Apple and Samsung have once again turned it up to 11 to control all of the smartphone industry profit. According to Canaccord Genuity analyst Michael Walkley, the two companies took more than 100 percent of the market's profit for all of 2012.
Apple and Samsung take more than all the smartphone profits
"We estimate Apple and Samsung combined to capture a remarkable 101 percent of Q4/12 handset industry profits and an astounding 103 percent of C2012 industry profits, as several competitors such as BlackBerry, Nokia, and Motorola Mobility posted operating losses during the year," Mr. Walkley said.
It's no secret that Apple's iPhone and Samsung's Android-based smartphones are the among the most popular mobile devices for consumers, and it seems that the two companies have accounted for almost all of the profits in the market for months. In May 2012, Mr. Walkley estimated Apple and Samsung controlled 99 percent of the smartphone market profit, leaving little for their competitors to fight over.
At the time, he also noted that despite owning about 9 percent of the global smartphone market, Apple brought in 73 percent of the worldwide handset market, which also includes feature phones.
Apple reported selling 47.8 million iPhones during its first fiscal quarter for 2013, and as of January had sold more than half a billion iOS devices, which includes iPhones, iPads and the iPod touch.
The better than 100 percent figure Mr. Walkley gave Apple and Samsung comes at the expense of other smartphone makers. Hitting 103 percent took into account the losses companies such as Motorola, Sony Ericsson, and BlackBerry (formerly RIM) suffered.
Mr. Walkley doesn't see Apple and Samsung's market control ending soon. "Given the current competitive dynamics, we believe Apple and Samsung will maintain dominant value share during Q1/13 with share gains for Samsung versus Apple expected in Q1/13," he said.
Apple is currently trading at US$455.90, down 1.85 (0.42%).