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Apple iPhone 3G second best-selling handset in USA

By Joshua S Hill Oct 13, 2008, 20:57 GMT

Apple iPhone 3G second best-selling handset in USA

A buyer shows off his Apple iPhone 3G handset. EPA/MANJUNATH KIRAN

Since its original release back in 2007, and its updated 3G release this year, Apple’s iPhone has become the second best-selling handset in the US. The news was released via a new report from market research firm NPD on Monday.

Apple’s touch-screen handset has only Motorola’s RAZR V3 to beat in US sales. The report pointed to a surge in sales after the recent release of the second generation iPhone that helped Apple garner 17% of the market share.

Subsequently, this puts the iPhone as the number one smart phone being sold in the US at the moment. Based on unit sales from June through August, the iPhone is outselling the Blackberry Curve, Blackberry Pearl, and Palm Centro. This deals a harsh blow to Palm and RIM who have long been the dominant smart phone manufacturer.

"The launch of the lower-priced iPhone 3G was a boon to overall consumer smartphone sales," said Ross Rubin, director of industry analysis for The NPD Group. "While the original iPhone also helped win customers for AT&T, the faster network speeds of the iPhone 3G has proven more appealing to customers that already had access to a 3G network."

Of those customers who have bought a new iPhone, 30% switched from other mobile carriers to join AT&T who have the only iPhone contract. A whopping 47% of those that switched from another carrier switched from Verizon Wireless. T-Mobile provided 24% and Spring another 19%.

That the iPhone finally provided Microsoft Exchange support in their iPhone 3G probably explains a measure of their success of the past few months. The phone has all of a sudden finally gained that last piece of the puzzle it needed to make such a shift in the smart-phone industry.

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