backtop


Print 50 comment(s) - last by JKflipflop98.. on May 13 at 12:53 PM

Apple commands 73%, Samsung captures 26%

It's no secret that Samsung and Apple are dominating the smartphone market. According to IDC's figures for Q1 2012, Samsung had a 29.1 percent share of the worldwide smartphone market while Apple was not far behind with 24.2 percent.
 
With Samsung and Apple together commanding over 50 percent of the smartphone market, you would expect for them to take home a healthy portion of profits as well. While this is true, according to Asymco, the disparity between the profits reaped by Samsung and Apple compared with the also-rans in this sector is astonishing.
 

[Source: Asymco]

According to Asymco, the pair accounts for 99 percent of worldwide mobile phone operating profit. Samsung is using its nearly 30 percent share of the smartphone market to obtain 26 percent of the profits.
 
However, the biggest winner is Apple, which is pulling in an estimated 73 percent of the profits from the mobile market. Apple's performance shouldn't come as a surprise to many considering that the company pulled in $11.6 billion in profits during the first quarter (fiscal Q2).
 
HTC barely made a blip with just 1 percent of operating profits. LG, Motorola, Nokia, RIM, and Sony have all posted losses with regards to their respective mobile phone divisions, so they don't even factor into this equation.


Samsung Galaxy S III
 
"Seen this way, the story isn’t so much that Apple 'took the profits from the incumbents'", stated Horace Dediu of Asymco. "Rather, it’s that Apple created a vast new pool of profits. And one need not look far to find out where they came from: operators. These profits were mostly carrier premiums for the iPhone 4S."

Source: Asymco



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: carriers
By Tony Swash on 5/6/2012 7:42:50 PM , Rating: 3
I may reply in more detail to your points tomorrow - it's really late here and I must sleep - but I had to reply to this:

quote:
Tony, if it were not for your hostile tone I think you might not have been downrated


Let's get real, I will get downrated if I post anything that challenges the views of the vocal minority of Apple haters and iPhobes. The first sentence in my response was sarcastic but the post I was replying to was a) drivel and b) kicks off with a common iPhobe defence meme which is the use of the phrase 'sheep' to describe millions of people whose choice of consumer durables happens to be different to the writers. I don't insult people who buy Android phones, to do so would be ludicrous, insulting and immature.


"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation














botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki