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June 29, 2007 10:07 PM PDT

iPhone supply lives to sell another day

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An immediate market for iPhones sprang up on eBay and Craigslist Friday evening, as those who had waited in line hoped to cash in on their wait. Some were asking for well over $1,000 for a device priced at either $499 for the 4GB version or $599 for the 8GB version. It's unlikely those prices will hold up through the weekend if iPhones remain readily available at Apple stores, disappointing many with hopes of profiting from the iPhone.

Earlier in the day, those queued up outside the downtown San Francisco store were merging into one big, happy, MacBook Pro-toting family as they whiled away the hours on the city sidewalk.

Dale Larson had claimed either third or seventh place in line for the iPhone in San Francisco, "depending on how you count," he said. Larson looked like he stepped out of one of the office towers nearby, sporting a perfectly creased gray pinstripe suit and working diligently on his Apple laptop. His secret? He lives nearby and a friend swapped with him while Larson freshened up this morning.

Besides a change of clothes and a shower, Larson said he and his fellow line-sitters had been well taken care of.

"There was a drive-by pizza-ing last night around 9," he said. A stranger delivered a couple boxes of pies, which all those in line shared. Early Friday morning, famed chocolate maker Ghirardelli sent over complimentary chocolates, while Apple employees were doling out Smart Water.

And, perhaps most importantly, Larson said Apple had allowed him to recharge his MacBook Pro three times. No word on whether they'd have done the same for ThinkPad or Vaio users.

Some saw the media vortex as a marketing opportunity. Tom Sammons, a 19-year-old recent transplant from Chicago, opted for a comfy leather club chair over the garden-variety foldable camping seats and blankets the rest of those waiting in line used.

His aunt dropped him and the chair off on the street and packed with him a sign reading "Lung Cancer Matters Too!"--a plug for the Bonnie J. Addario Lung Cancer Foundation on whose board she sits.

Ben Martinek waited 30 people back in front of the 3rd and Market AT&T store, which was slightly ironic, as he is just two weeks removed from being an Apple employee. He quit his retail position with Apple in Washington, D.C. before news came that each of Steve Jobs' worker bees would get complimentary iPhones.

"Hindsight is 20/20, I guess," Martinek laughed.

CNET News.com's reporters Caroline McCarthy and Anne Broache, as well as CNET TV's Veronica Belmont, contributed to this report.

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Add a Comment (Log in or register) 150 comments
message from an iphone
by Thomas, David June 29, 2007 11:59 PM PDT
I just want to be one of the first to post a message from an
iPhone .

First would like to report that the keyboard does
work in a horizontal position . The spell checking (type checking
) is way cool. To use the keyboard horizontally you need to be
viewing in that position. The KB will appear and stay in that
orientation until you are done.

Reply to this comment
This is so fracking cool
by Thomas, David June 30, 2007 12:04 AM PDT
So far one left thumb and one right index finger seem to work
best. Later.
View reply
Wow
by Siegfried Schtauffen June 30, 2007 4:38 AM PDT
Looks like you have at last caught up to the rest of the world. I have been able to do this from my Treo for years. What are you going to boast about next, perhaps playing music, videos and games? Same story.
View all 2 replies
Yet more hype
by spacydog June 30, 2007 12:47 AM PDT
No sellout, what a shocker. An overpriced, over-glorified phone with crappy phone service. No wonder ebay prices for these are dropping faster than flies on a summer night.
Reply to this comment
Please, Apple Has its Act Together
by dansterpower June 30, 2007 2:39 AM PDT
It is not a sellout because Apple has its manufacturing act together.

They made 3 million phones for this launch.

A sellout is not good for Apple, sales are.

The phone rocks. The market will respond.

You will see.
View all 2 replies
Apple iPhone.
by JJDickson June 30, 2007 2:05 AM PDT
Why is there an apostrophe after doors? JD.
Reply to this comment
Re: Silly question about grammar
by James P. Larsen June 30, 2007 4:34 PM PDT
Your comment about "APPLE IPHONE" is a questions about
grammar? Why don't you just google 'apostrophe?' Purdue.edu
has a nice grammar section.

