Posted on 11/20/2015 4:28:00 PM PST by Swordmaker
A report was just released from Canaccord Research and in combination with research from IDC, we get these utterly absurd results.
* Apple accounted for only 13.5% of total smartphones shipped globally.
* Apple takes home 94% of the total smartphone industry profit.
MORE CONTEXT
There were over 1.2 billion smartphones sold worldwide in 2014 and Apple sold "just" 193 million of those. Yeah, but, Apple has reaped 85% of the profit from all of it in 2014 and now 94% in 2015.
And believe it or not, it's getting bigger, again. Read this below (emphasis added).
"Canaccord says it anticipates continued high-end smartphone market share gains for the larger screen iPhone 6/6S devices as our surveys indicate a greater mix of Android smartphone consumers are switching to the iPhone from Android."
Source: Business Insider
Now there is a little problem with these numbers as the research firm points out. Specifically, some of the Chinese OEMs are purposefully losing money in order to grow global market share which makes the profit pool smaller and therefore over states Apple's share.
THIS IS REAL
But, before we just dismiss these numbers as useless trivialities, friends, note that Samsung earned 11% of smartphone worldwide profits, and that's not cherry picking a company. Samsung is in second place and it is a full fledged behemoth at over a $150 billion in market cap.
Apple earns more than 800% (8-fold) Samsung's profit from the industry. But honestly, all of that back and forth is just conversation. Last year Apple stood at 85% of the smartphone worldwide profit and now it's at 94%. That's just fact, even though it sounds impossible.
Not surprisingly Goldman Sachs just this morning added Apple to its highly coveted "conviction buy list."
Remember this:
The iPhone is nothing more than a luxury bauble that will appeal to a few gadget freaks.
- Matthew Lynn Bloomberg, 2007
That exact ridiculous sentiment is still, today, echoed in today's media to the point of total absurdity.
APPLE is humiliating Wall Street's analysts and the main stream media because both lack the lexicon to understand what's actually happening in technology, and that goes for Google, Facebook, Amazon, Microsoft and dozens of technology and biotechnology companies. But this reality is especially apparent when it comes to Apple and the firm is making a fool out of many analysts and journalists.
Here's a fact for you that you won't hear elsewhere. Apple's spending in research and development (R&D) is up 90% in the last two-years.
Yes, the largest company in the world has nearly doubled its R&D expense in two-years. What's frightening is that every dollar of profit from the iPhone will soon turn into multiple dollars for Apple across the colossal hub its creating all powered by the iPhone. You can read what's really going on in the full Apple article here: Apple Leaves a Bumbling Wall St in the Stone Age.
what’s this Apple company i keep hearing about?
i think i recall owning some of it’s shares (if it’s really a company) at about 20 dollars pre split.
So I would have had a 4000 percent profit by now. And in not that many years.
So I must go on believing the company doesn’t really exist. Or I should go mad!
They record the musical combo The Beatles.
Raytheon patented the microwave oven in 1948, and originally sold them to industrial customers. In the 1970’s they introduced the home microwave, selling for $750 in 1970’s. In the 1990’s as Raytheon exited the home microwave and appliance market some analyst said that Raytheon missed the mark on microwave ovens. Tom Phillips (Raytheon president and CEO) responded that Raytheon made every dollar anyone was ever going to make selling microwave ovens. He was right.
Something fishy about those numbers.
Remember, the study authors could be as math illiterate as climate change advocates.
That’s it! now i remember :)
MacDailyNews Take: Revolutionary.
