AT&T Boosts Smartphone Forecast on More Data Service Users

Wednesday, 05 Dec 2012 04:58 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
AT&T Inc., the second-largest U.S. mobile-phone company, increased its forecast for fourth-quarter smartphone sales as more users snapped up plans with high-speed Internet access.

The company will sell 26 million smartphones such as Apple Inc.’s iPhone and Nokia Oyj’s Lumia, up from a prior forecast of 25 million, said Ralph de la Vega, chief executive officer of AT&T’s wireless unit. AT&T had sold 6.4 million smartphones through November, he said today at a UBS AG conference.

While higher smartphone sales encourage more customer spending on data over the life of a wireless contract, they hurt profits at first because they’re often sold at a heavy discount. Susan Johnson, AT&T’s head of investor relations, declined in an interview today to provide a forecast for profit margins.

About one-quarter of users on Dallas-based AT&T’s shared- data service are choosing its 10-gigabyte plan, de la Vega said. That’s the third-most expensive shared-data offer at $120 a month, according to the company’s website. The service allows customers to combine as many as 10 devices under one monthly data alignment.

AT&T was little changed at $33.91 at the close in New York. The shares have risen 12 percent this year.

© Copyright 2014 Bloomberg News. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved