Apple share of Russian smartphone revenue slips as Samsung's doubles

Posted:
in iPhone edited January 2014
A report from Russian wireless carrier MTS on Monday reveals that Apple's share of the country's emerging smartphone market revenue slipped during the first quarter of 2012 while Android handset maker Samsung doubled its presence mostly at the expense of former leader Nokia.

Samsung flooded Russia's smartphone market with a bevy of models in quarter one and managed to take a 32.3 percent share of the country's 26.8 billion Rubles, or about $812 million, in overall smartphone revenue, according to MTS estimates (via BGR). The nearly one-third share in sales is more than double the 14.8 percent the South Korean company managed only a year ago.

While Samsung posted huge gains year-over-year, Apple saw a slight dip in profit share from 15.6 percent to 14.9 percent but margins were high as the iPhone accounted for only 5.4 percent of units sold for the three months ending in March. The Cupertino, Calif. company finished the quarter as Russia's number three profit leader behind Nokia as the Finnish handset maker suffered a huge loss and dropped from a market-leading 47.5 percent to 27 percent.

Adoption of feature-rich handset sales in Russia almost doubled from the first quarter of 2011 and the number of users now stands at more than five times that of 2010. At the end of March there were over 2.5 million smartphone users compared to 1.49 million in 2011 and only 582,000 in 2010.

MTS
Source: MTS


In 2011, Nokia handsets accounted for over half of all smartphone sales in the region and stood at a commanding 58.7 percent of all units sold followed by Samsung's 16.2 percent and HTC's 6.6 percent. The Lumia maker's lead disappeared, however, as the company only managed to take 34..5 percent of all unit sales while Samsung boosted its 2011 share of 16.2 percent to 35.7 percent in 2012. Apple, HTC and Sony Ericsson all posted moderate sales increases.

Interestingly, the distribution of smartphone operating systems within the MTS network over the first quarter had the defunct Symbian platform in the lead with 37.8 percent while Android and Bada followed with 35.1 percent and 11.3 percent, respectively. Windows Phone came in fourth with 8.2 percent and Apple's iOS trailed the pack at 7.3 percent.

MTS 2
Source: MTS


Besides the legacy iPhone 3GS Apple has yet to truly enter the low-end handset market and the company's share of emerging markets like Russia is slowly dwindling as competitors offer more appealing options at inexpensive price points.
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Comments

  • Reply 1 of 45
    daharderdaharder Posts: 1,580member
    Nice... especially as Samsung's really producing some outstanding smartphones.

    See: Entire Galaxy S-series.
  • Reply 2 of 45
    quadra 610quadra 610 Posts: 6,757member

    Quote:

    Originally Posted by AppleInsider View Post





    Samsung flooded Russia's smartphone market with a bevy of models in quarter one 




    Besides the legacy iPhone 3GS Apple has yet to truly enter the low-end handset market and the company's share of emerging markets like Russia is slowly dwindling as competitors offer more appealing options at inexpensive price points.


     


    That says it all. 


     


    "Low-end" is right. In a place where Symbian still holds majority share. 

  • Reply 3 of 45
    davebarnesdavebarnes Posts: 366member


    OMG!


    Time to short AAPL.


    Apple's share falls by 5% in a country with a declining population.

  • Reply 4 of 45
    jragostajragosta Posts: 10,473member
    Interestingly, the distribution of smartphone operating systems within the MTS network over the first quarter had the defunct Symbian platform in the lead with 37.8 percent while Android and Bada followed with 35.1 percent and 11.3 percent, respectively. Windows Phone came in fourth with 8.2 percent and Apple's iOS trailed the pack at 7.3 percent.
    <div align="center"><img src="http://photos.appleinsidercdn.com/12.07.09-MTS-2.jpg" alt="MTS 2" width="513" height="189" border="0"><br><span class="minor2">Source: MTS</span></div>
    Besides the legacy iPhone 3GS Apple has yet to truly enter the low-end handset market and the company's share of emerging markets like Russia is slowly dwindling as competitors offer more appealing options at inexpensive price points.

