Apple Inc. (NASDAQ:AAPL) has not been noted as being the market leader in innovation of late when it comes to mobile devices, as the mantel has essentially been passed to Samsung Electronics Co. Ltd. in the last couple of years – especially as Samsung launched its Galaxy stable of mobile devices. While Apple does lead Samsung in handsets in the market, Samsung has been gaining – to the point that it seems that Samsung has taken the lead in the marketplace as the cool mobile device company.
In an attempt to drum up loyalty for the Apple Inc. (NASDAQ:AAPL) brand, Cupertino has been announcing a buy-back program for its older iDevices, giving current Apple customers cash back for their older iDevices and that cash could be applied toward the purchase of a newer iDevice. Apple has started that program in India in recent weeks as that country has grown exponentially in the company’s favor in the past year – as we reported earlier, Apple profits are projected to triple in India over the same period a year ago while revenues are expected to be up 250 percent to nearly $1 billion in that country alone.
Well apparently, Samsung is noting that the Apple program seems to be successful, so the Korea-based company is now putting forth its own buy-back program for its older Galaxy models in hopes of generating more sales – including more entrants into its financing program – for its newly released Galaxy S4 handset. Reports are that Samsung is expected to offer 15 percent cash back for any prior Galaxy model device – which seems to include the Note 2, S3, Grand, Tab2 as well as Camera.
Image: Apple Inc. (NASDAQ:AAPL) iPad
It is reported that Samsung owns more than 5440 percent of the smartphone market in India, but recent advances by Apple Inc. (NASDAQ:AAPL) may cut into that dominance. It seems that Samsung is taking notice and it working to stem the tide that Apple appears to be creating. But isn’t it interesting that while there are doubts about Apple innovation leading the way in tech anymore, that Cupertino would actually be setting the tone for the marketplace in India before it has gotten a real foothold in the country?
We’d love your thoughts about Samsung following Apple Inc. (NASDAQ:AAPL) with this buyback program. Do you think it will stem the tide of momentum growing by Apple, or will it just do enough to keep Samsung in the lead in the country?
DISCLOSURE: I own no positions in any stock mentioned.