How is Best Buy Mobile Doing? An Overview of Best Buy's Mobile Division in 2024

Best Buy has long been known as a go-to retailer for consumer electronics, appliances, and tech support. But how is Best Buy Mobile, the company’s mobile-focused division, performing in 2024? In a competitive market dominated by carriers and direct-to-consumer models, Best Buy Mobile continues to evolve to meet the needs of smartphone users, offering a range of devices, mobile plans, and tech services. Let’s take a closer look at how Best Buy Mobile is doing in today’s dynamic market.

What is Best Buy Mobile?

Why Did Apple’s Stock (AAPL) Get Crushed When It Lost iPhone Exclusivity in 2011?

Apple Inc. (NASDAQ: AAPL) has been a trailblazer in the tech world for decades, with the iPhone being one of its most iconic and profitable products. However, back in 2011, Apple’s stock took a significant hit after the company lost its iPhone exclusivity with AT&T in the United States. Until then, AT&T had been the sole U.S. carrier offering the iPhone, but Apple’s decision to expand iPhone availability to other carriers marked a major change. So, what caused Apple’s stock to get “crushed” with this shift? Let’s take a look at the key factors that led to this market reaction and how they affected Apple’s stock performance.

1. Market Expectations and Investor Concerns

When Apple lost iPhone exclusivity, the news caught the market’s attention, raising concerns among investors and analysts alike. At the time, AT&T’s exclusivity on the iPhone was considered a significant advantage, as it created a sense of prestige and scarcity around Apple’s flagship product. By ending exclusivity and partnering with Verizon in 2011, Apple was signaling a change in strategy, but not all investors were convinced it would be a positive move.

• Loss of Exclusivity Appeal: Many investors feared that the iPhone’s loss of exclusivity could lead to brand dilution, as the iPhone would no longer be a unique offering for AT&T customers alone.
• Profit Margins in Question: Analysts speculated that Apple might need to compromise on its high margins by distributing through multiple carriers, impacting profit growth expectations.

2. Short-Term Drop in Stock Performance

Initially, Apple’s stock saw a pullback, as markets adjusted to the new reality of a non-exclusive iPhone. The drop in AAPL was largely driven by short-term concerns about the impact on Apple’s profitability. However, this response highlighted a fundamental fear: that an expansion strategy could hinder Apple’s historically tight control over the brand.

• AAPL Volatility Post-Announcement: While some investors saw the move as an opportunity for growth, others worried that increased carrier competition would pressure Apple to adjust its pricing, thus reducing per-device revenue.
• Market Reaction to Expansion Strategy: The market reaction also reflected broader concerns about how Apple’s relationship with carriers would change as it expanded partnerships, potentially affecting its negotiating power.

3. Increased Competition and Customer Choice

With the iPhone now available on multiple carriers, customers suddenly had more flexibility to choose their preferred networks, including Verizon. This shift intensified competition, not only among U.S. carriers but also within Apple’s product lineup. Other smartphone makers, such as Samsung and Google, had begun gaining traction in the market, adding further pressure to Apple’s sales forecasts.

• Loss of AT&T’s Exclusive Marketing: AT&T had been a powerful promotional partner, heavily marketing the iPhone. Investors feared that, without AT&T’s dedicated support, Apple might face a weaker market position.
• Risk of Lower Customer Retention Rates: The move to multiple carriers increased competition in the smartphone market, challenging Apple’s dominance. Investors were unsure if opening up the iPhone to multiple carriers would boost Apple’s customer retention rates or make it harder to attract new buyers.

4. Long-Term Impact and Stock Recovery

While Apple’s stock may have been impacted initially, the long-term effects of ending exclusivity turned out to be highly beneficial for the company. Expanding carrier options meant a broader reach for the iPhone, ultimately driving significant growth in sales volume. As it turns out, the move allowed Apple to solidify its place in the U.S. smartphone market, as well as expand its international presence by forming similar agreements worldwide.

• Growth in iPhone Sales Volume: By opening up distribution to additional carriers, Apple saw a sharp increase in iPhone sales over the years, which bolstered overall revenue and profitability.
• Stock Rebound and Continued Growth: AAPL eventually rebounded as the benefits of wider availability became evident, and Apple continued to be one of the most valuable companies globally.

Conclusion: A Short-Term Setback, But a Strategic Win

Although Apple’s decision to end iPhone exclusivity with AT&T led to a temporary drop in AAPL stock, it ultimately proved to be a strategic success that fueled the company’s long-term growth. The initial stock reaction reflected investor concerns around brand exclusivity, potential profit margin impacts, and heightened competition. However, by broadening access to the iPhone, Apple laid the groundwork for an expanded customer base and sustained growth.

