apple

May 23 2013

Google seen as a more valuable brand than McDonald’s and Coke

brandz-list-2013The Oscars equivalent for brand names, the BrandZ list of the most valuable global brands of 2013, has been published and the three most valuable brands are technology companies. Apple, Google and IBM top the charts followed by the food giants McDonald’s and Coca-Cola.

The BrandZ list, which is now in its eighth year, ranks the brands according to the views of potential and current buyers of a brand along with financial data. Although Apple remains on the top with a brand value of $185 billion, it only managed to grow 1 percent  in the last year. This could be potentially worrying as it closest real world competitor Samsung grew its brand value by 51 percent. However the Korean electronics giant still has some way to go to catch Apple and Google as it is only ranked at number 30 with a brand value of $21 billion.

Google’s brand value was actually in decline when the 2012 list was published, but this year the search giant and benevolent curator of Android grew its brand value by 5 percent to  swap places with IBM and secure the number 2 spot with a brand value of $114 billion. IBM is now number 3 with a brand value of $112 billion.

Resisting the urge to philosophize about why the three  the most valuable global brands are technology companies and why the next two are fast food related brands, it is worth noting that Microsoft is the seventh most valuable brand, having dropped two places from 2012, with a brand value of $69 billion. Amazon is 14th at $45 billion and Facebook ranks just after Samsung at 31 with $21 billion.

brandz-top10-2013

Showing the economic power of China, there are at least three Chinese brands in the top 40 including China Mobile (number 10 with $55 billion), China Construction Bank (at number 22 with $26 billion – more than Samsung and Amazon) and the Agriculture Bank of China (taking the 37th spot with a brand value of just under $20 billion).

What is also interesting is that Sony, LG, Nokia and HTC don’t appear anywhere in the top 100. This is an odd dichotomy in that the biggest two brands Apple and Google are technology companies with heavy interests in smartphones. They are clearly valuable brands, but other than Samsung (and Microsoft) no other smartphone manufacturer appears in the top 100. This only goes to prove Apple’s genius at marketing and Google solid position as a household name.

Does the list reflect your value of these brands? Let me know by leaving a comment below.

    


By Gary Sims • apple, google, microsoft, News, samsung • 0

May 22 2013

Google ranked second most valuable brand, behind Apple

Google Building 44

Company surpasses IBM to take number two spot on BrandZ list

Google has been ranked as the world second-most valuable brand, on the 2013 BrandZ list of top global brands. The list, published by research agency Millward Brown Optimor, puts Google's brand value at $113.669 billion, well behind Apple's $185.071 billion. This year Google creeps ahead of IBM, last year's number two, which now sits in third place with brand value estimated at $112.536 billion.

Google and Apple are placed above big names like McDonalds (4), Coca-Cola (5), Microsoft (7) and Visa (9). Other big Android names on the list include Samsung at number 30, having jumped a whopping 25 places, and Verizon, which dropped three spots to number 12. China Mobile maintained its number 10 spot, with estimated brand value of $55.368 billion.

Google's jump from third to second shows steady growth, but Apple clearly remains the company to beat, retaining the title of most valuable brand by a significant margin. Samsung's meteoric rise of to thirtieth is also noteworthy, and likely has a lot to do with the success of its Android-based Galaxy smartphones over the past year.

Check the source link down below for the full list of top 100 brands.

Source: Marketing Week; via: PhoneArena

    


By Alex Dobie • android, apple, branding, google, News, samsung • 0

May 17 2013

One in 10 Galaxy S4 units to feature Exynos 5 Octa chip, new report says

galaxy s4 vs iphone 5 featured aa

Samsung and Apple are apparently engaged in an unseen battle for controlling supply chains for future products, with the South Korean company looking for more component deals outside of its in-house capabilities, a new Reuters story says.

Exynos 5 Octa vs Qualcomm Snapdragon 600

According to analysts, only about 10% of Galaxy S4 units will pack Samsung’s newest eight-core processor – or one in 10 units – with everything else relying on chips from Qualcomm. Comparatively, about 30% of Galaxy S3 units shipped with an Exynos processor.

The more mobile devices Samsung ships each quarter, the more components it will need to keep manufacturing a high-number of Galaxy-branded smartphone and tablets destined for different markets.

One of these models is obviously the Galaxy S4, its latest flagship product that’s selling like hot cakes in multiple countries – to date, the handset has become the fastest selling smartphone for the company.

While the Galaxy S4 offers generally the same specs and features no matter where you buy it from, it does come in two distinct flavors when it comes to its system on a chip (SoC). We’re looking at a model powered by the quad-core Qualcomm Snapdragon 600 processor, while the other has inside the Samsung-made eight-core Exynos 5 Octa processor (it actually packs two quad-core CPUs).

The difference in performance between the two is negligible some would say, Samsung included, while others will disagree. Existing AnTuTu tests reveal that the Octa model outperforms the Snapdragon one, although regular users may not notice the difference in performance in day-to-day activities.

HTC One vs Galaxy S4 benchmarks

For Samsung, shipping enough units to carrier and retail partners seems to be a primary objective. And to do so with the Galaxy S4 – which faced some launch issues caused by insufficient stock – Samsung decided to go with Qualcomm:

“We’ll continue to resort to multi vendors to ensure smooth supply,” Kim Hyunjoon, vice president of Samsung’s mobile business, told analysts on a recent earnings call.

The battle for supplies

Samsung still makes 80% of the components needed for its mobile business in-house, so it’s not as dependent on third-party suppliers as its competitors, Apple included. In fact, Apple was on of the biggest Samsung customers, shopping for various mobile components for its iOS-based devices in the previous years. But that may change in the future as the iPhone maker looks to distance itself from its main competitor in the mobile business, a rival who’s also fighting in courts over patent-related issues.

Samsung and Apple captured 100% of profits in the first quarter of the year, and more than 100% of profits in the previous year.

When it comes to other components, it looks like Samsung and Apple may be fishing for the same parts from the same providers. Some of the companies that already supply parts to both companies include Qualcomm (LTE chips), Toshiba (NAND memory chips), Sony (image sensors), and Corning (Gorilla Glass).

Other companies like Sharp (displays) and STMicroelectronics and Bosch (both “mass producers of pressure sensors used in navigation features”) could also provide components to both companies. Currently Sharp ships displays to Apple and is reportedly looking to “boost sales to the Korean firm,” while STMicroelectronics and Bosch deliver parts for Galaxy models.

Some analysts seem to believe that outsourcing more components would mean that Samsung would lose some of that hardware differentiation that helped the company reach its current position in the mobile ecosystem:

“Given that Qualcomm chips are also found in rival products, and the much-heralded launch of smartphones with flexible display appears to be delayed, I’m worried Samsung is losing its hardware differentiator,” said BNP Paribas analyst Peter Yu.

But let’s not forget that Samsung has one particular department that’s working at full steam to sell Galaxy products. That’s its marketing department that has access to virtually unlimited resources. Samsung outspent all its competitors in the past year promoting its mobile devices. In fact it spent “more on marketing than on research and development” in 2012. The company could have a similar approach this year as it fights for more market share and profits in the mobile business.

Will Samsung and/or Apple encounter supply issues as they continue to clash for mobile domination? We’ll just have to wait and see how it plays out.

    


By Chris Smith • apple, Exynos 5 Octa, News, Qualcomm Snapdragon 600, samsung, Samsung Galaxy S4 • 0

May 14 2013

Apple hoping to add Samsung Galaxy S4 to its spring 2014 patent trial

Apple

Legal battles over patent infringement happen all the time, but most of these cases don’t hold a candle to the complexity of the Samsung and Apple patent wars. Not only are the Sammy/Apple battles fought fiercely (and globally), there are also passionate fans on both sides, rooting for their favorite player.

