In Apples net share of the international mobile market stands at mere 5.4 percent. In smartphone sales, its share is only 18.5 percent. Yet Apple is able to grab a whopping two-thirds of the entire profits from sale of all kinds of handsets around the world. This observation has come to light from an analysis published by the market analyst, Asymco.
After gathering data from the latest quarterly earnings reports from all the major mobile phone vendors, Asymco reached the conclusion that Apple had grabbed 66.3 percent of the industrys second quarter profits, up from 57 percent during the first quarter of the year. Samsung, which trails Apple with 17.5 percent of all units shipped, grabbed 15.2 percent of the industrys profits, down from 21 percent in the first quarter of 2001.
11 percent of the industrys profits have gone to Research In Motion; HTC has grabbed 7.4 percent. However, the other four major vendors, Nokia, Motorola, Sony-Ericsson, and LG were running into losses.
The big picture according to the report published in Asymco is Three companies which captured 11% of the profits before the modern smartphone era started (four years ago!) now capture 84% of the profits. Only one global brand phone vendor selling non-smart voice-oriented feature phones is still profitable however, as we shall see later, the only reason profits still exist for any vendor is due to the strength of their smartphone portfolio.
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