Apple overtakes Nokia to claim handset profit crown

[AppleInsider]

Analysts estimate Apple's iPhone operating profit to be the highest in the mobile phone industry, overtaking market leader Nokia in the last financial quarter.

Although Nokia and Samsung are the world's largest two cellphone makers, Apple has bested both in terms of total operating profit, says research firm Strategy Analytics.

Reuters reports that although Apple does not disclose profits by line, operating profit was estimated at nearly $1.6 billion in the third quarter of this year, compared to $1.1 billion in profit by Nokia for the same period of time.

The news only serves to reiterate what has been known for some time: Apple, along with competitor Research in Motion, carries a much higher profit margin on its handsets than competitors. This summer, a report stated that though Apple and RIM together only control 5 percent of the cell phone market, they take 58 percent of its total operating profits.

Another report said that Apple sees an estimated 32 percent of global handset profits, which is 8 percent of all mobile revenue. Those numbers are not just limited to the smartphone market segment, but account for all mobile phones sold in the first half of 2009.

Last quarter, Apple announced that the average selling price of each iPhone is just over $600, demonstrating that consumers typically opt for the high-end iPhone 3GS. Though consumers only pay a fraction of the value of the handset, the rest is subsidized through a contract with a wireless carrier.

Tuesday, Samsung introduced a new smartphone platform dubbed Bada, which is poised to directly compete with both the iPhone and Android platforms. Bada is an attempt by Samsung to create its own self-contained smartphone operating system like competitors Apple, Palm, and RIM. The first phones sporting the new Bada platform are slated for early in 2010.

Nokia also has a new operating system in the works, called Maemo. Nokia's first Maemo-based phone, the N900 started shipping Tuesday.

[ View this article at AppleInsider.com ]

[digitalclips]

Holy Moly!

[LuisDias]

I guess many companies are starting to look at Apple from the rear view, if not exactly in the front view...

Kudos to Apple. They are the company of the first decade of the 21st century. Let's see how the game will be played in the next decade!

[MacTripper]

Now we know why Nokia is suing Apple.

Sore losers.


But I think Apple's iPhone success is limited, the competition is catching up and dozens of cheaper iPhone knockoffs appearing.

Especially the Droid, that's going to hurt. Stupid AT&T lock-in.

Apple will have to come up with something EVEN BETTER like they did with the iPod as to knock them out.

With the iPod they came out with smaller versions, different colors and so on to lock up the whole market.

Will Apple do the same with the iPhone?

A larger iTablet type version? A smaller less expensive option?

The $100 a month for the iPhone is turning me off, especially when I fish a lot and can lose it overboard.

$15 a month is more my style. Not that I'm cheap, it's no sense wasting a good phone for the fish to use to tele-market people with.

Fish need money too.

[digitalclips]

Originally Posted by MacTripper

Now we know why Nokia is suing Apple.

Sore losers.


But I think Apple's iPhone success is limited, the competition is catching up and dozens of cheaper iPhone knockoffs appearing.

Especially the Droid, that's going to hurt. Stupid AT&T lock-in.

Apple will have to come up with something EVEN BETTER like they did with the iPod as to knock them out.

With the iPod they came out with smaller versions, different colors and so on to lock up the whole market.

Will Apple do the same with the iPhone?

A larger iTablet type version? A smaller less expensive option?

The $100 a month for the iPhone is turning me off, especially when I fish a lot and can lose it overboard.

$15 a month is more my style. Not that I'm cheap, it's no sense wasting a good phone for the fish to use to tele-market people with.

Fish need money too.

I'd keep the iPhone but leave it in the car when I fish if I were you. That makes me think.. what would it cost to replace a lost one ... I can't see AT&T kicking in and insurance companies might balk at taking one in a boat ..

[solipsism]

They have nearly 50% more operating profits than the number position. That could their profits this next quarter. Quite amazing considering they did this with the iPhone 3 a full 6 months after it was on the market and less than two years into the cellphone business.

[Quadra 610]

Hardly surprising.

