When you think about buying a smart-phone, your usually prefer to choose from Apple or Samsung. If you are looking for an example of dominance in the mobile handset space, your thoughts are about Apple and Samsung.
On Thursday 22 March 2012, UBS Investment Research published a note to investors showcasing how dominant these two tech giants are when it comes to cleaning up profits in the industry of Mobile Handests.
The report authors found that 9 out of every 10 dollars generated in sales of mobile handsets goes to Apple and Samsung. “The performance disparity between the stronger players – Apple and Samsung – vs. the others remains stark,” the note reads, “and these two now account for over 50% of industry revenues and over 90% of total EBIT.”
The dominance of Apple and Samsung in mobile handset in mobile handset industry described above may grow even more before the close of 2012. UBS says the next generation iPhone (also known as iPhone 5) will easily be the hottest smartphone release of the year. “The prospects of a complete redesign should drive a stronger than average upgrade cycle for existing iPhone users and continue to encourage other smartphone and non-smartphone users to make the switch,” the report read.
The analysts at UBS said that Apple will likely sell 156.5 million iPhone units in the company’s fiscal 2013. That is up from a prior forecast of 149.5 million units.