Gary Lerude, MWJ Technical Editor
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Gary Lerude

Gary Lerude is the Technical Editor of Microwave Journal. Previously, he spent his career as a “midwife” aiding the growth of the compound semiconductor industry, from device to application, from defense to commercial. He spent 19 years at Texas Instruments, 11 years at MACOM and six years with TriQuint. Gary holds a bachelor’s in EE, a master’s in systems engineering and an engineers degree (ABD) in EE.

Cellular 4G/LTE Channel / Industry News

Apple Captures Q4 Smartphone Market

Apple generated 3x more revenue than Samsung, 7x more than Huawei

February 17, 2018

Market research firm Strategy Analytics estimates Apple captured 51 percent of the smartphone market in the fourth quarter of 2017 — more than the rest of the industry combined. Strategy Analytics said total smartphone sales reached a record $120 billion during the quarter, growing 8 percent over the same quarter in 2016.

Apple reported selling 77.3 million iPhones during the quarter, launching the new iPhone X and iPhone 8 models. The average selling price of the iPhone jumped $101, from $695 in last year's fourth quarter to $796, reflecting the higher price of the iPhone X.

“Apple now accounts for more revenue than the rest of the entire global smartphone industry combined. Apple generated three times more smartphone revenue than nearest rival Samsung and seven times more than Huawei. Apple iPhone’s average selling price is approaching $800 and almost three times higher than the overall industry average. Apple iPhone is an incredible money-making machine.” — Neil Mawston, the executive director at Strategy Analytics

Strategy Analytics estimates that Samsung grew its global smartphone wholesale revenue by 16 percent annually to $19 billion during the quarter. Samsung’s smartphone wholesale average selling price rose 21 percent annually to $254, reflecting the popularity of the Note 8 and Galaxy S8 models and fewer low-end sales in Asia, including China.

Huawei, the third largest smartphone manufacturer generated $8 billion in wholesale revenue, with an average wholesale selling price of $205.

Linda Sui, director at Strategy Analytics, said, “The smartphone industry’s wholesale average selling price surged 18 percent annually from $255 in Q4 2016 to $300 in Q4 2017. The smartphone industry has managed to increase massively its pricing and revenues, despite a recent decrease in shipment volumes.”

Strategy Analytics reported that smartphone shipments dropped 9 percent in the fourth quarter compared to the same period in 2016, which was the sharpest drop since the smartphone debuted.

Strategy Analytics released the analysis in the report Global Smartphone Revenue, ASP and Profit by Vendor by Price Tier: Q4 2017.

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