4/26/2011

Report: Best Buy Barred from Selling iPad 2

Best Buy could be in deep trouble with Apple over mishandling sales of the iPad 2. In fact, the electronics retailer might be banned from selling the device at all.

Citing a "reader who works at Best Buy," CrunchGear reported that Best Buy was telling customers that it had sold out of the iPad 2, when in reality it was holding onto stock after having reached a pre-determined daily sales quota.

CrunchGear said Apple's displeasure comes from high up; COO Tim Cook allegedly got wind of Best Buy's foul play and he's none too pleased.

TUAW has also weighed in to say that Apple has ordered a freeze on sales of the next-generation tablet through Best Buy. Apple has reportedly yanked all the iPad 2s Best Buy had in stock, save for demo models.

Best Buy has been on board with the iPad since the first version debuted about a year ago. The retailer started selling the first-generation iPads along with Apple Stores at launch last April and expanded to all U.S. stores in September. The company started stocking the iPad 2 on March 11, the first day the device went on sale.

To say that the iPad 2 has sold well is an understatement. Analysts estimated that Apple sold nearly half a million units of the device in the first weekend it hit stores in the U.S. Those left pining for an iPad 2 were forced to wait after the first weekend, too, when the wait time for the device went up to five weeks. The iPad 2 also reportedly sold out within a day of its overseas launch.

According to an estimate from Digitimes, Apple sold around 2.6 million iPad 2s in March. Apple has not released any official data on iPad 2 sales, but is expected to do so in its Q2 earnings call on April 20.

Reps from neither Best Buy nor Apple responded to requests for comment on the matter.


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