EE|Times: Apple, Samsung still hogging all handset profits

As was the case in the second quarter of this year, electronics heavyweights Apple Inc. and Samsung Electronics Co. Ltd. took all of the profits in cellular handsets—and then some—in the third quarter, according to Michael Walkley, an analyst at Canaccord Genuity Corp.

Combined, Apple and Samsung took 106 percent of handset profits in the third quarter, down slightly from 108 percent in the second quarter, according to Walkley. The percentage is greater than 100 to offset for operating losses incurred by struggling vendors like Research in Motion, Nokia and Motorola.

“With Samsung extending its overall smartphone and Android market share combined with Apple’s strength in high-end smartphones, competing smartphone OEMs continued to struggle to compete with these dominant smartphone OEMs,” Walkley wrote in a recent report.

Suppliers of chips and other components to iPhones and Samsung Galaxy smartphones aren’t complaining, though. According to Walkley, Qualcomm, Avago, RF Micro Devices and Skyworks Solutions and others all stand to benefit from a strong ramp up in LTE smartphones. All are suppliers to the iPhone 5 and should benefit from Apple’s far-reaching rollout of the phone, which Apple plans to launch in more than 100 countries, including China, by the fourth quarter of the year.

Samsung, which surpassed Nokia as the top overall handset supplier earlier this year, saw its handset market share increase slightly to 25.6 percent in the third quarter. Apple, meanwhile, saw its overall handset share dip slightly to 6.3 percent.

From: http://cdn.eetimes.com

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