The Strategy Analytics research report puts Apple's FY 2016 market share at 14.5 percent, behind market leader Samsung at 20.8 percent.
Despite Apple selling lesser devices than the plethora of Android-powered smartphones, the Cupertino-based technology company has made it a norm to gather much of the industry's profits, every year. In a research report filed by Strategy Analytics, Apple's net profit of $44.9 billion accounted for 79 percent of the entire smartphone industry's total profit generated, which stood at $53.7 billion.
The latest report is in line with previous research reports of yesteryears from varying sources, which have showed Apple to be consistently taking home most of the profits generated in the industry. Apple's revenue model is significantly dependant on the iPhone, which despite having delivered such profits, have slowed down in terms of global sales. Apple typically has a much greater margin of profit when compared to other companies in the smartphone market, leading to such massive profit figures.
The report also reveals Apple's position as number two in terms of global market share with 14.5 percent, behind Samsung Mobile with 20.8 percent. Despite the significantly larger market share, Samsung Mobile's profits for FY 2016 stood at $8.3 billion, which accounted for only 14.6 percent of the entire pie.
Apple's shipments have also received a slight boost with the new iPhone 7 and iPhone 7 Plus, states Strategy Analytics. In the report, the research team states that Apple's global iPhone shipments saw 0.5 percent year-on-year increase in Q4 2016. Of late, the company has been singled out for the lack of excitement and innovation that surrounded its devices when the late Steve Jobs was at helm. The iPhone, Apple's flagbearer in the technology industry, has retained practically the same design for three full cycles now, and Apple's latest MacBook Pro laptops have also faced heavy criticism for including underpowered hardware and inconsistency surrounding its battery.
Despite such seemingly difficult times, Apple has remained the largest profit-maker in the cut-throat smartphone industry, and may possibly continue to be so in the near future. The company is slated to launch a special, anniversary edition iPhone that may cost about $1,000, which may have a major impact in reviving sky-high sales numbers.
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