Samsung and Apple Continue to Dominate Smartphone Market, But iOS Market Share Falls

[MacRumors]

Gartner's quarterly Market Share Analysis: Mobile Phones, Worldwide report shows that Samsung and Apple continue to dominate the smartphone market, with more than 52% of the market between them, but that Android's market share grew dramatically year-on-year while iOS saw a decline.

Samsung's Q4 2012 smartphone sales totalled 64.5 million handsets, up 85.3% on the previous year, while Apple's sales reached 43.5 million, a 22.6% increase. However, with featurephones included in the picture, Apple lays in third place behind Samsung and Nokia, with a 9.2% market share.

The dominance of Android meant that overall iOS market share fell from 23.6% in Q4 2011 to 20.9% a year later. Android increased its market share in the same period from 51.3% to a commanding 69.7%. The bulk of this growth was at the expense of Symbian and RIM, but some of it was from iOS.

The figures are likely to fuel debate about Apple's pace of innovation, with iOS having changed far less dramatically than Android since the launch of each platform. While the Android platform is split across a range of manufacturers, giving it the benefit of being marketed by multiple companies, Samsung alone is responsible for 42.5% of Android sales.

With Samsung commanding over 42.5 percent of the Android market globally, and the next vendor at just 6 percent share, the Android brand is being overshadowed by Samsung's brand with the Galaxy name nearly a synonym for Android phones in consumers' mind share.

The report suggests that Apple's continued success may be more due to the halo effect of the brand, rather than the strength of the iOS platform itself.

The success of Apple and Samsung is based on the strength of their brands as much as their actual products. Their direct competitors, including those with comparable products, struggle to achieve the same brand appreciation among consumers, who, in a tough economic environment, go for cheaper products over brand.

Total worldwide mobile phone sales last year fell 1.7% to 1.75 billion, with the economy undoubtedly leading people to delay upgrades.

Article Link: Samsung and Apple Continue to Dominate Smartphone Market, But iOS Market Share Falls

[kjs862]

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

[FSMBP]

This sounds bad but I hope their market-share drops lower...It will force and motivate Apple to innovate more and release better features (like they did with Mac OS X).

[Eduardo1971]

I guess iOS 7 will 'make it or break it' for many straddling the fence between the iPhone and other mobile phone systems.

I wonder if this puts any pressure on the iOS team to make major changes in the next OS?

[ArtOfWarfare]

Wow!

With such growth, it's actually sounding like it might be worth while to develop for Android...

I certainly won't be abandoning iOS (it's far easier to program for) but I might start porting to Android...

Maybe Apple will have some major updates in iOS 7... Updating icons + widgets in notification center + TTS/speech recognition SDKs would certainly be nice...

[Rocketman]

With the net cost associated with the handset and OS about half the "consumer visible cost" on Android units including Samsung, one would actually expect the differential uptake to be much wider.

[bobenhaus]

Originally Posted by kjs862

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

Apple is not like Ferrari and shouldnt be comparing them at all. Pumping up the price on a device that could be sold at a 3rd or 1/2 the price is not comparible to Ferrari.

[AppleScruff1]

Originally Posted by kjs862

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

Actually Apple is like Toyota, not exclusive at all. Kids have iPhones. You can buy them at WalMart Target, etc. iPhones are as common as can be. Ferrari is quite exclusive.

[Oohara]

But....it just works?!

[Pianoblack3]

Originally Posted by FSMBP

This sounds bad but I hope their market-share drops lower...It will force and motivate Apple to innovate more and release better features (like they did with Mac OS X).

I agree, Apple need a swift kick in the rear! This is 2013, the future! Hurry up and make hover cars for gods sake!

[Popeye206]

Originally Posted by kjs862

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

In the end it really does not mean too much given that the phone market is fluid. Fluid meaning there is always customers buying new or changing phones. So a Nokia customer today could be an Apple customer tomorrow. Or visa versa.

For Apple, it's really about keeping the product reliable and attractive. If they do this, they will continue to expand their market. However, the fact of the matter is, everyone that is not Apple will be using something other than iOS on their phone and most of them will be Android... at least today.

