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Apple “destroyed” Samsung’s key smartphone segment premium

Apple has strengthened its position in the key smartphone segment in the premium level and significantly increased its lead over its main competitor Samsung. This is stated in the report of research company Counterpoint Technology Market.

According to experts, during the first eight months of 2016, the share of Apple in the market of smartphones remained at a low level for the company compared to several previous years. However, the rise in demand following the release of iPhone 7 and iPhone 7 Plus will fully compensate for the previous negative trend. In the period of pre-holiday sales at the end of the year the new models were in high demand, especially in the markets of USA, Western Europe and Japan, which helped to some extent to smooth out the more sluggish-than-expected demand in China. As a result, in December of last year, Apple is ahead of Samsung, providing 19% of the global total global retail smartphones.

Moreover, the share of Apple in the segment of expensive devices cost over $400 exceeded 70% in the final month of last year, up from a low of 47 percent in may. While in the domestic market, Apple in the United States, the share of iPhone in high-class category were close to a record 80%. Experts believe this is an important achievement, especially in light of the fact that in General, the premium segment of smartphones, observed a zero annual growth rate.

In addition, the experts drew attention to the fact that Apple is significantly detached from Samsung: if the first on the market for more than $400, the company were almost equal, at the end of the year, the iPhone maker has made a breakthrough and surpassed the South Korean giant is more than 50%. Partly the weakening of the Samsung was connected with the consequences of revocation of smartphones Galaxy Note 7 and the growth of competition from the models of other vendors, such as Huawei Mate 8, Google Pixel and Moto Z. Despite the high sales of Galaxy S7, they are unable to fill the void resulting from the withdrawal from the market of Galaxy Note 7.

Another vendor to be awarded the praise of analysts, was Huawei. In December 2016, the share of this company in the global market of smartphones for the first time rose above 10%. In addition, Huawei for the first time in a couple of months was on a par with Apple in terms of retail sales of smartphones, which is a real success for the Chinese manufacturer.

According to experts, the volume of world retail smartphones in December 2016 reached a record level of 150 million units, and for the whole of last year amounted to about 1.5 billion devices.

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