CDMA iPad and the 150 million iOS devices next year

The Verizon distribution for iPad is an unexpected development. Coupled with distribution through AT&T stores, and rapidly expanding retail points of purchase, it seems that the iPad is destined to be the most widely distributed product Apple sells. The iPod never reached operator points of purchase and the Mac is orders of magnitude more constrained.

What seems to be happening is that Apple is pulling out all the stops and going for unrestricted iPad distribution. This may also foreshadow unrestricted iPhone distribution next year. It may also portend a CDMA iPad (or at least an LTE version) next year.

If it happens all estimates for next year need to be revised sharply. I had been expecting 100% growth for the iPad and 50% growth for the iPhone. These might need to be increased to 150% and 100%.

The consequence could be that total iOS devices sold could top 150 million for calendar 2011.

  • Stu

    I'm very curious about Apple's guidance for calendar Q4. 10,000+ stores selling iPads, where people can actually go & look at them, play with them, buy them.

  • Joe_Winfield_IL

    I love this strategy! Apple has decided that they won't allow Android tablets to outflank the iPad with superior distribution like they did with the iPhone. They are taking full advantage of their "first to market" status. It's looking more and more like the iPad is going to achieve iPod-like ubiquity as the only tablet worth buying. This will only reinforce the existing advantage with app developers, and will nudge more phone buyers into the familiarity of the iOS interface.

    I just hope the demand is really in line with what our imaginations allow. If it stalls at all, the stock will suffer a MAJOR sell-off; many owners have been able to get 100% or more profit on AAPL, and nothing hurts more than giving back a big profit. I would guess there are quite a few stop loss orders at $275ish. 10,000+ outlets with stagnant inventory could cause a huge reputational hit…but 10,000+ stores churning through inventory = another AAPL double.

    • kizedek

      What could be terribly stagnant about 5 units of each model?

    • kizedek

      …As I understand it, big box retailer or not, each store still seems to get 5 (or whatever) units at a time directly from Apple. Apple is on top of its sales to final purchaser — you and I the consumers — regardless of the store doing the selling. There is therefore no "stuffing" of channels: Apple hasn't got boxcar loads of stock (like XBoxes or something) that they want to offload at the distribution warehouse of a big box retailer and try to call those "sales". Apple isn't "forcing" any of these retailers to take its products. If the 5 don't sell, well, they don't get 5 more a week later.

  • Vikram

    What Apple is doing is an unprecedented, historic and asymmetric market jump…

    …maybe it's better to call it a market hijacking of a fairly mature market with strong and well-funded players.

    It is astounding…They could get to $200B in sales in 3-4 years and be a Trillion dollar market cap.


  • Priit

    Only in the USA, only in the USA. Still middle finger to Scandinavia for example.

    BUT, it is interesting to witness how scared (almost panicly scared), Apple is of Android in the US. Such a feverish stuffing of every channel available is almost comic. I wonder when homeless in NY will receive theirs…

    • Vikram

      Considering that this is still a brand new product and considering the growth of such a product it isn't surprising that Apple can't roll out every channel in every country. You should ask Google why it is so hard for them to get Android marketplaces and the ability to buy and sell Apps out in more countries when it is only software. What Apple is doing with this hardware product is unprecedented.

      And the panic is only coming from all the other hardware vendors who can't compete with Apple who is sucking up all the profits and more of the units and they are starting to realize that there is no life preserver for them and that Google or Microsoft can't save them.

      • Priit

        "What Apple is doing with this hardware product is unprecedented."
        Exactly. No other Apple product EVER is or was so "US-only". New iPod Touches seem to be already available worldwide for example.

        "And the panic is only coming from all the other hardware vendors who can't compete with Apple"
        Why? With such US-encapsulating tactics Galaxy Tab can easily surpass iPad in Europe in no time. I predict after Christmas Galaxy is bigger in Europe than iPAd.

      • Vikram

        Ask Google why they couldn't get a fully functioning Android market in Scandinavia for 2 years. And that only needed a website.