[gmiller744]

Stating facts is not the same thing as analysis. It's impossible for their percentage share not to drop when the market becomes so diluted. Samsung's percentage dropped as well, but they use the same OS as the others, so it's not reflected in this pointless chart. Apple still showed strong growth. Just because a number exists, doesn't mean it's relevant.

[nazaar]

Apple take notes... People might want a 'great experience', but they also want a great iOS to go along with that experience.
Android OS is stepping over you and Windows OS has some great ideas. iOS has gotten stale... why must I double tap the home button to switch apps? Why do I have to go all the way through Settings to turn on/off BT / Wifi / Airplane mode? Where are widgets?

iOS is clunky and needs a revamp.

[aristobrat]

Originally Posted by FSMBP

This sounds bad but I hope their market-share drops lower...It will force and motivate Apple to innovate more and release better features (like they did with Mac OS X).

If Tim Cook is being truthful when he's repeatedly said that they don't care about marketshare, then Apple's marketshare dropping won't influence their innovation.

He says they care about making good products. If that means they lose marketshare because they don't have anything on the market with bigger screens, because they haven't found a way to do it that they like, then they lose marketshare.

Personally, I don't think they're losing any sleep over it. Even if they lose 50% more marketshare, their company still turns enough profit for them to do what they say they like to do, which is design good products.

[AppleScruff1]

Originally Posted by gmiller744

Stating facts is not the same thing as analysis. It's impossible for their percentage share not to drop when the market becomes so diluted. Samsung's percentage dropped as well, but they use the same OS as the others, so it's not reflected in this pointless chart. Apple still showed strong growth. Just because a number exists, doesn't mean it's relevant.

I'm not picking on you, but why does someone always make a statement like this whenever the numbers aren't in Apples favor? If it were the other way around people would be bragging about how Apple dominates with only a few phones while there were a hundred different Android phones.

[pancakedrawer]

I thought Research in Motion changed their name to Blackberry

[samcraig]

Originally Posted by kjs862

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

see below. Being able to get an iPhone for free and/or cheap at the local walmart does not a Ferrari make.

Originally Posted by AppleScruff1

Actually Apple is like Toyota, not exclusive at all. Kids have iPhones. You can buy them at WalMart Target, etc. iPhones are as common as can be. Ferrari is quite exclusive.

Marketshare is important. So is profit.

At the end of the day - both Apple and Samsung are doing very well in both categories.

[FrizzleFryBen]

Originally Posted by kjs862

I don't get these type of conversations. It's like talking about how much market share Ferrari has -- it doesn't make sense.

Apple is like Ferrari.

More like toilet paper. People either have a preference, they don't or someone else chooses it for them. The difference is, not everyone can afford the good stuff and there are many brands of the good stuff.

[slffl]

The market share is falling not because people are switching from iOS to Android, or choosing Android over iOS for their first phone, it's because people are upgrading their feature phones, walking into their service providers store, and getting what they think is the most bang for the buck which equals a LARGE phone for cheap (they don't care about what OS is on it, or if their money is going to America or Korea).

Then they take it home and all they do is talk and text on it.

[AppleScruff1]

Originally Posted by samcraig

Marketshare is important. So is profit.

At the end of the day - both Apple and Samsung are doing very well in both categories.

But this is MacRumors and numbers are only important if they favor Apple. In this case, people will say, who cares if market share is falling, Apple makes better profits.

[bushido]

yes please drop even further to get their lazy ass up from the "throne" about time

[syd430]

This is the end of Apple.

I'm calling it now - Chapter 11 bankruptcy in 6 months.

[MSUSpartan]

So history does repeat itself.

[Stella]

Don't think it really matters if iOS market share falls - it is to be expected as there are more and more non iOS smartphones entering the market.

What is important is that the iOS marketshare stays at a level that keeps developer interest. Fall too low and developers will move on.

[Mac-Mariachi]

Same story as Macs vs Windows.

PC manufacturers sell much more Windows computers than Apple sells Macs, but I still take OSX over Windows anytime.

Android is a pretty good competitor and I´m sure Apple knows it and is working hard to kick our collective butts in a year or so, maybe even less.