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« Apple Quarter and Few Other Items in Smartphone Wars | Main | Advertising Global Spending: Digital Passes TV for First Time - and Mobile Alone will pass TV in just Two Years »

November 24, 2017

Comments

Jim Glue

Unlocked, SIM Free iPhone X's are now on sale via Apple's online store (and presumably at Apple retail locations). Same price as any other iPhone X.

Paavo

@Tomi
This is supposed to be the best time of the year for Apple and Kantar Worldpanel reports that iPhone is losing market share. Need to take down the estimate of Q4 sales?

Jim Glue

Hi Paavo,

Did you read past the headline? During the time when the iPhone 8/8+ were for sale, and the iPhone X had been announced and was not yet available for sale is the period being discussed.

All signs point to an outstanding sales cycle for the iPhone X and a surprising improvement in availability due to increased output.

Bad news for Apple isn't "current customers waiting for for the newest/most expensive phone before buying".

Mata Hari

IPhone X is inferior to Samsung's new phones, Consumer Reports says
https://www.cnbc.com/2017/12/05/iphone-x-is-not-as-good-as-galaxy-s8-consumer-reports-says.html


So much for the iPhone X being the best phone ever. At least according to Consumer Reports.

The influential publication just released its full review of the $1,000 device, and concludes that Samsung's latest smartphones, and even the cheaper iPhone 8 series, are better options for most people.

"Taken as a complete package, this phone ranked a bit lower than Samsung's S8, S8+, and Note8, mainly because of their superior battery life," Consumer Reports said. "But many longtime iPhone users aren't interested in switching to Android, so the real question for them is whether to save a few bucks — or, actually, a couple hundred — and go with an iPhone 8 or 8 Plus instead."

Jim Glue

80 vs 81....how horrible.

Go ahead and read the actual review: https://www.consumerreports.org/smartphones/iphone-x-review-test-results/

It's very complimentary of the iPhone X. The extra battery life of the Samsung's tipped the scale.

No extra points awarded for the amazing, worked really well in their testing, FaceId...nor for being a lot faster phone.

iPhone X screen and camera were rated best. you know...in case "all day battery" is enough for you (19.5hrs) and you care about your photos.

Abdul Muis

Happy birthday tomi....
LOL....
I mean....
Happy birthday SMS.
🍺 🍺 🍺 🍺

John A

Google just announced Android Go. Both Qualcomm and MediaTek will ship units with it. So in the next move from dumphones to smartphones android will have a big impact to the overall userbase.

The aim is to have a good android experience even in low hardware. And the long term goal is probably to ”lock” in customers in the Google eco system and keep them there even if they later buy more expensive smartphones. So I think this is not good news for iOS in many parts of the world.

GoodTimes

"The aim is to have a good android experience even in low hardware. And the long term goal is probably to ”lock” in customers in the Google eco system and keep them there even if they later buy more expensive smartphones"

Good luck with that. It is now fourth? or fifth? time when they try this. Try first to get the upgrades coming to the old phones and lets see what happens then. Before that nothing is going to happen.

"3 top reasons people dump Android for iPhone
These are the three reasons 30 percent of Android users are thinking about switching to iPhone, according to Creative Strategies.

Reason #1: Security
I think most people are growing more aware of the need to maintain device security and to keep a fairly steady eye on data security. Apple seems to agree — notice how its Android attack line videos (two included below for reference) are focused around similar reasons?

Security awareness

That’s not always been the case, but thousands of malware attacks and high-profile data breaches such as those form Yahoo and others mean that even smartphone users who aren’t particularly tech savvy have become more aware.

[ Further reading: How to switch from Android to iPhone ]
Such awareness wasn’t quite as important at the dawn of the smartphone age earlier this century. In part, this was because those devices — while revolutionary at their time — simply didn’t do as much or carry as much information.

[ Further reading: Strong and stable: The iOS security guide ]
Think about it: You could use that 2007 iPhone to purchase items from iTunes. You can use a 2017/2018 model to buy things in the shops. That 2017 iPhone had Exchange support — today’s models can support location- and device-based access to the enterprise intranet.

What I’m arguing is that the value and personal importance of the information kept on our devices has become more important, and Apple’s security story has emerged to be much stronger than that told by competitors. Consumers are not stupid, and as they become more switched on to the value of their digital data, they become more likely to migrate to the more secure iOS platform.

The software updates

Apple’s commitment to regular updates — and its proven track record of creating and shipping security updates across its iOS ecosystem adds a level of reassurance other platforms seem intrinsically unable to match.

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At present, 59 percent of iOS users are running the most recent version of the software, with an additional 33 percent running iOS 10. That means nine out of 10 iPhones and iPads run software that’s at most 15 months old. Android is fragmented: Only .3 percent of those devices are on this year’s Android 8, with another 20 percent using last year’s Android 7.

