2016 Internet Trends Report: Global Smartphone User Growth Slowing as Android Outpaces iOS

[wlossw]

Good to see that you care. People should care. The more sales and money Apple makes, the more money they have to plow back into R&D to improve their products and come up with new product.

Thanks for the grammar lesson... But you and I know that competition is the number one driver of innovation.

 

[vfr800]

What an original and informed comment. Very helpful.

Actually, it's pretty much why I have a Samsung Alpha - decided I couldn't afford an iPhone for what it was offering.

Also, the latest Samsung S7 has 3600 mAh battery, and the 6s has, what, an 1810 mAh? I know iOS is more efficient, but hmm... I'm sick of "thin" at the expense of usability/practicality.

For me, at the moment, the combined security of the iPhone (fingerprint reader) is the only killer reason to get an iPhone (it's effectively useless on my Samsung Alpha)

 

[smacrumon]

Apple has gotten incredibly good at understanding the bare-minimum that they can get away with

This is straight to the point and completely right on.

 

[friedkimchi]

The real winner is Google. More Android devices == More eyeballs.

Never cared for the iPhone as I am used to the openness of Android (do whatever you want, cracked apps etc.) Since the GingerBread days using the HTC Desire.

Sure the iPhone looks nice, but I'm more function over form.

 

[canny]

Thanks Tim

 

[69Mustang]

Worth pointing out that "units shipped" shouldn't be confused with "sold through" numbers. If millions of units are sitting on retailer shelves, that doesn't mean squat except for excessive quantity. Sold through numbers are products in consumers hands.

In the game console space, we've seen a flop in who was the leader, and one thing that flipped is when you are ahead, you show off your sold through numbers, and when you are trailing, you use your unit shipped numbers...if you even decide to report.

It's not relevant here. The smartphone industry reports have always reported estimated shipment numbers or actual shipment numbers if a company has reported them. Not saying you're doing it, but the traditional theme in these parts has been "Apple reports sold and others report shipped". It's incorrect. All of the numbers are shipped numbers for everyone. Relative to the reports, there is no confusion since they're all using the same type of number.

 

[now i see it]

Yeah, if Android is going on sub $200 phones, there's gunna be a lot more Android users than $800 iPhone users.

 

[smacrumon]

So the iPhone SE should sell for 100$ get serious

iPhone 6s should start from $649 $349.
SE is so clearly the afterthought-of-the-year-new-device-in-an-old-body-with-newish-parts-almost. Apple has to recognize it has got away in the short term with insane margins and that approach is now showing in real data as one that is failing.

 

[Stella]

People want value for money. Do iPhone's offer the value than Android phones do?

There's only so long Apple can rely on "thinner, faster, better camera"....
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Worth pointing out that "units shipped" shouldn't be confused with "sold through" numbers. If millions of units are sitting on retailer shelves, that doesn't mean squat except for excessive quantity. Sold through numbers are products in consumers hands.

If there were "millions" of Android phones are sitting on shelves unsold, retailers wouldn't stock them. It costs retailers money. So, we can be sure that Android phones are selling in sufficient quantity that the "units shipped" vs "units sold" is both tired and not particularly relevant argument.

 

[RedOrchestra]

there's gunna be a lot more Android users than $800 iPhone users.

Damned hard to nail down just who in this world actually needs an $800 iPhone.

 

[Skika]

iPhone 6s should start from $649 $349.
SE is so clearly the afterthought-of-the-year-new-device-in-an-old-body-with-newish-parts-almost. Apple has to recognize it has got away in the short term with insane margins and that approach is now showing in real data as one that is failing.

Delusional

 

[commanderclif]

It's not relevant here. The smartphone industry reports have always reported estimated shipment numbers or actual shipment numbers if a company has reported them. Not saying you're doing it, but the traditional theme in these parts has been "Apple reports sold and others report shipped". It's incorrect. All of the numbers are shipped numbers for everyone. Relative to the reports, there is no confusion since they're all using the same type of number.

Thanks and I understand, sorry if I made that confusing by maybe implying I was saying mobile was apples to oranges like consoles but I understand its apples to apples here. I guess I'm still curious how the two companies look at what is the ideal shipped to sold ratio. The numbers or pretty wide but is Samsung cool with 5x or 10x more quantity on sitting on shelves then say Apple?

 

[BruceEBonus]

There's a limit to what a brand name can bluff over. That limit may now be reached. But not quite yet. Amazingly, although Apple hasn't market led for a few years now - it is credit and proof that IOS really was ten years ahead of it's time. In 2007 it was ergonomically simple, clean and functional. Its only now that the general public are getting wind that Apple doesn't market lead. Instead of MagSafe - its Thunderbolt. Instead of iPad it's Apple Watch. Instead of FaceTime its 3D Touch. Instead of iMessage it's Lightning Connector? And instead of iLife its Apple Car! In other words, they're now fashion over function. Before - it was both.
It used to be when folks saw you taking out your new IPhone they'd say "Wow! What is that". When I saw the Samsung S6 I said the same thing. That was the time I realised the bubble had burst - Apple had snoozed. And you know what happens when you snooze .....

 

[AFEPPL]

iPhone 6s should start from $649 $349.
SE is so clearly the afterthought-of-the-year-new-device-in-an-old-body-with-newish-parts-almost. Apple has to recognize it has got away in the short term with insane margins and that approach is now showing in real data as one that is failing.

