IPhone X Alone Gets 35% Of Total Global Smartphone Profits

Apple hasn’t said anything about this so far but multiple reports have suggested that the company is going to launch a successor to the relatively affordable iPhone SE.

Apple’s older generation iPhones, iPhone 7 and iPhone 6 still generate more profit than some of the more recent Android flagships from key Chinese OEMs. Of course, Apple’s iPhone X has a unique oblong notch that’s unlike anything else – or at least, it was unlike anything else until almost every Android company on the planet copied it. All three of them are expected to be in the iPhone X form factor, with Face ID and edge-to-edge displays.

As little as five years ago, smartphone penetration there wasn’t almost what it was in developed nations, and the iPhone seemed primed to take the world’s most populous country by storm.

During the holiday quarter 2017, Apple’s strong iPhone X sales catapulted the activations into first place. Even in India, the brand adheres to a strict profit margin which also leads to final prices that are much higher than the smartphones sold in US.

Apple does not break down iPhone sales by specific model, so it is hard to confirm Counterpoint Research’s numbers. These will all likely have the same stand-out features as the current iPhone X, including an edge-to-edge display, FaceID, ARKit capabilities, and wireless charging. Then again, with Samsung giving the Galaxy S9 away in promotions, are activation numbers really a meaningful statistic?

Counterpoint Research just released a report showing a detailed analysis of Q4 2017 smartphone industry profitability.

AppleInsider reported that Counterpoint Research found out that Apple has gained 1 percent of total profits in a static smartphone market annually. Despite not selling as many units as expected, the flagship alone made five times the profit of the aggregate profit of almost 600 Android device makers in the last quarter of 2017. According to sources, the iPhone X2 or iPhone 11 will cost somewhere north of $1,000, similar to its predecessor, the iPhone X.

According to the data, AAPL captured 86% of total smartphone industry profit in Q4 2017.

Another interesting tidbit, the three-year-old iPhone SE is generating more profit for Apple as compared to new smartphones from other OEM’s. In fact, the average selling price (ASP) of their flagship devices also increased YoY. However, Apple reported that for the 4th quarter, the company earned $52.6 billion, of which $10.7 billion was profit and sold is 46.7 million iPhones. Moreover, iPhone sales are also anticipated to be marred by the increasing replacement cycle of smartphones. However, in terms of year on year (YoY) growth Apple registered an increase in profit of one per cent.