Amid iPhone's International Rollout, 10 Million Units Isn't a Stretch

Apple’s iPhone will be headed to a few more countries courtesy of a new deal with French telecom carrier Orange.

In a statement, Orange said:

Orange today announced a new agreement with Apple to bring the iPhone to Orange customers in Austria, Belgium, the Dominican Republic, Egypt, Jordan, Poland, Portugal, Romania, Slovakia, Switzerland and Orange’s African markets later this year.

The Orange announcement follows deals with Vodafone and Rogers Communications. According to the Associated Press, Orange has exclusive iPhone deals in Belgium and Romania and co-exclusive or non-exclusive deals in the other countries.

Meanwhile, America Movil (AMX), a Mexican wireless carrier, said May 7 that it will bring the iPhone to Latin America. The America Movil deal gives the iPhone exposure to 159 million subscribers.

Apple (AAPL) has sold 5.4 million iPhones through March and these international pacts should give the company enough exposure to hit its 10 million unit goal. Considering that Apple is more than halfway to its shipment target with a 3G iPhone brewing and a bevy of international deals, the 10 million unit goal may be an easy mark.

While these incremental deals certainly add to the potential iPhone units Apple can sell, the big news will come when the company reaches a pact with China Mobile. According to Piper Jaffray, a pact with China Mobile would expose the iPhone to more than 369 million subscribers.

Comments

[digivision:]

16 to 18 mil is my mark for 08, 10 mil is not reasonable anymore
and most likely it will blow past the 18 mil depending on the new 3g iphone and if hey will introduce lower cost models
we are talking at a possible 45-65 mil in 09

2008 May 16 04:06 PM

[sane_man:]

Nice joke. Orange was not able to sell iphone in its own home country and had to slash price to get rid of the pricey iphone. www.informationweek.co...;jsessionid=ATXMMZTCZU...
Now, they are going to sell this $600 phone in Africa to do web browsing in the jungle! LOL

2008 May 16 06:11 PM

[King Solomon:]

In the jungle?

2008 May 16 06:43 PM

[seeksome:]

Another day and another positve for AAPL.I love you Steve Jobs.To get your apple stuff and everything else your heart desires at below wholesale please visit:seeksomething.com

2008 May 16 11:52 PM

[samij:]

first, 10m target is for salas during the calendar year 2008, not cumulative sales until end 2008 (i suggest you read apple earnings call transcripts posted on seekingalpha.com if you're seriously interested in analysing apple).

second, it was never question whether or not apple could sell 10m (or more) iphones this year. the question is the price point at which apple can achieve the goal and the terms apple needs to agree on to get the operators on board. you have to adjust apple's iphone margins accordingly.

third, unfortunately the 3g in china is neither widely adopted nor compatible with att+euro 3g: no iphone in china for at least couple of years.

2008 May 17 03:55 AM

[tom1234:]

oh 90 days ago ---these so called sophicated analysist pontificated how APPLE could not sell 10 million iphones by year end ----those articles only make the WIZZARD JOBS look so smart and the know it alls looked more stupid---wake up here comes $300.00 per share at least

2008 May 17 09:19 AM

[tom1234:]

It's simply mind-boggling. The disbelievers are, in the words of President Bush, the "misunderstanderers." Don't fall prey to their ignorance. It's Apple all the way to $225, baby!---( tobin smith oct 12 2007 Change wave investor)

2008 May 17 10:34 AM

[wallawallab...:]

If Apple releases a video conferencing iPhone, RIMM will vanish in a puff of overvalued smoke. May happen in June at the Developer's Conf.

I think that's why they've been tripping over themselves to appear competitive, preannouncing new handsets, wooing developers, etc.

2008 May 17 01:29 PM

[Rob L:]

Apple should split it's stock here, i think it would help with getting past a potential double top....I hope they don't become another goog.

2008 May 17 01:42 PM

[brewer:]

I think they should split as well. It's getting too expensive for the casual but long investor to buy a lot of 100, etc...

Apple's potential is truly exponential.

2008 May 18 01:16 AM

[User 175563:]

If you consider the exposure Apple will get with the Beijing Olympics, the recent deal with India's Bharti Airtel, and the 46 new markets, I would say that 10 million is a gross understatement. Also, the current iPhone market penetration is 3%. This will likely grow as well. I predict closer to 20 million. Check out the analysis on my blog:
www.zachbass.com

2008 May 18 07:31 AM