Josh Ong
Apple continues to dominate the market when profit is measured, according to a new report from Asymco's Horace Dediu. The iPhone maker managed to add one percent to last quarter's 50 percent share of profits from the top eight mobile phone vendors in the December quarter, the report noted.
After data for the fourth quarter of 2010 was released last week, Apple placed fifth overall among global cell phone makers with 4 percent market share. Meanwhile, research firm Canalys published a report Monday showing that Google overtook Nokia as the top smartphone platform maker in the fourth quarter.
Apple revealed earlier this month that it sold 16.24 million iPhones in its first quarter of fiscal 2011, resulting in $10.5 billion of revenue for the company. Additionally, the average selling price of the iPhone increased from approximately $610 in the previous quarter to $625.
The Cupertino, Calif., company hit a major milestone in the December quarter when it passed Nokia to become the world's largest mobile phone vendor in terms of revenue.
The iPhone's share of global handset profits has been steadily climbing. In August of 2009, Apple was reported as making 32 percent of the industry's profits.
iPhone profits could continue to soar as Apple adds the new CDMA iPhone 4 to its lineup. According to Apple's Chief Operating Officer Tim Cook, the launch of the iPhone 4 on the Verizon network will not adversely affect the iPhone's ASP and profit margins. After being speculated for years, the iPhone will come to the nation's largest carrier ">on Feb. 10.
Verizon is conservatively projecting sales of 11 million iPhones in 2011, but executives have said that the handset could help the company's growth "really explode over the next several years." According to a recent analyst survey, Verizon could see as many as 25 million new iPhone subscribers this year.
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112 Comments
But everyone knows that the ONLY metric that counts is marketshare!!!! Profitability is a smokescreen for losers who can't pwn the market outright!!![terminate sarcasm autoresponse routine]
But everyone knows that the ONLY metric that counts is marketshare!!!! Profitability is a smokescreen for losers who can't pwn the market outright!!![terminate sarcasm autoresponse routine]
Yep we will be hearing from them soon. So, by the time we get to 9% market share Apple makes +100%
Android is a shot adrenaline for companies that were on their death bed. They get a short boost of energy but they are still in the same poorly managed, myopic position they were before. We'll see in a couple years how many of these companies will be financially successful using Android. Personally, I think WP7 has a better chance at helping these companies recover longterm than Android.
Now that Apple is officially loaded I am hoping that in the future the company will make a larger more public (because I don't know what they are doing as per now) effort to share its wealth. It is great that Apple is making dollars hand over fist but I'd rather see them make a little less and ensure their extended (third party) work force reap some of the benefits. Not just in terms of cash, but also in terms of working conditions etc. Apple seems to be in a position now to set an example and I for one would appreciate it if they would.
An interesting article from Cnet that touches on this:
http://news.cnet.com/8301-13579_3-20...ag=topStories3
Good thing for Apple too, as with no new Macs (at least those based upon Sandy Bridge) until May due to an Intel chipset recall for Sandy Bridge they'll have to keep their existing product lines going for longer - and as they had ramped down some of them for an update within the next two/three weeks already they need this income to come in from a different area ... http://techreport.com/discussions.x/20326