Apple Scooped Up 90% Of Operating Profit In Mobile Market, Analysts Say
According to research firm Strategy Analytics, Apple accounted for 91% of operating profit generated through smartphone sales for the last quarter of 2016.
Of the $9.4 billion in operating profits generated by the smartphone market, the Cuperino-based firm accounted for $8.5 billion of it.
“Apple’s ability to maximize pricing and minimize production cost is hugely impressive and the iPhone continues to generate monster profits. Huawei, Vivo and OPPO are the next three most profitable smartphone vendors globally this quarter, but they are still a long way behind Apple,” Strategy Analytics said.
While no other vendor managed to climb above 2.5% of the total profit generated, the research results did note the growing of Chinese players.
Linda Sui, Director at Strategy Analytics, noted that “Three of the world’s top four most profitable smartphone vendors are currently Chinese. Huawei, Vivo and OPPO have not only improved their smartphone product lineups this year, they have also enhanced their operational abilities and kept a tight lid on expanding distribution costs.”
The absence of Samsung here is noteworthy, but not terribly surprising given the setbacks faced by the company in the wake of the Note 7 recall.