        The iPad is in much of Europe, Asia and is getting into South America and other places already. It's not like they aren't going to get to where you live.

        Keep in mind that Apple is an American company that can't keep it's product in stock in it's largest and most lucrative market in the world – America.

        …but I suspect that you already know that,

      • Vikram

        "…With such US-encapsulating tactics Galaxy Tab can easily surpass iPad in Europe in no time. I predict after Christmas Galaxy is bigger in Europe than iPAd"

        Is this the same Galaxy Pad which costs more than the iPad for half the area and doesn't have a true Android market that Google supports for it yet because the Android OS isn't optimized for it yet?

      • dms

        I seriously doubt Android tablets will get much traction this year, with or without the availability of iPads. The 7" Galaxy will go for 700-800 euro (unsubsidized) which will be a tough tough sell. There's very little software written specifically for the larger screen. Google has admitted that the Android experience won't be mainstream-ready until the next big update.

        If Android tablets don't compete on price, they're not going to compete at all.

      • Priit

        "You should ask Google why it is so hard for them to get Android marketplaces and the ability to buy and sell Apps out in more countries when it is only software."

        There is no doubt that Google is even more pathetic globally than Apple, but let's compare companies with same revenue and market cap, shall we? Somebody who's been archrival to Apple forever – that will be Microsoft. I asssure you, its dark night and bright day.

      • Simon

        Not sure what you mean with the MS comparison. Still no Zune in Europe, for example.

        And selling the iPad in Scandinavia right now would be stupid, considering the software does not support the languages. Once 4.2 hits, let's talk; I've been running it with a Swedish keyboard since the first beta and it makes it a much more pleasant experience when åäö are available πŸ™‚

    • kizedek

      See my reply to Joe_Winfield_IL above…
      I don't see how rolling out to more retailers, however many thousands of stores that may be, can be called "channel stuffing". Apple has the best inventory control. As I understand, each and every retailer, big box chain location or little independent reseller, will get 5 or so units of each model directly from Apple — just like Apple's own stores do.

      If not, and Apple supplies big retailers with thousands of units, it would probably be on the understanding that they are allocated as above. What is not happening is "channel stuffing" — Apple does not have boxcar loads of superfluous, indifferent products that need offloading somewhere while someone tries to figure out what to do with them. These are not XBoxes or something. Apple is not forcing a truckload on a big box retailer and calling these sales. For a start, iPads are selling as fast as Apple can make them. For a second thing, Apple is on top of all sales to end-user/consumer and counts those, regardless of the store making the sale.

      There is no "channel stuffing". There are websites dedicated to helping you find a single iPad in stock, somewhere. I found a website that tapped into store inventories and found me a Best Buy that was a reasonable drive for me, where there were still three iPads left (top 3G model only)!

    • r.d

      It is the same reason Korea has not gotten it
      because Apple is waiting until 4.2 to provide
      the Languages needed to support it.
      Most likely other reason is that carriers on those
      countries are probably are not playing ball either
      just look at China. only Wifi version is available.

      Not everything is a conspiracy.

    • KRIS

      Unfortunately Scandinavia is for Apple TIER 1.5 and Finland is TIER 2.0 That stinks because we have to remember that the most important persons family at Apple is from the Sievi, Finland ie Mike Markkula ie the person who handed the money for the great startup called Apple…

    • Joe_Winfield_IL

      Priit, it is too bad that you feel this way. What on earth would Apple's motivation be for this perceived slight against your region of the world? They want to sell as many devices as possible to anyone on the planet. I would posit that Apple is doing a better job than any other electronics manufacturer of retailing to the global community. They are growing from a relatively small retail base, but are doing so with consideration of local markets. As an example, the recently opened store in Barcelona has signage and software written in the Basque language spoken in that narrow region of Spain rather than only marketing the in more broadly used Castillian. The local buyers would not have held it against Apple if the company chose the easier route, but they are very appreciative of the consideration.

