Apple 2.0

Mac news from outside the reality distortion field

Apple sells 50,000 iPads in two hours


By one estimate, pre-orders were coming in Friday morning at the rate of 25,000 per hour

The folks who hang out at Investor Village's AAPL Sanity Board are too impatient to wait for Apple (AAPL) to announce sales figures; they much prefer to work them out on their own — in real time.

Entering the order numbers associated with their own purchases on a Google spreadsheet, they think they've cracked the code. As of 11:05 a.m. ET — two and a half hours after Apple's online store began taking pre-orders — the group had received 15 confirmations with order numbers as high as 74,000 (the numbers don't necessarily start at zero and include non-iPad purchases).

"51,000 orders in two hours," announced Victor Castroll shortly after noon. He's an analyst with Valcent Financial Group and an AAPL Sanity member who, with the blogger-analyst who calls himself deagol, has been monitoring the spreadsheet.

His estimate — which is adjusted for the roughly 15,000 online orders that come in a typical day — jibes with a 20,000-per-hour figure published earlier by Silicon Alley Insider. That number was based on two sales made within 30 minutes that were 10,000 order numbers apart. Rumors from the supply chain suggest that Apple may have as few as 300,000 units available for sale on April 3.

Which iPads are people buying?

The 48 orders (for 54 iPads) reported to AAPL Sanity by Friday afternoon break down as follows:

  • Wi-Fi-only:      37 units (69%)
  • Wi-Fi + 3G:     17 (31%)
  • 16 GB:            21 (40%)
  • 32 GB:            15 (28%)
  • 64 GB:            18 (33%)

Six of the 48 people who reported their purchases ordered two iPads; one AAPL Sanity member said she was planning to buy nine.

If you want to contribute your information to the spreadsheet, you can e-mail it to ipadsales10@gmail.com. Castroll asks that you include your order number with the last three digits Xed out, the number of iPads you ordered, the order time, time zone, memory capacity and whether your iPad is Wi-Fi only or Wi-Fi + 3G.

UPDATES FROM CASTROLL:

  • 2:28 p.m. "We're now at about 74k in 4 1/2 hours."
  • 4:21 p.m. "We're at about 91k in six hours."

See also:

[Follow Philip Elmer-DeWitt on Twitter @philiped]

59 Comments | Add a Comment | Email

I can't wait to get mine. Can't wait! It's about time a company churned out a perfect device.

Posted By Boka, Philly, PA: March 13, 2010 7:58 PM

Why? These seem like such a crippled computer.

Posted By Monte, Bellingham, Wa: March 13, 2010 6:13 PM

I see many of you don't understand commerce and human nature.

People who buy unseen and untested gadgets are not necessarily fools. You might be thinking, Hey! I'm smart and I'll just wait for version 2.0 but some of these people have enough money so that $ 800 does not matter that much; some others will spend a lump on version 1, sell it quickly when version 2 arrives, thus enjoying a good period of actual use and possibly enjoy it very much; or, maybe, other people have productive uses for the thing, amply justifying its price.

This phenomenon is not restricted to Apple products: think Windows 95, Star Wars Episode 1, Wii and other Nintendos, VCRs, DVD players, etc.

People spend their own money the way they want, so what if the product is not as good as the hype? Please note that all the hype so far has been generated off-Apple. Apple praising its own product does not count as hype. sorry, wrong universe.

If successful, the iPad will generate a large add-ons industry, quite apart from the software boom it will help spur, again. I predict the birth of new practical applications for the device, the way the iPod allowed the birth and spread of podcasts or the way HyperCard inspired HTML which, along other technologies, created you know what.

Vive les early adopters!

Posted By Michel Forgues, Montreal, Canada: March 13, 2010 5:01 PM

If you have an iPad, you already have a laptop or desktop with video conferencing capability.

Thus, you don't need duplication.

The iPad doesn't need to have a camera for video conferencing. That is NOT the killer feature. Books are the killer feature.

So GET YOUR IPAD NOW!

Yippee!

Posted By James Katt, Monterey, CA: March 13, 2010 1:34 PM

You mistake 'technologically challenged' with having betterd things to do than In futzing with hardware and 1980's OS paradigms.
I.e. Most people are way more into what they can do with the apps than they are In fetishizing the computer for it's own sake.

Posted By GQB: March 13, 2010 9:56 AM

@anne and others:

I'm not 60, nor am I technologically challenged. I am an IT professional that has been in the business for over 35 years, and have used Microsoft products since Windows 3.1.