Reason #2: Sync
Apple’s focus on services reflects a trans-industry wide movement to business models built around rental, rather than ownership. Access becomes everything in this model. AirBnB and Uber lead their fields without really owning the vehicles and buildings used in them.

In more personal terms, we experience this kind of model every time we sign up for a new phone plus connectivity tariff, or when we join Apple’s iPhone Upgrade scheme. We also encounter this with every online service, from music to banking, retail to dating, and anything else.

Ease of use

What’s changed this century is that consumers have grown more accustomed to rental models and have become more trusting in online service provision. Today’s smartphone user may have subscriptions with multiple such services. They are also likely to own multiple devices, and that’s where the problem emerges. In contrast to competitors, Apple’s platforms are far better at syncing passwords, settings, images and other items between all your devices using the same Apple ID. You can even set up a new iPhone just by tapping it with your old one in iOS 11.

That kind of convenience makes it so much easier for consumers rapidly engaging in a multi-device, multiple-service, cross platform digital existence. This sync extends across to Apple’s Macs, of course.

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Reason #3: Service
Apple’s customer service and support sets the bar. Not only has the company been known to quietly (if not consistently) help customers even when they have problems that emerge outside warranty, but it also works to make help easy to find, accessible and relevant.

There are lots of signs to evidence these claims: Not only do the company’s in-store Genius Bars offer free expert help, but it offers help and advice (including personal one-to-one sessions) to new users picking up any of its products. If something does go wrong, you’ll usually find effective support at the end of an online chat, in store or over the phone.

This kind of customer support gets noticed. Customers do talk to each other, and word spreads outside of the Apple bubble — and that message is not missed by any Android users who may have encountered problems securing effective help from their device manufacturers, as I’ve heard is sometimes the case.

The three reasons given above come from a Creative Strategies report from Tim Bajarin. One more thing in his report? He thinks around 30 percent of Android users are thinking of switching to an iPhone despite this week’s nonsense from Consumer Reports."

computerworld.com/article/3240545/android/3-top-reasons-people-dump-android-for-iphone.html

E.Casais

@Jim Glue

"Unlocked, SIM Free iPhone X's are now on sale via Apple's online store [...]. Same price as any other iPhone X."

And in Switzerland, the prices of unlocked iPhone X are falling. They are now as follows:

64 GB: CHF 1079.10 (down from 1167.25 two days ago, and 1199.00 at introduction).

256 GB: CHF 1250.10 (down from 1339.00, resp. 1389.00).

For comparison, the Samsung Galaxy Note 8 is at

64 GB: CHF 899.10 (from 949.00 a couple of days ago)

128 GB: CHF 999.00 (no change since 2017-11-27, previously 1039.00).

256 GB: CHF 1056.00 (from 1099.00 on 2017-11-20 and 1149.00 end of October).

As I wrote previously, a proper assessment of prices must be based on markets that are not subject to the massive distortions evident in the USA (locked devices, operator subsidies, staged releases by Apple). A market like Switzerland gives you a much better view of the actual price categories those different devices belong to.

The previous observation stands: the highest-end Note 8 is cheaper than the lowest end iPhone X. These are devices in completely separate categories.

Jim Glue

I'm happy to see the LATEST attempt by Google to deliver a good experience on the low end. But it's not going to change the existing dynamics. Google ALREADY owns the low end...there is no competition. Bada/Tizen/Sailfish/a dozen more...have all been relegated to the dustbin of history long ago.

Well...not just Google, but "Android". Perhaps the real desire is for Google to gain back market from it's own freely released AOSP.

We won't have that much visibility into the real situation with respect to "can Android keep it's customers" until the migration from dumb phone to smartphone is complete. Right now, the growth in Android due solely to this migration overwhelms any other thing happening when viewing only the global unit market share.

That's where this false narrative of Apple's falling market share is coming from. Oh, it's true that Apple's share is falling...it's just not true that Apple is in decline.

Eventually, the entire market will be saturated...like the PC market is today. Apple will have 10-12% of the market. Maybe 8-10%. Just depends on how aggressively Apple attacks the $200-$300 market.

So you'll have the momentum favor for team Android. Poor people being used to Android, moving up to better Android phones. Against that you'll have the "still better experience" Apple drawing people who are fed up with their cheap phones and wanting something new and better.

You'll also have the decline in Android's ability to support the development of high end components with Apple's ability to out invest the entire Android ecosystem. Apple will continue to benefit from tight integration and increasing control over hardware, software and services. The Android ecosystem will continue to find new and better ways to take away any money to be made selling Android handsets.