Today, Apple’s choice to end exclusivity stands as a pivotal moment in its history, underscoring the company’s ability to adapt and innovate in a highly competitive market. And while AAPL experienced volatility in the short term, Apple’s strategy solidified its dominance in the smartphone industry—making it a lasting success in the tech giant’s evolution.

How to Choose A Wireless Carrier

Choosing a wireless carrier can depend on several factors, including coverage, pricing, plans, customer service, and device compatibility. Here are some steps to help you choose a wireless carrier:

Why Won't Wireless Carriers Admit Coverage Problems?

Does Admission of Guilt = Class Action Lawsuits?

There can be several reasons why wireless carriers may be hesitant to openly admit problems with their network coverage or services:

10,000 Used iPhones on eBay for $100

10,000+ Used iPhones on Ebay

After a quick search on eBay (Nasdaq: EBAY) today we found well over 10,000 used phones that were selling for between $120 to $150 dollars.   It is even more amazing to see that well over 33% of these phones are unlocked 3,000+.  This means you can take the phone to any 3G GSM carrier around the World or go to T-Mobile in the US and use it on a cheaper data plan than AT&T.  Directions how to Unlock iPhone for T-Mobile here. 

This is a great deal especially if you want to do a pre-paid phone plan or don't want a long term contract. AT&T (NYSE: T) will be challenged to get $600 for the new iPhone 4 when the iPhone 3GS is also 3G and not 4G. You can also buy a $50 iPhone directly from the carrier but this requires a long term contract and who would want that?  If the phone is Verizon you can take the phone to any CDMA carrier.  Why is this important?  If the T-Mobile and AT&T merger goes through there will only be one USA GSM carrier in the US and that is horrible for consumers.  

Google TV Sony Logitech Demo at Best Buy

Google TV Logitech, Sony Blue-Ray are on display at Best Buy showing off the capabilities on Sony TVs. I really like the concept and the fact you can use your TV display to surf the internet and watch YouTube vides but its not compelling enough for me to buy.  Sony was the first manufacturer to jump onto the tidal wave of Google Internet TV and now indications are that Samsung will be the second.  I just purchased a Samsung 3D TV and love the idea of having applications directly on the TV and having a display directly connected to the internet.  Its great to see technology finally trying to disrupt cable monopolies who control video content distribution.

The capabilities on display at Best Buy demonstrates some nice functionality but nothing too complicated that couldn't be accomplished in a applications similar to Pandora or Hulu.  However, I really don't want to have another device like a Logitech keyword to do it.  I would prefer having the capability to control the Google TV app with my laptop or iPad that is directly connected through my wireless network to the TV.  That is the holy grail of being able to use a huge plasma, LCD or LED to surf the internet.  Let's hope that some is working on it because I don't see lots of consumers buying this product in its current form.

Cheapest WiFi Only Android Tablets

The definition of a tablet computer usually means no physical keyboard and the screen is seven inches or larger. Contrary to public opinion the iPad was no the first tablet on the market and there were many manufacturers like Archos, Nokia, Motorola, Zenithink, Augen, iRobot, Maylong, Plexon who were making them long before. However, Apple has educated the consumer masses that tablet computers are awesome and has provided the fuel for buyers. However, their closed system does not allow you to watch Flash video and thus would prevent you from watching YouTube and many other web sites. We decided to put a list of Android tablets together and surpassingly came up with 9 tablets available at Amazon.com. If you simply want a device to browse the internet and play Android games purchase one of these devices for $100-$400 and save a bunch of money. If you are like many of us and don't use your data plans enough outside the home or office to pay for a 3G or 4G data plan that Wi-Fi only should be sufficient.

Why Mobile Phone Consumers Are So Stupid

These might some of the funniest videos I have ever seen making fun of today's consumer mentality.  The aspiring film maker Brian Maupin is brilliant and we would like to hire Brian to see if he can poke fun at the carriers.  It just goes to show how stupid corporate American thinks consumers are these days.  

Best Buy suspended and then try to reinstate suspended Independence store employee Brian Maupin.  However, Hollywood has now found discovered him and now looks to be move his career upward.  His films seen above compare the Sprint EVO verses the iPhone 4.  The video took him 30 minutes to make and made fun of iPhone fans for the frenzy to get the device.  The animated video features a sales person trying to convince a person looking for an iPhone to buy a Sprint smart phone instead.  He compares many features on the phone that are inferior but the iPhone fanboys still want their new device.

Brian who is an aspiring filmmaker isn't sure he wants to return to selling cell phones and other electronics.  Best Buy had suspended him while they investigated that and two other videos they thought disparaged the store.  The videos were posted on YouTube.