Oh, I get it. You think you already know grammar and the writer
was wrong! Well, I hate to disappoint you, but while the use may
be regarded as inelegant, it's a usage that is structurally correct
and rather common.

In this story, "doors' reopening" means "the reopening of the
doors" The writer made the "doors" possessive of the
"reopening" in order to save couple words:

Examples of this sort of construction:

leader of the group >> the group's leader
fans of Janis >> Janis' fans

Or, maybe you asked because you thought it should have been
"doors's reopening" or door's reopening." If that's the case then
you really are grammar-challenged and need professional help.

JPL
EDGE preferable to UMTS for now
by pjms June 30, 2007 2:14 AM PDT
Everybody is complaining over the lack of UMTS and the availability of EDGE only:

This total crap most likely incited by frustrated UMTS-providers who see another missed opportuninty for selling their services: At speeds allowed by EDGE of up to 384kbit/sec, for most sites the iPhone will not be limited by "the last mile" but by servers and all the routing in between, at least that is my conclusion after unsing a 10Mbit/sec DSL connection for more than a year now.

GSM/EDGE is mature, cheap, low on power, and available virtually EVERYWHERE. UMTS is expensive, powerhogging, bedeviled by horribly expensive data-roaming agreements, and consistantly available in major cities at best.

Though shalt nor complain about your cars maximum speed of 120mph, when you live in a country with a 75mph speed limit ;-)

Have fun while surfing, and find out what the real limitations of the device are.

PJMS
Reply to this comment
You are dillusional
by jase1125 June 30, 2007 5:55 AM PDT
UMTS is no more expensive than EDGE. I get unlimited data for $19.99 and I can tether that to my laptop and get blazing download speeds. Also, my phone lasts a long time with UMTS. After all day of syncing mail and occational browsing (without connecting to my notebook) my battery has 80 to 90% life left. Your post is typical of apply fanboys who cannot evaluate a product without bias. The iPhone has a GREAT UI, but it is crippled with not stereo bluetooth, no 3G internet, no MMS, etc.
View reply
I don't know what phone you've been using UMTS on...
by wraith808 July 21, 2007 6:53 AM PDT
I have two phones; one with UMTS, and one with EDGE. And yes, it does make a *big* difference. Pages just plain load quicker, and surfing is a more enjoyable experience- closer to what you get on a PC. You talk about theoretical speeds as if that's what you get, and that's just plain not true... and if you go to a speed test site on your iPhone, and try the same thing on a 3G enabled phone, you'll see the real difference in speed. And speaking of that, with the ability to use the phone as a modem, 3G becomes even more important. And every 3G phone I know of has the ability to use the slower EDGE and even GPRS networks, so it's not like you're losing any connectivity. So your analogy doesn't really work, and you're just trying to explain away a *real* defect that is a *real* concern for people who truly use data to any large extent. I was thinking about getting one... but for the price, won't shell out for it until I can get the 3G I need.
iPhone
by cook54po June 30, 2007 4:08 AM PDT
There are already a number of so-called iPhone applications in beta stages that you can test on supported browsers like Safari, IE7 and Firefox

www.mp4-converter.net/zune-converter/
Reply to this comment
Activation issues?
by mshidden June 30, 2007 6:09 AM PDT
you like the iphone but don't want the service contract, it appears you should be able to cancel the service with at&t and still keep the iphone. my question is dose apple cripple the iphone's other ability with out an active account?
Reply to this comment
AT&T actrivation is required
by Vegaman_Dan June 30, 2007 10:40 AM PDT
The phone will not work unless it is currently activated by AT&T. People who have bought the phone and are still waiting for the activation more than 12 hours later are finding that you can't do anything without that connection to AT&T. No, you can't use it as a music player, video player, netsurfing, or even bring up a silly calculator.

Sorry, until it activates, you're stuck with a brick. But it's a shiny brick.

If you choose to drop the AT&T service, you can do so, but then you have an even less useful brick.
eBay Ignorance
by techie2479 June 30, 2007 7:44 AM PDT
Per the article, most people should have no problem buying an iPhone from a store at this point; so why are people bidding on them through eBay for well over $600?
Reply to this comment
eBay is Global
by Thomas, David June 30, 2007 10:02 AM PDT
... I think because you don' have to live in the US to use eBay.
View all 2 replies
Not Bidding
by Gromit801 June 30, 2007 11:33 AM PDT
I checked eBay just to see how many idiots are out there. By that I
mean all someone has to do is walk to the local AT&T or Apple
Store, and not pay the opportunist price.