      Apple sees Google as its primary competitor in the US, but probably to a lesser degree elsewhere. Apple is competing with Google on Apple TV (Google TV), iPhone (Android), and iPad (Android again). They made the mistake of allowing Google to out-distribute the iPhone when they signed an exclusive arrangement with AT&T. I believe iPhone is beating Android in market share in every other region of the world, but in the US, Android is the sales king. Ironically, this is also a symptom of Google's inability to create robust international/regional versions of the Android Marketplace.

      Because Google is a US problem for Apple, Steve Jobs and company are choosing to put their products on the shelves of every retailer in the US before Google can get a single relevant device to market. In the rest of the world where Apple was never behind Google, there is less urgency. The announced Galaxy tabs haven't been shipped to retailers yet, so Apple still has the upper hand. It is not about US vs. Scandanavia, but rather about Apple vs. Google.

      Stay patient, and very soon the iPad will be for sale where you live. If Apple can get Christmas sales in Europe, they will make every effort to do so. Keep in mind that 2 weeks ago, these things were only available from Apple and limited Best Buy locations. A month ago, they were on severe backlog even in this narrow distribution channel. Apple is expanding as fast as FoxConn can add production capacity, and they won't stop their expansion any time soon.

    • EricE

      "Such a feverish stuffing of every channel available is almost comic. I wonder when homeless in NY will receive theirs…"

      LOL! Stuffing the channel is what Microsoft did with the XBOX 360 to prop up "sales" numbers. Stuffing the channel is what Google's partners are doing with Android phones with the continuous two for one specials.

      Apple is selling every iPad as fast as they make them. Distributors such as Verizon are falling over themselves to sell the iPad and your implying Apple is forcing it on distributers?

      Again LOL! The (to use your words) feverish denial by the Apple haters of the iPad's success and appeal is getting truly epic!

      • Priit

        LOL, indeed. I wonder why every Apple sucker thinks that if somebody is critical on some aspects of Apple they must hate Apple and be on denial.

        Btw, starting of 1989, when I bought my first PowerBook 100, I (and the companies I have been part of) have been almost exlusively on Apple computers… Could you be more specific, dear Eric, what makes me "hater"?

      • Priit

        Sorry, my memory was bit hazy πŸ™‚ Starting from 1994…, that's when I got my PowerBook 100, 1989 I got my first 386, I guess.

      • asymco

        Priit is, I believe, making a passive aggressive attack on Apple for their lack of distribution in the part of the world where he lives. I understand his point but his criticism can be easily misinterpreted. Let's leave lover/hater name calling out of it. The discussion on whether Apple is over-distributing in the US vs. keeping many parts of the world unserved is a very interesting one. Finland still has not received the iPad though many people have it and many companies are actually implementing apps. They can be obtained from other EU countries perfectly legally, though perhaps more expensively. I think the cause is not strategy but pure timing. iOS 4.2 will lead to new language support and wider distribution. In the mean time Apple will build up the US channel to maximize sales for the holidays.

  • Nate

    @Priit: first, it’s not a middle finger to Scandinavia, they’re selling them as fast as they can make them in the markets where they’re available, and don’t want to create availability problems by expanding the number of markets before they have the supply in place.

    Second, see my first point. They are selling them as fast as I can make them. In my experience, the only thing you have to do to sell an iPad is put one in the customer’s hands. So more POS are a no-brainer.

    The thing that astounds me is Apple’s momentum – they’ve been driving down this road, picking up steam, since well before the initial launch of iPhone. The mobile industry was caught flat-footed in 2007, but managed to get a response together within a couple years because Apple was still ramping up. The PC (media tablet, ha) industry was caught flat-footed this year, and I see no chance of them catching up. Apple is simply going to run the table.

    • Priit

      "They are selling them as fast as I can make them."

