Is Apple Copying Samsung?

Apple (NASDAQ: AAPL  ) has long been known for its product innovation and ability to create new market segments, but over the past few years the company's ingenuity has been questioned. Now it seems Apple may be taking some cues from rival Samsung (NASDAQOTH: SSNLF  ) , which isn't necessarily a good thing.

Anything you can do I can do bigger
While Apple likely does have more ideas up its sleeve, investors have come to expect revolutionary products from Cupertino every few years and have been left largely disappointed recently. Some of the latest news surrounding new iPhone innovations involve ideas that are already in the smartphone market, leaving investors wondering if Apple knows which way to go with its flagship device.

Take a Bloomberg article published over the weekend, which claimed Apple is working on two new large-screen iPhones with curved glass, set for release  in the second half of 2014. Sources told Bloomberg that Apple is working on 4.7-inch and 5.5-inch iPhones that have glass that "curves downward at the edges."

Though smartphones seem to be getting bigger, data from mobile advertising platform Flurry earlier this year showed that screen sizes between 3.5 inches and 4.9 inches still dominate the mobile market. That puts Apple's iPhones well within the most popular range of screen sizes, and leaves the question open as to why the company might follow Samsung into the larger display arena. 

Galaxy Round. Source: Samsung.

A curve ball for consumers
Samsung recently launched the Galaxy Round, which has a concave display. The phone isn't a mass-market device, but rather shows Samsung can create rounded screens that could lead to other innovations like foldable smartphone screens in the next few years.

Samsung has said it will have a bendable display by next year and a foldable screen by 2015. Research firm IHS expects sales for flexible organic light-emitting diode, or OLED, displays to hit $100 million next year, and anticipates that foldable OLEDs will hit the market after 2016.

While a bendable or foldable display trend may be on the horizon, Apple and other tech companies certainly don't need to bring curved devices to market in order to make that happen. Samsung tends to make a vast amount of mobile products that hit lots of niches, but they don't all pay off. Curved displays don't add much, if any, function to smartphones and investors should hope Apple comes to the same conclusion.

Investors should focus on two main ideas concerning the recent Bloomberg news. The first is that the super-isized smartphone displays aren't the norm and Apple still falls well within the most popular range of device display sizes. Also, Apple does extensive testing of different devices and models and only brings a fraction to market, so any news should be taken with a bit of skepticism.

Second, although foldable and bendable displays may be future smartphone trends, there's nothing to prove that the consumer masses will stand in line for curved iPhones anytime soon. A larger-screen device has obvious upsides for entertainment and app functionality, but a curved device is largely a marketing gimmick. While some investors may be unhappy with Apple's lack of recent innovations, following Samsung down the curved smartphone path certainly isn't the answer.

Got iPad?
Apple's newest iPad Mini with Retina display might be hard to come by this quarter, given all the reports of supply constraints. Well, we're going to be sure to get a few -- and give them away! That's right: For the first time ever, The Motley Fool is hosting a contest where you can win a free iPad Mini with Retina display. All you have to do is tell us why you love The Motley Fool by clicking here! We'll pick the three most Foolish submissions to receive a free iPad Mini with Retina display.

See full terms and conditions by clicking here

Read/Post Comments (2) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On November 11, 2013, at 8:35 PM, spakklal wrote:

    Apple manufactures what consumers like to stand in line for hours and buy their product. Apple does not have to innovate but make products which makes the user experience better.

    There were smartphone manufacturers before iPhone & now Apple has 100 billion revenue in only iPhones & 25 billion revenue in iPads which was also previously done by other manufacturers. So the difference Apple has created an image which is far superior to samsung or any other manufacturer.

    Even if Apple makes a curved phone people will still stand in line to buy their product just because it was made by Apple.

    In that case I did not see lines for samsung S4 like the iPhone 5S.

  • Report this Comment On November 12, 2013, at 7:27 AM, jdmeck wrote:

    Samsung has nothing yet worth copying. Their watch is proof that first is not best.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2721538, ~/Articles/ArticleHandler.aspx, 9/27/2016 6:53:21 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,228.30 133.47 0.74%
S&P 500 2,159.93 13.83 0.64%
NASD 5,305.71 48.22 0.92%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/27/2016 4:00 PM
AAPL $113.09 Up +0.21 +0.19%
Apple CAPS Rating: ****
SSNLF $1550.00 Down +0.00 +0.00%
Samsung CAPS Rating: No stars
IHS.DL $0.00 Down +0.00 +0.00%
IHS CAPS Rating: *****