As Apple and Samsung gear up for their latest battle in California (planned for Spring 2014), Apple is looking to add yet another device to their list of 22 Samsung devices that allegedly infringe on Apple patents. So what’s the latest device to gain entry to Apple’s infringing device club? You guessed it, the Samsung Galaxy S4.

Samsung recently released its newest smartphone, the Galaxy S4, which began shipping in late April 2013. Based on Apple’s analysis of the Galaxy S4, Apple has concluded that it is an infringing device and accordingly intends to move for leave to add the Galaxy S4 as an infringing product.

Judge Koh already feels that Samsung and Apple need to cut down the amount of devices involved in the case, but Apple is determined to see the Galaxy S4 added to the list. Apple has even offered to drop one of its other 22 Samsung devices and replace it with Samsung’s latest handset.

Meanwhile, Samsung is preparing a counterclaim of its own, currently with 22 Apple devices that are said to violate Samsung’s own patents, including devices such as the Macbook Air, the iPad, Apple TV and many others.

In short, the drama continues with both sides preparing all the ammunition possible to fight it out to the bloody end. The big question is: when is enough, enough? Devices like the Optimus G Pro look (somewhat shamelessly) like Samsung devices, but no lawsuit is brought up over the design.

Of course Apple and Samsung’s battles go way beyond the Korean electronic giant. For Apple, the real target is Google and its Android OS, Samsung just makes for an easier target due to its large share of the Android market.

What do you think of Samsung and Apple’s patent war, has it gone too far yet?

    


By Andrew Grush • apple, galaxy s4, News, samsung, Samsung vs Apple • 0

May 14 2013

Apple looks to add Samsung Galaxy S4 to patent infringement suit

Galaxy S4 outside Apple Store

Apple says Samsung's new flagship smartphone "is an infringing device"

Apple will move to have the Galaxy S4 added to its patent infringement case against Samsung, court documents reveal. In documents filed with the U.S. District Court in California and published by The Verge, Apple says it has examined the handset and "concluded that it is an infringing device." As such, it will add the GS4 to its list of infringing products, but remove one of the existing 22 so as to abide by the court's request that it limit the number of claims and devices.

The list currently includes such phones as the Galaxy Nexus, Galaxy Note, Note 2, Note 10.1, U.S. Galaxy S2 models and the Galaxy S3.

read more

    


By Alex Dobie • apple, galaxy s4, infringement, Law, Lawsuit, News, patent, samsung, Samsung Galaxy S4 • 0

May 10 2013

Android dominates Apple, Microsoft in smart mobile device shipments for Q1

Canalys Q1 2013 analysis

Even when counting laptops and tablets, Android powers 59-percent of all devices shipped in Q1

We often get glimpses into how well Android is performing in terms of shipments compared to other mobile competitors such as iOS and Windows Phone, but it turns out Android fares extremely favorably against mobile devices of all kinds. According to analysis by Canalys, of all "smart mobile devices" -- including smart phones, tablets and laptops -- shipped in Q1 2013, Android was the operating system of choice on 59.5-percent of them. That means that even when factoring in Apple laptops running Mac OS X and Windows-based laptops into Apple and Microsoft's numbers, Android is still a majority of all devices shipped. Canalys estimates that 183.7 million Android devices were shipped in the quarter, dramatically higher than apple's 59.6 million and Microsoft's 55.9 million.

As you would expect, things break down favorably in the manufacturer charts for Samsung, which supplied 82.2 million of those devices (keeping in mind they make Windows laptops also) even without sales of the Galaxy S4 being counted because it had not yet gone on sale in Q1. As if those crazy Android activation numbers we keep seeing weren't enough of an indication, it should be clear now that Android is genuinely dominating the mobile landscape.

