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Old May 16, 2013, 09:57 AM   #1
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Android and iOS Continue to Dominate Smartphone Market as Windows Phone Shows Signs of Life




Following up on its April report breaking down mobile phone shipments by manufacturer for the first quarter of 2013, research firm IDC today issued a new report looking at shipments from an operating system perspective. The report unsurprisingly shows that Android and iOS continue to dominate the smartphone market with over 92% of shipments during the quarter, with Android's broad availability driving it to represent 75% of all shipments.
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Apple iOS marked its largest ever first quarter volume on the strength of its iPhone shipment volumes, yet the operating system posted a year-over-year decline in market share and lower year-over-year shipment growth than the overall market. Although demand remains strong worldwide, the iOS experience has remained largely the same since the first iPhone debuted in 2007. That appears ready to change as online rumors and speculation predict a massive overhaul of the user interface when iOS 7 debuts.
Worldwide Smartphone Shipments in 1Q13 in Millions of Units (Source: IDC)
The gains by Android and iOS over the last several years have come at the expense of every other operating system, but IDC's numbers reveal that Windows Phone is beginning to see signs of life with shipments more than doubling year over year, although its share of the market remains low at 3.2%.

Still, Windows Phone was the only minor competitor to gain share over the previous year, with BlackBerry continuing its slide in falling to 2.9%, although IDC suggests the launch of BB10 may bolster BlackBerry's numbers going forward. Linux and Symbian also saw significant share losses as their former supporters have shifted focus to Android and Windows Phone.

Article Link: Android and iOS Continue to Dominate Smartphone Market as Windows Phone Shows Signs of Life
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Old May 16, 2013, 10:04 AM   #2
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I don't follow this stuff at all, the trend of smartphones and stuff. But what phone comes with Linux??
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Old May 16, 2013, 10:06 AM   #3
ThatsMeRight
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I still remember when the iPhone 'only sold 4-6 million units' in a quarter. And now, Windows Phone sales are considered disappointing with 'only 7 million sold units' in one single quarter.

I think they are doing great - and I believe that it is unreasonable to expect that a company goes from selling 3 million units to 30 million units a quarter. Going from 3 million to 7 million, like Windows Phone, year-over-year is a great accomplishment.
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Old May 16, 2013, 10:09 AM   #4
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Originally Posted by palmerc2 View Post
I don't follow this stuff at all, the trend of smartphones and stuff. But what phone comes with Linux??
I'm only on day two with this, but so far it's rather compelling.


http://www.ubuntu.com/phone

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Originally Posted by ThatsMeRight View Post
I still remember when the iPhone 'only sold 4-6 million units' in a quarter. And now, Windows Phone sales are considered disappointing with 'only 7 million sold units' in one single quarter.

I think they are doing great - and I believe that it is unreasonable to expect that a company goes from selling 3 million units to 30 million units a quarter. Going from 3 million to 7 million, like Windows Phone, year-over-year is a great accomplishment.
Well said!
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Old May 16, 2013, 10:12 AM   #5
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Wut iz dis Windows fone dey talk bout?
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Old May 16, 2013, 10:12 AM   #6
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Old May 16, 2013, 10:13 AM   #7
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Originally Posted by ThatsMeRight View Post
I still remember when the iPhone 'only sold 4-6 million units' in a quarter. And now, Windows Phone sales are considered disappointing with 'only 7 million sold units' in one single quarter.

I think they are doing great - and I believe that it is unreasonable to expect that a company goes from selling 3 million units to 30 million units a quarter. Going from 3 million to 7 million, like Windows Phone, year-over-year is a great accomplishment.
When the iPhone sold 4 to 6 million units.. it was 2007/2008 smartphones were a new thing, the overall market of people buying smartphones by comparison was very small so Apple's 4 to 6 million units was probably 80 to 90% of the total market. M$ is just so late to the game with a smarphone people look at 7m as disappointing against the 200 million overall smartphones sold.

Timing is everything.
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Old May 16, 2013, 10:15 AM   #8
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The way I see this chart,it's Android that's dominating...
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Old May 16, 2013, 10:16 AM   #9
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The market share difference between MS and Apple shrunk by 7% Y/Y... If both companies repeat their performance for the next two years, MS will overtake Apple.

Of course, Android is still crushing all.

Seems odd... Whenever I look around myself it seems Apple is at 70-90% and Android is everything else (so 30-10%.)

