Apple made 5x the profits of Samsung Mobile last year, all other makers fought over 5%


Not that it should come as a huge surprise, but Apple made out like a bandit last year, according to research firm Strategy Analytics. It captured the whopping 80% of the smartphone industry's $54 billion in operating profits. The team from Cupertino left only $10 billion on the table for all the other phone makers to share, and the bulk of what was left - $8.3 billion - went to Samsung's mobile department. Of course, without the Note 7 drama, that figure could have been $10 billion, but even then Apple would have made four times more from selling its iPhones than all of Samsung's handsets combined.

Huawei took about a billion of the rest (1.6%), and the two brands with the highest growth rate last year - Oppo and Vivo - took home 1.5% and 1.3% of the industry's profits. respectively. Where does that leave LG, HTC, Sony, Moto, and other notables? Well, nowhere, as you can see, and these companies will most likely try to change their mobile strategies this year, as exemplified by the premium G6 with 2:1 Dolby Vision display and 80% screen-to-body ratio that LG announced at the MWC expo, or the unique Xperia XZ Premium with 4K panel. 

Still, given the rumors that Apple may out an even more unique iPhone 8 with wraparound OLED display in the fall, we can't help but wonder if there will be anyone but Samsung able to pull through with healthy profits in mobile this year as well.  

source: Korea Herald

FEATURED VIDEO

57 Comments

2. kumar1234 unregistered

Yikes, so sad for Android OEM. That's why Google's Pixel initiative is so important. This programme hopefully will bring much needed balance the smartphone business need. One company baging almost all the profit is not good for the overall industry.

33. Mxyzptlk unregistered

It's time for Android OEMs to step up. There's really no Android phone worth owning outside of the Nexus 6P and a few notable others. The Pixel, with some refinements and ffs, would definitely make it a beast. Until Android OEMs get on the universally unlocked bandwagon, they are going to be second best to the iphone.

38. HomerS

Posts: 419; Member since: Sep 19, 2014

The Pixel Initiative is not important but pure Horror for Android OEMs, as it is even more competition inside the Android ecosystem even from the creator of ANdroid themselves. Several Android OEMS have lost many sales and profit because of the Pixel phones.

60. kumar1234 unregistered

@HomerS, Pixel Initiative is absolutely necessary. Android OEM add crapwares, throw junk launcher, add gimmick feature which ultimately dilute the android experience. They lost the premiere market because they failed to challenge Apple in the meaningful way. Adding more pixel, more resolution, more RAM, bigger battery means $hit if the software is $hit. Samsung is the forerunner in the android game yet they have done $hit to improve the situation. Chinese OEMs has done more harm than good with their cheap smartphones. Now android OEM realizing what true matters is meaningful addition of hardware that complements their software. So we are seeing more and more companies are saying less is more when it is done right. And I give google credit for that thing. The less megapixel but bigger pixel size is better in the camera is a trend that google started with their Nexus 6p which convince Samsung to lower their megapixel race and have a good camera which also contribute their good financial performance. More and more OEM is realizing that just adding beastly spec list is not enough and selling it at lower price is not an option. Even chinese OEM like Huawei is pricing their phone much higher because they are realizing selling at lower price only hurt themself. Only Google has the money and brand image to challenge Apple in the premium phone sector. I believe Google will be able to challenge Apple in the premier market share, in doing so, in the long run their initiative will also inspire other android OEM to improve their strategy to improve their situation. Samsung really had their chance but they literally blew reputation with Note 7. There is a real void in the premium market share and only google has the power to challenge apple in the long run. If google left the duty to Samsung they will only blow it up again.

59. slow00

Posts: 97; Member since: Mar 08, 2017

...and so the wise council (kumar & mxyzptlk) hypocritically concluded...instead of proposing initiatives to android OEMS in order to maximize their profits you d better request from your fruit company to spend those billions in R&D with the hope to come back with meaningfull innovations and not gimmicks (i.e have ages to read sth about the groundbreaking feature that force touch was)

3. meanestgenius

Posts: 21769; Member since: May 28, 2014

Say what you will about Apple (I certainly have my fair share of complaints about them, and rightfully so, since I actually buy their products and use them), but we all must agree that they are raking in the smartphone dough!

31. Mxyzptlk unregistered

Amazing how the facts, the "real" facts, can change one's tune.

61. meanestgenius

Posts: 21769; Member since: May 28, 2014

Too bad that you're only into alternative facts.

62. Mxyzptlk unregistered

Too bad you're still bumburned about it.

63. meanestgenius

Posts: 21769; Member since: May 28, 2014

Why would I be bumburned about you being into alternative facts? Lol, make some sense next time.

80. Mxyzptlk unregistered

You first. You're the one who continues to not make any sense.

81. meanestgenius

Posts: 21769; Member since: May 28, 2014

Bwahahahahaha! Obvious bumburned retort from a bumburned individual that's just been proven that he doesn't make any sense whatsoever.