- "[iPhone] just doesn't matter anymore. There are now alternatives to the iPhone, which has been introduced everywhere else in the world. It's no longer a novelty.” – Eamon Hoey, Hoey and Associates, April 30, 2008
- “We are not at all worried. We think we've got the one mobile platform you'll use for the rest of your life. [Apple] are not going to catch up.” – Scott Rockfeld, Microsoft Mobile Communications Group Product Manager, April 01, 2008
- “Microsoft, with Windows Mobile/ActiveSync, Nokia with Intellisync, and Motorola with Good Technology have all fared poorly in the enterprise. We have no reason to expect otherwise from Apple.” – Peter Misek, Canaccord Adams analyst, March 07, 2008
- “[Apple should sell 7.9 million iPhones in 2008]… Apple’s goal of selling 10 million iPhones this year is optimistic.” – Toni Sacconaghi, Bernstein Research analyst, February 22, 2008
- “What does the iPhone offer that other cell phones do not already offer, or will offer soon? The answer is not very much… Apple's stated goal of selling 10 million iPhones by the end of 2008 seems ambitious.” – Laura Goldman, LSG Capital, May 21, 2007
- Motorola’s then-Chairman and then-CEO Ed Zander said his company was ready for competition from Apple’s iPhone, due out the following month. “How do you deal with that?” Zander was asked at the Software 2007 conference. Zander quickly retorted, “How do they deal with us?” – Ed Zander, May 10, 2007
- “The iPhone is going to be nothing more than a temporary novelty that will eventually wear off.” – Gundeep Hora, CoolTechZone Editor-in-Chief, April 02, 2007
- “Apple should pull the plug on the iPhone… What Apple risks here is its reputation as a hot company that can do no wrong. If it’s smart it will call the iPhone a ‘reference design’ and pass it to some suckers to build with someone else’s marketing budget. Then it can wash its hands of any marketplace failures… Otherwise I’d advise people to cover their eyes. You are not going to like what you’ll see.” – John C. Dvorak, Bloated Gas Bag, March 28, 2007
- “Even if [the iPhone] is opened up to third parties, it is difficult to see how the installed base of iPhones can reach the level where it becomes a truly attractive service platform for operator and developer investment.” – Tony Cripps, Ovum Service Manager for Mobile User Experience, March 14, 2007
- “I’m more convinced than ever that, after an initial frenzy of publicity and sales to early adopters, iPhone sales will be unspectacular… iPhone may well become Apple’s next Newton.” – David Haskin, Computerworld, February 26, 2007
- “There’s an old saying — stick to your knitting — and Apple is not a mobile phone manufacturer, that’s not their knitting… I think people overreacted to it — there was not a lot of tremendously new stuff if you think about it.” – Greg Winn, Telstra’s operations chief, February 15, 2007
- “Consumers are not used to paying another couple hundred bucks more just because Apple makes a cool product. Some fans will buy [iPhone], but for the rest of us it’s a hard pill to swallow just to have the coolest thing.” – Neil Strother, NPD Group analyst, January 22, 2007
- “I can't believe the hype being given to iPhone… I just have to wonder who will want one of these things (other than the religious faithful)… So please mark this post and come back in two years to see the results of my prediction: I predict they will not sell anywhere near the 10M Jobs predicts for 2008.” – Richard Sprague, Microsoft Senior Marketing Director, January 18, 2007
- “The iPhone’s willful disregard of the global handset market will come back to haunt Apple.” – Tero Kuittinen, RealMoney.com, January 18, 2007
- “[Apple’s iPhone] is the most expensive phone in the world and it doesn’t appeal to business customers because it doesn’t have a keyboard which makes it not a very good email machine… So, I, I kinda look at that and I say, well, I like our strategy. I like it a lot.” – Steve Ballmer, Microsoft CEO, January 17, 2007
- “The iPhone is nothing more than a luxury bauble that will appeal to a few gadget freaks. In terms of its impact on the industry, the iPhone is less relevant… Apple is unlikely to make much of an impact on this market… Apple will sell a few to its fans, but the iPhone won’t make a long-term mark on the industry.” – Matthew Lynn, Bloomberg, January 15, 2007
