Telecom & Wireless
Apple (AAPL) And RIMM (RIMM) Drive US Handset Sales
Published:
The Apple (AAPL) iPhone and RIM (RIMM) Blackberry have been doing what Motorola (MOT) and Nokia (NOK) could not. They are driving handset sales to all-time records.
According to research firm NPD, US handset sales in Q3 had their largest increase and best quarter since the firm started keeping track in 2005. According to Bloomberg "U.S. customers shelled out 40 percent more for handsets last quarter than a year earlier, just as Apple Inc. put its Web-browsing iPhone on sale and Research In Motion Ltd. brought out BlackBerry e-mail phones with video features. Spending rose to a record and jumped the most since at least 2005."
Total handset sales hit $3.2 billion in the last quarter.
The data shows that Americans are willing to spend a dollar for a dollar of what they perceive to be value. The iPhone and Blackberry are among the most expensive handsets with prices often well above $300. Many of the phones from Nokia (NOK) and Motorola (MOT) are very cheap, often going for under $100 when consumers buy them with a callng plan.
The news must be particularly stinging for Motorola. It had the hot phone in the RAZR which had brisk sales two years ago. The US company could have come to market with a powerful e-mail based handset of a touchscreen like the one on the iPhone. But, it didn’t, and shareholders paid the price.
Motorola turned out to be a one trick pony.
There is another lesson in all of this RIMM now has the hot hand. The Blackberry is essentially the same product that it was two years ago. That may not be so good.
Douglas A. McIntyre
Retirement planning doesn’t have to feel overwhelming. The key is finding professional guidance—and we’ve made it easier than ever for you to connect with the right financial advisor for your unique needs.
Here’s how it works:
1️ Answer a Few Simple Questions
Tell us a bit about your goals and preferences—it only takes a few minutes!
2️ Get Your Top Advisor Matches
This tool matches you with qualified advisors who specialize in helping people like you achieve financial success.
3️ Choose Your Best Fit
Review their profiles, schedule an introductory meeting, and select the advisor who feels right for you.
Why wait? Start building the retirement you’ve always dreamed of. Click here to get started today!
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.