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Telephony Online reports on data from research firm Strategy Analytics that places Apple as the most profitable mobile phone manufacturer in the world for the third quarter of 2009. Apple's estimated $1.6 billion profit easily topped Nokia's $1.1 billion take for the quarter.
The firm estimates that Apple's iPhone operating profit came in at $1.6 billion in Q3, while Nokia recorded only $1.1 billion in operating profit. "With strong volumes, high wholesale prices and tight cost controls, the PC vendor has successfully broken into the mobile phone market in just two years," said analyst Alex Spektor in the research note.
Earlier this year, data from 2008 pegged Apple at approximately 20% of the mobile phone industry's total profit despite holding only about 1% unit market share. Nokia was reported to have accounted for 55% of the industry's profit in 2008.

More recently, a separate survey covering the first half of 2009 estimated Apple's share of industry profits at 32% with $2.0 billion in operating profit in its iPhone business. Apple just edged out Nokia's $1.9 billion profit, which accounted for 30% of the total industry profit, in that survey.

Article Link: Apple Widens Lead Over Nokia as Most Profitable Handset Manufacturer
 

DipDog3

macrumors 65816
Sep 20, 2002
1,189
691
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 3_1_2 like Mac OS X; en-us) AppleWebKit/528.18 (KHTML, like Gecko) Version/4.0 Mobile/7D11 Safari/528.16)

Not a surprise.



Nokia has been sucking for a number of years.
 
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*LTD*

macrumors G4
Feb 5, 2009
10,703
1
Canada
Hardly a surprise, given what the iPhone's brought to the table. The rest still can't keep up.
 
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fimac

macrumors member
Jan 18, 2006
95
0
Finland
Brilliant :apple: :)

...but the competition is heating up; I'm hoping that iPhone OS 4 sees Apple innovate in the areas of notifications and home-screen widgets!
 
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lamadude

macrumors 6502
Jan 12, 2006
432
0
Brussels, BE
This Ars Technica article shows another side of this story, Nokia has 37.9% of the worldwide smartphone market share, apple much less. This means that apple makes enourmous profits of the relatively few iphones they sell. As an iphone user I don't know if I should be happy or sad about that, in a way they're kind of exploiting the iphone users.
 
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jayducharme

macrumors 68040
Jun 22, 2006
3,976
4,080
The thick of it
What amazes me is how, when the iPhone was launched, Apple's stated goal of capturing 1% of the mobile market in one year seemed like wishful thinking. Many people thought the iPhone would be a niche, a novelty. But once again, Apple has turned an entire industry upside-down.
 
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Consultant

macrumors G5
Jun 27, 2007
13,313
33
This Ars Technica article shows another side of this story, Nokia has 37.9% of the worldwide smartphone market share, apple only 7%. This means that apple makes enourmous profits of the relatively few iphones they sell. As an iphone user I don't know if I should be happy or sad about that, in a way they're kind of exploiting the iphone users.

No, it's more like Nokia uses money losing products to gain /maintain market share.

Or that their R&D is completely useless / not cost effective.
 
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jubjub

macrumors member
May 11, 2005
31
0
Sweden
This Ars Technica article shows another side of this story, Nokia has 37.9% of the worldwide smartphone market share, apple only 7%. This means that apple makes enourmous profits of the relatively few iphones they sell. As an iphone user I don't know if I should be happy or sad about that, in a way they're kind of exploiting the iphone users.

Exactly. Funny how people love it when Apple makes a huge profit but hates it when Microsoft or any other company does the same.

But hey.. as a shareholder.. I say Go Apple!! :)
 
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lamadude

macrumors 6502
Jan 12, 2006
432
0
Brussels, BE
No, it's more like Nokia uses money losing products to gain /maintain market share.

Or that their R&D is completely useless / not cost effective.

I was wrong about the 7% from apple, that's there year-on-year growth, which is abou the same as nokia's, sorry about that :) Still the general argument remains, apple makes massive profits with a much smaller market share than nokia's
 
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lewchenko

macrumors regular
Jun 8, 2004
195
174
Well done Apple... but this story stinks of apple fanboism. I think if you looked at Nokia's market share of mobile phone use compared to Apple's the numbers would tell a different story. (See previous post 38% vs 7%...and yeah Apple is fleecing us!)

Plus we are on the cusp of an Android revolution with regards to what that platform is capable of. It will be like PC vs Mac all over again. No doubt the iPhone will retain the style crown, but will not compete on price and market share with the other mass producers. The iPhone will always be successful in its own right, but it will be the Mac of the mobile phone world (no bad thing there :D ).

Case in point.. I love my Mac's (iMac/Macbook pro) but I chose an Android HTC Hero. Sometimes I have to admit the competition makes a better product.
 
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lamadude

macrumors 6502
Jan 12, 2006
432
0
Brussels, BE
Wonder how Apple feels about being labeled as a "PC vendor"?

