1. Akshay Masand's Avatar


    According to recent analysis of third-quarter handset industry of operating profits, Apple accounted for roughly 86% of the share which completely crushes the competition as rivals such as Samsung saw their profit levels make a huge drop.

    In a recent note to investors, analyst Michael Walkley of Canaccord Genuity revealed his latest research which is based on the company reports and estimates. He stated that Apple’s estimated 86% share of industry profits was simply “remarkable.” Notably though, Apple’s gains came at the cost of competitors, with Samsung experiencing the biggest hit, estimated to accounting for just 18% of the industry profits. According to Walkley this is the lowest total for Samsung since 2011.

    That being said, the two rival tech giants still ended up accounting for more than 100% of the industry’s total profits since competitors such as Microsoft and Motorola actually lost shares. Aside from Apple and Samsung, the only other company to have a positive value share in the third quarter of 2014 was LG with 2%. Others such as BlackBerry and HTC are estimated to have accounted for 0% share in the quarter. Motorola had an estimated mobile operating loss of $185 million and accounted for -2% while Microsoft’s $341 million estimated share was -4%. Overall, Walkley estimated that the handset industry saw an operating income drop of 17.3% year-over-year.

    Alongside his research, Walkley also conducted several surveys in October in the US which revealed that both the iPhone 6 and the iPhone 6 Plus were the top selling smartphones at all four major American carriers. The survey also revealed that users gravitated towards high-capacity iPhone models which he believes will lead to an excellent December quarter for the Cupertino California company. Walkley continued by stating the following regarding the matter:

    We believe Apple is experiencing a record iPhone 6 upgrade cycle due to very strong replacement sales as well as from high-tier smartphone market share gains from Android. We believe these trends should result in very strong (fourth quarter of calendar 2014) smartphone sales and share gains for Apple.
    As of right now, Canaccord Genuity continues to maintain its $120 price target and “buy” rating for AAPL stock.

    Source: Canaccord Genuity via AppleInsider

    Twitter: @AkshayMasand
    2014-11-04 07:28 PM
  2. tongxinshe's Avatar
    Obviously a defective research, didn't even list the 3rd and 4th largest handset producers.
    Last edited by tongxinshe; 2014-11-04 at 08:23 PM.
    2014-11-04 08:21 PM
  3. dwkkwd's Avatar
    Obviously a defective research, didn't even list the 3rd and 4th largest handset producers.
    They are talking about profits,not how many phones they sell.
    Samsung is now earning about one third of Apple's profits while still shipping over twice as many phones.
    2014-11-04 09:10 PM
  4. tongxinshe's Avatar
    They are talking about profits,not how many phones they sell.
    Samsung is now earning about one third of Apple's profits while still shipping over twice as many phones.
    And you are suggesting that the 3rd and 4th largest producers don't have any profits or losses? Or are you suggesting that their profits/losses are totally negligible comparing with a list of the smaller producers? How funny you could still try to defend.
    2014-11-04 10:26 PM
  5. politicalslug's Avatar
    And you are suggesting that the 3rd and 4th largest producers don't have any profits or losses? Or are you suggesting that their profits/losses are totally negligible comparing with a list of the smaller producers? How funny you could still try to defend.
    Yes. Exactly that. None of the large products, aside from Apple, Samsung, and LG turned a profit. Sell one or a million, but I'd you don't make any money then why bother?
    They can have my jailbreak when they pry it from my cold dead fingers.
    2014-11-05 12:08 AM
  6. tongxinshe's Avatar
    Yes. Exactly that. None of the large products, aside from Apple, Samsung, and LG turned a profit. Sell one or a million, but I'd you don't make any money then why bother?
    You seem to be defending without actually reading the original report, nor carefully reading my posts, which you are arguing against. Okay, let me emphasize points for you:
    1. The report listed a lot of tiny player with losses, not just profits.
    2. The report listed HTC which contribute 0%!!!
    Last edited by tongxinshe; 2014-11-05 at 11:29 PM.
    2014-11-05 12:17 AM
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