Apple Inc. (AAPL)’s Newest Competitor: Sprint Nextel Corporation (S)?

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This isn’t the first time that carriers have jumped directly into first-party smartphones. T MOBILE US INC (NYSE:TMUS) has been doing it for years, such as with its myTouch devices. HTC also started off as just an ODM, making the world’s very first Android phone that was sold under T MOBILE US INC (NYSE:TMUS)’s brand, the T MOBILE US INC (NYSE:TMUS) G1.

Last quarter, Sprint activated 1.5 million iPhones, representing 30% of the total 5 million smartphones that the carrier sold. That’s a lower presence than Apple Inc. (NASDAQ:AAPL) enjoys on the larger carriers. Having Sprint Nextel Corporation (NYSE:S) toss in another price-competitive Android device may make it harder for Apple to grow its installed base there, particularly since the Vital runs stock Android, which is a selling point in itself.

Apple’s expected affordable iPhone could move down-market to challenge the Vital and other mid-range devices later this year. Besides, the Mac maker’s biggest opportunities nowadays are abroad.

The article Apple’s Newest Competitor: Sprint? originally appeared on Fool.com.

Fool contributor Evan Niu, CFA, owns shares of Apple Inc. (NASDAQ:AAPL) and QUALCOMM, Inc. (NASDAQ:QCOM). The Motley Fool recommends Apple and Google Inc (NASDAQ:GOOG). The Motley Fool owns shares of Apple, Google Inc (NASDAQ:GOOG), and Qualcomm.

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