Apple Takes 104% of All Smartphone Profits Following Galaxy Note 7 Recall

[AJ5790]

how? when its best competitor has been completely recalled? wait until the pixel catches up in marketing. i own a 7Plus so ive obviously given to its success, but its not an accurate picture of what could of been an what will be accounted to cooks decisions

Even if the note hadn't been recalled Samsung only would have made like 5% of the smartphone profits. Apple is the only handset maker that doesn't sell a single device at a loss, (which is how a business is supposed to be run) so they make all the money with their tiny slice of the market share. It's called winning.
[doublepost=1478262329][/doublepost]

Word hasn't gotten around that 100% is where it ends.

Word obviously also hasn't gotten around that people just don't understand math
[doublepost=1478262399][/doublepost]

when math barely makes sense

Math never barely makes sense. It's either correct or it isn't. In this case it's a straightforward addition and division problem. 5th grade level.

 

[sbuttler77]

-

 

[AJ5790]

And 1000% of adaptor profit

Witty... also, when did you see the stats on the cost Apple pays for its adapters?

[doublepost=1478262571][/doublepost]

I am pretty sure this is how it was calculated

10^1.373=23.605
√ 23.605=4.858
4.858€ = 4.858$
sin(4.858) = -0.989
lg function Error() { [native code] } = NaN
acos(NaN) = NaN
104%

edit: @keysofanxiety

Actually it was ((apple's smartphone profits)/(all smartphone profits and losses added together))*100 = 104%

 

[Benjamin Frost]

The way Apple's profits are going, in 20 years, they will be making 2000% of the profit and their profit will be $0.

 

[IndigoDesign]

I just wish the Macs were somewhere near as good as the iOS devices...

 

[Benjamin Frost]

And? You're anecdote is not data.

His anecdote IS data.

It's a small sample, but it's still data.

 

[Moonjumper]

Too many bland manufacturers competing on price at the bottom of the barrel and making a loss.

I wish the iPhone had stronger competition so that Apple would be forced to up their game more.

 

[Benjamin Frost]

I am pretty sure this is how it was calculated

10^1.373=23.605
√ 23.605=4.858
4.858€ = 4.858$
sin(4.858) = -0.989
lg function Error() { [native code] } = NaN
acos(NaN) = NaN
104%

edit: @keysofanxiety

Clear as mud.

 

[FatherJack1980]

Highly overpriced in your humble opinion.

When what Apple is releasing is worse than their previous generation and Windows machines are better value for money - then that's what I call overpriced. So much so that I would consider buying an Windows Phone, if Microsoft hadn't decided to kill it off - and sadly Android, despite their gorgeous screen (at least on the Samsung S7) is just so ugly; that I'm in a kind of a pickle as to what phone to upgrade to from my iPhone 4 ...I think I'll just continue to use it for the next few years despite I want a bigger screen and more storage (stupid that Apple hasn't included an SD card slot in their phones; and especially stupid that they've removed that from their laptops), and then decide to go with whatever the competition offers at that time. Unless, of course, Apple will provide equal or better value for money - and not having to use a dongle to connect your phone to an Apple computer; if I ever decide to purchase one (again - if they will be value for money)

Even Mark Zuckerberg seems to think that Apple products are overpriced: http://www.slashgear.com/facebooks-zuckerberg-takes-swipe-at-apple-overpriced-products-05358520/

Here's one article about the MacBook (which has a pathetic 480p webcam!): Apple's new MacBook is nice, but it isn't a good deal: http://uk.businessinsider.com/apples-new-macbook-is-still-overpriced-2016-4?r=US&IR=T

And here's one that, quickly scimmed through, seems to focus more on all the dongles and ---- that Apple has https://www.thestreet.com/story/11718590/2/10-ways-apple-is-overpriced.html

Apple may very well have lost me as a customer.

 

[UKPoliticsGuy]

104% - that's a courageous statistic.

 

[MrXiro]

Richest corporation getting richer. Hooray! All consumers everywhere should rejoice. Our fondest hopes are realized.

Maybe if we collaborate in this thread, we can figure out a way to grow that 104% to an even higher level? Why don't we all just send Apple a gift of $200 each for nothing? That should be a good start.

In theory this is how a business works;

Apple Succeeds, innovates and makes new products, consumer is happy and buys the new products; rinse and repeat.
Or
Apple fails; goes bankrupt, they stop making products. Everyone loses.

Stop trying to make businesses out to be charities. They are in it to make money not appease us. This is a business that is the epitome of the American dream, one of the very few success stories that doesn't have foreign ownership in some capacity.

Started in a garage, now one of the biggest companies in the world. Apple failing is as symbolic as the American Dream dying.

If you don't want to listen to that... this is an Apple fan site... what do you want us to do? Crap on Apple because they made money?

 

[5105973]

The very best smartphones deserve all the profit.

This also does make Tim Cook's critics look pretty foolish.

