Major Android OEMs like Samsung, HTC and LG might be losing a lot of money through their mobile division, but others are thriving.
A new report coming out of Strategy Analytics reveals more data on the smartphone market in Q3. According to the information, the mobile industry posted $9.4 billion in profits.
As you can see for yourselves, 91% of that number was grabbed by Apple. In second place with only 2.4% came Huawei, which means the Chinese manufacturers can now take the crown as most profitable Android OEMs in Q3. Goodbye, Samsung!
In Q3 Apple took home up 8.5 billion in profits, while Huawei managed to snatch $0.2 billion. Executive director at Strategy Analytics, Neil Mawston commented on Huawei’s success. He believes that the company’s efficient supply chain, great product lineup and powerful marketing campaigns are the key ingredients to Huawei’s success.
Huawei is riding the wave right now. The company produced Google’s Nexus 6P and is so secure that it passed on the opportunity to make the Pixel phones, leaving that “pleasure” to HTC. We all know the Taiwanese device maker was left out of all Pixel promotional and branding affairs and Huawei would have none of that.
Strategy Analytics also names two other OEMs and to the surprise of everyone, they are also Chinese companies. They are Vivo and Oppo – both with 2.2% of global smartphone profit share (around $0.2 billion).
Vivo for example, recently unveiled a Galaxy S7 edge competitor with a dual-edged panel design, which offers some improvements over the Samsung phablet. Slowly but surely, customers seems to be migrating towards Chinese OEMs and their affordable products.
A notable absentee form the list, Samsung is trying to recover from the Galaxy Note7 fiasco. But judging buy a recent poll which claims the phablet debacle hasn’t damaged Samsung’s reputation in the US, the Korean tech giant should have no problems in making a comeback in Q4 (which is incidentally the holiday quarter).
The report clams that the global operating profit of $9.4 billion for the quarter ending in September marks a decrease from the $13.5 billion in the same time last year. With the smartphone becoming more and more ubiquitous, less people are buying a handset for the first time and this is reflected in the numbers above.