Samsung captures 95% of global Android profits

Latest research from Strategy Analytics indicates that global Android smartphone profits reached US$5.3 billion during the first quarter of 2013, and Samsung alone captured an impressive US$5.1billion, which is 94.7% share of all Android smartphone profits.

Cellular News quoted Senior Analyst at Strategy Analytics, Neil Shah as saying "we estimate the global Android smartphone industry generated total operating profits of US$5.3 billion during Q1 2013. This represents 43 percent share of the entire smartphone industry's operating profits, which reached US$12.5 billion worldwide in the first quarter of this year."

Another Senior Analyst at Strategy Analytics, Woody Oh added, "We estimate Samsung's Android smartphone shipments generated US$5.1 billion of operating profit worldwide in Q1 2013. Samsung captured a huge 94.7% share of all Android smartphone industry profits.”

The analysts attributed Samsung success with Android to efficient supply chain, sleek products and crisp marketing.

Executive Director at Strategy Analytics, Neil Mawston was also quoted as saying "Samsung is, for now, the undisputed king of the global Android smartphone industry. We believe Samsung generates more revenue and profit from the Android platform than Google does. Samsung has strong market power and it may use this position to influence the future direction of the Android ecosystem. For example, Samsung could request first or exclusive updates of new software from Android before rival hardware vendors."

Meanwhile, LG followed in second place and took three 2.5 percent global profit share, adding that LG delivered a small profit during the quarter, but it currently lacks the volume scale needed to match Samsung's outsized profits.

Other smartphones with Android operating system, like HTC, some of Huawei's handsets and others, collectively recorded some 2.7% share of Android profits.

Meanwhile, the recently launched Samsung Galaxy S4 has become the first smartphone to be TCO Certified in the world.

TCO Development is an independent body that focuses on sustainability in the IT industry, and a statement from TCO said it found the Galaxy S4 was sustainably designed and manufactured and met customer demand for sustainable mobile products.

To become TCO Certified, a smartphone must meet requirements across a variety of criteria including social, environmental and economic viability.

“In the social category, Samsung demonstrated that it is committed to socially responsible manufacturing and is compliant with International Labour Organization (ILO) and United Nation conventions,” the statement said.

The statement said in the environmental category, it was found that the Galaxy S4 was free from many hazardous materials such as nickel, beryllium, and mercury which, if present, would have severely restricted its potential to be recycled at the end its lifecycle.

“In terms of economic viability, the power efficiency of the charger was praised, as was the smartphone's industrial design which boosts reliability,” it said.

CEO of TCO Development, Sören Enholm was quoted as saying "TCO Certified Smartphones are designed to make it easier for smartphone buyers to choose products that have been designed with sustainability in mind. By certifying their smartphones, leading brands such as Samsung have a real opportunity to demonstrate that their products are helping advance more sustainable mobile solutions."