The T-Mobile US chief executive John Legere says the company has received in the past four days almost four times as many Apple iPhone 7 orders than previous iPhone models, a sign that the carrier’s new unlimited data plans and free streaming video are gaining popularity.
In a series of Tweets Tuesday, Mr Legere called the iPhone pre-order period the biggest in the company’s history. He also said T-Mobile is seeing subscribers switching from the three other major carriers – Verizon Communications, AT&T and Sprint.
All iPhone 7 models come with twice the storage as the comparable 6S, at mostly the same price. That is “mostly” because the US$769 starting price for the larger iPhone 7 Plus in the United States is $20 more than comparable past models. The regular iPhone 7 stays at $649. Both entry-level phones now have 32 gigabytes rather than 16.
The early enthusiasm for the iPhone 7 could be good news for Apple, which is in need of a strong sales cycle for its flagship device. The iPhone accounts for about 64 per cent of Apple’s total sales. T-Mobile’s comments are the first glimpse of how the iPhone 7 is being received, given its controversial lack of a headphone jack and the fact that Apple has already forecast a third consecutive quarter of revenue declines. The carrier’s reports are being watched closely because Apple has said it will not disclose weekend sales number for the first time.
“This is definitely a positive turn for iPhone volumes,” said Shawn Harrison, an analyst with Longbow Research. “IPhone volume and sales are historically coordinated to Apple’s stock price.”
Apple rose as much as 2.5 per cent to $107.61 in early trading in New York after T-Mobile’s tweets and accompanying statement. T-Mobile and Sprint were little changed.
T-Mobile has unlimited data plans that start at $70 a month for one user and as low as $160 for a family of four during a promotional period. Sprint’s unlimited plan starts at $60 a month and also offers families of four a promotional price of $160 a month. Both plans were introduced earlier this month.
Emails sent to Verizon and AT&T seeking comment on their pre-orders were not immediately returned.
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