[rhyde]

As wonderful as this might seem from an Apple Fanboy point of view, do keep in mind that they are generating these high profits from *US*. I love my iPhone (and my Macs) and I happen to love AT&T (far better than Sprint, whom I had before), but I can't wait for Android, etc., to start growing and for multiple carriers to get the iPhone (not just Verizon) so that Apple (and the carriers) are forced to lower their profit margins a bit. Hopefully, this will happen in two years when my 3gs contract expires :-)

[Cubert]

“We've learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They're not going to just walk in.”

- Palm CEO Ed Colligan, commenting on then-rumored Apple iPhone, Nov. 16, 2006

[MrCompMan]

Why does this article have a different take on the numbers than what's on ArsTechnica?

Smartphones beat recession, Nokia still on top
http://arstechnica.com/business/news...ill-on-top.ars

Quote from Article

The next largest smartphone maker by market share and volume was also the one that saw the most spectacular year-over-year growth—and no, the company doesn't doesn't have the name of a certain fruit. We're talking about RIM, which saw a whopping 37.5 percent year-over-year growth in shipments. The Blackberry Curve and Tour were apparently on fire this past quarter, especially in North America.

Apple was a very distant third behind RIM in the growth category and in market share, with 7 percent year-over-year growth, most of which was attributable to the strong iPhone 3GS launch. Still, Apple's success comes in spite of the fact that the iPhone is still relatively pricey, and it's tied to a single carrier in the US (AT&T) that many are reluctant to switch to because of coverage and service quality issues.

7% year over year growth in comparison to 37.5% for RIM?

This may be an Apple site but at least put the truth in the article postings and include the entire story not just what is going to get Ad Clicks for titles!

[MacTripper]

Originally Posted by digitalclips

I'd keep the iPhone but leave it in the car when I fish if I were you. That makes me think.. what would it cost to replace a lost one ... I can't see AT&T kicking in and insurance companies might balk at taking one in a boat ..

You need a phone when fishing in the ocean, as a backup method in case your boat power goes out, plus it doubles as a GPS tracking method.

I keep mine and other valuables in a water tight float case with a signal buoy/float, just in case the boat capsizes or sinks.

However I got to use it, to call friends and such, it gets all fishy and salt covered.

So $15 a month is what I'll pay, most everything else the iPhone can do is done on a computer which seems to be games.

Now if I can get the iPhone apps on a computer...it's stupid not having those 100,000 apps on a computer too.

WTF?

[solipsism]

Originally Posted by MrCompMan

7% year over year growth in comparison to 37.5% for RIM?

This may be an Apple site but at least put the truth in the article postings and include the entire story not just what is going to get Ad Clicks for titles!

Welcome to the forum. To be honest, I’m not entirely sure I understand what you are getting it...

1) Growth YoY does not indicate operating profits.

2) Shipment growth doesn’t indicate operating profits.

3) Revenue doesn’t indicate operating profits.

[MrCompMan]

Originally Posted by solipsism

Welcome to the forum. To be honest, I’m entirely sure I understand what you are getting it...

1) Growth YoY does not indicate operating profits.

2) Shipment growth doesn’t indicate operating profits.

3) Revenue doesn’t indicate operating profits.

The article is clearly biased and not giving the entire story. I'm just making sure the readers (like myself) that see an article on my google home page and click it don't get the wrong impression and read the entire story on a site that appears to be much more open to giving the entire story than this site is.

The article makes it sound like Nokia and RIM are closing the doors and they are seeing better year over year growth than the single iPhone.

Year over year growth does say a lot about a mindshare in the market. Apple clearly doesn't have it and Android numbers haven't won't even be worth checking for a couple quarters. But I wouldn't be surprised to see them pull a segment of the appphone market share from everyone.

This is a forum not a cheer leading session. If a site is going to post a story. Give the entire picture. 7% year over year gain is poor given the market.

