Strategy Analytics: Apple Captures Record 91 Percent Share of Global Smartphone Profits in Q3 2016

Boston, MA - November 22, 2016 - According to the latest research from Strategy Analytics,  global smartphone profits reached US$9 billion in total during the third quarter of 2016. Apple dominated and captured  a record 91 percent share of all smartphone profits worldwide.

Linda Sui, Director at Strategy Analytics, said, “We estimate the  global smartphone industry realized total operating profits of US$9.4 billion during Q3 2016. Apple dominated and captured a record 91 percent share of all smartphone profits worldwide. Apple’s ability to maximize pricing and minimize production cost is hugely impressive and the iPhone continues to generate monster profits. Huawei, Vivo and OPPO are the next three most profitable smartphone vendors globally this quarter, but they are still a long way behind Apple.”

Neil Mawston, Executive Director at Strategy Analytics, added, “We estimate  Huawei generated US$0.2 billion of smartphone operating profit worldwide in Q3 2016. Huawei captured 2 percent share of all smartphone profits, taking second spot overall, and becoming the world’s most profitable Android vendor for the first time ever. An efficient supply chain, sleek products and effective marketing have been among the main drivers of Huawei’s robust profitability.  Vivo and OPPO followed in third and fourth place and each took 2 percent global profit share. Vivo and OPPO delivered relatively healthy profitability due to disciplined pricing and soaring shipments across Asia.”

Linda Sui, Director at Strategy Analytics, added, “Three of the world’s top four most profitable smartphone vendors are currently Chinese. Huawei, Vivo and OPPO have not only improved their smartphone product lineups this year, they have also enhanced their operational abilities and kept a tight lid on expanding distribution costs.”

Global Smartphone Operating Profit Share in Q3 2016  [1]

Global Smartphone Profit by Vendor

Operating Profit (US$, Billions)

Operating Profit Share (%)

Apple

$8.5

91.0%

Huawei

$0.2

2.4%

Vivo

$0.2

2.2%

OPPO

$0.2

2.2%

Others

$0.2

2.2%

Total

$9.4

100.0%

[1] Numbers are rounded. The data-table includes global smartphone hardware profit only. Profit is defined as realized operating profit.

The full report, Apple Captures 91 Percent Share of Global Smartphone Profits in Q3 2016, is published by the Strategy Analytics Wireless Smartphone Strategies (WSS) service, details of which can be found here:  http://tinyurl.com/z46xf88.

About Strategy Analytics:

Strategy Analytics is a global, independent research and consulting firm. The company is headquartered in Boston, USA, with offices in the UK, France, Germany, Japan, South Korea, India and China. Visit  www.strategyanalytics.com for more information.

About Strategy Analytics:

Strategy Analytics is a global, independent research and consulting firm. The company is headquartered in Boston, USA, with offices in the UK, France, Germany, Japan, South Korea, India and China. Visit  www.strategyanalytics.com for more information.



Contact:

Americas Contact:
Linda Sui
+1 617 614 0735
Email Contact

EMEA Contact:
Neil Mawston
+44 1908 423 628
Email Contact

Asia Contact:
Woody Oh
+44 1908 423 665
Email Contact




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