But they are "already" free for many people around the world as part of a contact.
I dont ever recall paying more the $99(£60) for an iPhone.

I dont believe its a price issue.
Edit - just looked it up, £10 for the 16GB and £40 for the 64GB

 

[pike908]

I jumped to Android because I thought what Apple wanted for a 16GB 6 or 6s was a total rip off.

I actually think IOS is a better system, and I do think Apple makes a quality product.

But I am pretty tech proficient and now that I have learned Android and since I have the tech proficiency to deal with Android's quirkiness Apple has probably lost me as a customer....

I do think IOS is a better out-of-the-box experience for 75% or more of folks. But it's getting hard to justify the premium pricing these days....

 

[H2SO4]

I love the iPhone but you're absolutely right. Look at phones like the Nexus 6P and the fact that right now, you can get it unlocked for $450. You can't help but feel you're getting ripped a new one when buying an iPhone for $300 more.
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In theory, this is correct. What we have unfortunately seen is Apple NOT reinvesting their $150B+ back into making the most cutting-edge smartphone on the market. A poster the other day said that Apple has gotten incredibly good at understanding the bare-minimum that they can get away with, while still selling phones.

That’s covered in the media by a first class Apple polisher and it’s called the 'Minimal Delightful Product'.

 

[netwalker]

Android phones, especially the cheaper ones need to be replaced much more frequently. No wonder shipping numbers are higher. Android phones on landfill chart would look similar.
Would like to see how many phones of each platform are actually in use. At least for the app stores, their revenue and incentive for developers to build apps for one of the platforms, that more interesting than units shipped.

 

[69Mustang]

The chart would make more sense if it compared top tier Android phones to the iPhone. Comparing the iPhone to Android phones you get in a box of Cracker Jacks really doesn't say much about how they are performing in the markets they serve. Apple, for better or worse, is not about the race to the bottom, even if that is were the majority of people are.

How would the chart make more sense? It's a market share chart comparing phones using iOS vs phone using Android. Pretty simple. I'm not sure what you mean by "how they are performing in the markets they serve".

Unfortunately for your argument, it's pretty easy to compare an iPhone to a budget Android phone. Spoiler alert: the budget phone out of the Cracker Jack box compares favorably. Someone up-thread said it best, Android has improved tremendously as an OS. My daughters have phones, an iPhone 6 and a Moto G 3rd gen. Minus Touch ID, there's nothing that can be done with one that can't be done with the other... and done equally well. That Moto G was less than $200 including buying a case.

Apple doesn't have to be in a race to the bottom to gain market share. Fortunately, there's a lot of room between the bottom and the top. Apple recognizes this, hence the SE and their desire to sell less costly refurbs in India.

 

[AFEPPL]

I dont believe that more driod phones are replaced more often given the way iOS is with upgrades... i don't want to call it planned obsolesces..

 

[smacrumon]

Delusional

Deluded describes believing the figures do not matter.
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But they are "already" free for many people around the world as part of a contact.
I dont ever recall paying more the $99(£60) for an iPhone.

I dont believe its a price issue.
Edit - just looked it up, £10 for the 16GB and £40 for the 64GB

Not really, unless customers move up the plan rate ladder paying a premium per month overall. Also not free on prepaid.

 

[Black Magic]

Reducing prices is the only way that Apple can increase their market share. There are a lot more people that want Apple products, especially in the developing world, but cannot afford them.

Apple doesn't care about market share. They care about profits. What is the point of selling tons of product if you are only making pennies off of it?

On the low end budget phones that are Android, how sticky are they with the customer? Not very I would imagine. The phones are cheap, performance is typically horrible due to handicapping of the specs, and you will not get OS updates. Folks end up buying it one time to see what the fuss is all about for smartphones, have a horrible experience, then move on to another provider like Apple.

 

[JPLC]

I'm more convinced about this having to do with iPhone and iPad pricing. This isn't a good situation at all. iOS is a great platform and more people should be able to access it with a new device, not a device that is years out of date. No one will come to iOS if they can not afford to. Customers are actually moving away from iOS to Android, they are voting with their SIM and exiting the Apple carnival. No more clowning around. What other sign does Apple require to understand this basic issue. Pricing is completely wrong. iPhone is overpriced by at the very least $300.

Written in blood so it must be true!

 

[vfr800]

But they are "already" free for many people around the world as part of a contact.
I dont ever recall paying more the $99(£60) for an iPhone.

I dont believe its a price issue.

You're living in cloud cuckoo land..

Of course it's a bloody price issue, not every country subsidises the iPhone with huge monthly contract prices of 35-55 quid 'cause the people in these countries simply can't pay it, and don't! Most are using prepay, and dual sim and using free wifi (go to cambodia or vietnam, everywhere has open wifi..)

Even here in Switzerland I have to pay nearly 300 quid AND pay 50 quid a month subscription to get a 16Gb 6S... Crazy!!

 

[MacsRgr8]

Reducing prices is the only way that Apple can increase their market share. There are a lot more people that want Apple products, especially in the developing world, but cannot afford them.

Correct.

But, what does Apple want in the end?
- More profit or more marketshare?
- Long term vs. short term?

 

[Skika]

Deluded describes believing the figures do not matter.
[doublepost=1464880229][/doublepost]
Not really, unless customers move up the plan rate ladder paying a premium per month overall. Also not free on prepaid.

And what figures are those?