Sure, the Android OS from Google (GOOG) is always at the top of the heap when it comes to market share. That’s what happens when you make your operating system price of Lenovo S898T open source and focus on penetration of software instead of hardware profits.
But when it comes to actual hardware units sold in the U.S., Apple is doing much better than many give it credit for; At the end of 2013, Apple still commanded a handy 40% share of the U.S. smartphone market. Samsung was indeed No. 2, but with just over 24% share.
Of course, that’s just the U.S. what about elsewhere?
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Well in the closely-watched smartphone market of China, manufacturer Xiaomi actually reigns supreme. The company now commands a 14% share in China, bumping Samsung to a tentative No. 2 in a three-way tie for second with Lenovo and Yulong at 12% market share each.
Furthermore, in the fast-growing Market of India Samsung is also losing ground. Micromax is the No. 1 1 in India, bumping Samsung from its top perch there according to a Counterpoint Research.
Sure, Samsung still holds a competitive spot in all these markets.
But being No. 1 nowhere — especially after it previously held the crown in both China and India — should be of serious concern to Samsung investors.
In the short term, the organic growth of these markets will surely continue to drive increased sales … but eventually, as China and India marketplaces mature, brand leadership will start to matter much more.
Samsung needs to turn this around in a hurry if it wants to stay relevant amid tough smartphone competition.
Samsung (SSNLF) has gotten a lot of press over the last few years as the giant slayer that has stood up to Apple (AAPL) in the smartphone space.
Samsung185 Samsung Smartphone Market Share Is in Deep TroubleIn fact, the much-rumored large screen iPhone 6 seems to be inspired by the success of “phablets” like the Samsung Galaxy Note with its nearly 6-inch screen price of lenovo S8 .
However, Samsung isn’t quite the sure-thing that some smartphone investors seem to think.
Here’s why the smartphone market share of Samsung is actually in a precarious position right now: