Report: Apple was responsible for more than 90% of smartphone industry operating profits in Q3

Report: Apple was responsible for more than 90% of smartphone industry operating profits in Q3
According to Strategy Analytics, Apple had $8.5 billion in smartphone related operating profits during this year's third quarter. The entire industry rang up $9.4 billion in operating profits from July to the end of September. That means that Apple alone was responsible for more than 90% of global smartphone industry operating profits in the third quarter.

Following Apple, there was a big fall off in profits. Huawei was next with $200 million in smartphone related third quarter operating profit (2.4% of the industry); Vivo and Oppo were tied for third along with the collective "others." Each had $200 million in phone oriented operating profit during the three months, giving all three a 2.2% slice of that pie.

Apple had a strange period for iPhone sales from July through September. The company topped Wall Street estimates by reporting sales of 45.5 million units. Thanks to the bump in storage capabilities on the Apple iPhone 7 and Apple iPhone 7 Plus to 256GB, iPhone Average Selling Price rose to over $600.

During the last quarter, Apple had increased iPhone sales in 33 of its 40 markets. In China, one of Apple's most important sales regions, the company had a tough quarter with iPhone sales declining 30% year-over-year.


via AppleInsider

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66 Comments

1. NoToFanboys

Posts: 3231; Member since: Oct 03, 2015

Very surprising! /s

2. meanestgenius

Posts: 22395; Member since: May 28, 2014

I don't find Apple's position surprising either, but I do find Huawei's position surprising. I thought that would have been Samsung in that spot. Congrats to Huawei. OPPO and Vivo (BBK) are coming on strong as well.

12. Podrick

Posts: 1285; Member since: Aug 19, 2015

Samsung would be second but Note 7.

19. meanestgenius

Posts: 22395; Member since: May 28, 2014

I agree. I just find it amazing that this issue affected Samsung so much.

40. sgodsell

Posts: 7519; Member since: Mar 16, 2013

Why is this article showing again the profits for Apple once again for June to September. We all know Apple is profitable. However what about the part where Apples market share actually fell for that same time period.

41. MySchizoBuddy

Posts: 159; Member since: Aug 23, 2011

market share articles are plenty on PA. use the provided search feature.

47. Martin_Cooper

Posts: 1774; Member since: Jul 30, 2013

They did report that when it was news a week or so ago.

50. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Well considering that was 20M-40M potential extra phone sales, I can see how it effected them this much!

67. sgtdisturbed47

Posts: 969; Member since: Feb 02, 2012

It's still affecting them, too. I get people in my store all the time saying "Do you have the exploding Galaxy S7" and I have to correct them every time. It's embarrassing for Samsung, I'm sure. Especially because they decided to name the Note 6 "Note 7" instead. It has caused a lot of confusion for everyday customers.

3. HugoBarraCyanogenmod

Posts: 1412; Member since: Jul 06, 2014

Funny, where is Samsung?

4. tedkord

Posts: 17453; Member since: Jun 17, 2009

Dropped because of the cost of the Note 7 recall. But don't worry, they'll be back because they make the best smartphones.

10. cnour

Posts: 2305; Member since: Sep 11, 2014

A clear frustration......

15. Unordinary unregistered

Apparently not, lmfao.

24. Plasticsh1t

Posts: 3109; Member since: Sep 01, 2014

Dropped because of their failed quality control.

37. darkkjedii

Posts: 31529; Member since: Feb 05, 2011

They'll be back big time bro. They hit a huge bump in the road, but it's all good. I can't lie, the Gear S3 eases the pain of not having my N7 a little. It's another top notch product, and shows Samsung isn't sitting around. They're back in the lab.

5. CreeDiddy

Posts: 2271; Member since: Nov 04, 2011

Notice anything guys...No US manufacturers are even in the picture for one. Apple can continue to lose marketshare but it doesn't matter. They are printing money every quarter. Once the iPhone 8 releases these numbers will grow. 23 are talking about 100 million sold in quarter 4 in 2017. It's a freight train that can't be stopped.

6. kiko007

Posts: 7520; Member since: Feb 17, 2016

I'm guessing you mean besides Apple when you say "US manufacturer". Ignore if yes....

7. bambamboogy02

Posts: 841; Member since: Jun 23, 2012

Apple does not manufacturer in the U.S.

9. kiko007

Posts: 7520; Member since: Feb 17, 2016

.......So?

22. Nathan_ingx

Posts: 4769; Member since: Mar 07, 2012

It's still an American company even though it's not manufacture(re)d in the US. When one say manufacturer, I believe it's the company and not the factory.

8. kiko007

Posts: 7520; Member since: Feb 17, 2016

See this chart gentlemen (specifically.....Techie)? This is why I think your ramblings are delusional. Learn to discern personal bias from reality.......Apple's not going anywhere anytime soon :).

11. cnour

Posts: 2305; Member since: Sep 11, 2014

Techie begins writing his newspaper......

46. Macready

Posts: 1829; Member since: Dec 08, 2014

There's some truth to the other side of the story/coin, because as great as this looks, the trend does not. They went from 104% to 90% during a quarter where Samsung lost about 5 billion due to the Note 7. If we take that anomaly out of the equation, you're looking at around 60% for Apple. The trend suddenly looks a lot less rosy, and reflects what their own financial report over the same period says: - Phone revenues down with double digits - Overall gross margin down with double digits - Sales in the main growth and largest markets down by huge margins - Sales down in Americas (US, Canada, South America), China and rest of Asia (minus Japan and the Pacific - Average phone selling price down by 8% (contrary to the claim in Alan's article).

