News24

Samsung, Apple rake in phone profits

2012-06-15 22:09

New York - Samsung and Apple have captured more than half the global market for smartphones and over 90% of its profits, a research firm said on Friday.

ABI Research said global smartphone shipments grew 41% year-over-year to 144.6 million in the first quarter of 2012.

Samsung and Apple accounted for 55% of smartphone shipments and more than 90 percent of the market's profits, the report said.

ABI said Samsung delivered 43 million units in the quarter, to 35 million for Apple. Nokia was third with 11.9 million and BlackBerry maker Research in Motion just behind with 11.1 million.

Of the top 10 smartphone makers, only Samsung and Sony saw sequential growth from the fourth quarter, which is traditionally strong, the report said.

"Nokia witnessed a 40% sequential decline in shipments and may soon be passed by ailing RIM in shipments despite the BlackBerry maker's 20% sequential drop.

Nokia recently began working with Microsoft on a Windows-based smartphone, dropping its own powered by Symbian.

"At this point in the year, Nokia will have to grow its Windows Phone business 5 000% in 2012 just to offset its declines in Symbian shipments," says Michael Morgan, an ABI analyst.

The report said major markets like North America and Western Europe are nearing or passing the mark of 50% penetration for smartphones, meaning much of the growth will come from emerging markets like China, "which continues to show strong shipment growth of over 80," ABI said.

A report last month by Gartner said 419.1 million mobile phones were bought worldwide during the quarter in a two percent decline from the same period a year earlier. It was the first quarterly decline since early in 2009.

Comments
  • gwilym.howes - 2012-06-16 06:03

    @william: and why do Smartphones have less right to 'clog bandwidth' than any other device, e.g. a laptop? Criticise the service providers for inadequate bandwidth, not users for using it!

      lydonmcg - 2012-06-16 12:11

      Useless crap such as your baseless, retarded arguments? Point made.

  • Jesse Palmer - 2012-06-16 07:37

    The thing about this is that surely Apple is number one. I say this because let's be honest, people who bought iPhones over the last year, bought the iPhone 4S. People generally tend to buy the latest iPhone in the market. Whereas the other makers- Samsung, Nokia, and BB, people could have bought any phone in their many ranges, old & new. So, the iPhone has more power in that it's just one model that's attracting consumers.

      Stoffel - 2012-06-16 09:16

      And that's the most idiotic statement I've heard in a while

      lydonmcg - 2012-06-16 12:17

      Idiotic how? You do realise that Apple have a single iPhone selling nearly as much as all of Samsung's models combined, which is significantly more expensive than many of the lower-range Samsung models, right? And that Apple are in control of their entire ecosystem, so profits from the likes of the App Store go straight into their coffers. There's a reason Apple's stock performance blows Samsung's out of the water.

      michael.moets - 2012-06-30 10:39

      Apple sell below parr spec phones to clueless people trying to look good.

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