[christopher126]

Originally Posted by rhyde

As wonderful as this might seem from an Apple Fanboy point of view, do keep in mind that they are generating these high profits from *US*. I love my iPhone (and my Macs) and I happen to love AT&T (far better than Sprint, whom I had before), but I can't wait for Android, etc., to start growing and for multiple carriers to get the iPhone (not just Verizon) so that Apple (and the carriers) are forced to lower their profit margins a bit. Hopefully, this will happen in two years when my 3gs contract expires :-)

Get out of my Head Ryde! I could have written what you just wrote!

My sentiments exactly....I love my macs and my 3gs but hate paying $100/mo!

I think the general public is missing the pt with the iPhone's new competitors.

It's the Apple ecosystem...syncing contacts/address book with my other macs is a breeze with the iPhone, music via my mac's iTunes library making playlists and downloading Podcasts to listen while I run using Nike+ (10 miles today) is a breeze, I went kayaking on a glorious AZ day and sent the video to my daughter who is out of state going to school and she got it in a minute.

Came home put all the clips into iMovie, streamed over to my AppleTV widescreen TV and my girlfriend thinks I'm a genius...probably added 4 years to the length of our relationship!

Not to mention the ease of my email....it is just fantastic!

Best

[MrCompMan]

Originally Posted by christopher126

Get out of my Head Ryde! I could have written what you just wrote!

My sentiments exactly....I love my macs and my 3gs but hate paying $100/mo!

I think the general public is missing the pt with the iPhone's new competitors.

It's the Apple ecosystem...syncing contacts/address book with my other macs is a breeze with the iPhone, music via my mac's iTunes library making playlists and downloading Podcasts to listen while I run using Nike+ (10 miles today) is a breeze, I went kayaking on a glorious AZ day and sent the video to my daughter who is out of state going to school and she got it in a minute.

Came home put all the clips into iMovie, streamed over to my AppleTV widescreen TV and my girlfriend thinks I'm a genius...probably added 4 years to the length of our relationship!

Not to mention the ease of my email....it is just fantastic!

Best

If what you did today added 4 years to your "relationship" then you're already planning on it ending and she's easily impressed.

[2 cents]

I am thinking of starting a new career.

Job title: reviewer of iPhone killers.

Should keep me in nachos and beer for a while.

[christopher126]

Originally Posted by MrCompMan

If what you did today added 4 years to your "relationship" then you're already planning on it ending and she's easily impressed.

Now, now be nice! Maybe I'll marry the 'hell' out of her!

[MrCompMan]

Originally Posted by christopher126

Now, Now be nice!

Realistic, unlike this article.

[solipsism]

Originally Posted by MrCompMan

If what you did today added 4 years to your "relationship" then you're already planning on it ending and she's easily impressed.

Originally Posted by MrCompMan

Realistic, unlike this article.

Wow! I often as it happens I never get used to new posters coming in and insulting people right off the bat.

[MrCompMan]

Originally Posted by solipsism

Wow! I often as it happens I never get used to new posters coming in and insulting people right off the bat.

Given the misleading article and the intellect of the postings I've read in some other stories, should it really surprise you?

[clexman]

Nice to know that Apple could sell their phones for less, but don't.

[teckstud]

Profits of Apple compared to profits of Nokia??
Come on guys- that's like comparing Sony profits to Motorola!!! How bogus???
Does Nokia sell MP3 players and laptops?????

The articles are getting weirder and weirder here all the time now.

[teckstud]

Originally Posted by solipsism

Welcome to the forum. To be honest, I’m entirely sure I understand what you are getting it...

1) Growth YoY does not indicate operating profits.

2) Shipment growth doesn’t indicate operating profits.

3) Revenue doesn’t indicate operating profits.

ANd you don't make much sense. Please stop giving such condescending lectures to people that share a different point of view- not yours.

[Quadra 610]

Originally Posted by 2 cents

I am thinking of starting a new career.

Job title: reviewer of iPhone killers.

Should keep me in nachos and beer for a while.

"Homer, do you like . . . . nachos?

Do you like . . . . . .



beer?"

