Other than Apple, which companies could profit from iPhone?

“Apple launches the iPhone next month, and early buzz suggests the gadget will be a big hit: Journalists who’ve seen the thing already are writing odes… and its key distributor says it has received more than a million inquiries about the device, which will retail for $500 or $600, depending on the amount of memory in the phone,” Stephanie N. Mehta reports for Fortune.

“Those looking for ways to invest in the expected iPhone juggernaut can buy shares of Apple, of course, but with the stock trading near its all-time high – and at a lofty 32 times the previous four quarters’ earnings – a less risky bet might be to invest in AT&T the exclusive phone operator for the iPhone in the U.S.,” Mehta reports.

Full article, with other companies that might benefit from Apple’s iPhone, here.

27 Comments

  1. There will a lot of money to be made on cases, car chargers, audio accessories and within a year or so…third party software that will help it better penetrate the enterprise market. It’s gonna kick ass.

  2. – case makers
    – accessory makers
    – battery replacements

    The iPhone has the 30-pin connector, so there’s going to be an entire accessory market built up around this device, just like happened with the iPod.

  3. “My only question is… will the iPhone’s iPod feature work with existing devices – clock radios, dock-based external speakers, iPod Hi Fi, etc.”

    Most likely. And, to stave off the issues of not having a changeable battery, all of those external battery packs that charge and iPod will likely work with the iPhone so you can charge it anywhere….

  4. The iPhone won’t be such a big hit when people find out that Apple plans on integrating cell phone in their laptops.

    People may decide to opt for a bigger screen, more memory and a hard drive and bluetooth capability between the iPhone and their laptop beofre purchasing.

    Yea the iPhone has some serious limitations, it has too much feature bang and not enough technological punch.

    For some it might be enough though, I doubt it seriously.

  5. I think third-party integration won’t happen as fast as some will want it to (like, yesterday) so we’ll be hearing them grouse and moan and groan and complain. But then, within a few minutes after the announcement is made that third-party integration will occur, it won’t be EXACTLY what the one guy out in plowed ground Iowa wants, and all the Apple bashers and media outlets looking to create their own “reality” will just happen to get his comments on how the iPhone just isn’t working for him, and therefore, the entire market will be “disatisfied” with the iPhone because it doesn’t offer enough third-party integration.

    I’m convinced this will be the lynch-pin of all the complaining going on with regard to the iPhone once it is released. When pushed on everything else, you’ll hear crickets and gears turning while people make vain attempts to knock some other aspect of the user experience. Oh, yeah – then there’s the provider angle…clearly not everyone is happy it’s an AT&T only deal.

  6. “Apple is about due for a stock split I’d say.”

    Don’t bet on it. Shareholder meeting was just last week and the topic apparently didn’t even come up. Dont think that it splits again around 100 just because it did before. That’s not why companies split their stock.

  7. At least in the near term, the iPhone won’t make much of an impact on AT&T’s bottom line. But I believe that it will have a major positive major impact on Apple’s bottom line.

    While the trailing P/E is worthy of consideration, it is clear that Apple is a growth play with major earnings upside potential. So the advice on stock buying is not worth a lot in my opinion.

    Buy what you know and you will seldom go wrong.

  8. Everybody has got to do their part if they want to profit from the iPhone.

    Apple has got to deliver the hardware and software that they promised. The iPhone has to do what they say it will do. They’ve also got to help with the support after they deliver on the hardware. AT&T has got to deliver on their services, including Internet connectivity. I’ve heard a lot of complaints about Cingular/AT&T, so they may have the most work left to do. Google & Yahoo! have got to deliver on their technology that will interact with the iPhone. They are all dependent on each other to make the iPhone a success.

    Of course the iPhone covers and connector companies will do all right, but it’s the people and companies in the above paragraph, that need to deliver first. As far as the consumers, they are all patiently waiting, as we always are.

  9. Windex! Or some other screen cleaner.

    AT&T is a risky stock because it will not grow that much after the iPhone is out for a while and on other carriers. Plus, it could be that Apple eventually allows VOiP which would extinguish the carriers, to an extent. That would be awesome!

  10. Hi, Crabapple,

    So glad to read that you’ve already answered this question. I’m sure your posts were quite illuminating, not to mention completely accurate and prescient. But there’s no easy way that we (or you, for that matter) can verify that.

    Wouldn’t it be great if the search function on this site would allow anyone to find anyone else’s specific posts – perhaps include a keyword search along with the name? So easy to back up claims of “I already said that” or “You did too say that” with just a quick search and post a link and you’re done. Smack-down on the mat right quick, that would be.

    But then again, we’d need to have a better posting system – perhaps something that forces people to choose a name and stick with it (rather than hiding behind the air of anonymous names).

    So, alas, ’tis not to be. Guess we’ll just have to wonder whether your answers were all that, or not. :\

  11. @BuriedCaesar,

    You are right about the ability to easily tag a page for later cross referencing. I will look for the post then put it up here for all to connect to.

    Ps, I had a feeling this mih=ght happen but thought to let it be anyway.

  12. Is RIM immune to the iphone?

    Under that heading is where you will find my posting as regards my claim.

    Just scroll down to the very bottom of this page and type in that headline to the left of “Search MacdailyNews”

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