DOW JONES NEWSWIRES
Apple Inc. (AAPL) reported that it sold more than one million
next-generation iPhone 3GS as of Sunday, defying some analysts who
had predicted it wouldn't reach the levels attained during its
predecessor's launch.
Apple said six million customers also downloaded its new iPhone
3.0 software in the first five days since its release.
Shares recently were up 0.2% at $139.76 in premarket trading
Monday. The stock is down roughly 20% in the past year.
Apple recently halved the price of its entry-level iPhone to $99
and rolled out the next-generation model for $199 to $299, looking
to sustain the momentum for its popular smart phone amid the
recession and fresh competition.
Steady streams of customers into Apple stores since the iPhone
unveiling on Friday suggested consumer interest in the iconic smart
phone remains high since the first version was released roughly two
years ago, despite increasing competition from Research In Motion
Ltd.'s (RIMM) BlackBerry and Palm Inc.'s (PALM) recently introduced
Pre.
Piper Jaffray analyst Gene Munster predicted last week that
Apple would sell 500,000 new iPhones over the weekend, which would
be less than the one million 3G versions sold last year on its
launch weekend. Part of the lower expectations was from the new 3GS
being released in fewer countries and offering less dramatic
changes.
-By Tess Stynes, Dow Jones Newswires; 201-938-2473;
tess.stynes@dowjones.com