Not really. Nobody questions Tim's ability to turn a profit. Haters are always going to hate but more and more it's us loyal customers scratching our heads and going "What the heck?" over Apple's decisions of late.

 

[DakotaGuy]

The kind of profits the iPhone makes is exactly why Apple could care less about Macs anymore. Apple could dump the Mac line tomorrow and by cutting all of the hardware and software design, engineering and marketing expense it requires be even more profitable going mobile only.

Tim Cook is just following the money. I doubt you'll wake up one morning and the Macs will be gone, but it'll be a slow phase out. Mac Pro and Mini gone first. Then the iMac will be gone... followed by laptops. Apple will recommend you get an iPad Pro to replace your Mac.

 

[brianvictor7]

I am pretty sure this is how it was calculated

10^1.373=23.605
√ 23.605=4.858
4.858€ = 4.858$
sin(4.858) = -0.989
lg function Error() { [native code] } = NaN
acos(NaN) = NaN
104%

edit: @keysofanxiety

Show off

Seriously though, how do they figure this one out?

 

[mrhick01]

Maths was never my strong point.

Could somebody explain this in simple terms? How it's calculated?

Some companies lost money, leading to a negative percentage.

 

[maflynn]

I am sure it is only a matter of time before another smartphone

Agreed, this is a temporary phenomenon, due to Samsung's problems. Samsung I'm sure will get things turned around, and if not them, someone else. There's a huge market for non-iPhone users pure and simple

 

[mrhick01]

The kind of profits the iPhone makes is exactly why Apple could care less about Macs anymore. Apple could dump the Mac line tomorrow and by cutting all of the hardware and software design, engineering and marketing expense it requires be even more profitable going mobile only.

Tim Cook is just following the money. I doubt you'll wake up one morning and the Macs will be gone, but it'll be a slow phase out. Mac Pro and Mini gone first. Then the iMac will be gone... followed by laptops. Apple will recommend you get an iPad Pro to replace your Mac.

If that happens, he's only fulfilling what Steve Jobs suggested himself back in 1997, to milk the Mac for all it's worth, then move on to the next big thing. Jobs said that.

 

[pika2000]

how? when its best competitor has been completely recalled? wait until the pixel catches up in marketing. i own a 7Plus so ive obviously given to its success, but its not an accurate picture of what could of been an what will be accounted to cooks decisions

The Pixel? Go look at how many countries Google is selling the Pixel in, and compare that to how many countries Apple is selling the iPhones in. Apple's supply chain is unmatched, and even distributors know that.
Good luck.

 

[Abazigal]

Word hasn't gotten around that 100% is where it ends.

Not really. Just think of it as a bonus mark question on a test.

 

[wesk702]

And everyone wonders why the desktops are outdated.

Relevancy=none
Macrumors comment=just about right

 

[keysofanxiety]

If we are in the same industry and I make $100 but you lose $50 (or make a -$50 profit), the total profit across the entire industry (your "profit", and my profit) is $50, because your loss pulls the total profit for the industry backwards. So my percentage of the industry's profit is the profit I made divided by the industry profit times 100 (to convert from decimal to percent) or ($100/$50)*100=200%. Therefore I made 200% of the industry profit. In this case the iPhone is almost the ONLY phone that actually makes money. Samsungs profit share was 0.9% and HTC and LG lost money. That's what happens when you sell millions of devices at a loss.

Pretty simple. Imagine Apple is making 104 billion in the smartphone market, another company 20 billion, and yet another company operating at a loss of 24 billion. Total profits in the smartphone market are 100 billion.

This basically means that there are Android manufacturers that are operating at a loss in order to get cheaper phones into the market

Apple makes 10 dollars.
Samsung looses 2 dollars

Total profit is now 8 dollars.

Apples share of total profit is now 10/8 = 125%.

Thank you all for taking the time to explain that.

 

[Elbon]

No, no. Apple is LOSING marketshare. Don't you read the articles on this site?

 

[DakotaGuy]

If that happens, he's only fulfilling what Steve Jobs suggested himself back in 1997, to milk the Mac for all it's worth, then move on to the next big thing. Jobs said that.

Yes and Steve also said we are in the post PC era and since Apple is always first at removing or discontinuing things I could see the Mac being the first casualty of the post PC era.

For those worried about not being able to get a PC for doing work I think it's safe to say there will still be plenty of PC builders and Microsoft will continue to develop Windows. The average consumer will probably be fine with an iOS or Android phone or tablet.

I could see the Mac gone by 2020 and by then diehard fans will have moved on and it should have no effect on Apple. iOS software development can be transitioned to Windows.

 

[maflynn]

Apple is LOSING marketshare. Don't you read the articles on this site?

Up until the Samsung debacle, they were selling less and less phones. Up until the release of new laptops, they were selling less and less laptops. There's no disputing the numbers, as those numbers are shown in Apple's prior quarter.

 

[Mac Fly (film)]

Just imagine if Apple got 0.9% of the profits. MR would be laughing to high-heaven calling for Tim's ousting.