AT&T's Earnings Show Huge Increases, 3.6m iPhone Activations

AT&T may not be one with T-Mobile USA yet, and they may be battling Verizon Wireless for iPhone 4 domination, but that's apparently not stopping the company from dominating on the financial front. The carrier just announced their most recent quarterly earnings, and they're extremely impressive. They saw a 10.2% revenue growth in the wireless sector, along with record net additions and smartphone sales.

They managed to beat expectations in most regards, with consolidated revenues of $31.2 billion representing an uptick of over $700m compared to a year ago. AT&T also saw their best-ever Q1 smartphone sales, with total shipments of 5.5m. iPhone activations were also strong. Total, they saw 3.6m iPhones activated, which over 1 million more than Q1 2010. More good news? The carrier had their best-ever Q1 connected device net add of 1.3m, and branded computing solutions were also up.

The iPhone aspect is particularly interesting. During Apple's earnings, the company made clear that iPhone sales were through the roof, but if the VZW version is having an impact on AT&T, it seems minimal. Will the company continue to pile up the cash? Or will they start burning it soon to expand their network? Time will tell!