Robust Market for Used iPhones Benefits Users, Carriers, and Apple
AllThingsD reports on new research from Consumer Intelligence Research Partners (CIRP) analyzing the impact of the secondary market for the iPhone, the portion of used iPhones that are resold or given away when users upgrade to the latest models. The survey looked at customers purchasing new iPhones beginning with the iPhone 4S launch last October, finding that 53% of those users had returned their old phones to the secondary market.
Of those old phones being put back onto the secondary market, the survey found that 49% were older iPhones, while 21% were BlackBerry smartphones and 15% were Android devices. Approximately two-thirds of those devices returned to the market were given away, with the remaining third having been sold.
Breakdown of old devices reentering secondary market following new iPhone purchasesAccording to the survey, 87% of those who sold or gave away their old iPhones expected the recipients to activate them for use, which CIRP estimates as representing 11% of carrier activations since last October. That number represents a boon for carriers, who do not have to pay subsidies to Apple on the used devices.
The research firm believes that, for every used iPhone that carriers activate, they save around $400. In the fourth quarter of 2011 alone, CIRP figures that secondary-market activations saved AT&T and Verizon between $400 million and $800 million in subsidy costs.
And while the strong market for used iPhones may seem like a detriment to Apple given that those users may be purchasing a used device offering no revenue for Apple rather than a new one, CIRP suggests that those low-priced used handsets are a common way to introduce new users to the iPhone ecosystem. That introduction then sets the users up for future purchases of new iPhones and other Apple products.
“It hurts Apple because it creates competition for new iPhones, which we see in the relatively modest sales of reduced-price iPhone 4 and free iPhone 3G units. But it also benefits the company because used iPhone customers aspire to own the newest and best iPhone, so they are likely future new phone customers. In fact, they are likely new entrants to the Apple ecosystem, who otherwise would not have found a way in.”
Beyond future hardware sales, the used iPhone market also increases the user base and market for apps and other iTunes Store content, with the device's able to serve more good than if they had been discarded or forgotten in a drawer.
Popular Stories
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices.
Below, we recap key changes rumored for the iPhone 17 Pro models as of April 2025:
Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone ...
If you missed the video showing dummy models of Apple's all-new super thin iPhone 17 Air that's expected later this year, Sonny Dickson this morning shared some further images of the device in close alignment with the other dummy models in the iPhone 17 lineup, indicating just how thin it is likely to be in comparison.
The iPhone 17 Air is expected to be around 5.5mm thick – with a thicker ...
Despite being more than two years old, Apple's AirPods Pro 2 still dominate the premium wireless‑earbud space, thanks to a potent mix of top‑tier audio, class‑leading noise cancellation, and Apple's habit of delivering major new features through software updates. With AirPods Pro 3 widely expected to arrive in 2025, prospective buyers now face a familiar dilemma: snap up the proven...
Apple plans to release an all-new super thin iPhone this year, debuting it alongside the iPhone 17, iPhone 17 Pro, and iPhone 17 Pro Max. We've seen pictures of dummy models, cases, and renders with the design, but Lewis Hilsenteger of Unbox Therapy today showed off newer dummy models that give us a better idea of just how thin the "iPhone 17 Air" will be.
The iPhone 17 Air is expected to be ...
While the so-called "iPhone 17 Air" is not expected to launch until September, there are already plenty of rumors about the ultra-thin device.
Overall, the iPhone 17 Air sounds like a mixed bag. While the device is expected to have an impressively thin and light design, rumors indicate it will have some compromises compared to iPhone 17 Pro models, including only a single rear camera, a...
A developer has demonstrated Windows 11 ARM running on an M2 iPad Air using emulation, which has become much easier since the EU's Digital Markets Act (DMA) regulations came into effect.
As spotted by Windows Latest, NTDev shared an instance of the emulation on social media and posted a video on YouTube (embedded below) demonstrating it in action. The achievement relies on new EU regulatory...
Starting today, April 24, Apple Stores around the world are giving away a special pin for free to customers who request one, while supplies last.
Photo Credit: Filip Chudzinski
The enamel pin's design is inspired by the Global Close Your Rings Day award in the Activity app, which Apple Watch users can receive by closing all three Activity rings today. The limited-edition pin is the physical...
Apple's $570 million fine from the EU has triggered a sharp rebuke from the White House, which called the fine a form of economic extortion, Reuters reports.
The fine was announced on Wednesday by the European Commission, following a formal investigation into Apple's compliance with the bloc's Digital Markets Act (DMA), a landmark piece of legislation aimed at curbing the market dominance of ...
When an iPad running iPadOS 19 is connected to a Magic Keyboard, a macOS-like menu bar will appear on the screen, according to the leaker Majin Bu.
This change would further blur the lines between the iPad and the Mac. Bloomberg's Mark Gurman previously claimed that iPadOS 19 will be "more like macOS," with unspecified improvements to productivity, multitasking, and app window management,...