[MrCompMan]

Originally Posted by teckstud

Profits of Apple compared to profits of Nokia??
Come on guys- that's like comparing Sony profits to Motorola!!! How bogus???
Does Nokia sell MP3 players and laptops?????

The articles are getting weirder and weirder here all the time now.

Your signature is misleading given your posting.

I have Mac and PC and use both for their purposes. Why is there so much hate in the postings on this forum?

Believe it or not Steve Balmer and Microsoft are not the antichrist.

There is a reason both Apple and MS are leaders in their given Markets.

Why do the articles here have to put a negative hatefule spin on everything that is not made by Apple?

[teckstud]

Originally Posted by MrCompMan

Your signature is misleading given your posting.

I have Mac and PC and use both for their purposes. Why is there so much hate in the postings on this forum?

Believe it or not Steve Balmer and Microsoft are not the antichrist.

There is a reason both Apple and MS are leaders in their given Markets.

Why do the articles here have to put a negative hatefule spin on everything that is not made by Apple?

I love MAC OS. How exactly does that relate to my post?

Us unbiased folk here are constantly labeled trolls, complainers, whiners for not participating in their cheerleading squad. The forums are constantly hijacked by extreme fanboyism by a select few (one who's name will not be mentioned but has over 11,000 posts.)

Here is a link to their beliefs:
http://www.amazon.com/Cult-Mac-Leand.../dp/1886411832

[solipsism]

Originally Posted by teckstud

Profits of Apple compared to profits of Nokia??
Come on guys- that's like comparing Sony profits to Motorola!!! How bogus???
Does Nokia sell MP3 players and laptops?????

The articles are getting weirder and weirder here all the time now.

First of all, Nokia’s phone can play Mp3s. Secondly, if you actually comprehended what you profess to reading you’d see that this is only accounting for iPhone operating profits, not the profits from any other area of Apple’s business.

[teckstud]

Originally Posted by solipsism

First of all, Nokia’s phone can play Mp3s. Secondly, if you actually comprehended what you profess to reading you’d see that this is only accounting for iPhone operating profits, not the profits from any other area of Apple’s business.

Fail comprehension much?

Reuters reports that although Apple does not disclose profits by line, operating profit was estimated at nearly $1.6 billion in the third quarter of this year, compared to $1.1 billion in profit by Nokia for the same period of time

Question: So how much of that is iPhone?
Answer: YOU DON'T KNOW- PERIOD.

ANd show me where Nokia has a whole line of dedicated music players- ipods from classics, to shuffles to Touches ????? Computers??? OS sales for those computers????? SOftware- Final cut . etc, etc.

Is there no limit to your warped bias??

[hittrj01]

Originally Posted by teckstud

Profits of Apple compared to profits of Nokia??
Come on guys- that's like comparing Sony profits to Motorola!!! How bogus???
Does Nokia sell MP3 players and laptops?????

The articles are getting weirder and weirder here all the time now.

Technically, no, Nokia does not make mp3 players, but their phones are certainly capable of it.

And yes, they do make a laptop: http://www.nokiausa.com/find-products/mini-laptops

Sorry, it's not that I disagree with your post, I just like being difficult!

[MrCompMan]

I've seen friendlier sites on Linux sites and they hate everyone.

You guys/gals even argue with each other.

I'll continue with ArsTechnica for my Mac forum reading. I've been reading the postings here and there is nothing but bashing each other and everything non Apple.

At least their feedback is very limited to the stuff I see here.

The stories of the 8 or 9 I've read and reviewed the postings are very arrogant people and clearly biased stories.

Some of the forum posters clearly need help in the real world.

Do you people really always have to be right and fight it to the end regardless of how clearly irrelevant it is to the article?

[teckstud]

Originally Posted by hittrj01

Technically, no, Nokia does not make mp3 players, but their phones are certainly capable of it.

And yes, they do make a laptop: http://www.nokiausa.com/find-products/mini-laptops

Sorry, it's not that I disagree with your post, I just like being difficult!

