A quick read of headlines in 2013 and you would think Apple was overtaken by Samsung in smartphone marketshare. Truth and facts have combined to create a different reality for Samsung. Apple sells more premium smartphones than the Korean copy machine.
Lies, Damned Lies, Samsung
Yes, Samsung sells more cell phones than Apple, so the total marketshare numbers go to Samsung, as always. Nothing new to see here, move along.
The problem rearing an ugly head these days is that Samsung’s sales and profits have basically stalled, while Apple’s iPhone sales jumped another 26-percent in the most recent quarter.
See, Apple doesn’t sell junk. The iPhone is a premium brand. The only Samsung models that are similar is the flagship Galaxy S4, and the Note, and those models just doesn’t measure up to Apple’s iPhone numbers.
Any comparison of Samsung’s now moribund sales numbers beyond the Galaxy line is akin to comparing Apple’s to oranges. The problem with Samsung’s lies, damned lies, and statistics is that the Korean conglomerate doesn’t actually publish smartphone sales numbers, but has admitted that Apple’s iPhone outsells the Galaxy S4 and Note models.
Let’s review that incriminating evidence again. Samsung admits that only about a third of all phones the company sells are premium smartphones that compete with Apple’s iPhone, and Apple sells more iPhones than Samsung sells premium smartphones.
Did someone slip some sodium pentothol into the Samsung executive lunchroom? What’s with all the somewhat obscured honesty recently?
It’s the math. Samsung’s high flying days of truthiness have fallen to the oldest scourge in the history of man. Truth. In the form of basic math. The more market analysts dig into Samsung’s numbers, the more questions they ask, and the worse Samsung’s financials look when compared to Apple’s financials, which are actually understated (there’s that whole thing about $10-billion in deferred revenue).
In short, Samsung makes pretty good money on the Galaxy Note and S4 models, and probably not much else anywhere in the smartphone or tablet arena, despite shipping boatloads more products than Apple into the marketplace.
Shipping? Yeah, sales in Korean is pronounced shipping.
Apple’s market is premium. Mac, iPhone, iPad. PCs, smartphones, tablets. Marketshare is merely one measure of a company’s influence and success in an industry segment. Samsung is a valid, viable competitor, of course, but Apple owns the premium space and most of the profits in every valid segment– PCs, smartphones, tablets, applications, media content.