ChannelLife NZ - Samsung smartphones dominate Android market

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Samsung smartphones dominate Android market

A whopping 95% of all Android smartphone profits were captured by Samsung during the first quarter of 2013, as the company dominates the worldwide market.

That is according to the latest research from Strategy Analytics, which says global Android smartphone profits reached US$5 billion in total during the first quarter of 2013, of which the South Korean firm claimed a near full-swoop.

“We estimate the global Android smartphone industry generated total operating profits of US$5.3 billion during Q1 2013," says Neil Shah, senior analyst, Strategy Analytics.

"The Android platform accounted for 43% share of the entire smartphone industry’s operating profits, which reached US$12.5 billion worldwide in the first quarter of this year.”

Following news of an Android and Windows product launch in London next month, Strategy Analytics estimated Samsung's Android smartphone shipments generated US$5.1 billion of operating profit worldwide during the quarter.

Citing reasons why, fellow senior analyst at the company Woody Oh said:

"An efficient supply chain, sleek products and crisp marketing have been among the main drivers of Samsung’s impressive profitability.

LG provided the only other noticeable input in the market, delivering a small profit during the quarter despite lacking the volume scale needed to match Samsung's outsized profits.

“Samsung is, for now, the undisputed king of the global Android smartphone industry," says Neil Mawston, executive director, Strategy Analytics.

"We believe Samsung generates more revenue and profit from the Android platform than Google does.

"Samsung has strong market power and it may use this position to influence the future direction of the Android ecosystem.

"For example, Samsung could request first or exclusive updates of new software from Android before rival hardware vendors.”

Can any company compete with Samsung in the Android market? Tell us your thoughts below

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