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Newsletter Issue #635: You Can’t Have More than 100%: The Apple Can’t Lose Report

Industry analysts are without doubt engulfed in dizziness after looking at Apple’s stellar financials this past week. How can that company possibly maintain such a level of growth year after year after year? When will everyone who is interested own an Apple product, and only look to replace the ones they have?

Consider the iPhone. According to AT&T, some 80% of their smartphone activations this past quarter consisted of one of the three iPhone models they offer. Verizon Wireless managed more than 50%, but AT&T’s big advantage in this game is the fact that they still offer the iPhone 3GS free with a two-year contract? How do you beat free?

Sure, that aging iPhone will probably not survive in the lineup when the next iOS release is out, and the free phone will probably be 2010’s iPhone 4, but that’s nothing to apologize for. It’s still a terrific product, even if you are concerned over the long-forgotten remnants of Antennagate. Or does anyone even remember what that was?

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