Jim Glue

Scale. It is so hard to grasp the enormity of the smartphone scale. Consider this data point. The very successful Sony Playstation 4 just past the 70 million units world wide. Not this quarter...all the years. All the years of the Play Station 3 added to 80 million. 80 million units of an initially $400 gaming system for the lifetime of it's run.

Apple, the big loser in unit market share for it's smartphone platform...is going to sell 80million iPhones THIS QUARTER...at an ASP above $700. And Apple's is the losing platform with only 600M or so STILL RUNNING AND IN ACTIVE USE customers where all the developers are soon to abandon.

Tough business to be in...smartphones. 70 million over years is considered a great platform business in other arenas.

GoodTimes

appleinsider.com/articles/17/12/07/apple-iphone-dominates-flickrs-year-in-review-as-top-brand-largest-camera-supplier

"Apple iPhone dominates Flickr's year in review as top brand, largest camera supplier

The iPhone dominates all other manufacturers and devices on Flickr's annual year in review roundup, with all of the service's top 10 devices in use occupied by various iPhone models.

In the annual roundup of photography and cameras published by Flickr on Thursday, the iPhone held 54 percent of the top 100 device spots. The most popular phones worldwide were the iPhone 6, the iPhone 6s, and the iPhone 5s in first through third places.

The smartphone continues to push out point-and-shoot devices. In general, smartphones grew to 50 percent of all the photos uploaded to Flickr, up from 48 percent in 2016. DSLR cameras grew to 33 percent, up from 25 percent, with point and shoot dropping to 12 percent from 21 percent.

Following Apple, Canon was the second largest brand used by photographers on Flickr, responsible for 23 percent of the top 100 devices. Nikon was the third most popular brand of 2017, with 18 percent."

Where is Samsung?

GoodTimes

patentlyapple.com/patently-apple/2017/12/samsung-to-launch-a-foldable-phone-at-the-end-of-the-month-at-a-ridiculously-high-price-exclusively-for-the-chinese-market.html

"The phone will come in gold and platinum and run on Android 7.1.1 Nougat."

How emparrasing is that? They still can´t get the newest version of the Android out.

Abdul Muis

@GoodTimes

Android user mostly use Google Photo for photo storage & sharing.

Phil W

"How emparrasing is that? They still can´t get the newest version of the Android out."

Nobody cares about this. (apart from Apple supporters). Nougat works today as well as it did last year. It's nice to have the latest but it's not important. As I said before, what is important is security updates and that is improving with Android.

The idea keeps getting planted that everyone who buys a budget phone is either poor or is just itching to upgrade to something more expensive at the next upgrade. This is wishful thinking at best. Most people make their purchase decisions based on their own personal use patterns and look for the phone that meets that at the best price. There are plenty of really good if priced phones that are more than enough for most people and they are more than likely to be perfectly satisfied. Just because a phone is a budget one does not make it cheap.

Phil W

That should have been "mid priced" and not "if priced".

Phil W

Also the last word should be crap not cheap.

Abdul Muis

@Phil W,

iSheep think, all will drive Ferrari or Lamborghini if they can afford it.

Jim Glue

Fandroids think that "no one will drive a Ferrari because a Tata car from India can be bought for $1000"

Winter

@Jim Glue
"Fandroids think that "no one will drive a Ferrari because a Tata car from India can be bought for $1000""

Who said that, or anything implying this? Citation please.

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    Tomi Ahonen is a bestselling author whose twelve books on mobile have already been referenced in over 100 books by his peers. Rated the most influential expert in mobile by Forbes in December 2011, Tomi speaks regularly at conferences doing about 20 public speakerships annually. With over 250 public speaking engagements, Tomi been seen by a cumulative audience of over 100,000 people on all six inhabited continents. The former Nokia executive has run a consulting practise on digital convergence, interactive media, engagement marketing, high tech and next generation mobile. Tomi is currently based out of Hong Kong but supports Fortune 500 sized companies across the globe. His reference client list includes Axiata, Bank of America, BBC, BNP Paribas, China Mobile, Emap, Ericsson, Google, Hewlett-Packard, HSBC, IBM, Intel, LG, MTS, Nokia, NTT DoCoMo, Ogilvy, Orange, RIM, Sanomamedia, Telenor, TeliaSonera, Three, Tigo, Vodafone, etc. To see his full bio and his books, visit www.tomiahonen.com Tomi Ahonen lectures at Oxford University's short courses on next generation mobile and digital convergence. Follow him on Twitter as @tomiahonen. Tomi also has a Facebook and Linked In page under his own name. He is available for consulting, speaking engagements and as expert witness, please write to tomi (at) tomiahonen (dot) com

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