Of the iPhone auctions I looked at, not one bidder.

I want an iPhone, but the AT&T store is closer and faster. If you're
an overseas buyer, and get one on eBay, how're you going to
activate it?
Loser = IPhone buyer/user
by Sea of Cortez June 30, 2007 8:47 AM PDT
Who but a brain washed loser would want to look at the web via a 3inch screen! If you want to actually surf/use the web, you need at least a 12-inch screen. And if you want a cell phone, then u don't need to pay $600 for it, set aside stand in the line.
Iphone is even worst than the above description of its problems, set aside that you need at least a 12 inch screen to really use, benefit from, the Web, you need a KEYBOARD too - Doh!!!
And iPhone does not have an actual Keyboard, its Keyboard occupies same space as it's screen!
So who but a TOTAL brain washed LOSER would want to look at the web via a 3inch screen and then continuously flip to the Keyboard that takes the same space as this screen, to for example fill a form. It would literally take 20 times as long to fill the form and look at the content of a screen you need to look at to fill that form using iPhone compared to a laptop.

Iphone = more useless crap from Silicon Valley hyped by their Big media gang.

I mean Japanese give us Prius that gets 60 Miles per Gallon, French give us TGV that goes 300 Miles per Hour while seating in lap of luxury from city center to city center and what do we get from USA (Silicon Valley), useless Hypes such as iPhone, 2nd life, etc. etc., nothing useful or new.

BTW, there have been products such as iPhone available for years now, such as SideKick from DT and NK 9000 from Nokia, they all failed because who but a bunch of losers would wand to look at the web via a 3 to 4 inch screen and then have no normal sized, or a handicapped, Keyboard to boot!
Reply to this comment
Wow, you can cut and paste
by Thrudheim June 30, 2007 9:47 AM PDT
What an astonishing talent you have to be able to cut and paste the
same comments that you made yesterday so that you don't have to
present an original "thought," if you can call it that. You must be
one of those "power users!"

When you can fit your 12-inch web-browsing laptop in your shirt
pocket, let us know. Until then, you might want to refrain from
further cutting and pasting of your brilliant commentary.
View reply
Oops
by Thomas, David June 30, 2007 10:04 AM PDT
You try to sound intelligent, but your message is full of ignorance.

What's that Mr. T? .... Yea, so do I.

"I pity the fool."

GET OFF CNET AT ONCE
by nickcao8 July 2, 2007 5:32 PM PDT
What are you thinking of, Microsoft fanboy?!!! Totally brain-washed yourself? Comparing iPhone to an Prius-Prius is car (obviously). TGV is a train. Who in the universe is so dumb to compare a smart phone to a car or train? Unless you've cut yourself from any media you know that iPhone has sold 1/2 million models. 500000 to 1 beat that! If your not going to post a proper comment, get off cnet. Visit samsung.com or Research in Motion's website if you want to post abousolute fallacious comments!
iPhone tied to AT&T
by nachurboy June 30, 2007 10:18 AM PDT
But if you buy an iPhone outside of AT&T's coverage, you can't use it, since the phone is tied to their SIM.
Reply to this comment
I'm enjoying this thread...
by lkrupp June 30, 2007 10:53 AM PDT
Seeing the rabid Apple haters literally writhe with annoyance gives
me great pleasure. It means they know Apple has another hit on
their hands and just can't stand it.

