Apple's bold new partnership with China Mobile, the world's largest wireless carrier, is well underway and is already showing early signs of success. China Mobile is reporting that multiple millions of iPhones have already been ordered by customers ahead of the smartphone's official launch.
China Mobile Chairman Xi Guohua told Chinese media and the Wall Street Journal that the phones are already flying off the metaphorical shelves in pre-orders. The iPhone officially comes out for customers on its network on Friday. He also hinted that the cooperation between China Mobile and Apple will go beyond handsets.
"As of this weekend we will be selling iPhones in more than 3,000 additional locations," said Apple CEO Tim Cook, speaking at the same event in Beijing to celebrate the forthcoming release of the iPhone on China Mobile.
Talks between China Mobile and Apple to sell the popular smartphone device have been going on since 2008. They originally began with the Apple founder Steve Jobs and China Mobile's ex-Chairman Wang Jianzhou. The negotiations progressed and were finally made official in 2013.
Analysts say the deal could help Apple's shipments of the iPhone double from 15m illion to 30 million. In the most recent fiscal fourth quarter, which ended on Sept. 28, Apple sold 33.8 million iPhones globally. However, its overall earnings growth has been slowing due to stiff competition in the smartphone market. Apple's net profit fell in that quarter to $7.5 billion from $8.2 billion a year earlier. Greater China was Apple's third largest market in the quarter after the Americas and Europe, according to the WSJ.
China Mobile gives Apple the ability to sell iPhone on the country's main three carriers. Apple has been looking to get into the Chinese market for some time as it faces troubles trying to find new products to jump start its current sales in Europe and the U.S. Perhaps China's massive market will but it more time to find something new to market other than smartphones and tablets.
