Monday, October 11, 2010

What’s a CDMA iPhone Worth to Apple?

Adding a CDMA iPhone option (usable on Verizon Wireless and other networks), increases Apple’s addressable market for an iPhone by 16 percent, says Horace Dediu of asymco, a mobile research site.

The estimated sales of 10 million Verizon iPhones account for only two percent of that potential market, affording Apple a sizable opportunity to boost iPhone sales outside of the United States.

The CDMA Development Group reports that 164 million mobile phone subscribers in the U.S. use a CDMA handset. That number pales in comparison to the 302 million CDMA handset owners in the Asia-Pacific area, a region that, until recently, hasn’t seen huge demand for Apple’s smartphone.

To put that in perspective, Apple’s total revenues for the 2009 fiscal year were $36.5 billion.

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