Samsung's Army of 1 Million Won't Win the War With Apple

The recent battle between the Samsung Galaxy S4 and Apple's (NASDAQ: AAPL  ) iPhone 5 has been one for the ages. But when investors take a step back from the excitement, they'll see a similar dynamic to what played out in the console and early cellphone spec war. As companies struggled to one up each other with incremental gains, they were blindsided by companies like Apple and Nintendo, which came out with not improved, but simply better and more elegant products. The newest Samsung Galaxy S4 doesn't strike the revolutionary chord it needs to in order to topple Apple.

There's no doubt that Apple is at the center of technology's largest revolution ever, and that longtime shareholders have been handsomely rewarded with over 1,000% gains. However, there is a debate raging as to whether Apple remains a buy. The Motley Fool's senior technology analyst and managing bureau chief, Eric Bleeker, is prepared to fill you in on both reasons to buy and reasons to sell Apple, and what opportunities are left for the company (and your portfolio) going forward. To get instant access to his latest thinking on Apple, simply click here now.


Read/Post Comments (8) | Recommend This Article (6)

Comments from our Foolish Readers

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  • Report this Comment On March 21, 2013, at 6:01 PM, rlcato wrote:

    So true from a person with 'suck' in their name.

  • Report this Comment On March 21, 2013, at 6:07 PM, TimKnows wrote:

    Come on, these guys are laughable at best, this is community college stuff. At some point, they will be employable, you'll see.

  • Report this Comment On March 21, 2013, at 6:20 PM, H3D wrote:

    @AppleSuck

    Ok, your here for one thing and rational conversation isn't part of it, but lets try.

    Samsung has a fight on it's hands. Because Google wants the volume market for itself. While Android was split between many players, they could leave it to the field, but with Samsung so big they would own Android, and Google cannot allow that.

    So Samsung must move to an OS that they control. It could be an Android fork, but Google would play on that to advantage.

    This transition will take 2 years, and over that time Samsung's market share and margins will be under heavy pressure.

    RIM will take very little high end market. They have already lost the momentum in the business market. And high end and business users aren't going to move to their new platform which is unlikely to survive.

    The only place that RIM do well these days is in the low end consumer market. Whether they survive there is still to be seen.

    With the 2 highest selling smartphones on the planet, the iP5 outselling the GS3 by a factor of 2x and the 4S beating it too, Apple is taking 70% of the profit in the mobile phone industry.

    I think that Apple may well leave it that way, but if the pundits are right and Apple produce a large plastic iPhone to compete with the large plastic Galaxy S, Samsung could easily loose half their market at fast as Apple can ramp up production.

    Lets see, shall we?

  • Report this Comment On March 21, 2013, at 7:01 PM, jeffreber44 wrote:

    Nokia has better phones.

  • Report this Comment On March 21, 2013, at 7:42 PM, InvestorGater wrote:

    One bland, sweeping paragraph on a topic that is a sure-fire eyeball magnet these days?

    Why don't Motley Fool's 'writers' save the camouflage and get right to their point on MF's behalf . . . skip the paragraph and BEGIN your page with the entity you are SELLING, even if what you are selling is quote "free" unquote.

    In my opinion, only authentic information-purveyors, such as Evan Niu — who buttresses his opinions with well-researched, well-documented facts — are slowing down Motley Fool's slow but evident erosion of credibility. (You will find that evidence in comments about MF, in online forums apart from MF pages.)

    It is come-ons like this page's headline and short opinion — followed by the ever-present sales pitch — that have made me shy away from clicking on most MF links, because these patently obvious fishing lures make me feel like Motley Fool considers me a sucker it hopes to reel in.

    I have no doubt that you'll delete this, but in order for your censor to know whether to let it stand, he will have to read it. And that is my intention . . . to convey to Motley Fool why I cancelled my email notifications from you months ago.

  • Report this Comment On March 21, 2013, at 8:16 PM, cskusc wrote:

    This is pretty silly comment.

    iPhone is already irrelevant. Samsung's competition comes from HTC/Sony/LG, not from Apple these days.

    That's because HTC/Sony/LG got inspiration (don't want to say copy) what Samsung's doing in phone space. Ultimately it will be up to consumers as to which product they will use. But there is integration in consumer space and Samsung/LG is leading there as they already sell products into this space. Others are more pure smart phone play.

  • Report this Comment On March 21, 2013, at 9:42 PM, jellybeean wrote:

    "iPhone 5 one for the ages" ? Because Apple added SO MUCH to the 4S. Doesn't anyone remember all the disappointment the i5's release caused? I lost hope in Apple phone innovation after the 5..... Sorry... Go Android/BB/Windows from now on

  • Report this Comment On March 21, 2013, at 9:52 PM, allesichkann wrote:

    apple is the superior product. samsung has been taken to court for stealing apple's ideas.

    no doubt samsung is inferior-- take a look at its country of origin.

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