Apple may be getting all the smartphone love for its iPhones but Android is clobbering Apple’s iOS platform and Windows Phone in unit shipments and market share.
Every quarter brings more distressing news for Apple vis-a-vis its declining market share.
At this rate, I suspect Apple will be an irrelevant player in the smartphone universe, relegated to a niche status with less than 5% market share, in five years or less.
Android’s biggest plus on smartphones is the low prices, sometimes 50% lower than iPhones, that has enabled it to grow rapidly in huge developing markets like India and China.
But keep in mind that Android smartphones are sold by multiple vendors while iOS smartphones are the exclusive preserve of Apple.
The two silver linings for Apple in the high stakes smartphone battle – It’s making the bulk of the profits and continues to enjoy the hype from a fawning press.
Apple’s smartphone business is also more profitable, and earns higher margins, than that of Samsung, LG and any other Android vendor. Samsung is the largest Android smartphone vendor, accounting for nearly 40% of all Android shipments in the third quarter.
But as Android improves its security and vetting of apps, I see developers leaving the Apple iOS world.
In any case, most app developers for the iPhone are not making money from their efforts.