      If so, then adding more outlets makes things worse – instead of 1 shop and 100 pcs in stock (90 sold in avarega day), you will have 100 stores with only 1 in on stock. Nightmare. The only way to add VZ and ATT is to ramp up production.

      "The thing that astounds me is Apple's momentum"

      You konw, what astounds me is lack of their belief in their own products. Its all pretty much started with 3gs. It's the first product they didn't believe will sell in significant quantities, so enormous shortage occured. What Apple learned from 3gs? Absolutely nothing. Same pattern with all sequential iProducts. They do not believe. They don't have enough capacity, yet they are not hiring new subcontractors. No. No. No. The only thing, strangely, they do believe will sell is iPod. Slight problems, but in generally iPod IS available, and I remind you, Touch sells pretty damn well. Can you believe it, in periphery where I live, there is not even hope that iPad will be available one day, I can walk into shop and buy iPod Touch 4. Hah! Same time old Apple TV is still available at Scandinavian Aplle Stores. πŸ™

      • kizedek

        I am sure you would criticize Apple if there were "enough" for the kind of launches they have been having. Apple would be criticized for being overconfident and not being cautious enough.

        I think they did take some notes from the earlier launches. And it looks like these incredible launches are anything but flukes. From selling a million products in the first week two months, they go to a million in the first week, then a million in the first weekend.

        They could be building a million a month for the three months before a launch and still not have enough for you? Who knew? Not any of the usual suspects. Apple themselves DID believe it, but what are they gonna do? Hoard up ten million of them for launch day? What's a good number? Obviously, they have to start somewhere. Now they are ramping up and taking on more sub-contractors.

      • kizedek

        I am sorry to hear about Scandinavia. The iPad was launched late in NL, but it is here now. Now I see it in Media Markt stores.

        I think the reason that iPods do continue to sell well is that lots of high street stores sell them and the remaining consumers that (astonishingly) might not know them to look out for them can see them where ever they shop. I can see them in V&D, Dixons, Media Markt, Kijk Shop (Catalog showroom), etc.

        That might be Apple's strategy here. They are not presuming that the demand for the iPad will continue to be as high as at launch; they are not relying on "early adopters" and Apple fans that will seek out iPads in the few places where they may be found.

        Rather, maybe Apple is trying to bring the iPad face to face with the average high street consumer, where ever the consumer may be found. The consumer who walks in off the street will be able to see one and try it out.

        Apple doesn't rely on advertising and media placement, BECAUSE it DOES believe in its products — Apple happily relies on hands-on experience and word of mouth. I think Apple does believe it has a hit on its hand, one that appeals to everyone from 3yr olds to 93 yr-olds. For this, it IS much better to have 1 unit in 100 shops, than 100 units in 1 shop.

        Having said all that, Apple could have restricted US supply these last few months in favor of launching in Europe when they said they would, instead of delaying a month for UK, DE, etc. and 3 months for NL, etc. and still longer for you. And their sales would probably be the same, and the goodwill generated might be better for their international perception in this regard.

      • EricE

        "Rather, maybe Apple is trying to bring the iPad face to face with the average high street consumer, where ever the consumer may be found. The consumer who walks in off the street will be able to see one and try it out. "

        Bingo! The iPad is a very intimate device with a very personal user experience. The exact opposite of a PC (Windows or Mac). The more Apple can get the iPad out there and let people experience it themselves, vs. hearing about it from techno-weenies who are threatened by it, the better.

  • WaltFrench

    The only downside for me is that the hoped-for iPad-cum-FaceTime device seems farther in the future: why would Apple risk the customer outrage from making a major holiday push, only to obsolete it a couple of months later?

    • If you want to be a happy Apple customer you must buy at the introduction of the product, if you buy 8 or 9 months later you risk being on the wrong end of the product upgrade cycle. A G2 iPad will come soon and Verizon selling the G1 iPad will not delay that.

