Like clockwork, the latest figures on the state of the smartphone market from researcher Gartner are out. The theme continues to be that Android is the king of the smartphone hill.
The third-quarter data shows that Google
Source: Gartner press release.
Android now claims more than half of worldwide smartphone sales and now has more than triple that of iOS. A year ago, Android's slice was 25.3% compared with iOS's 16.6%. This past year has dramatically expanded Android's lead in the race.
The numbers mostly line up with the stats separately released by Nielsen earlier in the year, which also pegged Android's market share near half. What this latest batch doesn't play nicely with is Gartner's own premonition that Windows Phone 7 will overtake iOS as soon as 2015. Microsoft's share was nearly sliced in half over the past year, falling from 2.7% in Q3 2010 to just 1.5%.
When it comes to vendor ranking, Nokia
What Apple lacks in market share, it more than compensates in profits. According to figures from Canaccord Genuity analyst T. Michael Walkley, Apple's share of profits in the sector is estimated at 52%, despite its roughly 4% market share. On top of that, it's almost guaranteed that Apple's average selling price (ASP) for iPhones will jump and expand margins further.
Last year, Apple's iPhone ASP was $650 at a time when its retail prices were $599 and $699 for 16 GB and 32 GB flavors, respectively. This year's model has seen its retail prices jump to $649, $749, and $850 with the addition of a 64 GB model, and they're flying off shelves, leading me to estimate ASPs approaching $750.
At this rate, it seems like iOS may never catch up in the market-share game. At least it's still winning the profit-share game.
Fool contributor Evan Niu owns shares of Apple, but he holds no other position in any company mentioned. Check out his holdings and a short bio. The Motley Fool owns shares of Apple, Google, and Microsoft. Motley Fool newsletter services have recommended buying shares of Google, Apple, and Microsoft and creating bull call spread positions in Microsoft and Apple. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.