AT&T Activates 4.1 Million iPhones in Q4 as Motorola and Nokia Slump

115823 att motorola nokia

A number of companies either connected to or competing with Apple's iPhone have reported earnings yesterday and today, helping to paint a picture of the current status of the smartphone market.

AT&T, Apple's longtime exclusive iPhone partner in the United States, reported that it had activated 4.1 million iPhones during the fourth quarter of 2010, a figure that has historically included both sales of new devices and re-activations of previously-sold devices either handed down or resold by their owners. The new activations are down from the previous quarter that saw 5.2 million activations on the carrier.

Looking at its broader wireless business, AT&T added 2.8 million wireless subscribers during the quarter to reach a record 95.5 million customers, although only 400,000 of those net additions were of the more profitable postpaid contract variety. A full 61% of the company's 68 million postpaid subscribers are now on "integrated devices" offering virtual or physical QWERTY keyboards, up from 46.8% a year ago.

AT&T also announced that it added a total of 442,000 iPad and Android-based tablets to its network during the quarter, noting that the segment marks a substantial new growth market for the carrier but declining to break out the mix between iPad and Android devices.

Overall, AT&T's earnings were down substantially from the year-ago quarter, although the difference is primarily due to one-time accounting charges for pension and restructuring obligations. But analysts have expressed concern about AT&T going forward, citing lower-than-expected performance in its landline phone business and concerns over the effect of loss of exclusivity for the iPhone.

AT&T's results come as a pair of smartphone manufacturers reported their own earnings, taking the opportunity to express concern over the iPhone's debut on Verizon next month. Motorola Mobility announced results essentially in line with analyst expectations, but offered guidance for the current quarter of a net loss of between 9 and 21 cents, below the break-even expectations of analysts. Motorola Mobility CEO Sanjay Jha noted during a conference call discussing the earnings that the carrier has already seen a slowdown in sales as customers wait for the iPhone to come available on Verizon.

"I think that we have seen some slowdown as a result of the announcement at Verizon," CEO Sanjay Jha told analysts on a conference call.

Meanwhile, Nokia posted another earnings drop and acknowledged its continuing losses in smartphone market share that has seen the company's portion of the market sink to 31% from 40% in the year-ago quarter. Looking ahead, Nokia is also guiding toward a weak first quarter of 2011 as the company seeks to develop competitive strategies under new CEO Stephen Elop to both bolster its sagging traditional mobile phone sales and face off against the iPhone and Android devices in the smartphone segment. According to Elop:

"In Q4 we delivered solid performance across all three of our businesses, and generated outstanding cash flow. Additionally, growth trends in the mobile devices market continue to be encouraging. Yet, Nokia faces some significant challenges in our competitiveness and our execution. In short, the industry changed, and now it's time for Nokia to change faster."

Related Forum: iPhone

Popular Stories

iOS 26 Feature

iOS 26.1 to iOS 26.4 Will Add These New Features to Your iPhone

Wednesday October 1, 2025 1:26 pm PDT by
iOS 26 was released last month, but the software train never stops, and iOS 26.1 beta testing is already underway. So far, iOS 26.1 makes both Apple Intelligence and Live Translation on compatible AirPods available in additional languages, and it includes some other minor changes across Apple Music, Calendar, Photos, and Safari. More features and changes will follow in future versions,...
iPhone 17 vs Air and Pros Feature

New iPhones See 'Stronger Than Expected' Demand With One Exception

Thursday October 2, 2025 7:26 am PDT by
Nearly two weeks after the iPhone 17 series launched, analysts at investment banking firm Morgan Stanley said demand for the devices has been "modestly stronger than we originally expected," based on a combination of extended shipping estimates on Apple's online store and information it gathered from Apple's supply chain. There has been strong early demand for the iPhone 17, iPhone 17 Pro,...
space black mbp

Here's Every New Apple Product That Leaked Yesterday

Wednesday October 1, 2025 8:27 am PDT by
A handful of upcoming Apple products leaked yesterday, through a combination of YouTube videos out of Russia and U.S. Federal Communications Commission (FCC) documents that were released, despite Apple's confidentiality requests. The leaked products include an iPad Pro with an M5 chip, as well as updated MacBook Pro and Apple Vision Pro models. All of these devices had already been rumored...
apple wallet drivers license feature iPhone 15 pro teal 1

Apple's iPhone Driver's License Feature Now Available in 11 U.S. States

Tuesday September 30, 2025 6:40 am PDT by
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps. Apple recently revealed that the feature would soon be available in North Dakota, and starting today, the feature has officially gone...
Tim Cook Rainbow

Apple Event in October? Here's What to Expect

Monday September 29, 2025 9:31 am PDT by
Apple's annual iPhone event is in the rearview mirror, but rumors suggest the company plans to release a handful of additional products before the year ends. Will there be another Apple event this October? We discuss the possibility below. Apple in October Apple's most recent October events were in 2021 and 2023. In 2022 and 2024, Apple did not host an October event. Instead, it...
fcc vision pro leak

FCC Accidentally Leaks Apple's Next Vision Pro

Tuesday September 30, 2025 3:48 pm PDT by
The United States Federal Communications Commission (FCC) has seemingly confirmed Apple's work on an updated version of the Vision Pro headset. One of several documents the FCC shared today references an Apple-designed "Head Mounted Device" with a model number of A3416. An included image confirms the device is a Vision Pro. The FCC's uploads are transmission tests, SAR test reports, and...
macbook pro prime day 2025

FCC Leaks Upcoming MacBook Pro and More

Tuesday September 30, 2025 1:58 pm PDT by
The United States Federal Communications Commission has confirmed Apple's work on a new version of the MacBook Pro and several other products, leaking details on the devices ahead of launch. The FCC published documents that reference model numbers that do not correspond with existing devices. A3434, for example, references an unreleased MacBook Pro, while other numbers are likely for...
Apple 2025 Thumb 1

Apple's 2025 Product Roadmap: What's Still Coming

Wednesday October 1, 2025 3:56 pm PDT by
Apple's two big yearly events, WWDC and the iPhone launch, are done and over with, but there are still some new products that we're expecting to see before the end of the year. Apple TV The Apple TV hasn't been updated since 2022, so it's due for a refresh. It doesn't look like Apple is going to change the design of its set-top box, but we can expect a faster chip Apple code suggests...
maxresdefault

New iPad Pro With M5 Chip Leaked in Unboxing Video

Tuesday September 30, 2025 8:39 am PDT by
An apparent unboxing video for an unannounced iPad Pro with the M5 chip was uploaded to YouTube today by Russian channel Wylsacom. The same YouTube account leaked the 14-inch MacBook Pro with the M4 chip before it was announced by Apple last year, so this is likely a legitimate leak. Based on the box shown in the video, this appears to be a 13-inch iPad Pro with an M5 chip, 256GB of...
iOS 26 Everything New Feature

26 Hidden iOS 26 Tricks to Change How You Use Your iPhone

Wednesday October 1, 2025 9:16 am PDT by
Apple released iOS 26 in mid-September, bringing a range of new features and changes to iPhones across the globe. But not all of the included improvements have been showcased with Apple's typical fanfare, and many are likely to have been overlooked. Below, we've highlighted 26 lesser known additions and enhancements that could potentially change how you use your iPhone on a daily basis. Got...