One of the main reason that caused the failure of many smartphone pioneers is the rapidly
development of IOS and Android. According to a report on smartphone sales carried out by
Gartner on the second quarter 2015, the current Android and iOS continue holding large slices
of the market share in the OS device. The report shows that the total revenue from the
smartphone market quarter 2/2015 was $ 329 million, while Android and iOS accounted for
USD 319 million (96.8% share). As the experts said, Android is still dominated the smartphone
market when held up to 82.2% of the smartphone, which was followed by iOS with 14.6%
market share.
The mobile operating system market now primarily in the hands of big as iOS, Android and
Windows Mobile. Apple claimed that it has sold over one billion iOS devices since its launch
in 2007, Microsoft is hoping chasing the numbers 1 billion devices running Windows 10 in 2018
but the winner is still Google, currently has more than 1.4 billion Android users. The latest
official data about Android users has increased by 400 million compared to 1 billion users as
announced in June 2014 and 900 million by May 2013.
Devices running iOS including iPhone, iPad and iPod continued to experience strong growth in
sales. And according to the latest statistics, the sales of Apple's iOS devices is now equal to the
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total PC Windows sold. It's a new milestone for Apple, published by analyst Benedict Evans,
based on data collected from Gartner, Apple and a16z. Statistics also show that Windows PC
sales remained stable in recent years, around 300 million units mark. Meanwhile, Apple's iOS
devices have the extremely strong growth. Although including iPad and iPod, but this growth
came primarily from sales of iPhone. For iPad and iPod sales are showing signs of leveling off
or even declining.
GRAPH 9. IOS Devices Sales Compare to Windows PC Sales (Adapted from Spider-Mac 2015)
4.4 New trend in smartphone market
There is a fact that Apple is probably the only brand hasn’t launched any product to compete in
the low - end smartphone market, and perhaps the company does not see the appeal in this
market segment. But on the contrary, Samsung, LG, Sony, Xiaomi .
.. are to exert its influence
in the low - end segment or even more is the mid-range with price approximately 300$.
In fact cheap products never afraid to lose, and the future for not well known firms which do
not want to risk in the high-end products such as Xiaomi, Asus, Lenovo and LG, the Cheap
phone sector remains a potential market that brings success to them.
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According to ICTnews - Two Chinese domestic company Xiaomi and Huawei has surpassed
Apple in smartphone sales in the quarter from March to May 6/2015, according to market analyst
firm Canalys. After two quarters as a smartphone market leader in China, Apple recently being
pushed down to third place by two local firms called Xiaomi and Huawei. This is information
analysis firm Canalys released market. Canalys statistics is done in the second quarter / 2015.
Accordingly, currently Xiaomi has become the largest smartphone manufacturer China with a
share of 15.9%. Huawei comes second with 15.7%. Behind are Apple, Samsung and Vivo.
While growth in China in recent years has been driven by the homegrown talent, the situation
is a bit different in India. India also has its own local players already established on the market,
but is facing competition from a large number of external manufacturers, which both have
experience in conditions emerging and advanced markets. Xiaomi, OnePlus and Lenovo
(Motorola) are just a few of the Chinese companies compete with Micromax, Lava, Karbonn
and other companies of India. Samsung and Micromax holds the largest share in India at 48
percent combined, leaving the remaining 52 percent of this growing market ready.
A wide range of devices including the Motorola Moto E was introduced recently by Sony Xperia
E and line demonstrated that high-powered technology could come with a cheap price. Both
cost about $ 150, or about one-fourth the cost of a high-end HTC One, Samsung Galaxy S or
iPhone. The proliferation of high-performance phone has made a hard hit on Samsung hard. The
South Korea electronic giants has a history of covering the market with models in all sizes and
prices which are supported by large marketing budgets. That worked fine for Samsung, but it is
not clear how such a high cost structure and sustainability will counteract with the latest trends.
Manufacturers of low-end Android phones, including the use of Microsoft Windows Phone and
Mozilla's Firefox OS, will also be affected.
