News Column

Record Sales for Apple?

September 25, 2012

By Jefferson Graham

Apple once again dominated shopping malls this weekend with what appears to be record-breaking sales of the new iPhone5. But there are a few wrinkles.

While the phone is virtually sold out and hard to come by, many early shoppers found a few things to complain about, and a hidden feature that wowed many.

Apple's Map app. Corporate warfare had Apple replace Google Maps with its own maps feature, and many users said the new Maps is inferior. Chief complaints: wrong directions and the lack of local transit information. Twitter hashtags (used to help in searches) started popping up this weekend: #Mapsgate, #Mapocalypse and #Thanksapple as folks talked about their bad experiences online. Apple says it's "just getting started" with Maps and that the app will improve as more people use it.

A hidden surprise. The iPhone is offered for sale with three carriers -- AT&T, Verizon Wireless and Sprint -- and isn't supposed to be interchangeable among their separate networks. But the Verizon version of the iPhone 5 works on AT&T's network, as well, the Associated Press discovered. The AP found that a Verizon iPhone 5 accepts an AT&T "SIM card" -- a chip that identifies a phone to a network. The phone can then be active on AT&T's network. That is, if you can find an iPhone5 for sale.

Calls to stores in New York, Boston, Philadelphia, Chicago, Orlando, Los Angeles and Columbus, Ohio, reported sellouts for Verizon and AT&T iPhones. A handful of with Sprint service were available Sunday. One Apple store in Philadelphia had a handful of Sprint phones with 64 gigabytes. It sells for $399 with a two-year contract, vs. $199 for 16 GB of storage and a two-year contract.

AT&T phones were the first to sell out, in part because the carrier was the first to sell the iPhone when it launched in 2007. Verizon began selling the iPhone 4 in February 2011, and Sprint joined in with the iPhone 4S in October , so AT&T customers were most likely to be due for an upgrade.

"The reality is, because of the supply, they could have sold more," says PiperJaffray analyst Gene Munster. "They ran out faster than we thought they would." He estimates iPhone sales at 8 million through the weekend.


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Source: Copyright USA TODAY 2012