Well at least you have a sense of humor about it.
But really -as if Apple and Nokia's bottom line should be compared???

[Quadra 610]

Originally Posted by MrCompMan

I've seen friendlier sites on Linux sites and they hate everyone.

You guys/gals even argue with each other.

I'll continue with ArsTechnica for my Mac forum reading. I've been reading the postings here and there is nothing but bashing each other and everything non Apple.

At least their feedback is very limited to the stuff I see here.

The stories of the 8 or 9 I've read and reviewed the postings are very arrogant people and clearly biased stories.

Some of the forum posters clearly need help in the real world.

Do you people really always have to be right and fight it to the end regardless of how clearly irrelevant it is to the article?

Bye.

Don't let the door hit your a . . .

[piot]

Originally Posted by MrCompMan

Why do the articles here have to put a negative hatefule spin on everything that is not made by Apple?

Take it up with these guys!


www.strategyanalytics.com

"Apple Becomes World's Most Profitable Handset Vendor in Q3 2009"

[hittrj01]

Originally Posted by teckstud

Well at least you have a sense of humor about it.
But really -as if Apple and Nokia's bottom line should be compared???

Truthfully, no, they shouldn't, I agree. But that's the difficult thing with Apple, they can't really be compared to anyone, so people are forced to come up with their own comparisons. No other company out there does everything that Apple does, and certainly not to the overall general quality.

I always read all these articles of Apple's products being compared to Microsoft, RIM, Nokia, Sony, Google, Nintendo, Napster, Netflix, cable companies... I mean, not only is the list long, but look at the completely different markets all of these companies are in. Good luck comparing Apple to any of that in any reasonable manner.

[MrCompMan]

Originally Posted by hittrj01

Technically, no, Nokia does not make mp3 players, but their phones are certainly capable of it.

And yes, they do make a laptop: http://www.nokiausa.com/find-products/mini-laptops

Sorry, it's not that I disagree with your post, I just like being difficult!

They make 1 netbook which was introduced in August of this year.
Nokia Booklet 3G brings all day mobility to the PC world
August 24, 2009

And imagine that it has HDMI output. Which apparently is a sore spot with this room.

http://www.nokia.com/press/press-rel...newsid=1336683

[teckstud]

Originally Posted by Quadra 610

Bye.

Don't let the door hit your a . . .

You're on a roll tonight!

[MrCompMan]

Originally Posted by piot

Take it up with these guys!


www.strategyanalytics.com

"Apple Becomes World's Most Profitable Handset Vendor in Q3 2009"

This room is hopeless & lost. Nokia has gained 39% year over year and Rim is right behind them.

Apple is 8% growth in the phone market year over year.

That should have been the title of this article.

Continue to argue amongst yourselves. You really do deserve each other.

[teckstud]

Originally Posted by MrCompMan

They make 1 netbook which was introduced in August of this year.
Nokia Booklet 3G brings all day mobility to the PC world
August 24, 2009

And imagine that it has HDMI output. Which apparently is a sore spot with this room.

http://www.nokia.com/press/press-rel...newsid=1336683

Yet their entire bottom line is compared to Apple's? By that logic why not compare Apple to LaCie or Western Digital? They all make hard disk drives yet Apple is king of profits.

[piot]

Originally Posted by solipsism

edit: Mea culpa.

No need. You were right.

Apple does not disclose profits by line, operating profit was estimated at nearly $1.6 billion in the third quarter of this year.....

This is about iPhone profits and only iPhone profits.

Don't forget iPhone's financials are made a little hazy due to the deferred revenue thing. Apple sold 7.4 million iPhones in that quarter.... at around $600 dollars a piece.

Tecstud is just being a dick. As usual.

[MrCompMan]

Originally Posted by Quadra 610

Bye.

Don't let the door hit your a . . .

Before the door hits me. Are you Quadra or Gazoobe? You either have the same mental profile or are the same person.

Both clearly unstable and see yourselves as elitists. Both clearly living on your parent's Amex Card.

Get back with me when you're paying for your toys yourself.