    Even assuming that the numbers are accurate (which is questionable since they don't tell you anything about how they're obtained), look at the above chart. Symbian is still 1/3 of smart phones and Android is #2. Blackberry is almost nonexistent.

    The title should read "people in Russia buy the cheapest phone they can find".
  • Reply 5 of 45
    ericthehalfbeeericthehalfbee Posts: 4,486member


    The report indicated the average smartphone price rose from 4550 to 4650 Rubles (about $140 US).


     


    Now we know why they're selling so many phones - they're all cheap. And this isn't opinion or guessing - the average price proves it.

  • Reply 6 of 45
    quadra 610quadra 610 Posts: 6,757member

    Quote:

    Originally Posted by jragosta View Post





    Even assuming that the numbers are accurate (which is questionable since they don't tell you anything about how they're obtained), look at the above chart. Symbian is still 1/3 of smart phones and Android is #2. Blackberry is almost nonexistent.

    The title should read "people in Russia buy the cheapest phone they can find".


     


    For many people in Russia, it's a choice between luxuries like mobile devices, and eating. 


     


    http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(PPP)_per_capita


     


    http://www.eurasiareview.com/27042011-despite-rising-oil-prices-russians-standard-of-living-is-falling-analysis/


     


    There you go.  :(

  • Reply 7 of 45

    Quote:

    Originally Posted by AppleInsider View Post



    The Cupertino, Calif. company finished the quarter as Russia's number three profit leader behind Nokia as the Finnish handset maker suffered a huge loss and dropped from a market-leading 47.5 percent to 27 percent.


     


     


    Wait - Apple made less profit than Nokia?  Samsung I can understand, but Nokia?

  • Reply 8 of 45
    gtrgtr Posts: 3,231member


    Apple share of Russian smartphone revenue slips as Samsung's doubles


    So Samsung's Russian share is rushin', while Apple's is slowin'.


     


    Is that right?


     


     


    <snigger>

  • Reply 9 of 45
    tallest skiltallest skil Posts: 43,388member
    gtr wrote: »
    So Samsung's Russian share is rushin', while Apple's is stallin'.

    Fixed that for you, (former) comrade.
  • Reply 10 of 45
    gtrgtr Posts: 3,231member


    Spasibo!

  • Reply 11 of 45
    quadra 610quadra 610 Posts: 6,757member

    Quote:

    Originally Posted by Tallest Skil View Post





    Fixed that for you, (former) comrade.


     


    This post gets top marx from me. 

  • Reply 12 of 45
    tallest skiltallest skil Posts: 43,388member
    quadra 610 wrote: »
    This post gets top marx from me. 

    Just len'in' a hand where I see someone in need.
  • Reply 13 of 45
    boeyc15boeyc15 Posts: 986member
    quadra 610 wrote: »
    This post gets top marx from me. 

    I guess from each according to his ability....
  • Reply 14 of 45
    boeyc15boeyc15 Posts: 986member
    Just len'in' a hand where I see someone in need.

    Did you put'in a happy face when you typed that?
  • Reply 15 of 45
    tallest skiltallest skil Posts: 43,388member
    boeyc15 wrote: »
    Did you put'in a happy face when you typed that?

    No, but I've been where fashion sits…

    390
  • Reply 16 of 45
    quadra 610quadra 610 Posts: 6,757member

    Quote:

    Originally Posted by Tallest Skil View Post





    Just len'in' a hand where I see someone in need.


     


    Aww, now my face is all red. 

  • Reply 17 of 45


    In Soviet Russia...


     


     


    ...ah hell there had to be joke in there somewhere.

  • Reply 18 of 45
    MacProMacPro Posts: 19,727member
    It's funny to remember there was, not so long ago, an export ban to Russia on computers far less powerful that an iPhone.
  • Reply 19 of 45
    MacProMacPro Posts: 19,727member
    No, but I've been where fashion sits…
    390

    That's funny but it makes my eyes water! Oh that's gotta hurt!
  • Reply 20 of 45
    MacProMacPro Posts: 19,727member
    daharder wrote: »
    Nice... especially as Samsung's really producing some outstanding smartphones.
    See: Entire Galaxy S-series.

    So do you drive a Kia or a Huyundai?
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