While Apple may or may not make more profits than Samsung - I think they do, but that's going to come to an end soon - we can say this:
- Apple makes shitloads of money
- Samsung makes shitloads of money
- Both are going to make less in the future - Apple will reduce margins with new low end products, and also simply by being able to keep up with demand. And Samsung will probably face stiff competition in all low end categories from a large number of competitors: (to a lesser extent) Apple; ZTE; Huawei; and a number of other chinese manufacturers.
At the moment I think Samsung's Apple contracts are safe - you may hate the company for cheating and lying in sales as much as they are, using dirty tricks and whatnot. But Samsung also outperforms any other company when it comes to high tech manufacturing. Samsung's retina MBP displays are significantly better than LGs - and others don't even try to make these. So say what you will manufacturing is Samsung's strong suit and they are basing all their other successes on that.
One of the most important things about Apple vs Samsung is that they have totally different business models. I don't think Apple should try to compete with Samsung at all - Samsung doesn't matter. Maybe they keep up what they're doing, or maybe some Chinese firms will steal their low end (and subsequently high end). Doesn't make a difference to Apple. Apple competes with Google in the mobile phone business - that's it. Also different business models but that is where the long battle is fought.
Edited by orthorim - 7/30/13 at 5:22am