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iPhone sales in Q2 2008 … Yikes (and the wrong kind of yikes at that)

Am I reading this right?

In June – December 2007, Apple sold 4 million iPhones.

In Q1 2008, Apple said it sold 1.7 million iPhones.

During yesterday's WWDC keynote address (fast forward to 1:23:56), Apple CEO Steve Jobs said, "in this first year, we have sold 6 million iPhones .. till we ran out some number of weeks ago." He then motioned at the chart shown below:

"Six million iPhones. Now we're pretty thrilled with this."

Are they though? Really?

If my math is correct, Apple sold just 300,000 iPhones during the entire second quarter of 2008. Yeah, I get that demand was somewhat offset by rumors of a hardware update, but come on. Not everyone is on the cusp of tech news like you guys.

This, I think, nicely explains Apple's aggressive iPhone strategy and pricing moves: iPhone sales were falling through the floor. We expect that to reverse itself and then some.

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