The big four: Microsoft still has the highest operating margins

The big four: Microsoft still has the highest operating margins
We are used to thinking that Apple rakes in all the profits in mobile (and that’s true), but what if we looked at the overall picture of company margins and compare the big four: Microsoft, Apple, Google and Samsung? An interesting graph shows how operating margins were almost never highest at Apple, it was Microsoft on the whole that scores the highest.

True, Microsoft is on the decline, but it still has Office that is the perfect margin booster.

You’d also notice two other facts - Apple seems to has gone past its peak, and Google seems to be on the downslide recently.

It’s hard to conclude those are trends, though. Apple has always kept a low-profile and its unveilings of products that were previously secret can swing it back to fast growth rapidly.

For Google, it seems that the Motorola acquisition is draggin the company’s operating margins down and that’s not a surprise. The company Google spent $12.5 billion on has to be transformed and Larry Page recently said he was happy with the direction Motorola is going to after the Moto X release.

Finally, Samsung’s large business comprising of not just mobile, but everything is obviously not competitive with the operating margins of the other three. But then again, you can’t make much money on fridges and TVs, can you?

The big four: Microsoft still has the highest operating margins

source: @asymco

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38 Comments

1. papss unregistered

Good.. my favorite tech company is still boss

2. ArtSim98

Posts: 3535; Member since: Dec 21, 2012

At least makes the best PC operating systems. Windows 8.1 FTW!

11. sorcio46

Posts: 435; Member since: Jul 27, 2011

W8.1 is the worst windows OS ever made, Redmond seems that doesn't want to understand that my PC IS NOT A TABLET!

15. pookiewood

Posts: 631; Member since: Mar 05, 2012

There is the option to boot directly into the desktop. Robustness FTW!

18. sorcio46

Posts: 435; Member since: Jul 27, 2011

It's only an option for booting, still metro and metro apps are there and have to be removed one by one and still the start button is gone...

23. pookiewood

Posts: 631; Member since: Mar 05, 2012

You really can just work in the desktop if you prefer. The Metro apps really don't hurt anything. Also a blanket uninstall of Metro Apps? You never could do this in Windows. Why would they implement that for Metro Apps? Yeah that sounds neat but something I never though about and I 'm sure many others haven't as well. I could be wrong though. Also the Start Button is there it's just the menu that is gone. To me the way it is setup now is the better way to implement it. I never used the start menu to launch apps. Maybe in XP but Win Vista and 7 I ditched that practice for the most part. I've been pinning things to the Taskbar for a long time. It's still what I do in Win8. I like that the Metro apps allow quick access apps in addition to my regular programs. I like it, you don't. It's fair.

34. rodneyej1

Posts: 3576; Member since: Jul 06, 2013

Boy, you are resistant to change.. This is a much more modern, and fluid way if doing things.. If I choose I can use my laptop with the ease of my smartphone, or in desktop mode use it as traditional, no nonsense, computer.. You need to get over the start button being gone, and it's not really gone it's just relocated to the right of the task bar.. Quit bitching about nothing❕

3. alterecho

Posts: 1106; Member since: Feb 23, 2012

Thats a no brainer. Microsoft releases a product which usually is unfinished, since they only staff half the full capacity of employees. Hence, their higher margin and extremely slow updates (if any) which has ~1 feature added between versions.

5. fsnas

Posts: 122; Member since: Jun 18, 2012

8.1 is an update, free and full of new features!

7. alterecho

Posts: 1106; Member since: Feb 23, 2012

Yes, that is why i said "extremely slow updates". If it weren't for the 8.1 update, i wouldn't have been so kind. I was more specific to the mobile space, though.

16. pookiewood

Posts: 631; Member since: Mar 05, 2012

It's always funny how MS releases these supposed "Slow Updates" yet they have a think called "Patch Tuesday" which is monthly. How quick are those Google Updates? Why is MS ALWAYS the brunt of updates? How are those weekly Apple updates coming along? REALLY?

20. papss unregistered

It's because people love to hate m$.. it's cute that they put m$ under a microscope but let things go on their os..

37. haseebzahid

Posts: 1853; Member since: Feb 22, 2012

because MS makes the update and test it on all the phones in market its a close OS so all phones may go though a unique tests 512mb/1024mb/2048mb/ RAMs , DP sizes = 480p/720p/1080 you know it goes on.... on other hand google has open source OS which is released to other OEMS when they think its final and then OEMs themselves tune the patches for each of their product :D and yes i have worked inside the android 2.3 and android4.0.4 source code for my customized drivers so it makes sense well thats my theory who knows its no way near correct on other hand if its MS i have to contact them and ask for specific driver maybe.

35. rodneyej1

Posts: 3576; Member since: Jul 06, 2013

Your wrong, and you don't know what you're talking about.. I bought my Nokia Lumia 920 in December of 2012. A month later I got GDR1, which brought improvements to the camera, and at least 5 new features.. I've recently got the GDR2 update which has brought about 10 new features to my 920, and the GDR3 update was made available just days after GDR2 hit my phone.. GDR3 has about 8 more features as well.. So, that's about 25 new features that my Lumia has received in less than a year, and all of these were considered small updates.. Now I'm waiting for the official Update 3 from att, and the WP8.1 major update... Microkia isn't resting and my Nokia Lumia 920 is a very, very capable device... Do you have a WP device? Do you have a W8 tablet? And, speaking of W8 tablets,, have you ever heard of patch Tuesday? These devices are constantly receiving updates every month, sometimes weekly... I'm sick of people like you making comments based of of what other haters say, without experiencing the new Windows products for themselves.. WP/W8 are very, very good products, they are modern, and fun.. That's coming from someone who actually uses both everyday..

