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Apples and oranges. The S5 is a month old. The Apple 5S is 9 months old, almost a product generation behind the Samsung product. The Apple has a 4 inch display vs the Samsung's 5 inches. Most people don't pay the same price for last year's model with a smaller screen. Both Apple's and Samsung's copy phones (copied from Windows CE, which is why both companies pay MSFT sizable royalties per phone sold) are nice, but Apple is only marginally more innovative than Samsung. Its primary contribution was being first to market.

Actually, Apple pays very little to Microsoft for anything. I refer you to a certain lawsuit in which Microsoft granted to Apple access to Microsoft's patents and copyrights in perpetuity at no cost as part of a settlement to avoid trial that Steve Jobs negotiated back in 1997. Microsoft was caught with its collective fingers in Apple's patent and copyright cookie jar and to avoid having them chopped off, they settled. . . and Apple got a lot that was worth more than money. The three interlocking agreements that settled that suit are available on the internet after being unsealed several years ago. One of the agreements have to do with licensing of intellectual properties.

They certainly do not have to pay for things in WindowsCE. Android does. Apple iOS does not.

As to your argument about relative ages of the Galaxy S5 and the iPhone 5S: the top of the line Samsung Manufacturer's Suggested Retail Price has ALWAYS been priced above the Apple iPhone. Even when the iPhone 5S came out the Galaxy S4 was priced above the new iPhone. They then DISCOUNT their phones. . . sometimes offering BOGO plans... pushing whatever it takes. The iPhones still OUTSOLD the Samsungs in both numbers sold and longevity. The iPhones have always occupied the top two or three rungs of best selling models in whatever market they compete in. They still are. Apple iPhones are expected to compete against hundreds of 'Android" models as if "Android" were a manufacturer. It is not. Apple took home 87.4% of ALL mobile phone earnings last year.

"Apple's share of mobile phone profits is increasing. Thanks to a combination of robust iPhone sales in the fourth quarter and continued pricing power, Apple's iPhone segment is still raking in loads of cash for the company. More importantly, Apple has claim to a larger portion of the mobile phone industry's earnings than it did last year. In the year-ago quarter, Apple accounted for 77.8% of the mobile phone industry's earnings before interest and taxes. In the fourth quarter of 2013, that figure grew to 87.4%."—The Motley Fool 02/13/2014

As for claims that the Samsung Galaxy S5 outsold the iPhone on its release... nope, it did not.

DID THE SAMSUNG GALAXY S5 BEAT THE IPHONE 5S' SALES FIGURES?
by Ben Sullivan| 13 May 2014
Samsung shipped 10 million S5 devices in the first 25 days of sale.
Samsung shipped 10 million Galaxy S5 smartphones worldwide in the first 25 days on the market, the Korea Economic Daily has reported.
The newspaper did not cite where it got the figure, but the news is consistent with previous sales reports from Samsung. Samsung reported that it was seven months before the original Galaxy S sold 10 million units, and five months for the Galaxy S2.
In 2012, when the Galaxy S3 came out, Samsung had managed to sell 10 million in just over one month, and the S4 rocketed to 10 million in just 27 days.
Apple's iPhone 5S and 5C figures are a stark contrast. The models, which were released in September 2013, sold a combined 9 million units in just three days. Apple usually releases iPhones on a Friday, and then announces the sales figures for the first weekend. — CBR Online 05/13/2014

Note the difference of terminology. Samsung "shipped" but Apple "sold." Apple is the only smartphone producer that reports actual sales to end-users. All others, Samsung included, report "units shipped into the channel" to wholesalers and retailers for sale, and do not report unsold units returned. At the Samsung infringement trial this spring, Samsung admitted to "padding" their figures. They reported 3,000,000 Samsung Galaxy Tab 10 tablets shipped, implying 3 million sold, but less than 100,000 had actually been sold. . . and an 16% return rate.

Internal document shows Samsung lied about Galaxy Tab sales
By Williams Pelegrin — Digital Trends — April 11, 2014
Back in 2011, Samsung proudly announced that it sold 2 million Galaxy Tabs in under six weeks. Unfortunately, while the 2 million figure was correct, that number applied to Galaxy Tabs Samsung shipped to wireless operators and retailersrather than sold to consumers.
Based on that announcement, market research company IDC stated that Samsung captured 17 percent of the tablet market, while Strategy Analytics director Neil Mawston called the Galaxy Tab “the main driver of Android success.” According to some internal documents, though, reality is far bleaker.
Based on internal documents obtained by Apple Insider, not only did Samsung know that sales of its Galaxy Tab were low, but the company also purposefully mislead analysts and investors. The “top secret” document above, which is from February 2012, shows that Galaxy Tab quarterly sales hovered in the low hundreds of thousands. By the end of the year, Samsung sold fewer Galaxy Tabs (1 million) than iPads (17.4 million), Kindle Fires (5 million), and even Nook Tablets (1.5 million).

Samsung tablet figures
Since Apple sold over 32 million iPads in 2011, Samsung’s figures signify that Apple sold more than half of those were sold here in the United States. In addition, the 32 million iPads sold were greater than the total number of tablets Samsung expected would be sold in 2011 (28.3 million), based on a June 2011 document.
This highlights a key point when it comes to market statistics. There is a fundamental difference between having your product shipped and having them sold to consumers, though people tend to be confused between the two. Just because your product shipped to retailers doesn’t mean it made its way to consumers’ hands; it only means they’re on store shelves.
More recently, reports surfaced that the Galaxy Gear, Samsung’s first foray in the smartwatch market, sold only 50,000 units. Samsung pushed back, saying that it shipped 800,000 Galaxy Gear units. Whether Samsung can push back against Apple in the two companies’ latest patent battle, though, is yet to be determined.

Samsung has been doing this with ALL of their products. They are not to be believed. This was shown in the first trial, and again in the second trial.

Basically, Eight months after the iPhone 5S was released, Apple is selling them like hotcakes to end users and is having no problem selling them. They are the number one selling smartphones in the world. . . They are the number one selling smartphone against hundreds of Android models. . . and the number two best selling smartphone is the Apple iPhone 5C. The number FOUR best selling smartphone is the Apple iPhone 4S, a three year old model. . . so your argument fails. People DO choose to buy more than last year's model with a small screen.