Source: Canalys; Via: ZDNet

    


By Andrew Martonik • apple, market share, marketshare, microsoft, News, samsung • 0

May 10 2013

Galaxy S4 vs iPhone 5: battle of the idols (video)

galaxy s4 vs iphone 5 featured aa

The rivalry between Apple and Samsung is the stuff of legends. But there’s a rivalry in the tech world that is even fiercer – that between the fans (or fanboys) of the two companies.

What’s with the iPhone and the Galaxy S line that makes people go for each other’s jugulars? Is it because they embody very different philosophies? Is it because Samsung and Apple have gone to great extents to create and maintain hostility between the two camps? Regardless of the answer, one thing’s for sure – millions of people love the Samsung Galaxy S4 and the iPhone 5, making this Versus probably the most interesting confrontation of 2013.

Without further ado, let’s pit the Galaxy S4 against the iPhone 5 in our versus comparison. We’ll look at build quality and design, displays, specs, and software features, in an attempt to see which phone is better. In a hurry? Jump straight to the video comparison.

Beauty is in the eye of the beholder

To get the obvious out of the way, it’s darn hard to compare two devices that are so different as the Galaxy S4 and the iPhone 5. And the difference is the most visible when it comes to design. Samsung’s device features smooth curves, a huge screen framed by slim bezels, and a mesh like pattern on the plastic back cover.

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The iPhone’s design is more industrial, with sharper lines and a sleek, cold metallic feel to it, conferred by the aluminum unibody. Of course, it’s much smaller that the Galaxy S4, a trait that has come under criticism lately, as smartphones push the upper limits of screen sizes.

Samsung’s choice of materials for making its flagship devices has been debated ad nauseam, so we won’t insist on the “plasticky” feel of the Galaxy S4 that some people loathe with a passion. The iPhone may feel more premium, but there are many other, more important, factors that should influence your buying decision, that “premium feel” seems almost trivial. With that said, the aluminum unibody of the iPhone makes it very robust, as our drop test has shown you.

galaxy s4 vs iphone 5 5 back aa

It may be more fragile, but the removable back plate of the Galaxy S4 enables it to offer two important features – a microSD card slot and a removable battery. If these two features are high on your shopping list, the Galaxy S4 is the way to go.

galaxy s4 vs iphone 5 s4 back cover off aa

It’s almost impossible to call out a winner here, simply because picking between the design of the Galaxy S4 and the iPhone 5 is largely a matter of personal preference. Beauty is in the eye of the beholder, right?

The difference an inch can make

Apple has stubbornly stuck with a smallish display on the iPhone, leaving competitors to serve the increasing number of customers looking for an expansive visual experience on their phones. While the iPhone 5 is taller than previous versions, its display is still just 4-inch across, which makes it seem almost inadequate alongside the Galaxy S4. We do realize that some people prefer compact phones, but in our book, the larger display of the Galaxy S4 is a major plus.

galaxy s4 vs iphone 5 size difference aa

The display of the Galaxy S4 is not only larger than the iPhone 5’s, but also comes very close of beating it in terms of quality. As we reported a few weeks ago, the display experts at DisplayMate gauged the AMOLED panel of the new Galaxy S4, and found that it’s as good as or better than the display on the iPhone in many ways. For context, the same experts criticized the Galaxy S3 for its lack of brightness, inaccurate color reproduction, and overall lower quality when compared to the iPhone 5.

galaxy s4 vs iphone 5 displays aa

Apple’s device may still be king in certain areas (color calibration is almost perfect), but the full HD display on the Galaxy S4 is giving it a serious run for its money. When drawing the line, both phones have excellent displays that will satisfy all but the most picky of users.

The specs war that wasn’t

iPhone fans have long got accustomed to say that specs don’t matter, the experience does. And that may be true, ultimately, but specifications sheets still give us a pretty good indication of what a device is capable of.