I used to build my own PCs. Now I don't have the time or the patience for it. I'm tired of all the driver issues, viruses, and blue screens. When the work day is done and the Windows (XP) machine is turned off I want something that WORKS. My MacBook Pro does that, and does it well. Even Office for the Mac is nicer than Office on Windows, and Microsoft developed it… Hmmm…

I am not an Apple "fanboy". I will not buy a product just because it is a certain brand or it is "cool". My money is not that disposable. Personally, I like PCs, I'm just tired of Windows, and they lost me at Vista. BTW… I work for a PC manufacturer.

There are just as many (if not more) "technologically challenged" people that use Windows (I work with them on a daily basis). Because Windows machines are inexpensive, that in and of itself allows those who are not computer savvy to not only buy one, but to screw theirs up. Think about it.

Posted By David, Atlanta, GA: March 13, 2010 9:04 AM

What a fool. I will gladly save the $500 difference in cost iPad to a netbook and install a free virus scanner and free malware utility.

- stll have 6x the storage
- still have a webcam built in
- still able to install any real application I need
- still have USB support
- still have MicroSD slots
- still be able to tether my smartphone

Enjoy your toy – it looks fun but don't feel too much a fool once iPad 2 is out next spring.

Posted By Frank Castle, NY, NY: March 13, 2010 7:18 AM

To all you Apple hating losers: Have fun with your crappy little netbooks running Windows 7. Hope you enjoy all the spam and malware.

Posted By Nunuvyer Bizniz, Santa Rosa CA: March 13, 2010 3:11 AM

"It is stupid to order these first generation versions. Shortly after, Apple will release a newer one with a camera built in for video conferencing."

Ironically, if no one bought first gen devices, there would likely not be a second gen device. Rather than calling early adopters stupid, you might thank them for the times you were able to buy 2nd or 3rd generation items that they helped demonstrate were marketable.

Posted By Vern Stevens, Va. Beach, VA: March 13, 2010 2:27 AM

For each comment includes the word "fanboy" or "fanboi" Apple sells one million pre-ordered iPads.

Posted By James, Chicago, IL: March 13, 2010 1:14 AM

Funny, how this article has been repeated to a lot of techblogs around.

This is not about fanboyism or other BS about the idevices, but without actual proof (e.g: sales breakdown, valid testimonials, etc) Why would any sane person believe this? 51k Sales in 2 hours?

*What's that? 7-8 pcs of ipad sales per second? Woah!*

IMO, it'll be up to your preferences and budget if you're going to have the iPad

Posted By Ricka, USA: March 13, 2010 12:39 AM

So where is this economic crisis? oh yeah, we still haven't learned our lesson on saving and not spending beyond our means…silly Americans…

Posted By Collen, Carmel NY: March 12, 2010 5:51 PM

There's is a small percentage that were a bit smarter and are now spending at the right time… we are closing on a home that was once worth over $600k for $275k :D

Posted By Bobab, LV, NV: March 13, 2010 12:33 AM

At 50K per hour they be sold out of the initial 300K for April 3rd, which will mean there will be an iPad black market starting now.

What do you peg the premium on an iPad order confirmation notice?

Posted By conservitas: March 12, 2010 1:13 PM

I ordered 2 16gb wifi only, i'm going to ebay the other one as soon as i get shipping notification. when we upgraded our iphones, i ebayed 2 first gen iphones for $499 a piece. i think i can make $100 profit on this at least.

Posted By Bobab, LV, NV: March 13, 2010 12:24 AM

yes, that's true. There are at least 100,000 people, aged 60 , who will buy Apple. Apple products are geared towards people who are technologically challenged and like things to be kept simple and unchanging. I'm glad that Apple has used this niche market to maintain it's success with their products. And I think it's sweet that so many people have bought these for their grandparents and mother-in-laws

Posted By anne: March 12, 2010 10:58 PM

Nine? She'll have to use multiple names and credit cards for those. The store page says every customer is allowed only two iPads.

ex ped: She hasn't bought them all yet. Besides, the limit is two of any model.

Posted By Maya Dante Amihan, San Francisco, CA: March 12, 2010 9:51 PM

@ Mark, Saint Augustine, FL
You say:
"Another case of Apple marketing. Wondering how many thousands of folks will have buyer's remorse, once they figure out the limitations of this device. For me, I'll just wait 6 months for the used ones to start showing up on eBay and Craigslist. Not worth the sticker price, much less the monthly recurring data charge"

1- judging from the past, in spite fo the naysayerss, owners of Apple products give their products the highest satisfaction ratings in the industry. So I really do not think your first point is gong to pan out.

2- If it is such a "limited" device – why you wanna pick one up on ebay?

3- You do not need to pay any recurring charge if you do not want 3G. So that is a very silly statement.

Posted By jmmx, pdx: March 12, 2010 9:33 PM

To all the Apple naysayers, and fanboy bashers, I think you don't realise that there is probably
50 million fanboys out there, and another 50 million non fanboys who buy Apple products.
At 100 Million and growing that's a pretty big market.

Posted By Nicholas: March 12, 2010 8:49 PM

We place our order 4 minutes after the store went back up:

http://www.rainydaymagazine.com/RDM2010/RainyDayEngineering/Week10/RDEMar1210.htm#iPadPreOrder

We'll let you know on April 3rd if it was worth it…

Posted By RainyDayInterns, Boston, MA: March 12, 2010 8:08 PM

Amen to that

Posted By Satan: March 12, 2010 7:37 PM

Ordered my 64 GB Wi-Fi today.

If the iPad is going to be such a flop why are HP, Archos, Asus, Panasonic and Toshiba bringing iPad-like devices to market? I saw Sony is considering it too.

Obviously someone besides Apple thinks this is a viable market…

Posted By David, Atlanta, GA: March 12, 2010 6:59 PM

It is stupid to order these first generation versions. Shortly after, Apple will release a newer one with a camera built in for video conferencing.

Posted By Steve, Arcadia, CA: March 12, 2010 6:47 PM

Fanboy sales or not, im sure most non apple table makes would love to claim even at leadt on 3rd of that in a month. I guess in your bizzaro world, The ipod, iphone and the app store haven't caught up with your zune huh?

Posted By IngaTuMa: March 12, 2010 6:37 PM

Poor Brian from GA. Steve is a toymaker? The Apple brand is just toymaker? Of course, all the buyers are dupes and fools. They don;t know that what they are buying is simply a useless slick toy.

What universe are you trying to justify your existence in, Brian? You don;t need to like or buy or use Apple. But to call it a toy company is so completely contrary to the functionality, popularity and business success of Apple that you must be rationalizing some fantasy.

Posted By anybutbush, N'Awlins LA: March 12, 2010 6:03 PM

I just helped my 77 year old mother-in-law buy an iPad today. She just wants something to access the web and for e-mail. Not only has she never owned anything by Apple before, she has never owned a computer (just WebTV). She will need to sync it with one of her daughter's Windows PCs who lives in town, but really just the once during setup (and for firmware updates). The price, the light weight, and the superior ease of use for using the internet are what sold it for her. She has no need for anything more.

Posted By Jon, Southbury CT: March 12, 2010 5:51 PM

So where is this economic crisis? oh yeah, we still haven't learned our lesson on saving and not spending beyond our means…silly Americans…

Posted By Collen, Carmel NY: March 12, 2010 5:51 PM

Another reason these calculations are flawed. I ordered 7 iPads in one order. The 2 unit limit is per person per configuration (there are 6 configurations). So one could actually order 12 iPads in one order.

Posted By Mobu, New York, NY: March 12, 2010 5:48 PM

Another case of Apple marketing. Wondering how many thousands of folks will have buyer's remorse, once they figure out the limitations of this device. For me, I'll just wait 6 months for the used ones to start showing up on eBay and Craigslist. Not worth the sticker price, much less the monthly recurring data charge…

Posted By Mark, Saint Augustine, FL: March 12, 2010 5:28 PM

Some folks here are missing the point. I have used an iPod Touch and love it. So, I ordered an iPad 16Gb with the keyboard dock, and it will be perfect for a second "computer" in our home for surfing the web, doing email, various app applications, etc. We already have wifi, so its plug and play, play, play!!! Whoop!!! Can't wait.

Posted By John, Vancouver Washington: March 12, 2010 5:17 PM

The necessary technology for actually having a Wifi device is owned by the CSIRO (Scientific Office of the Australian Government). When you buy Wifi, you support basic research in Australia.