  • J Ives

    In light of ZW distro for WiFi, I anticipate no refresh for Facetime until at least Q2, which should bring in CDMA / LTE. I also change previous judgement that AAPL would not be able to meet terms with VZW for iPhon – has to come through now or VZW are comitting brand image suicide. Doubt they are that short sighted, all for the sake of some MiWi contracts.

    • yet another steve

      I'm beginning to suspect that both WSJ and NYT were able to confirm Verizon iphone because Apple deliberately leaked it.

      All the Android will rule the world projections are laughable. Not impossible. But they all assume that Apple will stand still: AT&T in US, only one phone model etc. etc. And focusing on the phone not the ecosystem. Phones are a special case because operators can control distribution.

      The beauty of the iPad is the frictionless model.

      Apple and Android are also not playing the same game. Tablet/touchscreen is a small part of the story. Apple is trying to invent the first truly low maintenance unbreakable platform. I don't think Google can even do this at the OS level if it were trying (which it is definitely not).

      And to the extent that this appliance-like nature is core to the iPad appeal, you've got a product that looks a lot more like an iPod than a PC.

      • DDB

        I have to say that while all of these leaks about the iPhone coming to Verizon have penetrated to non-tech enthusiasts.

        I have had a few people state to me as fact that the iPhone is coming to Verizon soon. Us techies might be tired of hearing it but to get to most people it has to be repeated a few times.

  • Tom

    Thanks to asymco and the others (c'mon Pritt; I know you can figure this out!). This has helped in adding clarity to my understanding of the development of the iOS platform. Thank you.

  • Alexkhan2000

    Yup, Apple is indeed pulling out all the stops. It's balls to the wall, pedal to the metal and take no prisoners. I agree with kizedek as well. This isn't mere channel stuffing at all. It's a blanket *coverage* strategy aimed at the competitors gaining a foothold in any of the channels. Samsung tablet? A Dell? Let's put those side by side against an iPad wherever (and whenever) they may show up. It's about building on the lead and creating a snowball effect for the expansion of the iOS ecosystem.

    Apple's doing exactly the same thing with the Apple TV although it's in very early stages of distribution. Priced to move, I was indeed very surprised when I got a shipping notice that the ATV I ordered through the Apple Online Store about a week ago had shipped and clicked on the tracking information. It's coming straight from the factory in Shenzen, China to my home! And it was free shipping! You can literally feel the sense of urgency (yet cool and confident) and laser-like focus in the way Apple is executing right now.

    Apple is routing the competition from the very top to the very bottom with broad strategic vision (both in grand and tactical levels), innovative and easy-to-use technologies, unmatched marketing flair, and brutally efficient operational execution. I'm a big fan of great military strategists and conquerors Alexander the Great and Genghis Khan (that's where my moniker comes from) and I can honestly say that what Jobs and Apple are doing right now is easily comparable to what those amazing historical legends accomplished during their times. We are witnessing a truly remarkable *thing* (I don't know what else to call *all* of this at the moment) unfolding and progressing on an almost-daily basis. Yes, it's unprecedented. And the great part is that Jobs and Apple still have many territories to conquer yet.

    • Priit

      See, every other company when expanding and increasing sales will become more and more global, it will see markets as global markets. Apple WAS global – last 20 years I could buy in this periphery where I live, avary computer they announced in max 3 weeks after announcement. In last years all this qrowth had turned Apple more and more local, US-only company. Day after day their care less and less of other markets and value only US markets.

      Wanna example? Here we go:

      "Apple's doing exactly the same thing with the Apple TV although it's in very early stages of distribution."

      I witness FIRST time in history that outdated products (old Apple TV in this case) are STILL sold to dumb Europe customers wirth straight face. Earlier they had dignity to remove outdated products, when something new was announced in US, now they don't even bother to do that.

      • Alexkhan2000

        I think if you were in Apple's position you would be doing exactly what Apple is doing. Apple can't keep up with the demand right now and they can only produce so much within a given period of time. They have to prioritize and it just makes sense to initially focus on a market that represents 25% of the world's economy. It really isn't just Apple. The likes of Samsung, Motorola, LG, and Sony have to do the same thing. The reality of the matter is that the US market is the trend setter – especially in the tech/CE industry.