So keep the venom coming boys. It's better than holding it in 'till
you burst at the seams. Your impotent flailing is very entertaining.
Reply to this comment
Agreed
by trisor June 30, 2007 11:14 AM PDT
It's always fun reading Sea of Cortez and Vegaman churn the
same gripes over and over. I suppose if you say something
enough times some people will start to believe it. The things I've
read all over the place have been generally positive. No product
does everything right coming out of the gate. Support forums are
by nature full of problems. Most people really don't need much
help with things that work.
View reply
You're probably right
by Siegfried Schtauffen June 30, 2007 8:11 PM PDT
The iPhone is nothing special. It does things that other products have done for about five years. In other words, it is just like most Apple products. My Treo can do all the iPhone can do, and more. Including record video, work without an active contract, cut and past text while writing EMails, run programs, one key access to phone numbers and programs, and read SD cards. I have no desire to buy an expensive handicapped product. When these self-imposed limitations are removed I will consider buying one.
View all 2 replies
Laughter heard 'round the world
by Vegaman_Dan July 1, 2007 1:01 AM PDT
Um, in case you hadn't noticed, the iPhone is tied to AT&T.

The joke's on you. :)
Awesome device, but not woth the price nor the limitations !
by csg7 June 30, 2007 12:14 PM PDT
I love the product but from a distance. I have a Blackjack and happy with it as i got it for free with contract and the amount i use it is good enough with its features.
No doubt iPhone is way better and cool looking but its not worth the price of $500-700 for a cut down storage of a regular iPod and no 3G for so many data based applications.

Thanks for the product Apple but No thanks! I'll wait for the next verions just like you did for iPod.
Reply to this comment
i bet they
by shane--2008 June 30, 2007 2:46 PM PDT
i bet they really miss your one sale, what with reports of their
possibly having sold 500,000 or more in one night.

....i bet they stay up all this week trying to fix your issues.
View all 2 replies
Worth Every Penny to Me
by dansterpower June 30, 2007 5:00 PM PDT
Speak for yourself.

The iPhone blows my Blackberry Pearl out of the water.

I'll get $150 for my Pearl on ebay, will save $30 bucks per month
on my data plan with iPhone -- all of which means I'll break even in
just 11 months.
PC WORLD iPHONE STRESS TEST VIDEO
by Llib Setag June 30, 2007 2:08 PM PDT
FYI:

http://www.pcworld.com/video/id,545-page,1-bid,0/video.html#
Reply to this comment
Apple hardware is very good
by Vegaman_Dan July 1, 2007 1:22 AM PDT
Looks like the designers did a good job of preparing the unit for end user abuse. Kudos to that design team. :)
Err...
by Siegfried Schtauffen July 1, 2007 8:00 AM PDT
Nice, but unless you have proof that Apple are the only guys that do this it is meaningless. Especially since Apple don't even make the iPhone...
View all 2 replies
At&T Activation Required? Bummer!
by gwats1957 June 30, 2007 4:20 PM PDT
How incredibly short-sided on Apple's part to tie all functions.. even the iPod.. to activation of the iPhone on AT&T's network. The non-phone functions should be available by synching up to a assigned computer. What ****** @ Apple signed off on THIS? Find him and shoot him!
I thought it was stupid to have an iPod function with only 8GB of usable memory on board.
This is going to cost Apple thousands of initial sales.
My 80gb 5.5 ipod has 3077 songs, 74 videos and 499 photos. I have a Motorola RAZR V3 from Verizion and I adding an unlocked V3 for overseas use.
I guess the next logical step in the process would be to build an iPod that has the touch screen technology, a 3.5 inch screen, 100gb of HD storage and decent battery life.
Until then, I'll think I'll keep my wallet in my pocket.
Without AT&T, this really IS just a $600 boat anchor.
and Why At&T, Steve? was their bribe the biggest?
What was wrong with an unlocked phone? Do you really want to be a player in this market or what?
Reply to this comment
Contractual Obligations
by Thomas, David June 30, 2007 5:10 PM PDT
eom
Buy! Buy!! Buy!!!
by slickuser June 30, 2007 5:51 PM PDT
This is a wonderful phone! Buy! Buy!! Buy!!!

and drive the apple stocks up!

That is all I care!!!
Reply to this comment
Wonderful experience !!!!
by bencamx June 30, 2007 6:15 PM PDT
Both during the activation and post-activation....awesome job
apple...!!!
Reply to this comment
Activation on Old AT&T Wireless Plan (Blue Plan)?
by wwdallas June 30, 2007 10:27 PM PDT
Has anyone successfully added a $20 (or more) iPhone data plan to their former AT&T Wireless Plan? These are what's called Old Blue plans, as opposed to Cingular and the new AT&T plans, which I believe are called Orange Plans.