13. patrioticwarrior

Posts: 134; Member since: Nov 09, 2016

No Iphonearena Apple is not responsible for 90% profit of smartphone industry its actually their brainwashed iSHEEP who are responsible for contributing to their profit.

16. CreeDiddy

Posts: 2271; Member since: Nov 04, 2011

Don't you realize your Samsung phone costs about $200 to manufacturer and they sell it for $700. So that profit goes into their pocket too! Your just not the exception.

21. patrioticwarrior

Posts: 134; Member since: Nov 09, 2016

But for 700$ you get the latest configuration like world class super amoled quad hd display , better multitasking processor , better ram , aesthetic design , 24 bit DAC , beautifuly design grace ux , fast charging, KNOX security , so i think samsung high end mobile are worth every penny. unlike apple which still sells outdated smartphones to their brainwashed ISHEEPS. Last time i heard isheeps were even excited to buy their ibag.

25. kiko007

Posts: 7520; Member since: Feb 17, 2016

"But for 700$ you get the latest configuration" You've already lost this argument in one sentence. Note to everyone here: If a rebuttal ever starts with the word "but" it's no longer unbiased. Now, let's continue to dismantle shall we :). "like world class super amoled quad hd display" Absolutely great screen....no arguments here. "better multitasking processor" This is false. In fact, it's so false that last year's iPhone is STILL considered much more responsive in UI tasks and fluidity. The A10 is 40% faster than the A9, a chip that still overshadows any Android offering to date. "better ram ," More RAM != better RAM. If we look at RAM management tasks, such as your garden variety speedtest, the iPhone clearly has superior management capabilities. "aesthetic design" Sure "24 bit DAC" The Galaxy series DOES NOT support 24-bit playback (at least not the U.S. models). "beautifuly design grace ux" Really dude? Lmfao, you are the first person I've ever heard cal TouchWiz "beautiful". Most Android enthusiasts think it's garbage in both aesthetics, and performance. TBC......

52. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

He is talking hardware, not software. The iPhone yes is better at multi-tasking, because it isn't; multi-tasking much. Both platforms have different multi-tasking management in software. Is the iPhone better at it? Sure! If you consider the iPhone is multi-tasking less services and applications at any one time. Yes if you want to ignore teh fact both do this task different. Which one is actually betetr is subjective. You just want to harbor on some speed test showing an idiot opening 15 apps in a row and switching between them back to back. No one uses a phone that way period in normal usage, thus the test is BS. More RAM is better period Your claim that the Galaxy does not support 24Bit playback is a complete and utter LIE. Just go to GSMARENA and look at the audiop spec for the S7 and Note 7 for examples. As far back as I can tell, the Galaxy has support 24bit/FLAC since at least the S5. YOU ARE PER AS USUAL WRONG> You love the iPhoen so much, you are willing to lie and blow off the true to support your hate agenda for Samsung. TYOU ARE WORSE THAN PA!

54. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

FACT -http://www.gsmarena.com/compare.php3?idPhone1=7961&idPhone2=8082&idPhone3=6033 According to GSMARENA, the Galaxy has supported 24bit Audio since the S5. The S4 and prior did not. Maybe you should get the facts, before you spread your hate version of the facts

56. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Apple has supported only 16bit audio since day one. Which is why basically you can only play MP3's or Apple bogus poor sounding version of it. YOU ARE WRONG> I don't care how much you hate Samsung, but when you sit there and lie and give wrong information I will call you out. I don't care about your subjective BS, you spread everyday. But when you can go to sites liek GSMarena and check phoen specs for accuracy and you don't and you sit and lie, that pisses me off. I dont care what platform or phoen you like. HERE ARE THE FACTS. Apple doesn't support anything past 16Bit Audio. They also do not on iPhone or iPad support 24Bit video playback. They don't support sound formats like Dolby Digital natively on anything running IOS. Everything on the Galaxy devices in the same class have everything better. They have better specs, better cameras, better displays, better sound, because Samsung devices record in Stereo which iPhone no not, the iPhone recordings always sound muffled and low volumed. This is a fact you can check on Youtube, with SuperSAF TV. You will see every side by side test the Galaxy since the S5 has beaten every single iPhone and even the S4 gave it a run for its money. Every Galaxy since the S5 has had the best camera that were only beaten by a newr Galaxy. Same with the displays. Everythign on the Galaxy is better than the iPhoen including it lower pricing on the higher end models. Samsung has waterproofing first between the 2 company's The only thing Apple has any better is iOS on some levels. But not in the thinsg that actually matter. You only care about speed tests where it shows a guy openign apps back to back 15 times and switching. NO ONE USES A PHOEN LIKE THIS. In drop tests the iPhone damages abd breaks just as fast as any other phone mae with cheap fragile materials. Aluminum abd glass are cheap fragile materials and nothign these companies can do witll change that. Tests have shown, the iPhone is mch easier to damage. While Apple release the really black one, you can't even enjoy it, because something as simple as a penny can scratch the crap out of it. DUMB iDEA to begin with. Even cheap Galaxy phones are better. The iPhoen 6 has a failure rate of 25%, while the worse Galaxy was the S6 at 7%. That means even Samsung's cheaptastic $100 phones have better quality. Just because the Note 7 had an issue, doesn't mean Samsung doesn't have quality products. At least they recalled them. Apple phones have electrocuted people, burn houses, cars, people and even caught fire on a plane more than once causing one to force land. Considering Apple makes one phoen and one OS, they have the most updates to fix things there updates break, while Samsung who ys have slower updates because they have so many phones. But there updates are far less problematic because after they make them, then the carriers also work with the update. I've never had a Samsung brick on an update.

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