        I certainly understand the frustrations of non-US Apple customers. I have friends in Korea who have been anxious to get their hands on the iPhone 4 and the iPad as well and complaining about how long it is taking to get those products. I suppose it's a good problem to have but if those customers get fed up with the wait, they *will* bolt and just get a Samsung or an LG phone. And that's a significant loss for Apple because those customers will get locked in to a competing ecosystem – at least for a year or two. And there's the chance that they decide that they'll stay within that ecosystem even when Apple's products become more readily available.

      • Priit

        " but if those customers get fed up with the wait, they *will* bolt and just get a Samsung or an LG phone. And that's a significant loss for Apple because those customers will get locked in to a competing ecosystem – at least for a year or two. And there's the chance that they decide that they'll stay within that ecosystem even when Apple's products become more readily available."

        Well, you nailed what I'm trying to say all along (not in this thread only). This is NOT a good problem at all. When you create a new category and cannot supply, lot of your (freshly created) potential customers will float to copycat competitors, some forever. And this is concrete LOSS to you. Bad supply is perhaps good problem on the market you need to conquer, it's a disaster on the market you created or invented.

  • DDB

    Kind of in relation to your post about Android's relationship to the handset manufactures, I wonder how weary Verizon and other carriers might be of Android. On the one hand they can gimp features and bend the OS to their will, but on the other hand Verizon might be frustrated having to play the bad guy with throttling back features like tethering and wifi-hotspots. Google promises the world and then the carriers have to be the bad guy. Also, Verizon might like it that they don't have to worry about upgrading devices like with Android. As an Eris owner, late updates and lack of updates at all is extremely frustrating/alienating.

    On the other hand, iPhone consumers are known for loving their device and spending money on accessories, apps and bandwidth. Something that Android users don't do so much.

    For Verizon, as long as Apple doesn't push tethering and wifi-hotspoting their phones, Apple would be the low maintenance alternative to Android. Got a customer service issue with your phone? Call Apple. Got a problem with your app? Call Apple. Broke your phone? Call Apple. Want to buy a new bumper, charger and up your data plan? Come right in.

    A healthy partnership between Apple and Verizon could quickly relegate Android to the back burner. Does that sound about right?

    • EricE

      "Google promises the world and then the carriers have to be the bad guy. Also, Verizon might like it that they don't have to worry about upgrading devices like with Android."

      Very astute observation – I literally laughed out loud when Google threw the carriers under the bus with the free wifi hot spot announcement. Google doesn't care – they don't have to manage the fallout.

      Not that verzion is blameless as far as douchbaggery towards neutering their mobile phones.

  • kizedek

    See my reply to Joe_Winfield_IL above…
    Well, Apple never seems to win. If they don't include more retailers they are elitist snobs who aren't taking every opportunity to sell iPads to everyone everywhere, and the market would ding them for that. The stock has been constantly manipulated over the last couple of years anyway by those wanting to make a quick buck. As usual, the long term will still be good, because Apple actually produces results, carefully lays the foundations for its long-term strategy and upsets entire new markets every year.

  • timnash

    Selling through Verizon is an opportunity to see how well LTE works with the iPad and hence with future iPhones, and gives both companies time to refine their systems, if necessary.

    With the iPad, Verizon was between a rock and a hard place. If it didn't make a deal on Apple's terms, it was going to see another large piece of business disappear to AT&T with what looks like being the biggest selling electronics item over the Holidays. Verizon accepting the iPad reality makes it much more likely that Verizon will accept Apple's terms for the iPhone and this won't lead to a significant reduction in the Average Selling Price.

  • FalKirk

    I agree with both your major points. 1) The iPad is not tied to the carriers; and 2) Apple is pushing FaceTime onto all of its devices as quickly as they can.

