertains people's fictitous belief that they are better than other people.

whatdafuk
whatdafuk - Sunday May 18, 2008 05:22PM EDT

Shorts are toast!!

maher
maher - Sunday May 18, 2008 05:30PM EDT

We have to understand that iPhone is a fashion either in developed or developing word. It is personal pride for the user.

Tony
Tony - Monday May 19, 2008 01:37PM EDT

The world can barely feed its people and they are going to buy iPhones??? Are you kidding? Have you been living in cave for the last 10 years? There will always be poverty no matter how well or bad the economy is doing. Even though we have had this horrible sub-prime mess, the economy is still in good shape. Cell phones have been around for a long time, and smart phones will be here for longer. I know I can wait until my contract is over w/Verizon, in August because I'll be in an AT&T store saying. YES, finally!!! Oh, and my co-worker feels the same way and his contract is over in 1 months. You sound like every other person that has NO clue what they're talking about when they talk about the economy and the stock market. Did you notice gold almost hit $1000 an oz and Oil hitting 128 a barrel. Do you think these commodities hit these prices because no one is buying them? NO, its just the opposite. To much demand, not enough supply. Stop skipping the financial section when you read the paper. Turn on CNBC every once in a while. Maybe, you've learn that US economy along w/the world economy is in very good shape considering the issues we had sub-prime.

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