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Is the iPhone a Failure? Maybe!

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So is the iPhone a flop? Today’s New York Sun, among other papers, reports that, in the first 30 hours of the iPhone’s availability, a mere 146,000 were activated, according to AT&T, its exclusive service provider. Though 146,000 activations in 30 hours might strike any of us as a big number — that's 80 each minute, after all — it pales in comparison to the 500,000 units analysts were estimating would sell in the first two days the thing was available. (Here’s an especially rah-rah CNN item from July 2, the three days after the iPhone went on sale, tossing out that half-million number.) Plus, it gets worse: A CIBC World Markets report out yesterday shows that demand has only cooled since that first, underwhelming burst. That news drove Apple stock down 6 percent yesterday, and AT&T took a hit as well. By this measure, the Sun says, the rollout has been a crushing failure.

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