On one side, we have Apple’s homegrown A6 processor (made by Samsung, for irony lovers) with two cores clocked at 1.2GHz. A PowerVR SGX 543MP3 GPU and 1GB of RAM complete the picture of a device that doesn’t shine through raw power, but does deliver a very smooth user experience. The version of the Samsung Galaxy S4 that we reviewed features a Snapdragon 600 processor, an Adreno 320 GPU, and 2GB of RAM, which on paper (and in benchmarks) should crush the iPhone.

galaxy s4 vs iphone 5 5 performance aa

The S4 certainly beats the iPhone in the Geekbench benchmark, but the difference in real life use is almost unnoticeable. Why is that? Because Apple does a very good job at optimizing iOS for the iPhone hardware, while iOS app developers have a much easier time adapting to one hardware configuration, instead of dozens, as it happens on Android.

galaxy s4 vs iphone 5 geekbench aa

While both phones work buttery smooth, the specs junkie should focus their attention on the Galaxy S4. Not only it’s more powerful in terms of raw performance, but the S4 features an SD card slot, a removable battery, NFC, an IR blaster, a thermometer, a barometer, and a few other sensors. The iPhone 5, by contrast, seems bare of features.

galaxy s4 vs iphone 5 s4 performance aa

We’ll include here the discussion about accessories. If you’re coming from a previous Apple device and you have several accessories already, the iPhone 5 (plus an adaptor) might be a good choice for you. If that’s not a problem for you, we don’t see any reason why you’d choose an iPhone over the more feature-rich Galaxy S4.

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Battery and cameras

One of the perks of having a larger device is the larger battery capacity. Indeed, the 5-inch Galaxy S4 has a whopping 2600mAh battery, the biggest in its class, and close to double what the iPhone 5 offers at 1440mAh. However, thanks to the smaller display, smaller resolution, and better optimized hardware, the Apple device usually manages to get users through a day of light to moderate utilization. With more intensive use, however, the iPhone 5 is often depleted before the evening.

galaxy s4 vs iphone 5 5 battery aa

The Galaxy S4 is able to power through one day of heavy use without breaking a sweat, and is likely to resist up to two days with light to moderate usage.

galaxy s4 vs iphone 5 s4 battery aa

In terms of quality, the cameras on both the Galaxy S4 and the iPhone 5 are excellent. The iPhone is well known for the quality of its optics, while the 13MP sensor on the Galaxy S4 lets smartphone shutterbugs take clear and detailed images.

galaxy s4 vs iphone 5 camera 2 aa

galaxy s4 vs iphone 5 camera 1 aa

The most notable difference when it comes to cameras is the inclusion of special features in the photo apps on the iPhone and the Galaxy S4. The iPhone features two special modes, Panorama and HDR, which simply doesn’t compare to the wealth of features that Samsung baked into the camera app on the Galaxy S4 – Eraser, Drama Shot, Shot and Sound, Cinemagraphs, dual recording, HDR, and panorama.

galaxy s4 vs iphone 5 cameras aa

iOS vs TouchWiz: a familiar story

As one of the most popular mobile operating systems, iOS suffers from a major problem – people know it too well. Save for a few major additions, like Facetime and the notification shade, iOS has remained mostly unchanged since its early days. While constancy can be good, it can also lead to boredom and fatigue, which may explain why many iPhone users are switching to Android. iOS 6 provides the smooth, super-polished experience that people expect from Apple products, but overall, the OS feels static and a bit dated.

galaxy s4 vs iphone 5 5 ui 1 aa

TouchWiz is another well known mobile operating system, that people tend to either hate or love. The colorful and cheerful interface, with its bubbly design, can be a joy to use, but many prefer a more understated and elegant design. The implementation on the Galaxy S4 doesn’t bring any major changes to the overall design language of TouchWiz, but Samsung compensated with a number of new features. Air View (control the phone without touching it), S Health, Group Cast, Eye Pause, Eye Scroll, and WatchON are some of the most important new features, with staples like Multi-Window multitasking making a comeback.

galaxy s4 vs iphone 5 s4 ui 3 aa

The Galaxy S4 doesn’t bring any revolutionary features to the table, but it does offer some new and potentially better ways of using your smartphone. Yes, you might live happily without them, but you may also find that they are the best thing since sliced bread. It’s a matter of personal preference really.

