Analyst: If iPhone Lands On Verizon, Apple Will Sell 12 Million Additional Units

Posted Jun 30, 2010

Yair Reiner of Oppenheimer predicts that if the iPhone goes on sale for Verizon customers, Apple will sell an additional 12 million units, resulting in an additional $7 billion. Below are some highlights from a Fortune article discussing the potential Verizon deal:

– Over the last year, Apple sold 11 million iPhones into AT&T’s (T) installed base of 65 million subscribers. Some of those customers might switch to Verizon if and when it gets the device, but with its 83 million pre-paid subs, Verizon would likely provide at least 12 million net additional unit sales for Apple.
– Adding a second U.S. carrier would blunt the competitive threat from Google’s (GOOG) Android platform, which Verizon has been promoting heavily as its answer to the iPhone…
– An additional 12M units would translate into $7B-plus in revenue and $3.00-plus in EPS per year?which isn’t pre-baked into expectations.