Samsung’s Apple Woes

By: |
Published: January 30, 2015 2:34:28 AM

The company has to now share the market leader’s position for smartphones with Apple

As per new market research, Apple is now right on the top podium, with Samsung, as the world’s top smartphone vendor, thanks to a sales surge after the release of the iPhone 6 and iPhone 6 Plus. And this is despite the Bendgate controversy that took digital media by storm soon after the much-hyped release. Apple, rather than bending or breaking, recorded a net profit of $18 billion last quarter—shipping out over 74.5 million phones, compared to the 51 million it did in the same quarter the previous fiscal.

This would mean more woes for Samsung, which had already been beset with a set of problems—the company reported its slowest growth in profit, a few days after Apple announced its results, and had logged just as many phone shipments as Apple had last quarter, down from the 86 million in Q3FY14. With that, its market share for smartphones now stands at 19.6%, the same as Apple’s. More worryingly for Samsung, while Apple’s iPhone 6 and 6 Plus saw the largest sales in China, where the Korean and American companies compete with local makers like Xionee, in India, one of the largest markets for smartphones today, Xionee and other makers of cheap smartphones (including Indian ones) are narrowing the gap with the Korean company. Samsung, the largest-selling brand of Android-based smartphones, will also have to deal with the fact that Android has chosen smaller players, at least in India, to launch Android One, a fixed template for the mobile operating system, that will likely improve user experience.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.