The nation's largest wireless operator may owe Apple an astounding amount of money due to a pretty dramatic iPhone sales shortfall.
According to an investment research firm’s analysis of SEC filings, two out of every five smartphones sold in the U.S. this spring were iPhones. But that may still be insufficient to save Verizon from having to shell out a large sum of money to Apple for not selling an adequate number of devices to prevent the anticipated sales shortfall.
Verizon must sell $23.5 billion worth of iPhones this year to meet a commitment the carrier made to Apple three years ago.
Because of slower-than-expected sales, Verizon now must double its iPhone sales of last year. If it falls short, the company could be on the hook for as much as $14 billion, Moffett Research said in a report released this week.
With AT&T, Sprint, and T-Mobile among the U.S. carriers that Verizon now has to compete with on iPhone coverage, it may not get any easier for Verizon to hit its established sales targets.
Source: L.A. Times