- “iPhone which doesn’t look, I mean to me, I’m looking at this thing and I think it’s kind of trending against, you know, what’s really going, what people are really liking on, in these phones nowadays, which are those little keypads. I mean, the Blackjack from Samsung, the Blackberry, obviously, you know kind of pushes this thing, the Palm, all these… And I guess some of these stocks went down on the Apple announcement, thinking that Apple could do no wrong, but I think Apple can do wrong and I think this is it.” – John C. Dvorak, Bloated Gas Bag, January 13, 2007
- “I am pretty skeptical. I don't think [iPhone] will meet the fantastic predictions I have been reading. For starters, while Apple basically established the market for portable music players, the phone market is already established, with a number of major brands. Can Apple remake the phone market in its image? Success is far from guaranteed.” – Jack Gold, founder and principal analyst at J. Gold Associates, January 11, 2007
- “Apple will launch a mobile phone in January, and it will become available during 2007. It will be a lovely bit of kit, a pleasure to behold, and its limited functionality will be easy to access and use. The Apple phone will be exclusive to one of the major networks in each territory and some customers will switch networks just to get it, but not as many as had been hoped. As customers start to realise that the competition offers better functionality at a lower price, by negotiating a better subsidy, sales will stagnate. After a year a new version will be launched, but it will lack the innovation of the first and quickly vanish. The only question remaining is if, when the iPod phone fails, it will take the iPod with it.” – Bill Ray, The Register, December 26, 2006
- “The economics of something like [an Apple iPhone] aren’t that compelling.” – Rod Bare, Morningstar analyst, December 08, 2006
- “Apple is slated to come out with a new phone… And it will largely fail…. Sales for the phone will skyrocket initially. However, things will calm down, and the Apple phone will take its place on the shelves with the random video cameras, cell phones, wireless routers and other would-be hits… When the iPod emerged in late 2001, it solved some major problems with MP3 players. Unfortunately for Apple, problems like that don’t exist in the handset business. Cell phones aren’t clunky, inadequate devices. Instead, they are pretty good. Really good.” – Michael Kanellos, CNET, December 07, 2006
- “We’ve learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They’re not going to just walk in.” – Ed Colligan, Palm CEO, November 16, 2006
Pinging ThunderSleeps, dayglored, and Shadow Ace for their ping lists.
Note: the above chart ignores that Samsung also makes 11% profit of all the Smartphone profits, bringing the total of all smartphone profits to 105%. It unfairly charges all the losses of the rest of the makers against their profits. The chart should, in fairness, show Samsung's profits as its own 11% bar, with the rest of the makers as a negative 5% bar of losses below the line to bring the 105% total BACK DOWN TO the expected 100% for the industry.
The latest Apple/Mac/iOS Pings can be found by searching Keyword "ApplePingList" on FreeRepublic's Search.
If you want on or off the Mac Ping List, Freepmail me
BTW, it's a great article and thread, but I think I'll pass on pinging the Windows list, as a) Windows isn't really in the phone business to speak of at present, and it would just be inviting a pie fight, and b) I've got 'em all distracted with a thread celebrating the 30th anniversary of Windows 1.0 -- a great thread also.
I learned something funny, too -- an encrypted copy of the code for Microsoft Bob was pasted onto the end of the Win XP distribution CD to provide the "This is an official CD" check data blob during installation. Wow, who knew? (Not I)
Like you, I bought some shares in the teens and twenties pre-split. Then it split and kept growing. My wife made me sell some, saying they couldn't grow much more, so I did. We made a tidy sum. But then it went up much more and split again. What they make in a quarter is much more than what the whole company was worth not too long ago, around when they made their iPod. The company really exists. Whenever people knock Apple and tout another companies wares, I ask if they bought stock in that other company. Of course not.
So the Iphone is overpriced?
That's funny. Did it get cracked?
The whole official story is on Microsoft's TechNet magazine. I copied the story into the other thread with a link to the original:
http://www.freerepublic.com/focus/chat/3363174/posts comment #29
Cool. Kinda reminds me a little of the flight sim built into excel. :-)
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