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Edition: U.S. Article Comments (0) Save Email Print Reprints Most Popular Most Shared Snap Analysis: Obama's big speech: did he get his groove back? 7:35am EST Apple pitches $499 iPad, takes on Amazon | Video 10:09am EST Apple unveils iPad, bets on new device class | Video 27 Jan 2010 DAVOS-Soros says Obama bank levy premature, backs other plans 27 Jan 2010 Apple's iPad may underwhelm Hollywood 3:36am EST The best running shoe may be nature's own: study 27 Jan 2010 Apple unveils iPad, bets on new device class | Video 27 Jan 2010 Apple pitches $499 iPad, takes on Amazon | Video 10:09am EST Toyota safety recall spreads to Europe, China | Video 10:23am EST Is clean tech China's moon shot? 10:32am EST Apple iPad Apple unveils "iPad" Apple CEO Steve Jobs took the wraps off a sleek tablet that it called the iPad, pitching the new gadget at a surprisingly low price to bridge the gap between smartphones and laptops. Full Article Everything you wanted to know about the iPad Features of Apple's new iPad Analysis: Apple's iPad no Kindle-killer, yet iPad may underwhelm Hollywood Publishers embrace iPad, but revolution unlikely AT&T earnings up 26 percent, driven by wireless Paul Thomasch and Sinead Carew NEW YORK Thu Jan 28, 2010 11:03am EST Related News UPDATE 2-Celgene posts Q4 profit vs loss; sales rise 8:23am EST AT&T tops estimates as customers flock to wireless Thu, Oct 22 2009 Stocks NEW YORK (Reuters) - AT&T (T.N) reported a 26 percent rise in fourth-quarter profit, fueled by wireless subscriber additions, particularly among users of e-readers, smartphones and netbook computers to the Web. Technology | Hot Stocks | Media AT&T's results reflect consumers' willingness to pay to read newspapers online, find restaurants, text with friends or navigate city streets using mobile devices. AT&T added some 2.7 million net subscribers in the fourth quarter -- nearly 1 million more than analysts predicted. But analysts were not entirely impressed with the figure, saying they were surprised AT&T added just 910,000 of the highly prized monthly paying customers. Analysts had forecast a figure above 1 million. Profit margins were also slimmer than some had expected, likely due to strong sales of Apple Inc's (AAPL.O) iPhone. While AT&T's exclusive right to sell iPhone has paid big dividends -- it recorded 3.1 million iPhone activations in the quarter -- it also has hurt profit margins since AT&T subsidizes the smartphone. Its relationship with Apple will soon expand, with the two companies now involved in a data deal for the upcoming tablet computer called iPad, announced to much hype this week. READING THE NUMBERS The iPad will not hit the market for months, but other similar devices are already proving beneficial to AT&T. Analysts said, in fact, the quarter's upside surprise came from the number of customers that AT&T added for devices such as Amazon.com Inc's (AMZN.O) Kindle, Sony Corp's (6758.T) Reader Daily Edition, and the Barnes & Noble (BKS.N) Nook. In the "emerging devices" category, AT&T brought about 1 million users aboard. Devices such as e-readers are seen bringing in much less monthly revenue per customer than traditional cellphone subscriptions, analysts say. But unlike the iPhone, products like Kindle are not subsidized by operators and therefore offer solid profit margins. "I don't want to overstate the value of it, but it's a very high profit margin business," said Piper Jaffray analyst Chris Larsen. "There is very little cost associated with the business -- it might be a low revenue per individual user business, but it's a high margin business." Quarterly earnings rose to $3.01 billion, or 51 cents a share, from $2.40 billion, or 41 cents a share, a year earlier, when the company took charges for staff cuts and investment losses. Its earnings matched expectations on Wall Street. Revenue fell nearly 1 percent to $30.9 billion, which was also in line with the average estimate of analysts polled by Thomson Reuters I/B/E/S. Overall expenses in the fourth quarter fell to $26 billion from $26.2 billion, and the company said it would continue to look at ways to improve its cost structure. For 2010, AT&T said it would deliver "stable consolidated revenues and stable-to-improved consolidated operating income margins, leading to stable-to-improved earnings per share." Its shares were up 14 cents to $25.76 cents on the New York Stock Exchange. (Reporting by Paul Thomasch and Sinead Carew; Editing by Derek Caney) Technology Hot Stocks Media Add a Comment More from Reuters Bernanke seen winning second term WASHINGTON (Reuters) - Federal Reserve chief Ben Bernanke's nomination for a second term running the world's most powerful central bank faces a decisive day in the Senate on Thursday when his confirmation vote looks set to go ahead. Ford posts first full-year net profit since 2005 Obama takes retooled agenda on road after speech | Video Durable goods orders climb while jobless claims dip P&G, Colgate tops expectations as consumers spend more Toyota safety recall spreads to Europe, China | Video » More Top News Wall St lobs volley at Obama Executives say the president is waging "a populist battle against the banks" and question whether proposals will ever become law. Full Article | Full Coverage Financial regulatory reform falls apart Banks double down on risk Live Coverage: World Economic Forum Davos 2010 Analysis: Is the iPad a Kindle-killer? The tech world is buzzing with the launch of Apple's sleek new iPad. Does this spell the end for Kindle? Full Article Slideshow: Meet the iPad AT&T retains Apple glitz with iPad deal Leftover Apple... Technology © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts.com Buyouts Europe: Buyouts Conferences: Venture Capital Journal EVCJ International Financing Review International Securitisation Report Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