This would only apply to anyone that started as an Old AT&T Wireless customer before they got acquired by Cingular, and has kept their plan since being acquired by Cingular and now rebranded as the New AT&T.

I actually have an old Family Plan (3 lines) and wonder if the iPhone will accept my phone number and plan during activation.
Reply to this comment
Applaud Apple. Slap AT & T
by ewon91 June 30, 2007 11:27 PM PDT
Thank you apple for not having a product shortage ans treating your customers well. AT&T you should be ashamed. The lines were so slow and lines were short, yet they quickly ran out of supply and told all of us in line that thhe apple store is probably out and we should do the Warehouse fulfillment to make sure we get one. With a $15 shipping charge. While Apple ships the iphone for free in 2 to 4 weeks. Which is what we will be waiting for. How can one partnet launch so well and the other partner be so bad? Apparently AT&T is bizarro Apple. What a waste of time.
Reply to this comment
LMAO
by Thomas, David July 1, 2007 9:21 AM PDT
Does anyone have any idea, just how completely
hilarious it is to read comments on what a failure the iPhone is ...
while reading, and responding with one? S.S, Lindy, V.D, you
cannot win your arguments against this device. You can only
make yourselves look bad. Yes, we all know ATT has
serious issues, but that does not change the truth
about the iPhone . It is simply incredible
Reply to this comment
Absolutely correct
by Vegaman_Dan July 1, 2007 11:55 AM PDT
People here who are reading comments know enough to recognize the hardware and the service are two separate areas. People who buy the iPhone as early adopters are those that are largely tech-oriented and can work with the system.

I'm more concerned about what sort of image this will have when someone who isn't tech-saavy buys the iPhone and then has trouble with AT&T. They won't really know to keep Apple and AT&T separate in their experience, only that they have a phone with an Apple logo and having service issues.

I don't think anyone here can honestly say with a straight face that AT&T doesn't have serious issues.
View all 2 replies
Anyone who touches an iPhone raves about it
by Mark Greene July 1, 2007 11:53 AM PDT
Some people just can't grasp the importance of an intuitive and
enjoyable interface.

For the other 90% of the world that DOES get it, the iPod, and now
the iPhone, are marvelous and enjoyable devices.
Reply to this comment
Your Remarks Exude Arrogance
by mgee99 July 2, 2007 5:34 AM PDT
Your snide comment deserves a hellish experience... Enjoy your iBrick with All Torment & Torture for a carrier.
View reply
The curse of the two-year deal....
by gwats1957 July 1, 2007 5:18 PM PDT
If we've learned anything about the mobile phone business, it's that two year deals are about a year too long.
What's going to happen to these fools who are locked into these long-term deals about a year from now when Apple introduces an an improved device that is NOT locked to a single carrier and has vastly improved storage and better software?
I got burned a few years ago this way by Apple on a LCD monitor. The product was first rate and I'm still using it because I've got $2500 tied up in it, not because it's state of the art anymore.
Apple's deal with AT&T is for THIS phone only. There is no guarantee this deal would be linked to future versions of the iPhone and if I read my Steve Jobs correctly, that's just the way he wants it.
My advice? NEVER, EVER be the early adopter! products evolve, prices drop, demand shifts, and technology advances. Do you honestly think the iPhone will be THIS product in 12 months?
This is the playstation 2 all over again. I want Apple to hit it's sales goals and have a major hit on it's hands. I want new macbooks and mac pros coming off the production lines. And I'd like a suitable replacement for my 80GB 5.5 gen ipod video.
But I'm going to pass on the this hideously expensive and limited device this time. Once burned, twice shy.
I know I'm alone on this, but like Apple says; "THINK DIFFERENT!"
Reply to this comment
Happy to be an early adopter
by dansterpower July 2, 2007 12:30 AM PDT
Happy to own this phone.

One of the best pieces of technology I've early adopted.

This is a the real deal. The One.

This device is in no way limited: you realize that when you spend
your first afternoon with one. The software will be updated
often and iTunes makes this a breeze. Not like my blackberry
which hits ebay on Monday.
 See all 150 Comments >>

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