Hands-on video

Pricing and final thoughts

The Samsung Galaxy S4 and the Apple iPhone 5 are similarly priced, despite the fact that the iPhone is more than six months old. In the United States, you can get the devices for about $700 unlocked, and on contract, they will typically set you back $200.

So, which one’s better? The Galaxy S4 has better specs, a nicer display, a bigger battery, more software and hardware features, and a better camera. Unless you absolutely dislike plastic, TouchWiz, or large phones, you’ll be better off choosing the Galaxy S4. The iPhone 5 is a great device, but that doesn’t change the fact that it feels so limited compared to modern Android smartphones.

How does the Galaxy S4 compare to the iPhone 5? Answer our poll and tell us your opinion in the comments.

Note: There is a poll embedded within this post, please visit the site to participate in this post's poll.
    


By Bogdan Petrovan • apple, apple iphone 5, Featured, News, Phones, samsung, Samsung Galaxy S4 • 0

May 10 2013

Android powers 59% of smart mobile devices shipped in Q1, what can Apple and Microsoft do?

high end phones

Latest figures show that Android was the operating system of choice for over 182 million smart devices that were shipped during the first three months of this year. According to a new report by research company Canalys, 308.7 million smart mobile devices (which includes notebooks as well as tablets and smart phones) were made in Q1 and Android powered 59.5% of them!

What is interesting about these numbers is that Canalys has added notebooks into the equation. This gives Microsoft a better representation and means that this isn’t just another set of Google vs Apple statistics. If you include notebooks and Microsoft Windows then Apple only has a 19.3% share of the market (with iOS and OS X) and Microsoft has an 18.1% share (with Windows 8 Pro, Windows 8 RT, Windows Phone 8).

Tablets continue to be the fastest growing segment with worldwide tablet shipments growing by 106.1% year-on-year to 41.9 million units. Apple’s dominance in this area can’t be denied and iOS has a 46.4% share. However Apple’s market share is shrinking and Q1 was the third consecutive quarter where Apple lost market share to Android.

The bulk of the 308.7 million smart devices shipped in Q1 were smartphones with just over 216.3 million shipped. Android was the dominant OS with 75.6% of smartphones shipped using Google’s open source OS. Samsung continues to dominate increasing its volume by 64.3% year-on-year, while Apple saw only a modest annual growth  of 6.7% in its smart phone shipments.

The growth in sales of the iPhone is at its lowest level since the launch of the original iPhone back in 2007 and clearly the Cupertino company faces some strong challenges. To be fair it isn’t the end of the world for Apple (yet) as it did ship over 37 million iPhones but clearly Android phones like the Galaxy S4, the HTC One, the LG Optimus G Pro and Sony’s Xperia Z are more than a match for the iPhone.

Canalys Smart mobile device shipments exceed 300 million in Q1 2013

What can Apple do?

All the current Android flagship smartphones use much bigger displays than the iPhone (which now even at 4 inches is looking small). They all have quad-core processors, they all have 2 GB RAM and they have HD (1080p) displays and they all offer NFC. None of these things are true for the iPhone 5.

For Apple to maintain its momentum the next iPhone can’t be just a tweaked version of the iPhone 5. Traditionally Apple released a new design (iPhone 3G, iPhone 4 and iPhone 5) every two years and in the in-between years it released a tweaked, faster version (iPhone 3GS, iPhone 4S). If the next iPhone from Apple is the iPhone 5S with just a faster CPU and a few tweaks then the company will be in serious trouble. Product naming aside it needs to release a new design (an iPhone 6) with a HD display, a bigger screen and more CPU power. Apple also needs to embrace NFC.

But that isn’t all. iOS needs to be updated radically. Sir Jonathan Ive is now hands-on with the design of iOS after Scott Forstall left (was pushed) Apple. He needs to radically refresh the current iOS UI which is six years old and is missing lots of “standard” features that Android smartphone users are used to.

