The smartphone war is increasingly becoming a two horse race. Two companies are taking in all the revenues in the industry, leaving the bleak facing a bleak future. Samsung and Apple are not only producing new smartphone, but are also consuming all the industry’s profits. During the first quarter of the year, the two companies have taken in 74% of the market share.
This scenario leaves other phone manufacturers in a hard place. The most affected is research in motion that are the makers of Blackberry. The company has started exploring options in wake of decreased sales. This is unbelievable for a company that was the leading smartphone maker just a few years back. Another such company is Nokia, which was once a giant has been recording losses and retrenching workers.
It seems that the smartphone battle is for the smartest and those able to shape up to the needs of the consumer. Even the two leading companies cannot afford to rest on their laurels. They have just seen that clinging on to one strategy can be disastrous. Samsung have just released the Android-powered Galaxy S3 which has landed in the market with a lot of buzz. It is widely expected that its sales will pass those recorded for its predecessor the Galaxy S2. Apple are in turn preparing to launch the iPhone 5 later this year and they better make it to be spectacular.
In the lower end market some companies are really doing well to provide handsets with almost all the features of the smartphone but at a lower market price. These are Huawei, HTC and ZTE. These might even challenge the big boys in the coming years.
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