iPhone 3G will be launched tomorrow, July 11, at Apple retail stores and AT&T stores nationwide, and 24 countries worldwide. AT&T (NYSE: T) is one of the Top 20 Innovators of the Innovation Index.
iPhone 3G will be available at half the price of the original iPhone at only $199 for the 8GB model in the U.S., and $299 for the 16GB model. And the new iPhone 3G packs twice the punch - it is twice as fast.The new iPhone 3G packs a powerful mix of new features:
1. Built-in GPS for expanded location based mobile services with real-time mapping and tracking the progress with GPS technology
2. iPhone 2.0 software which includes support for Microsoft Exchange ActiveSync - Push Email, Contacts, Calendar - and runs the hundreds of third party applications.
3. Simultaneously browse the web, get map directions, or check your email while the call is on.
4. New App Store, providing iPhone users with native applications in a variety of categories including games, business, news, sports, health, reference and travel.
5. MobileMe™, a new Internet service that pushes email, contacts, and calendars from an online “cloud” to native applications on iPhone, iPod® touch, Macs and PCs.
Apple made these announcements on the Apple.com website:
Apple Retail Stores
"Only Apple Retail Stores offer Personal Setup for your new iPhone 3G. Let a Specialist help you choose your iPhone, check the network coverage where you live, select a rate plan, review the contract terms, and — best of all — activate your new iPhone in just a few minutes."
AT&T
"iPhone 3G will be available at over 1,800 AT&T locations across the United States. That means there’s probably one in your neighborhood."
Also, iPhone 3G will be launched on July 11 in the following 24 countries including U.S.:-
iPhone 3G Launch worldwide
Australia
Austria
Belgium (French)
Canada (English)
Denmark
Finland
Germany
Hong Kong
Ireland
Italy
Japan
Mexico
Netherlands
New Zealand
Norway
Portugal
Spain
Sweden
Switzerland (French)
UK
USAApple iPhone 3G is poised to become a global phenomenon owing to lower entry costs, 3G technology, and enhanced features including corporate emails. With the iPhone 3G availability in all the continents, including the fast growing markets in Asia, established markets in Europe, emerging markets in Latin America and South America and other markets, iPhone is poised to eclipse the 10 million mark in 2008. Innovation Index Group had earlier estimated that Apple will sell 12 million new iPhones in 2008. Innovation Index Group raises the estimates based on the launch of the new iPhone 3G: Apple will sell over 13 million iPhones in 2008, and over 25 million iPhones in 2009. The lower price will result in a slight decline in Apple net earnings. However, the topline growth will compensate for the bottomline in 2009.
Apple iPhone may cannibalize the sales of iPods at these price points. Innovation Index Group believes that iPod sales will either remain flat year over year, or even decline with the introduction of the new iPhone unless Apple reduces the iPod prices further. Innovation Index Group had earlier talked about how Apple can turnaround the iPod sales growth. One of the suggestions made was that Apple should provide iPods for free with sales of new Macs - now Apple has started doing this for the students. Apple has a huge business in iPods. Apple needs to at the very least maintain this business, while it surges forward with the iPhone business.
Innovation Index Group has long-term BUY recommendations on the Top 20 Innovators of The Innovation Index with price target of $235 to $250 for Apple in Q4, 2008.
About Innovation Index Group:
Innovation Index Group, Inc. is a new investment management company focused on systematically identifying, tracking and investing in the most innovative publicly traded companies in North America – collectively called the Innovation Index. We have developed the Innovation Index Fund, LLC as our first vehicle to invest in the Innovation Index. Over the past six years, the Innovation Index would have generated a gross average annual return of 40% based on historical model.* The Innovation Index returned 66% in 2007, and the Innovation Index Fund Manager was up 10% in 2008.*
Innovation Index Group, Inc. and Innovation Index Fund LLC are registered California Corporations, and member of the Irvine Chamber of Commerce in Orange County. Further, Innovation Index Fund LLC is an investment management company organized under the California state regulation, and is registered with Department of Corporations and SEC Regulation D.
The Innovation Index Reports:
Invest in The Innovation Index - Innovation Index Fund tracks The Innovation Index
The Innovation Index closes 2007 at 66% - 2007 Annual Report on the Innovation Index
Top 50 Innovative Companies in the world - 2007 Report on Top 50 Innovative Companies
Annual Report - Chapter One - Total Innovation Activity - 2006 Annual Report One
Annual Report - Chapter Two - The Top Innovator - 2006 Annual Report Two
Annual Report - Chapter Three - The Innovation Insights - 2006 Annual Report Insights
Innovation and Stock Performance Correlation - The Innovation Index and Stock Performance
About The Innovation Index
The Innovation Index introduced in December 2006 is a weighted stock price index of the top 20 Innovators in
The Innovation Index returned 66% in 2007 based on performance model, and would have returned 174% over the previous five years (2002-2006) based on historical model*. This assumes equal investment in each stock of The Innovation Index as of December 31, 2001. An average of $100 invested in The Innovation Index on December 31, 2001 returned $454 as of December 31, 2007. By comparison, $100 invested in S & P 500 returned 28% or $129, $100 invested in NASDAQ returned 34% or $136, and $100 invested in the Dow Jones Index returned 30% or $131 through December 31, 2007. The Innovation Index beats the S & P 500, NASDAQ and Dow Jones Index by more than seven times over the past six years.*
Alphabetical list of the Top 20 Innovators of The Innovation Index for 2008 and their stock ticker symbols:
3M Company - (NYSE: MMM)
Amazon.com, Inc. - (NASDAQ: AMZN)
America Movil - (NYSE: AMX)
Apple Inc. - (NASDAQ: AAPL)
AT&T Inc. - (NYSE: T)
Best Buy Co., Inc. - (NYSE: BBY)
Cisco Systems, Inc. - (NASDAQ: CSCO)
Costco Wholesale Corporation - (NASDAQ: COST)
eBay Inc. - (NASDAQ: EBAY)
General Electric Co. - (NYSE: GE)
Google Inc. - (NASDAQ: GOOG)
Hewlett-Packard Co. - (NYSE: HPQ)
Intel Corporation - (NASDAQ: INTC)
International Business Machines Corp. - (NYSE: IBM)
Merck & Co., Inc. - (NYSE: MRK)
McDonald's Corporation (NYSE: MCD)
Microsoft Corporation - (NASDAQ: MSFT)
NIKE, Inc. - (NYSE: NKE)
Research In Motion Limited - (NASDAQ: RIMM)
The Proctor & Gamble Company - (NYSE: PG)
The Innovation Index will analyze the positions and standings of the Top 20 Innovators at the end of each year. For 2008, there will be no further changes in The Innovation Index.
Disclaimer: The Innovation Index Group, Inc. invests in the stocks comprising The Innovation Index.*Past Performance Does Not Guarantee Future Results