Alltel, T-Mobile, Palm Lose Most from iPhone

By Ed Oswald | Published October 15, 2007, 3:15 PM

Analysis from NPD indicates that the iPhone has had the biggest negative effect to carriers T-Mobile and Alltel, and to phone manufacturer Palm.

The survey was taken by a sample of 13,000 consumers who had purchased a phone over a 30-day period. 200 of these purchased an iPhone.

It found that an iPhone purchaser was ten times more likely than other new phone buyers to have owned a Palm Treo, and three times more likely to own a T-Mobile branded phone, such as a Sidekick, MDA, or Dash.

However, in a sign that the iPhone is having some difficulty in penetrating the business market, consumers were no more likely than an average phone buyer to have purchased a BlackBerry prior to the iPhone.

The lack of business-centric functionality within the device has been pointed out by some analysts as an item that Apple should focus on in future iterations. While the Internet and media capabilities attract the typical consumer, its lack of corporate e-mail support keeps enterprise users at bay, NPD industry analysis director Ross Rubin said.

Rubin said that the iPhone tries to compete with two cellular phone segments at the same time, while not completely fitting into either one. "Its advanced operating system makes it competitive with smartphones for many tasks, while its sleek design and lack of expandability is reminiscent of fashion phones," he added.

Among those carriers hurt most by the introduction of the device were Alltel and T-Mobile. NPD found that iPhone consumers were three times as likely to have switched from either carrier than the typical phone consumer.

While switchers also came from Verizon and Sprint, it was at a rate no higher than the average. NPD argued that both companies already had robust 3G and multimedia offerings in place prior to the launch of the device, limiting their losses.

T-Mobile's loss of customers could easily be explained by the fact that it is the only other major GSM provider in the US, and generally GSM customers generally stay technology-loyal.

Alltel's higher rate loss is somewhat harder to explain, although the company serves a lot of rural communities, where AT&T is said to have equal, if not better coverage.

Comments

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you know, i wasn't quite sure what phone provider i should go with, but i think the smug stroke victim in the verizon ad has finally convinced me that it's time to install flash block on my browser, so at least i've got that handled.

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People could easily write an emulator to emulate a Mac. The problem is how to install an OS at that point to that emulated Mac.

I have no doubt its possible considering you can emulate and have been able to emulate the PC on a Mac for almost a century.

Hell I remeber doing it on my friends G4.

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Just got an iPhone. Wow. It is quite an amazing device. Why get an imitation/clone when you can get the real thing?

I had two people stop me just to check it out. It is the hottest thing around. Deep down all the people that get a clone, wish they had the real deal. It is like getting a Buick and saying the BMW really is not better.

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After a god-awful customer service experience with ATT over the last few days, they'll have to pry the money out of my cold, dead hands if they want me to buy an iPhone locked to that network.

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Your analogy doesn’t really support the opinion you expressed.

BMW has:
Tires
Power Windows
CD player
A/C/Heat
Engine
Warranty
Etc……

Buick has:
Tires
Power Windows
CD player
A/C/Heat
Engine
Warranty
Etc……

What’s the difference? The packaging and the label? And don’t forget the price tag. They both get you from A-B.

Other phones can do the same things and more than the iPhone. The difference between them? Packaging(looks/UI), Label, and price tag. They both make phone calls and can entertain you.

EDIT: And I haven't heard any news about other cell phones having toxic chemicals in them. http://www.mercurynews.com/business/ci_7191038

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Why get an imitation/clone when you can get the real thing?


When it's even better than the "real" thing?

It is like getting a Buick and saying the BMW really is not better.

Not really. It's like getting adecent, functional phone and saying it's better than an overhyped, functionally deficient phone.

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wtf do you mean real thing?

first off what are you comparing it to?

are they both not consitered real? if you listed a competitive product? do they both not have real parts, and really do as they both claimed to do?

honestly, the only phone im waiting for here in canada, is the htc tilt, becasue its got a gps in it. i love gps stuff

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I just bought my first cell phone last Wednesday. It's a Sprint Mogul. It has a touch screen that works with my finger, a coin, a stylus or anything else. It has a slide open display that reveals a good old QWERTY keyboard. It has buttons that launch programs quicker than I can fumble through menus. It gets ALL 4 of my email accounts, instant messenger account, and text messaging. It makes phone calls in at least 4-5 different ways (buttons, touch, menus, keys, voice). It supports applications and plugins from developers that both are and are not named Microsoft.

That's right, it runs Windows Mobile, and it reveals how pathetic the iPhone really is (and yes, I've touched one... It took an hour of scrubbing to get them clean again).

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I just bought my first cell phone last Wednesday. It's a Sprint Mogul.

My deepest condolences on your loss. Still don;t have one. Never will if I have anything to say about it. :)

Hate those things with a passion.

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The Iphone seems to be great but not great enough to switch carrier. I love Tmobile and I love my blackberry. Apple products are more of a fashoin than actual products. The ipod is a mp3 but the sound quality is not as good as the comp. The imac is computer but works very few progams. These product are beautiful in appearance.

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Imac's have better software compatibility than any other personal computer in the world. And it has the best appearance of any computer. I'd say that's a perfect combination as long as you don't plan on gaming.

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"Imac's have better software compatibility than any other personal computer in the world."

...and who's A$$ did you pull that out of?

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How did u figure that imacs have better software compatibility than any other personal computer in the world exactly...??!!

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If you're smarter than me, how come you don't know that you're wrong?

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That was sarcastic, right?

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"Imac's have better software compatibility than any other personal computer in the world."

You forgot to mention that there are only a handful of software available for macs to be compatible with.

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Since you can install windows XP or vista on most newer macs, it means one computer can run PC and mac apps natively. that would make it compatible with more apps then a PC, wouldn't you say?

but then again, you could also install the mac OS on a pc for mac software compatibility. so it basically comes to price/performance which Imac can't compete with.

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You can't easily or legally go the other way. Still requires some friggin around.

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wot?

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wot? wot?

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i love OSX running on my mac.
By OSX i Mean FreeBSD, and by mac i mean my PC.

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ok first off, people buy macs for the interface, some call it beautiful, others, childish, who knows, but still you have mac OS on your MAC, and its not that compatable with most games/software, only if the developer says it is, and makes it for it...

so now mac says you can install windows OS on me :) yay, we are now compatable, but we now look like a PC, and act like a PC and wants PC stuff..

sooo why did you buy a mac? :O

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yall are a bunch of nerds. who cares? stop arguing!

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