Verizon iPhone off to a slow start

Lines weren't huge for the debut, and BlackBerry trade-ins seemed to be a leading trend.

By TheStreet Staff Feb 10, 2011 11:57AM

By Scott Moritz, TheStreet

 

Verizon's (VZ) iPhone debut drew small crowds, and if the sampling is accurate, it pulled in a lot of Research In Motion (RIMM) customers.

 

The national retail launch of Apple's iPhone 4 for Verizon started Thursday, and the early lines in a few New York locations were far from long.

 

At the Verizon store in Fishkill, N.Y., there were 12 customers lined up at 6:45 a.m. ET, where nearly twice as many Verizon employees were on hand to accommodate sales. One employee carried a bullhorn but didn't have much of an opportunity to use it. Other employees handed out cold-weather kits that included ski hats and hand warmers.

 

In lower Manhattan, at the Verizon store on the corner of Water and Wall streets, 21 people were waiting to buy the iPhone. Based on interviews with those soon-to-be iPhone owners, roughly half were trading in RIM BlackBerries. Most had the BlackBerry Storm.

 

Post continues after video:

 

While it was a small sampling, there were some interesting patterns. Three people at the Wall Street store said they were coming to Verizon from AT&T (T) and one from Sprint (S). Curiously, five people -- or a quarter of the sample -- said they were breaking their current two-year contracts to get the Verizon iPhone.

 

The long-anticipated Verizon iPhone has been a captivating topic for tech investors looking for another leg in the Apple growth race.


Where there are winners, there also appear to be losers. RIM's stronghold on the business-user segment and its expansion into the general consumer market seem to be the most vulnerable to the Verizon iPhone.

But the lack of lines stretching around corners and down blocks Thursday is a minor surprise to those who may have expected immediate iPhone sellouts. The slow showing Thursday also jibes with reports that the Verizon iPhone sales pace is lagging AT&T's iPhone 4 debut numbers -- something that may give RIM investors some hope.

 

Apple shares were up 0.6% to $358.40, RIM was up 0.13% to $63.65 and Verizon was down slightly at $36.48 in morning trading Thursday.

 

Related Articles

1Comment
Feb 10, 2011 3:07PM
avatar
This is a ridiculous article. Twenty-one people in line and 11 turned in Blackberry's?  Who cares? Smile 
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

112
112 rated 1
288
288 rated 2
479
479 rated 3
645
645 rated 4
644
644 rated 5
653
653 rated 6
638
638 rated 7
483
483 rated 8
288
288 rated 9
123
123 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
AAPLAPPLE Inc10
ATVIACTIVISION BLIZZARD Inc10
CTSHCOGNIZANT TECHNOLOGY SOLUTIONS10
FOXATWENTY-FIRST CENTURY FOX Inc CLASS A10
ITUBITAU UNIBANCO BANCO MULTIPLO S.A.10
More

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.