The global smartphone market showed healthy growth in the second quarter, but Apple's iPhone was squeezed by competition from Samsung and other Asian manufacturers, surveys showed Friday.
Apple's share of the global smartphone market fell to 13.1 percent in the April-June period, according to research firm IDC. A separate report by Strategy Analytics gave Apple 13.6 percent, but noted that it was the US firm's lowest share since 2010.
Samsung extended its dominance, capturing nearly one-third of all smartphones sold worldwide, according to the surveys, while South Korea's LG and China's Lenovo and ZTE showed accelerating growth.
Neil Mawston, executive director at Strategy Analytics, said Apple is being squeezed on both the high and low ends of the smartphone market, by manufacturers using the free Google Android operating system.
"Apple is at risk of being trapped in a pincer movement between rival three-inch Android models at the low-end and five-inch Android models at the high-end," he said.
Mawston noted Samsung sales grew 56 percent from a year ago to 76 million smartphones, while Apple's growth was just 20 percent, less than half the industry pace of 47 percent.
Strategy Analytics said Apple was not only beaten on sales, but overtaken by Samsung as the world's most profitable smartphone maker.
The research group said Samsung's operating profit for its handset division was $5.2 billion in the second quarter of 2013 to $4.6 billion for Apple.
"Apple's reign as the world's most profitable handset vendor lasted almost four years," Mawston said.
"Apple's profit margin for its handset division has been fading recently due to lackluster iPhone 5 volumes and tougher competition from rivals. Samsung is performing well in the US market, while Huawei, ZTE and other local brands are growing vigorously in China.
"Apple is now under intense pressure to launch more iPhone models at cheaper price-points or with larger screens to fend off the surging competition."
Ramon Llamas at IDC said Apple's sales appeared to have been hurt by people waiting for new iPhone models in the second half of the year. He predicted the California firm will bounce back.
"This is the cyclicality of Apple," Llamas said. "By September or October we will see a new iPhone and unit sales are going to go through the roof again."
He said Apple did better than expected in the past quarter with sales of 31 million iPhones, as it added carriers in the US and other markets.
"There is still demand. They are still adding operators," he said. "I'm pretty patient with Apple."
IDC's figures showed 52 percent growth in smartphones with shipments totalling 237.9 million. It showed Samsung on top with 30.4 percent to 13.1 percent for Apple, with LG third at 5.1 percent, followed by Lenovo (4.7 percent) and ZTE (4.2 percent).
Strategy Analytics said growth was 47 percent annually to 230 million units. Its survey gave Samsung 33.1 percent to 13.6 percent for Apple, with LG at 5.3 percent, ZTE and 5.0 percent and Chinese maker Huawei in fifth place at 4.8 percent.
The reports included no breakdown of smartphones by operating system, but suggested Android made further gains, after holding some 75 percent of the market earlier in the year.
Llamas said BlackBerry, which saw its share shrink to some three percent earlier this year, "is still in relaunch mode" and has yet to come up with "a deeper and broader portfolio."
He noted that Windows Phone sales are picking up, with Nokia's Lumia -- the most important brand using the Microsoft operating system -- showing some gains with around seven million units sold.
"That's still small, but it's a step in the right direction," he said.
AFP
Sat Jul 27 2013
Is climate change making tropical storms more frequent? Scientists say it's unclear
Scientists say it remains unclear how much climate change is reshaping the storm season.
Samples obtained by Chinese spacecraft show moon's ancient volcanism
The material provides new insight into the moon's geological history including the oldest evidence to date of lunar volcanism.
The scamdemic targeting the young and vulnerable
Teenagers and young adults are becoming prime targets for a new wave of cyber scams, a trend raising alarm bells across Southeast Asia.
Japanese manicurist takes on plastic pollution, one nail at a time
Before global leaders address plastic pollution, a Japanese manicurist highlights the issue by incorporating it into her nail designs.
What to watch for ahead of US presidential inauguration
Here's a timeline of events between now and inauguration day.
The battle to reduce road deaths
In Malaysia, over half a million road accidents have been recorded so far this year.
Pro-Palestinian NGOs seek court order to stop Dutch arms exports to Israel
The Dutch state, as a signatory to the 1948 Genocide Convention, has a duty to take all reasonable measures at its disposal to prevent genocide.
How quickly can Trump's Musk-led efficiency panel slash US regulations?
Moves by Trump and his appointees to eliminate existing rules will be met with legal challenges, as many progressive groups and Democratic officials have made clear.
2TM: Consultations on PTPTN loans, admission to IPTA at MOHE booth
Consultations on PTPTN loans and admission to IPTA are among services provided at the Higher Education Ministry booth.
Kampung Tanjung Kala residents affected by flooded bridge every time it rains heavily
Almost 200 residents from 60 homes in Kampung Tanjung Kala have ended up stuck when their 200-metre (m) long concrete bridge flooded.
COP29 climate summit draft proposes rich countries pay $250 billion per year
The draft finance deal criticised by both developed and developing nations.
Bomb squad sent to London's Gatwick Airport after terminal evacuation
This was following the discovery of a suspected prohibited item in luggage.
Kelantan urges caution amidst northeast monsoon rains
Kelantan has reminded the public in the state to refrain from outdoor activities with the arrival of the Northeast Monsoon season.
Former New Zealand PM Jacinda Ardern receives UN leadership award
Former New Zealand prime minister Jacinda Ardern was given a global leadership award by the United Nations Foundation.
ICC'S arrest warrants for Netanyahu, Gallant an apt decision - PM
The decision of the ICC to issue arrest warrants against Benjamin Netanyahu and Yoav Gallant is apt, said Datuk Seri Anwar Ibrahim.
KTMB provides two additional ETS trains for Christmas, school holidays
KTMB will provide two additional ETS trains for the KL Sentral-Padang Besar route and return trips in conjunction with the holidays.
BNM'S international reserves rise to USD118 bil as at Nov 15, 2024
Malaysia's international reserves rose to US$118.0 billion as at Nov 15, 2024, up from US$117.6 billion on Oct 30, 2024.
Findings by dark energy researchers back Einstein's conception of gravity
The findings announced are part of a years-long study of the history of the cosmos focusing upon dark energy.
NRES responds to Rimbawatch press release on COP29
The Ministry of Natural Resources and Environmental Sustainability (NRES) wishes to offer the following clarifications to the issues raised.
Online Safety Bill and Anti-Cyberbullying Laws must carefully balance rights and protections
The Online Safety Advocacy Group (OSAG) stands united with people in Malaysia in the fight against serious online harms.