People will pay $1000+ for a real Apple iPhone, but not for an Android iPhone knockoff

“Apple Inc. and Samsung Electronics Co. entered the second decade of the smartphone era [that was created by Apple – MDN Ed.] by betting on super-high prices for their flagship products,” Tripp Mickle reports for The Wall Street Journal. “One year in, that strategy has energized Apple but sapped Samsung’s sales.”

“The Silicon Valley company on Tuesday announced a third consecutive quarter of record iPhone revenue as strong demand for its $999 iPhone X helped lift average iPhone selling prices 20% to $724 during the three months ended in June,” Mickle reports. “Just a day earlier, Samsung announced its smartphone profits cratered, as fewer buyers were willing to shell out the nearly $1,000 the South Korean company wanted for its flagship Galaxy S9 handset. Its average smartphone sold for about $220 in the most recent quarter.”

“Apple has navigated the slowing market by leaning on its premium brand, new features and exclusive operating system to command record prices,” Mickle reports. “But Samsung’s price increasing didn’t stick, as flagship Galaxy S9 sales slipped and unimpressed consumers turned to lower-priced devices from Android rivals.”

Read more in the full article here.

MacDailyNews Take: If it’s not an iPhone, it’s not an iPhone.

Apple’s iPhone X made 5 times the profit of 600 Android OEMs combined – April 18, 2018
Apple’s iPhone captured 86% of global handset profits in Q417; iPhone X alone took 35% of global handset profits – April 17, 2018
Apple iPhone dominates smartphone industry with 87% profit share in Q417 – February 28, 2018
Apple iPhone took more than half of worldwide smartphone revenue share in Q417, a new record – February 15, 2018
Strategy Analytics: Apple has shipped 1.2 billion iPhones in the past 10 years; $760 billion in global revenue to date – September 8, 2017
Apple took 83% of smartphone market profits in calendar first quarter – May 16, 2017


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