Tuesday, May 1, 2012

Apple And Samsung Are Taking Away Entire Revenue Of Mobile Market

Apple And Samsung - Pocketing Entire Mobile Market Revenue

A day ago, we discussed how Apple and Google are competing against each other and as the chats show Apple activates more iOS devices which includes iPhones and iPads, covering 80% of mobile and e-reading platform. Remaining 20% is covered by Google's Android with majority of devices belonging to Samsung.

According Raymond James, an analyst at Tavis McCourt, Apple and Samsung are reaping all the revenue from Mobile Market barely leaving anything for the remaining firms. McCourt also, notes that last quarter Apple account for 80% of all mobile industry profits and Samsung got the remaining 20%. The two mobile giant companies together also captured 74% of the mobile industry's revenue. The pace at which these firms are bagging in the profits and taking control of the entire market, the day will soon come when Samsung and apple will take 90% mobile market revenue, says an analyst at UBS
"It is getting increasingly hard to understand where the rest of the device vendors will get the capital to fund necessary R&D and sales and marketing investments to continue to compete with Apple and Samsung," the analyst wrote in a recent note to investors" - Raymond James
With essentially all of the other hardware vendors besides Apple and Samsung struggling to find profits to reinvest into R&D, Microsoft and Google have to be wondering who their hardware partners will ultimately be," McCourt continued. "Neither wants to be in a position where they have to take on more of the R&D burden, and neither want to have to initiate bidding wars to give Samsung an incentive to focus on its platform. Our assumption is that both Huaweii and ZTE will be courted heavily over the next few quarters by both Microsoft and Google as they look to strengthen their stable of sustainable hardware partners - BGR


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