Apple Takes 92 Percent of Smartphone Profits in Q1

Since it released the iPhone 6 and iPhone 6 Plus in September, Apple has continued to dominate the smartphone market, taking in a whopping 92 percent of the industry's profits in the first quarter of this year, according to a new report from the investment advisory firm Canaccord Genuity.

With Apple selling less than 20 percent of all smartphones worldwide, that figure reflects the price premium that the company's fans are willing to pay for its iPhones.

Earlier this year, Canaccord Genuity put Apple's take of global smartphone revenues at 93 percent, so the latest sales represent a slight drop. However, Apple is likely to continue enjoying a strong presence in the market for some time to come, according to the new report.

With Apple expected to release new iPhones later this year, the firm continues to give fans new reasons to want to update their devices. By contrast, results from Android smartphone companies such as Samsung and HTC were "disappointing" in the most recent quarter, according to the Canaccord Genuity report.

Appealing to Apple and Android Fans

Apple's strong sales are set to continue, as only 20 percent of iPhone owners had upgraded to an iPhone 6 or iPhone 6 Plus through the end of June, said Canaccord Genuity's managing director Mike Walkley in his analysis. Apple set a new sales record during the first weekend the Apple iPhone 6 and 6 Plus were on the market.

In addition to attracting existing Apple aficionados who want to upgrade their devices, the iPhone 6 and iPhone 6 Plus are also siphoning off a number of Android smartphone owners, Walkley noted.

"[W]e anticipate continued high-end smartphone market share gains for the larger screen iPhone 6 devices as our surveys indicate a greater mix of Android smartphone consumers are switching to the iPhone...

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