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Apple is an incredible profit machine with expensive top models of 700 euros or more attracts the iPhone almost every builder. profits in the smartphone market to itself
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There are about a thousand companies that make smartphones, writes The Wall Street Journal, but there’s only one that almost all profits pulls in:.. Apple
The iPhone maker grabs 92 percent of operating profits who booked the eight largest phone makers in the first quarter, Canaccord Genuity analyst market has been quantified. A year earlier, that figure was 65 percent
Apple’s strategy is simple. Telephones create high quality and selling the top prize. The company focuses exclusively on the top of the market. IPhone 6 will cost 699 euros in the Netherlands. For iPhone 6 Plus with larger screen you even 799 euros to pay.
The high price to consumers does not preclude. In the first three months of this year, Apple managed to sell 61.2 million iPhones, accounting for about a fifth of the smartphone market. This resulted in a net profit of over 10 billion dollars.
Setback for Samsung
Only one company has managed to somewhat copy Apple’s model, and that is the Korean Samsung. Two years ago, half of all smartphone profits for the maker of the Galaxy phones, according to Canaccord. But that share has dropped in the first quarter to 15 percent. (Canaccord has operating losses from other manufacturers along as negative percentages, hence the total to more than 100 percent.)
The profit of Samsung is some time pressure due to increasing competition from Chinese handset makers like Huawei and Xiaomi. Which undercut by cheaper Android phones the earnings of the South Koreans. Samsung threatens in fact suffer the same fate as Japanese tech giants twenty years ago.
Also in April, May and June, Samsung had to weather a setback. Sales of the new Galaxy S6 – put in the market as the competitor to the iPhone 6 – disappointing. This was partly because the Samsung factories could not meet the demand. In particular, the S6 Edge with curved screen proved more popular than Samsung had anticipated.
Dichotomy smartphone market
For other smartphone makers a few vestiges remain. A former superpower BlackBerry sold in March, April and May, only 1.1 million phones and should have been more on software and services. Finland’s Nokia – once leader – was taken over and undressed by Microsoft. Last week, Microsoft announced that thousands of jobs are deleted when telefoontak.
The Taiwanese HTC sees revenue drastically shrink every quarter and make a loss. The Lenovo bought Motorola is also in the red.
All of this predominantly Western phone makers are in the black hole of cases caused by the division in the smartphone market. Apple has conquered the top of the market and tolerates no competition. At the bottom playing Asian phone makers the volume game with low margins
Sandwiched between these two trends, there remains for manufacturers targeting the mid damn little about
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