Apple Loyalty Depends on Carrier Loyalty
As we’ve shown, Apple depends on mobile phone carriers for iPhone sales. With about three-quarters of US iPhone sales going through carriers, Apple relies heavily on AT&T, Verizon, T-Mobile, and the rest for initial sales and follow-up service. Carriers control the sales transaction, where store staff can influence choice of model, and even whether a customer remains with iPhone or switches to Android.
What happens when a customer switches carriers? That turns out to be a point of vulnerability for Apple. Loyalty to iOS declines when an iPhone owner moves to a new mobile phone company.
Based on data from our quarterly survey of all smartphone buyers, not just Apple buyers, about one-quarter of buyers switch mobile carriers when they buy a new smartphone, with a slightly higher percentage of Android users than iOS users switching. Our mobile phone buyer survey confirms the overall loyalty rates for iPhone users. For the twelve-month period ending in June 2025, iPhone had a loyalty rate of 89% (Chart 1). The loyalty rate was lower for iPhone users who changed mobile carriers.