Evidently my view of the world is narrow, as the numbers are reverse that.
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Old May 16, 2013, 10:21 AM   #10
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Originally Posted by bossxii View Post
..... it was 2007/2008 smartphones were a new thing, the overall market of people buying smartphones by comparison was very small so Apple's 4 to 6 million units was probably 80 to 90% of the total market. ...
Only if you consider the smartphone market by today's definition. But if you look at RIM sales (for example) in 2007/08, it was much higher (10 million?). And of course there were other 'connected' devices as well (Treo, Nokia, etc).

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Old May 16, 2013, 10:24 AM   #11
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iOS and Android dominating the market? I would say more like Android dominates the market, and apple only has 17%... not much domination by any standard.

With iOS' 6.8% year over year growth and Androids 79.5%, I find hard to agree that iOS is "dominating" the market.
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Old May 16, 2013, 10:26 AM   #12
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I know that personal experience is anecdotal, but I find it very hard to accept those numbers. Everywhere I look in the DC area, it's iPhone, iPhone, iPhone, with a few random Androids (and even then it's not "popular" models like the S3). I've literally seen three Windows phones outside of a cell phone store, but they're supposedly selling one Windows phone for every five iPhones? Are these numbers completely bogus, or do Android users just keep their phones tucked tightly away? Why aren't app revenues shifting between iOS and Android if the market share is shifting that much?
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Old May 16, 2013, 10:28 AM   #13
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What most people don't realize is that there is only 1 manufacturer of iOS devices - Apple.

There are hundreds of manufacturers of Android capable devices.

You can't compare the output of 1 manufacturer to the output of combining 100's of manufacturers. Doesn't lend itself to a even comparison.

That said I'm very impressed with where Apple is from a manufacturing stand point. Year over year they have demonstrated that they can continue to ship more units (through more efficient manufacturing methods or strategic retail alignments). Impressive.
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Old May 16, 2013, 10:30 AM   #14
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Don't forget that only 25% of Android phones are running the latest firmware (Jellybean).

Assuming the Android phones running Jellybean are the fastest, flagship Android phones (ie the real competitors to the iPhone and not the cheapy low end ones), there's not much between that and iOS at all.


I know my logic is probably flawed somewhere here, but it's just something to keep in mind when looking at OS marketshare.
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Old May 16, 2013, 10:33 AM   #15
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The way I see this chart,it's Android that's dominating...
I think OS marketshare still doesn't matter that much to Apple.

Let's take this pumpkin pie.

Apple gets a slice that is 17% of the pie. Pretty big slice. Then there a few slivers that go to other people. Then 74% goes to Android manufacturers.

That means Motorola, Samsung, LG, HTC, Sony, Huawei, ZTE, Kyocera, Oppo, Lenovo... and countless other Chinese manufacturers... have to share 74% of that pie.

Seems like Apple is eating the best here.

Not to mention that all of Apple's phones come at a premium price which net's them higher profit margin than most others. A huge chunk of Android market share can be attributed to low end smartphones sold in emerging markets. India and China come to mind. Also... most of that 74% is running older Android software... Gingerbread, ICS... etc.
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Old May 16, 2013, 10:33 AM   #16
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Originally Posted by GoldenJoe View Post
I know that personal experience is anecdotal, but I find it very hard to accept those numbers. Everywhere I look in the DC area, it's iPhone, iPhone, iPhone, with a few random Androids (and even then it's not "popular" models like the S3). I've literally seen three Windows phones outside of a cell phone store, but they're supposedly selling one Windows phone for every five iPhones? Are these numbers completely bogus, or do Android users just keep their phones tucked tightly away? Why aren't app revenues shifting between iOS and Android if the market share is shifting that much?
Could just be the population segment. I'm in DC as well and that's all I see. DC is a major city. People who live here do have some financial means of supporting themselves.
This trend may not be the same among those who don't have the financial means to drop $200+ $80/month on an iPhone - the remaining 67%.

I know I am oblivious to the fact that not everyone is going to buy an iPhone or the Samsung S4 - not everyone has that kind of expendable funds.
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Old May 16, 2013, 10:36 AM   #17
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That said I'm very impressed with where Apple is from a manufacturing stand point. Year over year they have demonstrated that they can continue to ship more units (through more efficient manufacturing methods or strategic retail alignments). Impressive.
Actually, yeah, that's probably the case for a ton of Android users. There's a huge segment of the market that gets free Android devices, use it like a feature phone, never download an app or surf, and still get counted for market share.
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Old May 16, 2013, 10:38 AM   #18
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Originally Posted by ArtOfWarfare View Post
The market share difference between MS and Apple shrunk by 7% Y/Y... If both companies repeat their performance for the next two years, MS will overtake Apple.

