The Second Calendar Quarter ie April-June Quarter for Apple has been bad in the bloodbath. And this was before Antennagate.
Apple has just reported its Quarterly numbers. iPhone unit sales were 8.4 million, which are down severely from Q1 (8.75M) and down from Q4 of 2009 (8.7M). Apple market share is down again, now to 14% - it is down from the peak from a year ago, in Q3 of 2009, when Apple's smartphone market share peaked at 17%. Since then its clear that Google Android has picked up a lot of market share. But the really bad news is that all of Apple's rivals have been growing since Apple's peak last year. HTC has grown and now is starting to near Apple to rival for 3rd place among biggest smartphone manufacturers. RIM has grown unit sales and market share - ie RIM is pulling away - since Q3 of 2009, Apple has NOT been catching up to RIM. And Nokia is far-and-awawy the planet's best-selling smartphone, which up to Q1 of 2010 had been growing unit sales and market share (and is likely to grow both again this Q2, but we have to wait now a couple of days until Nokia reports its quarterly numbers).
The global smartphone market grew 10% over the past 6 months. Nokia and RIM have grown unit sales and each quarter been flat or grown market share. HTC, Samsung and Motorola each has grown unit sales and market share. Of the major manufacturers over the past 6 months, only Apple has lost unit sales and lost market share. Its peak was 17% a year ago, it is 14% now and falling. Lets see how many 'analysts' report on this fact.
While the gossip in America is that Apple is somehow 'winning' in smartphones - it is gaining in the US market yes, but globally Apple is falling behind. Apple is indeed the most proftiable smartphone maker and its app store has most apps and there are a lot of web views reported by Admob etc. That is all smoke-and-mirrors. The big number that matters - is market share. And Apple's market share peaked in Q3 of 2009 and has been in free-fall since. This is now really dangerous, as there is Apple's Antennagate and Death Grip hurting this current Q3 (July-Sept) quarter, as IDC reported, two thirds of Apple current iPhone owners are delaying iPhone 4 purchases until Death Grip is fixed, and operators are starting to delay iPhone 4 launches - South Korea's KT was first to do so,. The prognosis for Apple's market share in 2010 is dire.
Please all who comment - this blog is NOT a financial analysis blog. We don't 'care' about who makes the most profit - so yes, Apple is the most profitable tech company. And we don't care in the 'smartphone bloodbath' about iOS - yes, for Apple it is great news that they have iPod Touch and iPad, but when you consider 'smartphone market share' then the only valid number is number of smartphones sold. That is not some 'weird' Tomi Ahonen outrageous view - all major analyst houses who report on mobile phone market shares and smartphone market shares - that is IDC, Gartner Dataquest, Strategy Analytics and Canalys - they ALL count only iPhone, not the other iOS devices. So don't write the comments here that I should include iOS market share. Yes, that is important to Apple investors but this is not a financial site, we report on the smartphone bloodbath for 2010, and in that race, we can only count real smartphones. Like in cars, Honda makes motorocycles too. If we measure market share of cars, we can't suddenly include Honda motorcycles in counting market share of cars.
And the unrefuted fact is, that with 8.4 million unit sales, down from 8.75 million in Q1, where the global smartphone market grew, Apple's market share has been declining. That is a fact. Apple's iPhone is losing market share. Down from its peak in Q3 of 2009 at 17%, it has been declining and is now at 14%. And this was before Antennagate. Now we start to wait how Death Grip hits Q3 unit sales and market share for Apple over the next 3 months.