4. Zylam

Posts: 1813; Member since: Oct 20, 2010

All that talk of Android market share LOLOLOL. This is the market share that counts people. Android can have 99'999999% market share for all Apple cares, as long as the profit share is 80% to Apple!

27. slow00

Posts: 97; Member since: Mar 08, 2017

glad you are so happy about apple 's profits!...i am looking forward receiving very soon your check from Cupertino and fulfil your dreams (buy land, build a big house, travel around the world etc)... oh i forgot...you just applied for your 3rd job in order to be able to purchase the "premium" and "magical" iphone 8 with the revolutionary oled display ..(made by samsung btw) ps. unless you are an apple stakeholder there is no reason to rave about...you pay way to much for three years old technology

34. dazed1

Posts: 790; Member since: Jul 28, 2015

this is only cause of the Note 7, even idiots now that. S7/Edge sold amazingly good. Learn to read or be less biased.

6. frankg

Posts: 173; Member since: May 14, 2014

Apple is raking a lot of money because their products are overpriced. That's a simple fact. Their prices never go down the whole year round.

19. raky_b

Posts: 383; Member since: Jul 02, 2014

prices do go down, like, right now iP7 cost 100$ less than it was 3 months ago..but your first sentence is in bulls eye! not just them, Samsung too... and it's ok...as long as we are ready to buy they product for a prices that they are asking, we can't grumble.

43. piyath

Posts: 2445; Member since: Mar 23, 2012

But people buy Apple products everyday....!

58. darkkjedii

Posts: 30964; Member since: Feb 05, 2011

So it has zero to do with the fact, that they make really good products that people love, thus creating brand loyalty. If Apple was that bad, we wouldn't by its products year in and year out. C'mon dude reallyyyyyyyyyy...

78. frankg

Posts: 173; Member since: May 14, 2014

Did you ever see me say their products are bad.... I think you need to learn how to ready. Overpriced means overpriced, nothing else.

7. meanestgenius

Posts: 21769; Member since: May 28, 2014

That said, I'd like to see Apple diversify and increase their product portfolio more than they are (the iPhone still garners the lions share of Apple's profits, but it's obvious that won't last forever), and I'd like to see them add new and innovative features to their products (don't always play it so safe).

10. Arch_Fiend

Posts: 3951; Member since: Oct 03, 2015

Apple needs to add a gaming pc and mac book to their portfolio. I wouldn't be interested but plenty would, plus it's the one thing they don't have that everyone else does.

12. meanestgenius

Posts: 21769; Member since: May 28, 2014

That would be interesting. I personally wouldn't buy a gaming pc or mac book either, but it'd definitely lend to Apple diversifying its product portfolio.

29. vincelongman

Posts: 5677; Member since: Feb 10, 2013

They should sell official eGPUs That way they can still have their skinny MacBooks while finally offering "gaming" GPUs

9. Arch_Fiend

Posts: 3951; Member since: Oct 03, 2015

Where is that guy that always says "No one makes money with Android" Now would have been the perfect time for him to say that because he seems to be right lol.

18. raky_b

Posts: 383; Member since: Jul 02, 2014

and 10B of $ are not money!? ok, Samsung i taking 8B of that, but still it's like 2B more...and it's not enough???? and here,we are talking just about profit. that thing that left over from income and all investments... maybe to some profit of let's say 50M is small, but from mine view point 50 000 000$ after covering all investment, marketing, salaries... are very good income for one year. companies like ZTE, Xiaomi, Meizu and many more earns more than that...Huawei's 1,6.% turns to be about a billion $!!!! if that's not good enough, they should change business do something else...anyway. this is just another proff that Apple is overprising their products and cut most wool from sheeps. Samsung is second best...and all of those "fans" that are so proud for buying their producsts to think that they have sufficient reason to impale it on the other people noses are just biggest sheeps out there . except if they are not shareholders, than they have every right to be proud on some company success.

22. Arch_Fiend

Posts: 3951; Member since: Oct 03, 2015

technically android makes money but hell looking at the numbers it just doesn't seem like it compared to Apple. If my bro made a $100 yesterday and I made a $1 then I might as well have made $0 considering the difference. Also, I only read the first sentence because that post is to big for a reply.

20. FlySheikh

Posts: 444; Member since: Oct 02, 2015

I remember... 'bobbybuster' or something

21. Arch_Fiend

Posts: 3951; Member since: Oct 03, 2015

Yeah that was him lol.

11. batmite

Posts: 197; Member since: Jan 19, 2017

Apple dominates and the others wish that they could follow. Let the salty river of tears flow from all of the haters while I get the butthurt report forms ready.

Latest Stories

This copy is for your personal, non-commercial use only. You can order presentation-ready copies for distribution to your colleagues, clients or customers at https://www.parsintl.com/phonearena or use the Reprints & Permissions tool that appears at the bottom of each web page. Visit https://www.parsintl.com/ for samples and additional information.