iPhone Shortage and Business Worries

by Aaron Wright Jun 19, 2007

When you look at the iPhone, what do you see? Do you see an iPod/phone combination aimed at home users and casual show-offs, or do you see it as more of a business phone?

Microsoft CEO, Steve Ballmer, once criticized Apple and its upcoming iPhone for not being “business-savvy,” due mainly to the fact that third-party applications could not be installed and there is a serious lack of office software installed (Word, Excel, etc.). On the one hand you could bash Ballmer for openly flaming the iPhone even though he knew no more about it than we do, but on the other hand, the fella has got it right on the money.

According to AppleInsider, one of their users got in touch and informed them that they had spoken to a business representative from the headquarters of AT&T and found out that the iPhone will not be available to business customers, at least not any time soon.

Unfortunately the iPhone will only be available to those who hold an account with individual responsibility. So for those of you hoping to get a freebie from work this summer, you might need to re-think your plans.

This news, however, isn’t nearly as bad as the possibility of the iPhone running short on supply come its release later next month. There have already been some rumours that AT&T and Apple stores will carry a limited supply of the phone in each storage nationwide on launch day, but now it seems that there could be a slow supply of iPhones to customers for two months after it has debuted in America.

Dr. Simon Croom, of the Supply Chain Management Institute, has held discussions with Zdnet over the strong possibility of the iPhone shortages.

At present it’s not yet known which companies are supplying Apple with the parts for the iPhone, but it is known that they are based in Japan, Korea, and Taiwan, and because of “global differences,” the parts may come in slower than Apple had anticipated. Because of this, high demand for the iPhone may well be met with a slow but at least steady supply to customers over the next couple of months, and you may just find that a “Sold out” sign will be listed up next to the iPhone displays for a few days here and there.

But it’s not going to be as simple as that; what about replacements? Apple has a new product on the scene, and like any company with a brand new product, there are going to be problems along the way. Whether it’s a faulty battery, unreliable touch-screen display, or simply refusing to make phone calls, the iPhone is going to have its share of problems. AT&T and Apple are going to be the ones to have to deal with this and the easiest solution by far is to just issue the customer with a new iPhone, rather than getting it sent off for repair. What will this do for supply? You guessed it: slow it down even further.

It’d be interesting to see if any Apple Matters readers are planning to make a super-early trip down to their local Apple or AT&T store in order to grab an iPhone, or risk waiting a couple of months before getting one.


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Comments

  • When I look at an iPhone, what I see is either an ad, an article, or FUD....

    United States TowerTone had this to say on Jun 19, 2007 Posts: 6
  • I’ll be waiting right at my local Apple store from 10AM to 6PM, so glad my iBook can retain a 6 hour charge.

    United States Tanner Godarzi had this to say on Jun 19, 2007 Posts: 70
  • Shortages of the iPhone is a no brainer.  It’s going to be tight when the iPhone is released and really tight when the holiday shopping season rolls around.  “Little Miss Princess” wants one for Christmas and Mom & Dad are going to be calling around the country to find one.

    While there might be a good supply in the Sep/Oct time frame I believe it will be January before there is a stable supply, unless you buy directly from Apple.

    But, of course, that assumes there is no second model released.  A year ago the rumors were for a flash memory version first, followed 6 months later with a HD version.  That would stir the pot up again.

    United States MacKen had this to say on Jun 19, 2007 Posts: 88
  • The iPhone is probably the most high profile launch in Apple’s history. Do you guys seriously think they would go into this without having enough product to go around? Sending only a dozen or so iPhones to each AT&T;store would only piss off the hundreds of people who want one after they’re gone. Steve Jobs simply doesn’t make mistakes like that. I guess we’ll know soon…

    United States bombfactory had this to say on Jun 20, 2007 Posts: 1
  • I heard the 3 million units will be available day off. Not sure how many that is for online customers vs. retail. But several analysts are saying that’s probably not enough for the weekend (no shipments on sunday - saturday deleiverys only).

    United States xwiredtva had this to say on Jun 21, 2007 Posts: 172
  • Just freakin’ great…
    First the Xbox, then the Wii and now THIS!
    Will the shortages never end?

    wink

    United States vb_baysider had this to say on Jun 21, 2007 Posts: 243
  • Well I was wrong/heard wrong, it’s 300k units… Maybe it’s 3mil for 2007 total… Either way, 100-200 units per store AT&T;/Apple. Apple stores will allow you to purchase 2 units, AT&T;1 unit per customer.

    United States xwiredtva had this to say on Jun 28, 2007 Posts: 172
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