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Apple Rules Over Smartphone Market
Economy, Sci & Tech

Apple Rules Over Smartphone Market

Three years ago, Apple announced it had made 73% of all profits in the smartphone sector, despite just having 9% of global handset sales. But these days, Apple’s profits have soared to new heights.
Ars Technica reports, citing a new report by industry research firm Canaccord, that in the Q1 of 2015, Apple took in 92% of the total operating income of the world’s eight largest smartphone makers. That figure jumped up from 65% during the same period in 2014.
Samsung is the world’s largest smartphone manufacturer as measured by units sold. According to market research firm IDC, it shipped 82.4 million phones during the first three months of 2015, compared to Apple’s 61.2 million.
“The challenge made by Apple for the top spot in the fourth quarter returned to a clear lead for Samsung in the first quarter, despite the soaring global demand for the iPhone 6 and 6 Plus,” Anthony Scarsella, research manager with IDC’s Mobile Phone team, said in an April statement.
“Samsung’s shipments, given that the S6 was not launched into the market for the full quarter, were driven by large volumes into emerging markets and steady demand for its midrange and lower-priced smartphones.”
IDC attributed much of Apple’s success to rapid expansion in China, Macau, Taiwan and Hong Kong, noting that iPhone sales “grew 40% year over year and a remarkable 63% in emerging markets.”
Ian Fogg, an analyst with IHS, said it is also important to note how vital the iPhone is to Apple.
Also, 69% of Apple’s total revenues are from the iPhone, he wrote. “While Apple’s iPhone is a vibrant money maker in the mobile market, the iPhone is now the centerpiece of Apple’s business, too.”
It is good news for Apple’s technology sector as their Mac computers now enjoy their highest-ever market share in the United States, according to IDC’s 2014 third-quarter report: The Mac is the third-largest PC seller in the US, with a 13% share. As recently as the 2012 holiday quarter, Apple’s share of the PC market was below 10%.

 

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