Apple takes 94% of all smartphone profits in Q3 2015
Even though there might be a war raging between iOS and Android in terms of customer base an important question to ask is who is actually making the money? Traditionally Apple has been a profit making machine with the combination of premium prices and established component deals. That has once again been proven by Canaccord Genuity research.
Apple enjoyed 94 percent of all profits within the smartphone market over the past quarter. Yes, 94 percent! Samsung came in second place with a staggering 11 percent while Sony, HTC, BlackBerry and Lenovo ended up in the negatives and, thus, accounts for the mathematical discrepancy. Apple earned its overwhelming share of profits despite producing just 14.5 percent (48 million) of the smartphones sold in the quarter. Samsung shipped an estimated 81 million units in the same quarter, accounting for 24.5 percent of the total. The average selling price of iPhones in the quarter was $670 USD driving 37 percent operating margins, while Samsung’s ASP was just $180 USD (due to their various mid and low range offerings). Apple seems to be raking in the cash and Tim Cook believes that the upcoming holiday season will be the company’s biggest yet. Can Apple continue making such big margins out of their customers? Let us know what you think about the costs of Apple products in the comment section below.
Source: Apple Insider
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