Breaking News
News & Analysis

Other Firms Prepare to Eat Apple's Lunch

7/19/2013 09:50 AM EDT
54 comments
NO RATINGS
More Related Links
View Comments: Oldest First | Newest First | Threaded View
Page 1 / 6   >   >>
111R
User Rank
Rookie
Apple Did Not Invent the Smartphone
111R   7/19/2013 11:20:54 AM
NO RATINGS
Apple did not invent the smartphone! Not by any stretch of the imagination.

The first smartphone is generally considered to be the IBM Simon, but there had been many modern smartphones on the market by the time the first iPhone arrived (e.g., the SE P800, LG Shine, etc.)

Apple did make the smartphone better, but they certainly were not the first, even if the then Motorola Razer-obsessed US hadn't noticed.

mcgrathdylan
User Rank
Blogger
Apple in decline
mcgrathdylan   7/19/2013 12:25:06 PM
NO RATINGS
Interesting on many levels. First off, I think it's important to recognize that Apple's iPhone shipments are projected to grow at a healthy level. It's not as though the iPhone is dead. Far from it. But the fact is that iPhone is more expensive than most, and Apple commands a healthy premium. Meanwhile, other smartphones from Samsung (whether it is because they ripped off Apple or not) and others have gotten a lot cooler. And I think the iPhone, as a status symbol, is not what it once was. I have friends with Android phones and in a way I'm kind of envious.

Peter Clarke
User Rank
Blogger
Re: Apple Did Not Invent the Smartphone
Peter Clarke   7/19/2013 12:53:23 PM
NO RATINGS
I remember the IBM Simon project.

It never got out of the starting blocks.

But I take your point.

Peter Clarke
User Rank
Blogger
Re: Apple in decline
Peter Clarke   7/19/2013 12:56:47 PM
NO RATINGS
I think one other factor is that the iPhone has been a very stable platform ....good for sale of apps.....but it also means there is not much reason for excitement about the next iteration.

I am not even sure where we are in the Apple iPhone iteration count.

So unless Apple adds something amazing to the iPhone it could be that the next iteration could be met by yawns. 

WielTukhut
User Rank
Rookie
Units vs. profit
WielTukhut   7/19/2013 12:59:22 PM
NO RATINGS
Everybody in the smart phone business knows that market share (units) and profit are two completely different things. You can buy market share, you can't buy profit. Last time I looked, Apple and Samsung had 103% of the profits (so the rest of the firms combined had only losses). Why should Apple be interested in more market share, if more market share means less profit? So nobody is eating Apple's lunch, as nobody eats Apple's profit (as the Apple's shipments are still on the rise).

Tom Murphy
User Rank
Blogger
Re: Apple Did Not Invent the Smartphone
Tom Murphy   7/19/2013 1:01:04 PM
NO RATINGS
111R:  Thank you for pointing that out. I stumbled on that phrase as well.  Apple's iPhone was a gorgeous design that inspired the industry, but it wasn't the first smartphone.

Tom Murphy
User Rank
Blogger
Re: Units vs. profit
Tom Murphy   7/19/2013 1:07:04 PM
NO RATINGS
WielTukhut:   I disagree. With all due respect the great 10-year run Apple had through last year, the company's market value has fallen by 38 percent due to its recent lack of innovation and slowly descending market share. Simly put: there are better, cheaper phones on the market. While Apple continues to collect a nice margin on gear sold to well-heeled fans, it is heading in the wrong direction as others are nibbling around the edges of its lunch, prepared to gobble.

eewiz
User Rank
CEO
they have been trying so long already
eewiz   7/19/2013 1:07:57 PM
NO RATINGS
The only company that has any hope to stand through the coming commoditization of smartphones is Apple.. Sure it will have lower market share.... But so is the case with the pc market. and look what happened. The major share of profits in pc industry is  collected by Apple. Dell, HP, Lenovo gets a few leftovers. Rest of them work for free.

Tom Murphy
User Rank
Blogger
Re: Apple Did Not Invent the Smartphone
Tom Murphy   7/19/2013 1:14:32 PM
NO RATINGS
While I don't ordinarily cite Wikipedia, it has a nifty history on the evolution of the smartphone.  I think it clearly establishes that Apple did NOT invent the smartphone.

http://en.wikipedia.org/wiki/Smartphone

Tom Murphy
User Rank
Blogger
Re: they have trying so long already
Tom Murphy   7/19/2013 1:30:53 PM
NO RATINGS
eewiz:  make not mistake....Apple's fat profit margin on its phones are the very reason why it is losing market share. At some tipping point, it becomes uneconomic to make them, and the trend away from high-priced phones seems to be accelerating.  By then, the iWatch or another amazing gizmo had better be ready to wow the masses because Apple's future will hang in the balance.

Wondering: Does it make sense that Apple is spending billions on a new corporate headquarters right now?  Is it fiddling while Rome begins to smolder?

Page 1 / 6   >   >>
Flash Poll
Radio
LATEST ARCHIVED BROADCAST
EE Times editor Junko Yoshida grills two executives --Rick Walker, senior product marketing manager for IoT and home automation for CSR, and Jim Reich, CTO and co-founder at Palatehome.
Like Us on Facebook

Datasheets.com Parts Search

185 million searchable parts
(please enter a part number or hit search to begin)
EE Times on Twitter
EE Times Twitter Feed
Top Comments of the Week