Posted By Toby, Chicago, IL: March 12, 2010 5:09 PM

Wow, no typos! congrats

Posted By Mike, Chicago, IL: March 12, 2010 5:03 PM

I hate to use the term fanboys, but I can't think of any other term to use for anyone who is "pre-ordering" one of these things, and it goes to show the lack of intelligence of Apple's customers. There is NO reason to pre-order other than if you want to be the first to own the next Apple product. No USB? No camera? Low storage? As soon as the tablets from HP, Dell, and everyone else start coming out, these people are gonna feel pretty stupid. And in 6 months when Apple comes out with a new version with these features they're gonna feel even stupider…

Posted By Eric, Seattle, WA: March 12, 2010 5:00 PM

I want to see my film on the new iPad!
GETTY and HITLER is being released throughout the web as 40 minute Director Cuts — before it opens at major theatres.

Posted By Grant MacDonald: March 12, 2010 4:42 PM

Yep, the meToo automatons are lining up, big suprise. Most of these people would just mail old man Jobs a check for $800 with nothing in return if he asked. I'm not impressed, steve is still just a toy maker.

I wonder if the ipad infringes on nokias wifi patents as well…

Posted By Brian, Acworth GA: March 12, 2010 4:34 PM

I bought one today and have never owned a piece of Apple hardware in my life. I was very impressed with my daughter's iPod Touch, and $800 isn't a lot to risk on something which appears to be ideally suited to my household.

Posted By Mark, Orlando FL: March 12, 2010 4:16 PM

Fired up fanboy sales, nothing more. This will never go mainstream and penetrate beyond the zealots. Sorry Stevie, you'll need to work harder at your brainwashing techniques.

Posted By Joe, Detroit MI: March 12, 2010 4:16 PM

Get past all the guesswork made up numbers, and what I saw was:
"The 25 units reported to AAPL Sanity as of 3 p.m."

Says 25 units were sold. But regardless, I hope they sell enough to create a market for these kinds of devices. Even if I don't need/want one.

Posted By Chris P., Dryden, ON: March 12, 2010 4:13 PM

A lot of people may be ordering in multiples as they will want to sell them on eBay. Just as it happened with iPhones when they were first launches.

Posted By Jim: March 12, 2010 4:11 PM

"…At 50K per hour they be sold out of the initial 300K for April 3rd, which will mean there will be an iPad black market starting now…"

Where did you go to school?

300,000 / 50,000 = 6 hours. If this really is the rate they're selling at and they only made 300K, they will be out by 7 PM today… not April.

ex ped: Doug, April 3 is they day they go on sale, which is why I mentioned it.

Posted By Doug from Allentown, PA: March 12, 2010 3:45 PM

My guess is that these orders do not include business orders.

Posted By jmmx, pdx: March 12, 2010 3:34 PM

I don't know what all these people are so excited about. I would not buy a single products from Apple. I wouldn't not excepted as a give, even if Steve Jobs him self given to me for free. Apple is a socialist company. Why would anyone want to buy the products from a company that want to control your lives in every way they can.

Posted By Megan, Moreno Valley, CA: March 12, 2010 3:25 PM

This proves nothing except there are a bunch of Appleheads who have nothing to do but wait anxiously until the next 'cool' Apple product goes on sale.
Ask the average man on the street and they probably have no idea what an iPad is.
Once again – if the EXACT SAME product was coming from anyone but Apple very few people would care.

Posted By John Oklahoma City, OK: March 12, 2010 3:21 PM

I'm not preordering mine till they sell at least 1 million, so i need to wait till 8 pm ET today , such a long wait. ;) luckily this gadget is a "flop"

Posted By Bert: March 12, 2010 3:01 PM

Well you have to admit that the first 50,000 consist of pure Appleites, like…like those that bleed apple juice on these blogs. The telling will be after the initial adopters have had their day. It will then be up to the general public to decide if they want this product. As I've said before, it is an intriguing product, but I want to see the HP product and the Microsoft Courier (if ever). So if I buy it will be closer to Christmas.

Posted By Dave, Akron Ohio: March 12, 2010 2:48 PM

You do not have anything more important than this?

ex ped: For a reporter covering Apple on the first day of iPad pre-orders? No.

Posted By Robert, MG, Brazil: March 12, 2010 2:48 PM

Wouldn't it be logical to assume that the ordering numbers are also linked into the rest of their ordering system?

The numbers are almost certainly padded by every other type of sale occurring on the website, possibly in stores, and third party retailers.

It certainly is not the case that "W687" is prepended to an order number because otherwise when they get to 100,000, their whole system is broken. And lets face it, this is not Apple's first showing of an item that will exceed 100,000 preorders.

