Huawei Tops List of Profitable Android Manufacturers This Quarter

Among Android smartphones, Samsung has always been the most prominent name on the list of Smartphone brands with the most market share and profit share.

But now the tables have turned.

According to the latest research from Strategy Analytics, profits made in the smartphone business all around the world reached $9 billion, with Huawei being on the top of the list among Android smartphone makers.

Smartphone vendors q4
Out of the total of $9 billion, Apple captured 91% of the share and dominated the list by far. Oppo, Vivo and others all captured 2.2% of the market share, while Huawei scored 2.4%. This makes Huawei the most profitable Android vendor worldwide for the first time ever.

Apple With The Lion’s Share of Profits

Linda Sui, Director at the Strategy Analytics said that according to their estimates the smartphone industry made a total of $9.4 billion in Q3 2016. Apple managed to make the most profit among all the other smartphone vendors with a gigantic 91% share in the total profits. This is due to Apple’s unique ability to maximize prices while minimizing production costs for the iPhone, yielding huge profits every year.

She added,

Huawei, Vivo and OPPO are the next three most profitable smartphone vendors globally this quarter, but they are still a long way behind Apple.

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

Huawei Leading the Android Pack

Executive Director at Strategy Analytics, Neil Mawston said that an effective and efficient supply chain coupled with better marketing is what drove Huawei’s profitability higher than the other Android smartphone vendors.

Both Vivo and OPPO followed Huawei as being the third and fourth most profitable vendor in the world, each having a 2 percent global profit share. The two of them increased their sales across Asia and maintained disciplined pricing according to Neil, which led to their third and fourth place positions.

It should be noted that Samsung’s Note 7 mishap followed by mistrust of other Galaxy devices may have been the cause for their decline in sales compared with other vendors.

Via Strategy Analytics



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