What can Microsoft do?

This is a tough question. I will go out on a limb here (bullet proof vest on, helmet secure) and say that Windows Phone 8 isn’t actually that bad. Please don’t shoot! The problem Microsoft has is that it’s business model is broken. Google went open source with Android which means that every manufacturer from Samsung down to some small Chinese outfit can make Android phones. Second, Google went into the hardware business (with partners like LG and Asus) in a way that actually boosts sales of Android. When Microsoft went into the hardware business it just annoyed its OEMs.

Apple is different as it is at the “high end”. The iPhone is seen historically as a premium product. Its marketing is based on a small number of models at the top end (compare how many models of iPhone there are to how many Samsung devices you can buy). Microsoft are stuck in an old business model with only one or two major hardware partners (Nokia and HTC) trying to convince the world that Windows 8 on the desktop is just like Windows 8 on a phone or tablet!

What Microsoft need to do is lure developers and handset manufacturers to Windows Phone 8. There are several ways it can do this, it will never open source Windows Phone 8, but it could open source parts of it and offer developers (and manufacturers) the freedom to tweak the OS. It could also tempt developers with special handsets at reduced prices etc. To get more handset manufacturers it could also relax the procedure for becoming a OS partner, maybe waive some fees etc. Once developers and handset manufacturers are truly keen on Windows Phone 8 and once they have some freedom to tweak and differentiate then the consumers will come.

What do you think, is Android destined to be the dominant mobile device OS? What can Apple and Microsoft do?

    


By Gary Sims • android, apple, google, iOS, Microsoft Windows Phone 8, News, Opinions • 0

May 9 2013

Why are carriers turning away from the iPhone?

Apple-Store

Apple, the company that really created the modern mobile technology market, is slowly becoming less relevant in it. Some of that has a lot to do with users, who find much more tangible benefit to an Android device. Another aspect of their slide are calculated business tactics that are beginning to catch up with Apple.

The average consumer views the iPhone and iPad as ubiquitous to sector they represent, much like we call facial tissue ‘Kleenex’. Rather than really weigh their options, consumers often go for what’s known. Apple has relied largely on their past image, as well as consumer ignorance, to carry them through.

For many, the iPhone is simply the device that works best for them. They are either invested heavily into the Apple ecosystem, or have a very finite set of needs that only the iPhone can provide. In those instances, that consumer has made the right decision for themselves, and negotiated the muddy waters of smartphones successfully.

That’s a long term strategy, with no initial return on investment, in a market that changes rapidly.

A majority of consumers simply want a device that’s fun, and maybe ‘cool’. To really understand the market is to grasp that not everyone follows tech closely, or is heavily invested in who makes a device or what it represents. Many people gravitate towards the iPhone because of the image Apple has manicured for it, not due to any particular use case scenarios or personal preferences. For those buyers, it’s another way to wedge themselves into societal acceptance.

apple-money-2

Bloatware and bloated wallets

Carriers are interested in our wants and needs, but only because it translates into dollars and cents. The price carriers pay for an iPhone is astounding, at nearly $600 per device. Considering the ‘it’ factor the iPhone had for so long, carriers found themselves needing the device more than they wanted it.

Sprint had the Apple dilemma a few years ago. They didn’t have the device, and were suffering from it. The goal for subsidy carriers like Sprint is to have people sign contracts, and the device is a large factor in the decision. At the time, it was simple: no iPhone, no customer.

They signed a deal with Apple, agreeing to purchase $15.5 billion in iPhones over the next several years. What the deal accomplished was making Sprint more relevant to the consumer. What it failed to do was make Sprint solvent, or even profitable.

Sprint reluctantly admitted that the deal would not earn them a profit until at least 2015. That’s a long term strategy, with no initial return on investment, in a market that changes rapidly. Carriers also can’t manipulate an iPhone, as they can with another device. There is no bloatware to be added, or security software to weigh it down. You get what Apple gives you, at the price they ask.

