iPhone 3G Boosts AT&T Earnings

AT&T today posted their 3Q earnings with strong wireless division gains lead by 2.4 million iPhone 3G activations in the quarter, 40% of which were new AT&T subscribers. Adjusted earnings dipped slightly due to the subsidies placed on the iPhone 3G and hurricane related expenses.

AT&T highly values iPhone and other smartphone subscribers due to their lucrative data plans that have "significantly higher [average revenue per user] and lower churn than postpaid subscriber average."

Yesterday Apple reported that they had sold the 10 millionth iPhone last quarter. This beat Apple's self-imposed goal of reaching this milestone by the end of calendar year 2008.

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