iPhone Continues to Fuel AT&T's Growth

The huge popularity of the iPhone meant success for the carrier that offers. AT&T is still experience the effects of Apple's device and is still growing strong as indicated by its earnings for this year.

AT&T Mobility reported customer additions that are similar with last years customer increase. The gains in the number of new customers has pushed the carrier’s to increase to more than seventeen percent. Experts believe that the ongoing strong sales of Apple Inc.’s iPhone is the main cause of this growth boost. The continued weakness at Sprint Nextel Corp. is also a significant factor in the strong growth experienced by AT&T.

Let's explore the details of AT&T's iPhone powered growth. The mobile phone carrier reported that 1.295 million net wireless customers were added during the first quarter of this year. This number represented an increase of 8.7% compared with the figures taken on the first quarter of 2007.

With the addition of these new customers, AT&T's customer base now number more than 71.3 million subscribers. However, the nation's no.1 carrier also lost some customers. When the carrier shut down its TDMA network in late February, around 330,000 customers defected to other networks.

AT&T Mobility's average revenue per user also increased pushed the carrier’s service revenues to $10.6 billion for the quarter. The carrier's data services accounted for $2.3 billion, or 21.5%, of total service revenues. An increase in the carrier's equipment revenues during the quarter pushed total revenues up.

All these growth in various areas boosted AT&T’s income during the first quarter of 2008 to $2.9 billion. With the iPhone still going strong, this trend will probably continue. The launch of the anticipated 3G iPhone could also bring more customers and increased income for the carrier. The success brought about by this remarkable handset has encouraged other networks to find a handset that will duplicate the iPhone's powerful appeal.