In a statement, Best Buy said, "This is an important situation for us because it involved balancing our social media guidelines with a commitment to creating a supportive environment for our employees." The company noted that Mauphin had removed the videos that disparaged Best Buy. "Contrary to rumors, Brian has not been fired and is scheduled to return to his job at Best Buy this Friday," the statement says. But Mauphin told KMBC's Robb Yagmin that he is weighing his options and may not show up.  "Right now I'm planning on taking a leave of absence so that I may survey my current career plans and the future," Mauphin said. "I'm not sure it would be comfortable returning to Best Buy considering the circumstaces, but I will definitely consider all options."

Clearwire Adds "Honest" Coverage Maps

Kudos to Clearwire who has taken the “coverages map battle" to a whole new level, in a way that potential wireless users might find more useful than anything offered by Verizon or AT&T.   Their coverage maps use anecdotal network data signals from testing to show actual expected performance on a block-by-block level.  View the new maps at Clear.com/imap, which combine RF engineering network-performance graphs on top of a Google Map, allowing you to see a more detailed map of WiMAX deployments in each of its live markets.

It will be interesting to see how Clearwire customers users begin to add locations to our map of 4gdeadzones.com. Not all dead zones are treated equally and eventually 4G and LTE coverage maps will have to be audited for their claims as well. Maybe Clearwire would be open to being the first company to view user-generated maps as a customer-friendly service similar to financial auditing services Deloitte or PricewaterhouseCoopers.  It won't be long before major retailers Amazon, Best Buy Mobile and Radio Shack get into the coverage map business and will force carriers to be more transparent about their coverage.  Auditing is one of the best ways to accomplish this.

Walmart & Target Indoor Reception Problems

Does Your Local Walmart or Target Store Have Cell Reception Problems Indoors?

I was shocked to learn after doing some database mining this week that Target and Walmart had some of the most complaints listed in our dead zones database.  Walmart (4,000 US stores) has over 20 locations listed as dead zones and Target (1,700+ US stores) has 15 locations listed as having poor reception in our consumer-generated coverage database.  This can't be a good thing especially for Walmart who recently announced a partnership offering TracFone pre-paid wireless plans.  These retailers are going to sell millions of cell phones yet many of them do not have good cell phone reception indoors.  I am sure we are not even scratching the surface of other Walmart and Target stores that also have horrible coverage.  Ironically, there was only one Best Buy store (1,000 US stores) listed in the database so they must be doing something different with their in-building coverage. 

To submit a coverage problem in a store, first, search our database and find out if your store is listed.  If not, submit the reception problem by dragging a pin into the location of the store on the map.  Cell phone reception can be improved indoors but someone needs to be informed that it doesn't work first! 

RadioShack Bolsters Sales Using Kiosks

RadioShack Bolsters Sales Using Kiosks at Target and Sam's Club

RadioShack third-quarter profits were down 24 percent but the company benefited from better-than-expected sales, some of which was attributed to the company's introduction of Verizon Wireless to its Sam's Club kiosks. In September RadioShack announced it will introduce Verizon Wireless in neary 450 Sam's Club wireless kiosks that it operates nationwide. Verizon -- the largest U.S. wireless carrier with about 80 million subscribers -- will make its hand-held devices and services available through Sam's Club wireless kiosks operated by RadioShack effective Oct. 1.

Radio Shack’s Kiosk Operations division is also launching their BullsEye Mobile Solutions inside of Target stores. Roll out begins in California with 104 stores. Nationwide roll-out total locations inside of Target is expected to be 1100 to 1500 locations by end of 2010, with eventually leading to a total of 1800 retail locations, including locations inside of Sam’s club. The Target locations will consist of three carriers which are Verizon, AT&T and T-Mobile. In addition, Radio Shack is already inside of Sam’s club locations but with one diffference; an additional carrier, Sprint are carried at the Sam’s club locations. Pricing will be extremely competitive with Best Buy and other retail locations.

Specifically, RadioShack reported a net income of $37.4 million, down from a net income of $49.1 million in third-quarter 2008. Sales from the company's 1,300 RadioShack stores dropped 15.7 percent and online sales fell 5.1 percent from the same quarter a year ago. Wireless represents more than one-third of RadioShack's total sales.  Company executives said that there was some uptick toward the end of the quarter because of netbook sales and other mobile products. Company executives said RadioShack benefited from having a full range of mobile products--the retailer recently added T-Mobile and Verizon Wireless to a lineup that includes Sprint Nextel and AT&T Mobility.

RadioShack is facing increased competition in mobile from the likes of Best Buy Mobile and Wal-Mart Mobile. Best Buy is expanding its Best Buy Mobile stores to more markets, and Wal-Mart recently started selling TracFone's prepaid service Straight Talk nationwide.

