Activations from AT&T Inc., the exclusive carrier for the iPhone, are a "disappointment," Piper Jaffray & Co. analyst Gene Munster said today.

Demand for the iPhone has seen a significant drop over the previous 10 days according to CIBC World Markets. "We have noticed decent inventories at stores, and thin demand at best," analyst Ittai Kidron wrote in a note. "Among the stores we visited, most visitors were not looking at the device, and only a very small subset bought it." Apple Inc. reports earnings for its third fiscal quarter on Wednesday. The third quarter included the June 29th release of the iPhone. In a recent survey, the majority of early adopters are "overwhelmingly happy".

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