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iPhone Carriers Finally Increasing Their Margins
Decline in iPhone Sales to Thank

The iPhone may have revolutionized a new consumer electronic market, but it's been nothing but a drag on the carrier margins.

The carriers themselves are battling back against the steady bleed of their profits to Apple by finding ways to discourage iPhone upgrades (or at least charge for them) and to promote competing products (Verizon, for example, is pushing the Droid Razr with special deals and promotions on data and devices).

Apple's continued growth is owed largely to foreign growth in markets like China, growth that is widely considered unsustainable for the long-term. Has Apple just about peaked? Has the iPhone jumped the shark?

◄ #iphone ►
Verizon and AT&T are outpacing Apple by a long shot over the past month, as the iPhone's benefit has shifted to the telcos.
Juan Clark-Lucero's profile photo
Interesting that the article suggests that this is a short term gain for service providers with the looming release of the next iPhone. Only time will tell - but I have to agree that the number shifts from Apple to Service Provider stock shifted that much due to a decline in iPhone sales. wow
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