Other News on Thursday, 28 January 2010
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US-TECH Summary
US new home sales slump to nine-month low in December
British lawyer denies Blair pressure over Iraq war
Germany hikes 2010 growth forecast
Apple prepares big bet on tablet computing
Oregon Man Scales Prison Fence; Gets Help He Hadn't Expected
Woman's Claims Of Cancer Terminate In Her Arrest For Fraud
Norwegian firm seeks to charge into US electric car market
American Fatalities In Haiti At 97
Karzai lobbies support ahead of London meeting
Italian court postpones Google verdict on bullying video
Iraq's "Chemical Ali" buried near Saddam
Chimp Attack Victim Seeking Face, Hand Transplant Operation
New Web Site Offers Experts' Tips For COPD Sufferers
S.Korea heightens alert against cyberattacks
Apple defies sceptics to shake up S.Korean phone market
Bullying Law Sparked By Tormented Teen's Suicide
Apple CEO unveils new tablet computer, the iPad
Palin Declines Modeling Offer After Obama Ad Pulled
Venezuela marches continue, Chavez shuffles cabinet |
Killers of Bangladesh independence leader executed |
Clinton to press China FM on Internet issue
Chicago's Oldest Opera Singer Getting Big 105th Birthday Bash
Russian stealth fighter to fly by end-Jan: source |
U.S. technology distributors on track to recovery
China to take time to cut Internet censorship: web founder
Michael Douglas' son pleads guilty in NY
More states require 'green' cleaning products
Runners, baring your soles makes you well-heeled
Dino tail feathers were carrot colored, study says
NKorea fires artillery rounds, raising tension
Obama to announce high-speed rail plan post-speech
N.Korea fires 80 shells despite warning shots: Seoul
Bangladesh executes ex-president's killers
Ex-suspect in Mass. highway slayings found dead
Witness: Rights of gays 2nd to preserving marriage
Cambodian opposition leader jailed in absentia
Geithner defends Fed actions on AIG bailout
Falungong decries HK as democracy row deepens
China looks to revive 'beautiful game'
Arms treaty with US could be ready in weeks-Russia
EPA to visit Calif town with birth defect cluster
Indonesia plans 'green' growth fund
Myanmar arrests 11 accused of plotting bombings
Cambodia won't send troops to Afghanistan, Iraq
Police: 11 militants killed in NATO-Afghan strike
Chinese central banker warns of new Asian crisis
Oregon Man Scales Prison Fence; Gets Help He Hadn't Expected
Chimp Attack Victim Seeking Face, Hand Transplant Operation
China tells banks to ensure 'steady' lending growth: govt
Chicago's Oldest Opera Singer Getting Big 105th Birthday Bash
China sets up national energy commission
China Town Renames Mountain After Movie 'Avatar'
NZ Q4 investor confidence hits record high
Mars Rover In Sand Trap, Becomes Stationary Lab
French president backs Obama in battle over bankers
Toyota US sales halt deals blow to image, earnings
Damaged Picasso Painting To Be Repaired
Beekeeper Who 'Died' Found To Have Pulse While In Coffin
Pakistan ups FY09/10 GDP growth fcast to 3.4 pct
Facebook Page Prompts School Officials To Suspend Student, Issue Detention To Others
Man Carrying Matches To Clean His Ears Grounds Plane
Bankers hit out against regulation at Davos
Bollywood Actor Gets Moon Crater Named After Him
China: Theaters must meet domestic movie quota
'Hope for Haiti Now' is No. 1 on Billboard chart
'Heroes' actor Adrian Pasdar booked for DUI in LA
Countries increasingly tackling music piracy head-on
Mel Gibson shakes off boredom, returns to acting |
US philanthropist donates major art works to Cuba
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Experts to assess damage in Haiti museums
Rio's Christ statue gets facelift
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EU greenlights Spanish movie-making state aid
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Iran faces consequences over nuclear program: Obama |
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West backs Yemen in extremism fight at London meeting
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North Korea fires artillery again toward South |
Crashed jet's flight recorders located off Lebanon
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Haiti pleads for better aid effort, survivor found |
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Apple CEO unveils new tablet computer, the iPad
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Apple pitches $499 iPad, takes on Amazon |
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PAKISTAN
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Toyota expands massive recall by million vehicles
NZ household borrowing up in December
Seoul shares rise, briefly shaken by N.Korea news
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