Posted By Chris, Fairfax, VA: March 12, 2010 2:33 PM

These numbers may be a bit of a low estimate, as they do NOT include iPads reserved for pickup at your local Apple Store.

Posted By DFord, Providence, RI: March 12, 2010 2:28 PM

This doesn't even consider that you can just reserve iPad(s) for pickup at any Apple store without even getting an order number. I ordered three for various family members. I'm sure this is a significant number that isn't even counted in these bizarre estimates.

Posted By Bob, LA, CA: March 12, 2010 2:21 PM

This number may not include reservations for in-store pickup. I didn't order, I reserved mine and got this message:

"Please note that your reservation will be held only until 3 p.m. on April 3. After 3 p.m., iPad will be available on a first-come, first-served basis, while supplies last."

Posted By Roman, Astoria, NY: March 12, 2010 2:18 PM

Your logic here is SERIOUSLY flawed.

Apple Online is selling other products besides iPADs today. I placed 3 orders today – 1) I reserved an iPAD for pick up at a Store – NO ORDER NUMBER ASSIGNED. 2) I ordered an iPAD Keyboard Dock, 3) I ordered my MobileMe renewal. Order 2 & 3 were placed 90 minutes apart. The difference in the order numbers was 14,741, divided by 1.5 hours, means Apple Online processed 9827 ORDERS per hour during that 90 minutes.

Posted By Chris, Ann Arbor MI: March 12, 2010 2:18 PM

Keep in mind that the order number increments likely include ALL orders on store.apple.com — for Macs, iPhones, iPods etc. and not just for iPads.

ex ped: Deagol says you are correct, Mike. But according to him, they've accounted for it:

The average daily volume rate of web orders from January 16 to March 5 was about 16,169 orders per day.
Between March 5 and the first order we got for today after the store opened, about 14,472 orders per day.

So far we have about 74,000 orders today. By the end of the day we should discount some 15-20 thousand as representing other products.

However, many orders are for 2 units, so I actually think we're underestimating quite a bit when counting 1 order = 1 iPad.

Posted By Mike Rose, NYC, NY: March 12, 2010 2:11 PM

Gee, that's about $12.5 million coming in PER HOUR!

Posted By dynazor, san diego, ca.: March 12, 2010 2:02 PM

I ordered a 16gb wifi version. At some point, I'm going to give it to my mother-in-law, so I figure,why spend more than necessary?

She loves using(but doesn't own) an IPhone. She will get a kick out of being able to handle her online tasks in the living room beside her husband instead of in the back "office."

Posted By David, VA: March 12, 2010 2:01 PM

Go Apple !!!!

Posted By Sean (of GoSEAN.org): March 12, 2010 1:59 PM

Right, the iPhone wasn't a big success. That device flopped. Nobody is going to want the iPad, obviously. This device will flop too.

Welcome to Bizarro world!

iPadLot.com

Posted By Chris, Atlantic Beach, NC: March 12, 2010 1:58 PM

This article is a bunch of nonsense. I ordered a 64gig iPad with 3G this morning. The order number is: W68738803. What did you do? Make this article up?

ex ped: According to the AAPL Sanity guys, the last five digits are the significant ones and they seem to start at 16,000. That would make yours the 22,803rd iPad pre-ordered today.

Posted By Bruce Baker, Ann Arbor, MI: March 12, 2010 1:57 PM

I picked up 5 of them…

Posted By John, Palm Beach Fl.: March 12, 2010 1:51 PM

As soon as the consumer wakes up this thing will stall……..At about 50 million.

Posted By Anonymous: March 12, 2010 1:32 PM

Remember no one is going to want this thing.

;)

Posted By James, Arlington VA: March 12, 2010 1:23 PM

At 50K per hour they be sold out of the initial 300K for April 3rd, which will mean there will be an iPad black market starting now.

What do you peg the premium on an iPad order confirmation notice?

Posted By conservitas: March 12, 2010 1:13 PM
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Philip Elmer-DeWitt

Philip Elmer-DeWitt
Steve Jobs, goes the old joke at Apple, is surrounded by a reality distortion field; get too close and you might believe what he's saying. Apple has made believers out of millions of customers — and made a lot of investors rich — but Elmer-DeWitt believes that an ounce of skepticism never hurts when writing about the company. He should know. He's been covering Apple – and watching Steve Jobs operate — since 1982.
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