Business

Eager customers snap up Apple’s new iPhones

SAN FRANCISCO (AP) Hundreds of people who lined up to be among the first to get their hands on Apple Inc.’s coveted iPhone are now the braggarts and guinea pigs for the latest must-have, cutting-edge piece of techno-wizardry.

The doors of Apple and AT&T stores opened promptly at 6 p.m. EDT (2200 GMT) Friday with cheers from employees and eager customers.

"I’m glad it’s over," said Carlos Sanchez, 19, at Apple’s Fifth Avenue store in New York City, clutching shopping bags containing two iPhones — the maximum allowed per person. "I don’t have to sleep outside anymore."

Stores farther west followed suit as the clock struck 6 in each time zone. In San Francisco, customers sang the traditional New Year’s Eve song "Auld Lang Syne" following a countdown, as if heralding a new era in telecommunications.

Patrons at the Apple store in Palo Alto, California, were treated to a very brief appearance by Apple CEO Steve Jobs. He momentarily posed for pictures before leaving.

Techies, exhibitionists and luminaries — even the co-founder of Apple and the mayor of Philadelphia — were among the inaugural group of iPhone customers.

Apple is banking that its new, do-everything phone with a touch-sensitive screen will become its third core business next to its moneymaking iPod music players and Macintosh computers. The gadget combines the functions of a cell phone, iPod media player and wireless Web browser,

The company has set a target of selling 10 million units worldwide by 2008, gaining roughly a 1 percent share of the cell phone market. It is expected to go on sale in Europe later this year and in Asia in 2008.

Apple has not disclosed how many iPhones were available at launch. But analysts expect it will sell out by early next week.

The handset’s U.S. price tag is $499 (€369) for a 4-gigabyte model and $599 (€443) for an 8-gigabyte version, on top of a minimum $59.99 (€44)-a-month two-year service plan with AT&T Inc., the phone’s exclusive carrier.

Because Apple designed a new way for customers to activate the cell phone service from AT&T, by logging onto Apple’s iTunes software from their computers, many buyers headed straight home to christen the device.

In Newton, Massachusetts, Khu Duong, 30, said he was excited but "afraid to open it. You want to sit down and relax."

In Seattle, Paul Clark, a videographer, had his iPhone up and running in short order right outside the Apple store. He installed the required new version of iTunes, hooked up the cell phone to his Macbook, synchronized his phone contacts and calendar, and was soon off taking calls from clients, putting them on hold, checking his calendar, phoning his wife and responding to e-mails.

Scared about dropping the phone, Clark then darted back into the store to purchase a protective skin for the gadget.

Will all the waiting have been worth it? For many, it didn’t seem to matter.

"I just love getting new stuff," said retiree Len Edgerly, who arrived at 3 a.m. Friday to be first in line outside an Apple store in Cambridge, Massachusetts. "It’s the best new thing that’s come along in a long time. It’s beautiful."

Even Steve Wozniak, the ex-partner of Jobs, showed up at a Silicon Valley mall at 4 a.m. aboard his Segway scooter. He helped keep order in the line outside the Apple store.

The other customers awarded the honorary first spot in line to Wozniak, who planned to buy two iPhones on Friday even though he remains an Apple employee and will get a free one from the company next month. He said the device would redefine cell phone design and use.

"Look how great the iPod turned out," he told The Associated Press in a telephone interview. "So who wants to miss that revolution? That’s why there’s all this big hype for the iPhone."

Since the iPhone’s unveiling in January, expectations that it will become yet another blockbuster product for Apple has pushed the company’s stock up more than 40 percent.

 

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