CUPERTINO, Calif. (AP) - Orders for the
iPhone 5 topped 2 million in their first 24 hours, more than double the
amount of its predecessor over the same period.
Since Apple started taking
iPhone 5 orders on its website at 3 a.m. EDT on Friday, buyers who have a
two-year service agreement with AT&T, Sprint or Verizon Wireless
have been able to order the phone for $199 (16 gigabyte model), $299 (32
GB) or $399 (64 GB model).
Apple said Monday that
while most orders will be delivered on Friday, demand for the iPhone 5
exceeds the initial supply. As a result, some of the devices are
scheduled for delivery in October.
The Cupertino, Calif. company's stock added 1.2 percent, or $8.50, to close at $699.78 on Monday.
The iPhone 5 represents the
first major revision of the iPhone's screen size since the first model
was introduced in 2007. The new iPhone has an elongated screen -4 inches
(10.16 centimeters) measured diagonally- that allows room for another
row of icons and lets widescreen movies fit better. The calendar will
now show five days at a time instead of just three. Previous iPhone
models had 3.5-inch (8.89-centimeter) screens. The new phone is also
thinner and weighs less than previous models. It can operate on LTE
cellular networks and sports a new processor and updated software.
T. Michael Walkley, an
analyst with Canaccord Genuity, said he believes the iPhone 5's
"differentiated form factor versus the iPhone 4S" and other improvements
should drive strong iPhone 5 sales. The record advanced orders on
Friday and through the weekend caused Walkley to revise his previous
prediction that Apple would sell 6 million of the new iPhones by
September 29. He now believes "Apple could ship 9 million to 10 million"
in that time, he told investors in a note on Monday.
Janney Capital Markets
analyst Bill Choi said Apple's announcement Monday "suggests iPhone 5 is
running well ahead of iPhone 4S." In a note to investors, Choi
reaffirmed his earlier expectation that Apple will sell 7 million to 10
million iPhone 5s by the end of September.
It won't be easy for Apple
to top the breakneck sales pace set by previous iPhones. Apple said last
year that it sold over 4 million iPhone 4Ss just three days after its
launch on October 14. That launch occurred less than two weeks after the
death of Apple's iconic founder Steve Jobs and as the iPhone 4S went on
sale, scores of Apple devotees were still mourning him with candlelight
vigils and impromptu memorial ceremonies outside of Apple stores across
the globe.
The iPhone 5 will be
available at Apple's 356 U.S. stores starting Friday. Each customer who
makes a purchase at an Apple store will be offered free personal setup
service, which will help them customize their device.
The phone will be available in more than 22 countries on Sept. 28.
Aside from Apple stores,
the iPhone 5 will be available at Apple's website as well as through
AT&T, Sprint, Verizon Wireless, some Best Buy, RadioShack, Target
and Walmart stores and certain Apple authorized resellers.
Earlier Monday AT&T
Inc. said it set a sales record for the iPhone 5, with customers
ordering more of them than any previous iPhone model on the first day of
orders and over the weekend.
File photo (MGN)
