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[MacRumors] Apple's Share of Profits Among Top Mobile Phone Vendors Hits 75%

post #1 of 16
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363

asymco's Horace Dediu has released his latest calculations of revenue and profits in the global mobile phone industry, finding that Apple has increased its share of the top vendors' profits to 75%. Samsung followed in second place with 16% of industry profits while no other vendor accounted for more than 4% of profits.
Quote:
Apple reached 75% of profit share, nearly 40% of revenue share and 9% of units share.

Apple and Samsung combined for about 91% of profits with RIM third at 3.7%, HTC fourth at 3.0% and Nokia last at 1.8% of a $15 billion total for the quarter.
Source

It's pretty amazing how much money they make with such a small unit share, considering the iPhone costs similar to other end high end droids. The release-only-one-new-smartphone per year business modal is working well for them.
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post #2 of 16
Quote:
Originally Posted by steelbom View Post

The release-only-one-new-smartphone per year business modal is working well for them.

That isn't the reason why they sell them so well.
post #3 of 16
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Quote:
Originally Posted by Domino View Post

That isn't the reason why they sell them so well.
I wasn't saying it was, I'm saying that's the reason why they make so much money off them.
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post #4 of 16
Well, when you make a product that has such a clean UI and you have great customer support, this is what you get. I'm gonna sell off my Nexus One and get an iPhone once tax returns come.

10 years ago I saw it coming, that Apple was going to make a come back. No one believed me. Now look at them.
post #5 of 16
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Originally Posted by XNine View Post

Well, when you make a product that has such a clean UI and you have great customer support, this is what you get. I'm gonna sell off my Nexus One and get an iPhone once tax returns come.
10 years ago I saw it coming, that Apple was going to make a come back. No one believed me. Now look at them.
Ten years ago I didn't know Apple existed haha tongue.gif
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post #6 of 16
Quote:
Originally Posted by steelbom View Post

Ten years ago I didn't know Apple existed haha tongue.gif

A lot of people didn't. I remember when I bought my first iPod. It was a 2nd gen, 10GB. No one knew what it was. Some of my friends thought it was cool, but didn't think they'd ever want one. Then they exploded. My first PC ever (my own, that I bought), was a PowerMac G4 Quicksilver. I loved it, and it ran with all the latest software for years. It wasn't til 2007/2008 that I started seeing a slow down and needed something better. I eventually came over to Windows XP and then Windows 7 and PC modding.

I think both platforms are great, but Apple has the cleaner UI and the better customer support.
post #7 of 16
I don't understand what the article is saying? Apple gives retailers the most profit share? But the article states that Apple takes majority of the profit?

Wait. Is it saying of a cell phone company's profit from selling phones, 75% of it is attributed to selling iPhones?

This is so confusing confused.gif
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post #8 of 16
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Quote:
Originally Posted by XNine View Post

A lot of people didn't. I remember when I bought my first iPod. It was a 2nd gen, 10GB. No one knew what it was. Some of my friends thought it was cool, but didn't think they'd ever want one. Then they exploded. My first PC ever (my own, that I bought), was a PowerMac G4 Quicksilver. I loved it, and it ran with all the latest software for years. It wasn't til 2007/2008 that I started seeing a slow down and needed something better. I eventually came over to Windows XP and then Windows 7 and PC modding.
I think both platforms are great, but Apple has the cleaner UI and the better customer support.
I was pretty young at the time. I remember when I bought my first iPod as well, a 2GB white iPod Nano. The UI is indeed much cleaner, and they've got great support.
Quote:
Originally Posted by SkillzKillz View Post

I don't understand what the article is saying? Apple gives retailers the most profit share? But the article states that Apple takes majority of the profit?
Wait. Is it saying of a cell phone company's profit from selling phones, 75% of it is attributed to selling iPhones?
This is so confusing confused.gif
What they're saying is that Apple is raking in 75% of the profit for all the phones sold even though they only sell 10% of all the phones sold.
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post #9 of 16
Quote:
Originally Posted by XNine View Post

Well, when you make a product that has such a clean UI and you have great customer support, this is what you get. I'm gonna sell off my Nexus One and get an iPhone once tax returns come.
10 years ago I saw it coming, that Apple was going to make a come back. No one believed me. Now look at them.

So im guessing you invested in stock and are now a very rich man?
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post #10 of 16
Quote:
Originally Posted by steelbom View Post

I wasn't saying it was, I'm saying that's the reason why they make so much money off them.

WHAT?! ... I think I need to double check what you just said.


...WHAT?!

A one phone release per year is the reason why they are making so much money off them but they aren't making money off of one phone release.

My mind is blown...
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