Of course, Android is still crushing all.

Seems odd... Whenever I look around myself it seems Apple is at 70-90% and Android is everything else (so 30-10%.)

Evidently my view of the world is narrow, as the numbers are reverse that.
Those are not market share, they're shipments made within a quarter.

For Windows Phone to surpass iOS in actual market share, they would first have to ship more per quarter (which they aren't close to do) and maintain it for years until it compensates for all iPhone users that still have an iPhone they bought when iOS was more popular than Windows Phone.

Honestly I doubt WP will ever surpass iOS.
Some analysts do (or did) however: Gartner, IDC, Pyramid Research, IHS iSuppli.

As for your observations, keep in mind that those are Worldwide shipment numbers. Emerging countries like China and India are buying more and more budget Android phones instead of dumbphones and Apple has no competitive offering unlike pretty much all other manufacturers. I wouldn't worry too much about it however, as those cheap smartphones usually have razor-thin margins and those subsidized iPhone sales in the U.S. generate a lot, lot more profits.

An iPhone that generates 30x as much profits as a dumbphone-replacement $50-100 (unsubsidized) "smartphone" is a lot more desirable for a company, yet a chart like this wouldn't make any distinction.

Last edited by pgiguere1; May 16, 2013 at 10:47 AM.
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Old May 16, 2013, 10:38 AM   #19
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Originally Posted by AEMV View Post
iOS and Android dominating the market? I would say more like Android dominates the market, and apple only has 17%... not much domination by any standard.

With iOS' 6.8% year over year growth and Androids 79.5%, I find hard to agree that iOS is "dominating" the market.
What corporation are making the lion's share of the profits?

iOS is dominating.
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Old May 16, 2013, 10:39 AM   #20
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the way I interpret the data... Apple still grew 6.6%, but the market grew at 41.6%, meaning that Apple's product is not in the high growth segment of the market (the premium market is slowing comparatively). Which reinforces they are coming out with a product to address the high growth segment (likely the mid market)... I do not believe is necessary an iOS 7 thing.

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Old May 16, 2013, 10:40 AM   #21
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IDC suggests the launch of BB10 may bolster BlackBerry's numbers going forward
Nothing can save BlackBerry at this point.
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Old May 16, 2013, 10:46 AM   #22
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Nothing can save BlackBerry at this point.
Stranger things have happened. Remember Apple, circa 1996? They were 2 weeks away from going bankrupt.
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Old May 16, 2013, 10:46 AM   #23
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Windows phone

I was going to give the Windows phone a try, but it doesn't have like 95% of the Apps that I like on my iPhone. Once it has more apps I'll check it out.
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Old May 16, 2013, 10:47 AM   #24
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Originally Posted by ThatsMeRight View Post
I still remember when the iPhone 'only sold 4-6 million units' in a quarter. And now, Windows Phone sales are considered disappointing with 'only 7 million sold units' in one single quarter.

I think they are doing great - and I believe that it is unreasonable to expect that a company goes from selling 3 million units to 30 million units a quarter. Going from 3 million to 7 million, like Windows Phone, year-over-year is a great accomplishment.
You know I really want to agree with you... But I just can't. For the following reasons...

1) Windows Phone has been out for just over 2 and a half years (and Microsoft has been making phone software for over 10 years). How much longer are we going to cut them a break? Just because their sales were amazingly crappy over the first year and a half, should we give them huge credit because now their sales are only pretty crappy?

2) iOS only has one manufacturer. And only has 3 models available (actually only had 2 models at the timeframe you are referencing). Windows Phone has one HUGE partner in Nokia (who used to be far and away the largest smartphone maker) and has several other manufacturers as well. They make a huge slew of products at all kinds of price ranges

3) The Quarter the iPhone 3GS released so the iPhone had been around for just 2 years (less time than Windows Phone has now), Apple sold 7.9 iPhones. That's right. Apple sold more smartphones in less time with 2 models. In fact, just for fun I decided to look a year earlier... With ONE model, and ONE year on market, the SOLD (not shipped) 6.9 million iPhones with extremely constrained supply.

4) The smartphone market is MASSIVE now, and Microsoft still only managed to SHIP (not sell) 7 Million? Over 200 million smartphones sold this quarter... When Apple was selling 7 million the smartphone market was less than a quarter this size...
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Old May 16, 2013, 10:50 AM   #25
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Since when Android is not based on Linux? That's so misleading

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I don't follow this stuff at all, the trend of smartphones and stuff. But what phone comes with Linux??
I think it means Ubuntu Linux. Android is also Linux and iOS is BSD
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