iPhone 4S accounts to new subscribers to Verizon

The iPhone 4S is the only device on which was made available to a lot more carriers thanks to Apple’s exclusivity contract with AT&T reaching its end date. As expected, the move had benefited a lot of carriers although most of them are making a loss at the earlier parts of the contract as the carriers had to subsidize a large chunk of the original price of the iPhone as a part of a deal with Apple. In fact, an iPhone 4S sold would cost an average of $350 to the carriers. This means that the revenue that they will receive will be decreased but in the long run, the money will return back to the carriers.

The tale of Verizon was that it was expected for the company to receive around 1 million new subscribers with the release of the new iPhone but it had overachieved that by 200,000 subscribers more than it had expected.

It is expected that one-tenth of the subscribers of Verizon will be iPhone users by the end of the quarter and almost one-third of the mobile phone sales will be from iPhone. With that being said and done, the influence that the iPhone has on carriers and consumers has definitely showed.