These retailers may soon be jumping on the consumer generated coverage map bandwagon, realizing their consumers are tired of looking at carrier generated coverage maps from 50,000 feet.  We think is most important for consumer generated coverage maps to reflect real customer experiences indoors and outdoors.  Its also, very important to have granular data down to the individual house, neighborhood, street and zip code level. Many of these retailers are trying to figure out what data is important and how they can the acquire it.  Keep your eyes open for mobile retailers who may soon begin offering beta map products soon.

How To Select A Cellular Amplifier

With an estimated four billion cell phones in use worldwide, and the reliance on mobile voice and data on the rise, a strong cell signal is more important than ever. Cellular amplifiers have emerged as a viable tool to address cellular connectivity. Wilson Electronics outlines criteria for selecting the right cellular amplifier to protect consumers and ensure cellular signals stay within reach. The leading provider of quality amplifiers and antennas for cellular phones and data cards, released the six criteria to select a quality cellular amplifier to address the issue of dropped calls, slow data and bad cellular signal strength.

Due to a lack of industry standards in the cellular amplifier market, consumers are at risk of purchasing an inferior product that will not help them stay connected. “The lack of appropriate industry standards for cellular amplifiers allows for numerous products on the market that, while holding FCC approval, do not have the technical specification to deliver on their claims to improve cell signal quality to any significance,” said Joe Banos, COO at Wilson Electronics. “If a product does not meet six core elements, the user is at risk of purchasing a technology that cannot deliver on its promises.”

To protect buyers from purchasing a low-quality product, a cellular amplifier must have bi-directional amplification, high downlink receiver sensitivity, high uplink output power, oscillation detection and shut down cell site overload protection and a 100 percent unconditional customer satisfaction guarantee. With these elements, cellular phone and data card users can be confident that the amplifier they are selecting will virtually eliminate dropped calls, increase data rates and provide a quality cell signal.

6 Tips How To Select A Quality Cell Phone Amplifier

1) Bi-directional amplification: Select an amplifier that is bi-directional, meaning an amplifier that boosts both the cell site’s incoming downlink signal and outgoing uplink signal. Some amplifiers on the market only boost the downlink signal to the phone, with no amplification of the uplink signal. In this scenario, users will show an increase in bars and might be able to receive calls, but will not have the power to reach back to the cell site for a reliable call. High power uplink amplification yields two benefits - better call reliability and longer battery life.

2) High downlink receiver sensitivity: Receiver sensitivity is an amplifier’s ability to pick up weak signals that a typical cell phone may not hear. The higher the receiver sensitivity an amplifier can provide the better. Buyer beware, some amplifier manufacturers claiming to have high receiver sensitivity are touting numbers collected in perfect cellular signal scenarios. Quality amplifiers should be tested in real-world, weak signal, environments to ensure unsurpassed receiver sensitivity.

3) High uplink output power: The lack of output power from the phone to the cell site is the reason most dropped calls occur. Lowering output power is the easy and low-quality method to prevent oscillation and to keep costs down through less expensive components and simpler designs. By cutting these corners, many amplifiers on the market today deliver less output power than a typical cell phone or data card. Higher output power, with no corners cut, ensures the strongest possible cellular connection.

4) Oscillation detection and shutdown: Similar to a microphone being too close to a speaker, oscillation, also known as feedback, can be attributed to improper installation. However, improper design of a wireless amplifier can also be the cause. This oscillation can make cell sites shut down, violating FCC regulations. A violation could lead to fines imposed by the FCC and confiscation of a user’s amplifier. An amplifier that has a reliable and proven method of quickly and automatically detecting oscillation and shutting down when needed will protect both the cell site and the user.

5) Cell site overload protection: A quality amplifier is capable of monitoring proximity to a cell tower and automatically adjusts its output power to accommodate this change in distance. An amplifier operating at full power when too close to a cell tower will overload the site and impair service to a large number of users. Like oscillation, cell site overload can lead to intervention by the cellular operator and the FCC, as well as put the user at risk to costly fines and amplifier confiscation.

6) 100 percent customer satisfaction guaranteed: Identify a company that stands behind its products and be skeptical of sellers and manufacturers that do not offer an unconditional money-back guarantee. Also, read the fine print to make sure the guarantee you are getting is legitimate. A company that stands behind its products and offers extended customer services to the end-user, such as a U.S.-based tech support helpline, is a good indicator that the product is of high quality.

Wilson Electronics delivers proven, tested cellular amplifiers for in-building and mobile applications with industry-leading performance and quality. For more information about Wilson Electronics’ products and services visit. WilsonElectronics.com