Skip to main content

Apple took a whopping 92 percent of smartphone industry profits for Q4 2016

how to sync your Outlook calendar to an iPhone
Image used with permission by copyright holder
Apple is on a roll. The company took over 91 percent of the smartphone industry’s profits for six straight quarters, and now it has officially extended that record to seven straight quarters, according to a report from Canaccord Genuity. In fact, the company captured a hefty 92 percent of industry profits during the fourth quarter of 2016, despite only accounting for 18 percent of unit sales.

Apple has a history of taking massive profits in the smartphone industry — and in some quarters it has even taken more than 100 percent, something that is only achievable because other manufacturers actually lost money during that particular quarter. As part of the report, six major smartphone manufacturers were surveyed, and four of those manufacturers were profitable.

So who else took profit? Well, according to the report, Samsung captured 9 percent, while Sony and BlackBerry both captured less than 1 percent. Again, the total figure only sits at over 100 percent because other manufacturers reported loses rater than profits. Those manufacturers, according to the report, include Microsoft and LG Electronics.

Apple’s success isn’t all on its own back — the company also may have benefited from the Samsung Galaxy Note 7 recall, which saw Samsung’s flagship device for the second half of 2016 coming off the market after users began reporting the Note 7’s battery catching fire.

It’s possible that Apple’s profit streak may break some time soon. According to Canaccord analyst T. Michael Walkley, it’s expected that iPhone sales will slow over the next few months as consumers begin looking forward to a new range of iPhones later in the year.

The last time the report was published, it was noted that Huawei was one of the most profitable smartphone manufacturers, with around 2 percent of industry profits. It’s unclear where Huawei sat in the new report — however, its possible that the company will report losses for the fourth quarter of 2016.

Editors' Recommendations

Christian de Looper
Christian’s interest in technology began as a child in Australia, when he stumbled upon a computer at a garage sale that he…
Google Pixel 4a vs. Apple iPhone XR
Google Pixel 4a Selfie Camera

The Google Pixel 4a is undoubtedly one of the best budget smartphones around, featuring a flagship-level camera as well as great software and solid overall performance. Something very similar can be said for the Apple iPhone XR, which, despite being two years old, combines beauty, efficiency, user-friendliness, and a strong camera into an affordable package (at least compared to other Apple smartphones). It is arguably the best budget Apple device and should probably be your first option if you're looking specifically for an Apple device that won't leave a large, gaping hole in your wallet.

However, assuming you don't have a particular preference when it comes to iOS versus Android, which is the best smartphone out of the Pixel 4a and iPhone XR? We take a closer look at both devices to find out, comparing their displays, designs, cameras, performance, battery life, special features, and price. This should help you decide which is the more affordable phone for you.

Read more
Apple’s iPhone 11 has been the bestselling smartphone of 2020 so far
Apple iPhone 11

Apple’s iPhone 11 has been the most-shipped smartphone of 2020 so far. According to a report by a London-based tech research firm Omdia, the iPhone 11 outsold every other phone by a significant margin. Apple is said to have sold nearly 37.7 million units of the iPhone 11, three times more than Samsung’s budget Galaxy A51 handset which ranks second on the list.

Other than the iPhone 11, Apple dominates the charts as all of its recent models including the iPhone 11 Pro, iPhone SE, and iPhone 11 Pro Max have made the top-10 cut. Samsung, meanwhile, managed to secure only a single position and the rest of the spots have been acquired by China-based phone maker Xiaomi.

Read more
Apple may delay the iPhone 12, its first 5G smartphone, report says
The Apple iPhone 11 Pro

The iPhone 12 is expected to feature an all-new design and  5G support, but it looks like Apple is considering delaying the launch of the new device, possibly till 2021, due to the coronavirus pandemic, officially known as COVID-19. The news comes from Nikkei Asian review, which cites three sources "familiar with the matter."

If Apple were to delay the iPhone 12, it would be pretty big news. Flagship iPhones have launched in September every year since 2011, and customers now expect a new iPhone at that time of year. The coronavirus has put a strain on supply chains, and even if the iPhone 12 is announced in September, there could be a delay in the phone's release, or at least limited supply.

Read more