Apple's disappointing new iPhone is posting some pretty impressive sales numbers. After just one day, the company announced Monday that pre-sale orders for the "lesser phone" already broke records, reports The New York Times's Nick Bilton. "The company said it processed more than one million orders for the iPhone 4S in the first 24 hours it was on sale." While the new phone owners won't get their hands on the latest device until the October 14, the high sales will benefit more than just Apple. Let's take a look at who's smiling after the early strong reports.
For about a nano-moment it looked like Apple took a wrong turn. "Apple’s stock took a hit as a result of the negativity surrounding the iPhone 4S, with the company’s stock falling 5 percent immediately after the announcement," explains Bilton. But after yesterday's announcement the stock recovered, reports The Wall Street Journal's Iann Sherr and John Kell. "Shares in Apple rose 5.1%, or $19.01, to $388.81 on the Nasdaq Stock Market at 4 p.m. Monday. The stock is up 21% this year."
The increased investor optimism not only stems from Apple's recovered cred, but Apple's tracking to make bank. The Next Web's Matt Brian estimates Apple has netted $200 million in one day of sales. To put that in perspective, in a single day, Apple paid off its Siri investment. "Apple’s $200 million in revenue is significant, not only because it is a huge amount, it is also around the figure the computing giant paid to acquire the company behind its new voice-activated mobile assistant, Siri," continues Brian.
Unlike AT&T and Verizon, this is the first iPhone Sprint has added to its roster. The company bet a lot on the success of the phone, shelling out $20 billion to Apple for 30.5 million iPhones, reported The Wall Street Journal's Lublin and Spencer E. Ante.
If Sprint has bet right, the iPhone will be the device that finally breaks the company's half-decade-long slide and keeps much larger rivals Verizon Wireless and AT&T from running off with the bulk of the wireless industry's subscribers and profits. If it's wrong, the iPhone deal will saddle the company with a costly albatross at a time when it is already stretching to manage an expensive network upgrade and cover debt payments.
While the competitor doesn't love all the iPhone love, its a potential supplier for iPhone parts, as GigaOm's Om Malik points out. UBS Research put together a list of companies it believes are 'potential key suppliers' for the iPhone 4S, which includes Samsung as a possible manufacturer for the A5 processor, display and camera flash. Samsung's not the only third party manufacturer that's benefiting, as the UBS data show.
It's easier to surf the Web with a mini computer in your pocket. And it turns out Apple's iOS gets people onto the Interwebs, reports Apple Insider. "A new market research report notes that mobile devices now amount to almost 7 percent of all US web traffic, with Apple's iOS representing a 58.5 percent slice of all mobile traffic." More iOS means more Web traffic, right?
But even record-breaking pre-sales can't quiet all the skeptics. "The iPhone 4S's success is still uncertain, however," write Sherr and Kell.
This article is from the archive of our partner The Wire.