We’ve previously heard of the dire state of Android manufacturers slowly losing all their profit margin in an increasingly competitive smartphone industry, but we had no idea it was this bad – or how badly Apple is beating everyone. According to Canaccord Genuity, Apple’s share of global smartphone operating profit share has risen to 94% in Q3 2015, a jump from 85% the same time last year. Perhaps the more depressing news from this analysis is that Samsung, the last remaining Android manufacturer to be making any kind of profit margin, has now decreased its share to 11%, a far cry from its 42% just two years ago.
As you can see, plenty of manufacturer’s profit margin have dipped to 0%, with some even incurring losses for every device made a la Microsoft and Lenovo/Motorola. Going forward, it’s not clear how some manufacturers will be able to increase their profit margin with how things are progressing, but presumably the hope is that devices start to get cheaper with more focus on usability and user experience over sheer performance.
What do you think about the smartphone operating profit share across all manufacturers? Let us know your thoughts in the comments below.
Source: Canaccord Genuity via Phone Arena, Apple Insider
