Apple accounted for 91% of smartphone profits in 2015, according to research by Canaccord Genuity. Its closest competitor was Samsung who grabbed 14% of the profits. The combined profits goes above 100% as other companies like Microsoft, HTC, and Lenovo reported losses. Chinese companies like Huawei, Xiaomi, and ZTE did not report profits. However, Samsung had the highest smartphone market share last year with 23.9%. Apple on the other hand had 17.2% of the share of the smartphone market last year. Huawei, Lenovo, and Xiaomi had 8%, 5.5%, and 5.3% respectively.
Apple has a knack for taking away the lion’s share of the profits, even though it did not have the majority of the share in the smartphone market. Canaccord Genuity’s research showed that Apple share of the smartphone profits during the third quarter of 2015 grew to 94%, even though it was behind Samsung in the total smartphone shipments. Samsung had an 11% share of the total profits although it accounted for 24.5% of the smartphones that were shipped during the same quarter. The average selling price of iPhones in the quarter was $670 with 37% operating margins, while Samsung’s average selling price was only $180.
Source: Fortune