Not sure how apple feels about it, but sounds fine by me, they sell PC's that happen to boot the Mac OS. if the name PC was reserved for computers that run Windows then PC's shipping with Ubuntu or another Linux distro, or even empty hard drives wouldn't be PC's either.
 
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Consultant

macrumors G5
Jun 27, 2007
13,313
33
It's capitalism.

Unless Apple uses anti-competitive practices (MS was found guilty of it with windows), the market decides the better product.

If it's worth that much money, then user pay for it. Notice when iPhone first came out, it had the lowest total cost of ownership in its class.
 
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lamadude

macrumors 6502
Jan 12, 2006
432
0
Brussels, BE
That same Ars Technica article also shows that RIM (makers of blackberry) are growing much faster than apple's iPhone. Not trying to bash the iPhone, I love it, but it's funny how you can see essentially the same article in two different sources. On the mac website apple "wins", on the more general Ars Technica website Nokia and RIM "win".
Not saying MR's approach is wrong, it just depends on whether you look at market share and yearly volume (Nokia), growth (RIM) or profit (Apple)
 
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iGod 2.0

macrumors regular
May 4, 2009
123
0
Apple just keeps amazing the people on Main Street and Wall Street.

Steve and his team are doing just...unbelieveable numbers. Closing the gap fastly on Nokia and on the verge of passing Microsoft to become the most valuable tech company in the universe. Steve, Phil, Tim, Jony, Bertrand, Scott, you guys keep up the great work. Truly astonishing Apple. Continue putting innovation before anything. Completely turning that company 180 from where it was fifteen years ago. Apple forever :apple:
 
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waywardsage

macrumors 6502
Dec 22, 2006
282
0
CA
I was actually headed here to the forums to make a post about Nokia vs. Apple. I'm an iPhone user/lover. I don't plan on going anywhere away from the iPhone...well..ever. I'm just curious why Nokia is the only company that has completely dropped the ball with the "smartphone" market?

Nokia has a few new interesting products.

Booklet 3G
http://www.youtube.com/watch?v=qBuZUXZXBlY

BH-905 noise canceling headset
http://www.youtube.com/watch?v=1vDuU9yaSDc

It looks like Nokia has engineers that can make slick products. It's just that they seem to suck when it comes to the US market.

There is very little Buzz about any Nokia products these days in the US market. It's like they don't even care any more.

I love Apple. It's just nice to see other competitive companies. Nokia seems to have completely dropped the ball in the "smartphone" market in the US. Does it have any serious plans on getting it together?

I found this:
Nokia N900
http://maemo.nokia.com/n900/

But it seems they have no attached US carrier and the phone is like $700!! Who are they kidding?! Why?! Who would buy this for that price?
 
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Consultant

macrumors G5
Jun 27, 2007
13,313
33
3 months ending 2009-09-30

Research & Development (millions)
Nokia 1,257.00
Apple 358.00

Now when is the last time you remember Nokia had anything innovative? Most people would say Nokia is burning their R&D money with little to show, therefore the lower profit.

Translation: in the past year, Nokia spent >$5.6 BILLION on R&D, while Apple as a whole spent $1.3 Billion on R&D.
Yes, Nokia spends over $4 billion dollars more than Apple in the past year, and what do they have? Perhaps they should give the money back to the stock holders.
 
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iGod 2.0

macrumors regular
May 4, 2009
123
0
I was actually headed here to the forums to make a post about Nokia vs. Apple. I'm an iPhone user/lover. I don't plan on going anywhere away from the iPhone...well..ever. I'm just curious why Nokia is the only company that has completely dropped the ball with the "smartphone" market?

Nokia has a few new interesting products.

Booklet 3G
http://www.youtube.com/watch?v=qBuZUXZXBlY

BH-905 noise canceling headset
http://www.youtube.com/watch?v=1vDuU9yaSDc

It looks like Nokia has engineers that can make slick products. It's just that they seem to suck when it comes to the US market.

There is very little Buzz about any Nokia products these days in the US market. It's like they don't even care any more.

I love Apple. It's just nice to see other competitive companies. Nokia seems to have completely dropped the ball in the "smartphone" market in the US. Does it have any serious plans on getting it together?

I found this:
Nokia N900
http://maemo.nokia.com/n900/

But it seems they have no attached US carrier and the phone is like $700!! Who are they kidding?! Why?! Who would buy this for that price?

Patiently waiting for the iRevolution with you brother.
 
Comment

iGod 2.0

macrumors regular
May 4, 2009
123
0
3 months ending 2009-09-30

Research & Development (millions)
Nokia 1,257.00
Apple 358.00

Now when is the last time you remember Nokia had anything innovative? Most people would say Nokia is burning their R&D money with little to show, therefore the lower profit.

I didn't even knew Apple did R&D now. Humph.
 
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