Verizon Wireless And AT&T Dispute Analyst Claims Over Poor Xoom And Atrix Sales

Posted on Apr 7 2011 - 5:13pm by Kyle

Yesterday Motorola Mobility made big news when Pacific Crest Analyst James Faucette downgraded their sales estimates for 2011 and 2012 by over $1 billion dollars in each year.  Faucette had cited bad sellthrough on both the Motorola Xoom tablet on Verizon and the Motorola Atrix 4G on AT&T.

A Deutsche Bank Analyst had fueled the downgrade by estimating that the Xoom tablet had only sold around 100,000 units. This number was calculated in an unorthodox manner by polling Android development channels and finding that only .2% of users are accessing apps designed for Android 3.0 Honeycomb, the version of Android exclusively, commercially available at this time.

Read more after the break

Although it would only add to the Deutsche Bank Analysts’ low ball estimates, it’s apparent they forget that there are already thousands of test units for multiple OEM’s running Honeycomb in preparation for release. We had seen several functioning tablets with downloaded apps at CTIA, and even MWC and CES as well.

Verizon responded to Faucette’s claim with the following vague statement:

“We are pleased with customer response to the Xoom.” Verizon almost never reveals sales figures and did not do so this time.

AT&T Mobility responded to Faucette’s downgrading with an equally vague statement:
Our customers are very satisfied with the Atrix, and we are equally as pleased with the results to date.”

Neither AT&T nor Verizon are typically forthcoming with raw data and sales figures for any device.  There is a general feeling among Android enthusiasts across the internet that both the Xoom and the Atrix are plagued by bad marketing and over-pricing.  The Motorola Atrix 4G’s lapdock webtop application is sold for $500 when it is effectively a battery, keyboard and large display.  The Xoom is priced at $799 off contract.

Source: Computerworld

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