    The original iPad went for sale in April 2010. Apple may move the date for the new iPad slightly, but I expect it to appear around the same time frame. Also, I personally do not believe there will be a seven inch iPad any time too soon.

  • MattF

    Verizon's approach to the iPad is worth noting– they are adding value to a product that is already Apple-branded and embedded in the iOS ecosystem, rather than developing their own product. I wouldn't be surprised if they do something similar with the iPhone.

  • kevin

    This move indicates that Verizon acknowledges that there will be no other significant tablets to sell during this Christmas season, and that the iPad will be the hot product. So rather than lose all that business to AT&T and Sprint, they're willing to just be the pipe.

    Though I think iPhone is coming to Verizon because it makes sense for Apple, I don't think Verizon sees it the same way. It has established Droid as its own competitive smartphone brand, over which it has almost total control and additional revenue generators (see Bing, Skype, Vcast). The only negative has been the need to continuously offer buy one, get one free deals, which eats into its profit margins.

  • Alan

    I think the VZW and AT&T distribution points are in direct response to the Samsung Galaxy Tab which will be in those stores as well.

    The VZW one is obviously the one to watch for reasons Horace points out.

    @Priit: You need to realize that with many modern Apple products there are numerous licensing and content restrictions that are more difficult to achieve in the balkanized European landscape. The US is monolithic for music deals, TV deals, book deals and so forth. I hear your pain but Apple is not the only one with this problem: look at Nokia's carrier relationships in this country. Making it out to be some kind of bias against Scandinavia or Europe is naive.

    • Priit

      I never critizised Apple about iTunes, I never will.

      But when we talk about bias against Europe, there's an exanple. Do you know that EU FORCED, yes forced, can you believe, Apple to offer Pan-Europe warrany and service for iPhone? Yes, you need EU officials to FORCE civil warranty conditions down Apples throat…

  • "The iPod never reached operator points of purchase and the Mac is orders of magnitude more constrained."

    ok, I get the Mac thing though that's only really because there's not that many computer stores that would go up against Apple's own stores. However, what does the comment about the iPod mean? Here in the UK I can buy an iPod in my supermarket. Heck, I can buy an iPhone in my supermarket too.

    The iPad however is much less available, essentially the same places as the Mac in the UK.

    • asymco

      In the US, the operators maintain thousands of store fronts and the iPod is not available in any of them. If the iPad can reach customers through operators and retailers (Walmart et. al.) then it effectively will have a wider distribution than the iPod. The iPod is even sold in vending machines. Looking forward to seeing the same for the iPad.

  • KRIS

    I can't read any more πŸ˜€ I looked that in the hurry and was thinking that ok now it is almost righ ie over $150 Billion sales this fiscal year (2011) πŸ˜€

    Why over $150B? ASP's are up. Production will be way up. Maiden is operational. Lion is roaring. No more Gizmodo hickups. Channels are finally fully open…

  • Priit

    So now when Q4 results are out, and actual iPad sales are WAY lower than anybody expected, is there anyone who wants to continue beating me on "US channel stuffing" issue? I wonder…

    • Jeff

      Umm, if "…actual iPad sales are WAY lower than anybody expected," where is the channel stuffing? If they were really stuffing the channel, wouldn't their numbers have been higher than expected?

      Stop taking their lack of iPad sales in Scandinavia so personally; your bitterness makes you sound like a troll.

  • Priit

    "If they were really stuffing the channel, wouldn't their numbers have been higher than expected?"

    Apple Q4 ENDS on 25. Sept, while Target STARTED selling 03. Oct, ATT STARTED 14.Oct and Verzion WILL START 28.Oct.

    You see, September is before October (in Scandinavia at least).

    • kevin

      So was Apple "stuffing the channel" before 25 Sept or after?

      Isn't it more likely, that in early Sept, the iPad production issue was resolved, so more units started flowing, so Apple started announcing expanded distribution? As was said earlier, Apple has made a tactical decision to flow units first to the US and to its own globally-located Apple Stores.

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