So why do it?

Let’s get down to the dirty details. A carrier pays $600 for an iPhone, yet sells it to the consumer for $200. The carrier is now $400 upside down on the deal, initially. They make that up to you in monthly service fees. We’ve explained before how unsubsidized plans can actually save you quite a bit of money, and this is a very typical case. For unsubsidized plans, everyone wins. Consumers may need to spend a little more upfront, but the long terms savings are undeniable. Carriers, in turn, don’t have to make up lost revenue via a bloated monthly contract fee.

samsung-galaxy-s3-vs-apple-phone-5

You get what you pay for

Apple is a for-profit company, and will maximize their profit as best they can. This is normal practice, but Apple seems especially adept. If carrier attitude is any indication, these practices may be coming to an end.

There have been rumors of a budget-friendly iPhone for some time now. That is partly due to carrier reaction to Apple, based on customer reaction to the carrier. Even that ‘cool’ label Apple wore so proudly is beginning to wash away. Samsung is steadily making strides toward cell phone prominence, and Android is a much more mature system now. As consumer attitudes change, so do carrier needs.

A larger carrier, like Verizon, can readily recoup the cost of steep subsidies. Smaller carriers, however, can not. With companies like Samsung offering a much better deal to the carriers, as well as a lot of bells and whistles to consumers, Apple is starting to lose face, and market share. A budget iPhone may help a bit, but that’s a sector in the market that Apple is unfamiliar with, and perhaps unwilling to enter. Pride in the product they offer is their gift, and the curse. It put them on their pedestal, and may topple them as well.

    


By Nate Swanner • apple, Featured, iphone, News, samsung • 0

May 9 2013

Rumor: Samsung Galaxy Note 3, LG Optimus G2, HTC Butterfly 2 to arrive in Q3 2013

htc-droid-dna-vs-samsung-galaxy-note-2-1

Galaxy Note 2 (left) vs Droid DNA / Butterfly (right)

New flagship smartphones are said to come from the major brands in this year’s third quarter, in an effort to counter Apple’s next iPhone, rumored to launch during this year’s second half, according to a recent report.

DigiTimes - which isn’t always reliable when it comes to such rumors, so we’ll take what it says with a grain of salt - quoting industry sources, names Samsung, HTC and LG as manufacturers that are planning new flagship smartphones for the third quarter of this year. All of the claims in the report seem to confirm previous rumors, so it wouldn’t be too strange for us to see them materialized soon enough. But let’s take them one at a time, shall we?.

Who’s planning what?

Samsung is said to be preparing the launch of the Samsung Galaxy Note 3, with the sources of the report mentioning specs close to the already rumored ones for it – 5.99-inch AMOLED Full HD display, Exynos 5 octa-core CPU (a quad-core variant was also mentioned in the previous rumors).

Next in the line of manufacturers said to be prepping new flagships is HTC, with the report mentioning the Butterfly 2. The device (which has been allegedly noticed in an OTA test a little while ago), is said to have a large-size Full HD display (no mention of the actual size), as well as some features already included in the HTC One, like BlinkFeed. Other HTC One features included are said to be the UltraPixel camera, as well BoomSound speakers.

Finally, LG is expected to launch its new flagship smartphone, the Optimus G2, which has been rumored quite a bit lately, be it in benchmarks and Bluetooth SIG or in leaked images (of course, nothing’s officially confirmed yet). Well, the report says that the Optimus G2 will have a 5-inch Full HD display, as well as a Snapdragon 800 CPU. It remains to be seen whether we’ll find out more about it at LG’s Macau event on May 30 or later this year.

Even if nothing is actually official at the moment, this can only mean that we have an interesting rest of the year ahead of us.

Which one of these flagship smartphones looks the most interesting to you (provided they confirm)? Let us know in a comment.

    


By Bogdan Bele • apple, HTC, lg, News, Phones, samsung • 0

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