4. itsdeepak4u2000

Posts: 3718; Member since: Nov 03, 2012

Cool...

21. NexusKoolaid

Posts: 493; Member since: Oct 24, 2011

beans

25. reckless562

Posts: 1153; Member since: Sep 09, 2013

lols....

6. twens

Posts: 1156; Member since: Feb 25, 2012

Educate those trolls who don't know anything about w8.1. Microsoft new OS is ahead of the competition. Nothing comes close to w8.1. It's fast,fluid and full of features. Try it before you come nagging like an ignorant tech boy.

10. sum182

Posts: 229; Member since: Nov 19, 2011

I have it, its not a "new OS"....you can't call minor upgrades and features that should've been there from the start a huge breakthrough, and the only way it has a jump on the competition is with the unified experience...but they crippled non-touch screen computers in the process....so no, i dont agree. I still regret the day i decided to load W8 on my laptop, and very happy its not on my desktop. As soon as Ubuntu gets a little more gaming support, i'll be saying goodbye to MS for good!

13. Finalflash

Posts: 4062; Member since: Jul 23, 2013

Yea, Windows 8 Service Pack 1 doesn't exactly make the OS any more convenient to use. Metro to desktop problems are still a pain. The start button is still messed up. The OS itself is just the same rehash ability wise as before and now they have broken decades of familiarity.

17. pookiewood

Posts: 631; Member since: Mar 05, 2012

Sooooo how exactly is the Start button messed up? IMO it's better and has been since initial release. In Win 7 he only thing I used the start menu for was to Shut down my PC and get to the "Geeky Things" (Control panel, Admin, fix my PC, type stuff) Now Right click that button and it brings up a more usable menu.

36. rodneyej1

Posts: 3576; Member since: Jul 06, 2013

The start button has just been relocated to the right of the taskbar.. Just click on those two arrows, enjoy the new features of the modern OS, quit being resistant to change, and quit bitching about the past..

38. nadarbsm

Posts: 24; Member since: Feb 22, 2013

well said bro... even i am waiting for ubuntu to get high end gaming support... Gaming is the only reason I use windows now...

8. artealis

Posts: 98; Member since: Dec 15, 2010

i still prefer my old laptop with win7 more than my brother macbook pro, the first week with macbook pro were hell, feel like a blank white paper without any useful tools, everything are so simple like it design for d*mb or a brain damage people, but contrary when i want to do simple network things, its painfull. i really dont have a clue why people want to use mac os, except the battery life. i hope with haswell, microsoft finally match the battery life from mac os. how come apple sold so much macbook machine and idevice that can only do half of what windows and android can do is still a big mistery for me.

22. PapaSmurf

Posts: 10457; Member since: May 14, 2012

I used to love W7 but after using Mac OS X, there's no way I can look back. Apps almost never crash, it's a hell lot faster and fluid. My one con is I miss some Windows programs, but that's why there's Boot Camp and VMWare. :)

27. reckless562

Posts: 1153; Member since: Sep 09, 2013

exactly, crashes are rare to non existant on my mac, LOVE IT!! i havent instaled boot camp yet as i wana dual boot but to lazy to have yet gon through with the instructions i looked up. i tried "wine" and "bottle opener" but i think im in over my head. VMWare @papaSmurf ???

30. a_merryman

Posts: 749; Member since: Dec 14, 2011

Having had a MBP (thing was a beast, lasted 6 years even though I spilled lemonade on it; and apple fixed various things for free when they broke) with Mac OSX. And now with a custom built desktop running Windows 8.1, I enjoy windows just as much, I have not had it crash once yet. Super fast and stable, just like my MBP was. I think it's because I built it and did a clean install of Windows, instead of getting an overpriced POS from the OEMS filled with their bloatware. I havent had an app crash aside from Chrome, which crashed on the MBP too.....I tend to open a LOT of pages on my web browsers. Sometimes I'll open other web browsers to supplement that >_> Plus, now that I run windows...I can buy so many more games during Steam Sales :)

26. reckless562

Posts: 1153; Member since: Sep 09, 2013

mystery...... not "mistery" @artealis..... good lord man and thats y u donload OSX apps for free via torrent !!! but alas, ur RIGHT abt networking on a mac, it makes u wana m+==( X _ X )*,k''',-----D yourself!! lols

31. madpiyal

Posts: 108; Member since: Feb 11, 2013

You are spot on about mac os. I like ios better than android but dont have a single clue why people want to use mac os on pc. Its like going backwards. Maybe because I used windows first but still mac os is not for geeks like us who drolls over new tech all the time.

9. NAWF_SIDE

Posts: 40; Member since: Oct 10, 2013

Windows 8.1 \m/ ftw

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