Posted by tranced
Samsung shipped about 50 million smartphones last quarter — about double the number Apple sold and, according to IDC, the largest number of units ever shipped by a handset vendor in a single quarter. But does it matter?
No.
Because when you look at the broader mobile industry, Apple, thanks to the higher gross margins of the iPhone and iPad, far outshines its rivals in both revenue and operating profits.
Though it shipped only about 6 percent of the industry’s smartphones and tablets in the second quarter, Apple captured about 43 percent of the industry’s revenues, according to Raymond James analyst Tavis McCourt. And it generated an astonishing 77 percent of the industry’s operating profits. This, even in a seasonally weak period for iPhone sales.
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[ This Message was edited by: tranced on 2012-08-06 15:13 ]
Posted by skblakee
This is the maim reason why Apple is suing Samsung, to keep their wide profit margins going. Samsung has done a lot to eat into their lead and they are fighting to keep those high price ,margins. An iPhone should not cost as much as they do.
Let's go Sammy (not Sosa Tranced but Samsung. Lol)
Posted by tranced
Posted by jcwhite_uk
Apple make a huge margin on their products for a few reasons:
Resellers dont make much profit on each unit sold (unless Apple are the reseller)
They can set a high price because they know that almost whatever price that they set people will pay
They make so many of one model (Samsung may sell more than Apple but they have a very varied product range) that they can get it made very cheaply.
As long as people will pay the inflated prices then Apple will keep makiing loadsa money.
Posted by etaab
Does it not just p*ss you guys off though ? Apple who sell many times less phones across the entire phone market still make incredibly the most money ? it just illustrates everything thats wrong with the world.
They sell a fraction of what the other players sell across the entire world yet dwarf their profits from the tiny amount (in comparison of course) they do sell. It just shows how much they fleece their customers, it shows how stupid their customers are, it shows how one company can attempt to dictate the market and give them the ammunition to succeed in putting everyone else out of business.
I like iPhones (not Apple), but if Apple got their way and my only choice would be an iPhone because they got everyone else banned or out of business - id not have a phone !
Posted by skblakee
I like their service but not their ruthless behaviour of suing everyone in every country. It is up to the other companies to beat Apple and drive down prices.