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Could RadioShack become an iPhone vendor?

I don’t often write about rumors I read elsewhere, much less contribute my own, but I happened upon a tidbit of information recently that could very well come to pass.

My source is not a secret informant from deep inside one of the companies or a parts supplier in a distant nation – the sources of most Apple rumors. This information came up in a casual conversation with a salesman at a RadioShack store.

I had gone to get the batteries in my cordless phones replaced when I noticed the displays for the various cell phone providers, including one for AT&T. As the salesman was digging for my replacement batteries, I half-jokingly asked him when the store would be getting the iPhone.

To my surprise, he answered seriously. “They told us we were getting them in January,” he replied, “But we haven’t seen any yet.” He suggested he still expects to see iPhones in his RadioShack at some point.

True, this guy is at the bottom of the communication chain and could have been mistaken. But my sense was that the promise he had heard came from an authoritative source.

Since I’m already living on the edge today, let’s look at whether selling the iPhone at RadioShacks makes sense.

It’s not such a ridiculous notion. In addition to the existing relationship with AT&T, RadioShack currently sells Apple’s line of iPods.

As for incentives, RadioShack would love to offer the iPhone. It’s a sexy product of the sort RadioShack has in very short supply and would help generate traffic into the struggling chain’s stores. People coming to shop for an iPhone might buy some of that other odd electronic clutter you find there.

The more puzzling question is why Apple (or AT&T, for that matter) would feel the need to add RadioShack to the iPhone distribution channel.

It could be a simple numbers game. Apple sells the iPhone through its 170-plus U.S. Apple Stores, strategically located in high-end malls but not necessarily convenient for everyone. AT&T sells the iPhone through 1,800 of its retail locations.

But RadioShack has nearly 6,000 stores in the United States and 800 wireless phone kiosks. Putting RadioShack on the iPhone team would make it more convenient for more people to buy an iPhone (well, in the U.S. anyway).

Apple’s motive for partnering with RadioShack is its ambitious sales goals for the iPhone. The company’s objective is to sell 10 million iPhones in 2008; adding 6,800 locations could help a little.

That also would fit in with Apple’s aggressive iPhone marketing strategies. Recall the six months of hype before anyone could even buy the product. Recall the rollout just months later into the United Kingdom, Germany and France. Recall the recent release of the iPhone SDK to permit developers to write software for the iPhone.

And Apple’s move to give the iPhone corporate-compatible features to attract enterprise customers is almost shockingly out of character for a company that has for years willfully ignored business customers.

RadioShack selling iPhones? Crazier things have happened.

Comments

You'd be better off selling iPhones at Starbucks, if POS is what you are after, because the demographic is better.

Radio Shack. Probably the last place I would think of finding an iPhone. Perhaps I'm old, can't teach an old dog new tricks, but to me RS is for geeky parts for electronic stuff. To me at least. Perhaps perception about them has changed with younger generations?

Like you said, they sell iPods. I was surprised when I first saw this - so why not an iPod Touch with a cell built-in, aka the iPhone?

I was told by an RS salesrep that it would be a bad idea for RS to sell HP iPods (when there was HP iPods) because HE didn't like Apple.

I wonder if he is still with, 'The Source'?

BTW, the attitude at 'The Source' is no different.

Isn't RS pretty well aligned with Sprint? Maybe after they get merged with ATT.

Glad to see you back! Your blog entries are definitely the best thought out information out there...someone should pay you to do this!!!!

RadioShack it's so cheap that they are cutting Out hours from they employees,
and now i hear from a friend that they
dont pay commisions like they use to do, in NY they only pay like $7 bucks P/H
and i hear that they will pay fortnight!!!!

RS it's the one of those places that you work 40 hours, and you Still qualify for FOOD STAMPS & WELFARE.

As the matter of the fact: I think that RS it's going out of bussines

So my folks, Do you think that a cheap company it's gonna get the iphone some day???? I Dude it, dude

"RadioShack, you got questions, we have batteries"

Sorry my english it's not that good...

I Dude it, dude??????? If your going to make fun of something and post it on the internet, spell check it first. But I would have to agree. In OH they pay 7 and hour and the commissions from cell phones are getting worse every year.

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About David Zeiler
David ZeilerDavid Zeiler follows all developments related to Apple, Inc. Having spent his early computing years on the Apple II platform, he moved to the Mac in 1993.

At The Baltimore Sun he designs pages, compelled against his will to work on a Windows-based PC.
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