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Google Inc (GOOGL), Apple Inc (AAPL): The Smartphone Market Is Getting Saturated

According to Bloomberg, China’s seeing a massacre in the mobile industry as there are different rules by which a company is successful. That’s why Google Inc (NASDAQ:GOOGL) is not even in the top 6 smartphone-selling companies and Apple Inc. (NASDAQ:AAPL) is just the 6th in the list with just 6.8 million units. Lenovo is the obvious leader with 13 million devices sold and Samsung is the fifth with 10.3 million. Although the growth was only 7% in terms of sales, compared for the past 5 quarters with more than 10% growth for the same statistic, its CEO is not concerned at all.

Apple Inc (AAPL)

“This company [Lenovo] just last month, in October, completed $5 billion worth of acquisitions. That would be the purchase of IBM’s low-end server unit and the Motorola Mobility Smartphone Unit from Google Inc (NASDAQ:GOOGL). So, with those two acquisitions, Yang said those are going to be the topline growth engine for the company going forward,” said Ed Lococo.

Looking at worldwide statistics, Apple Inc. (NASDAQ:AAPL) is still looking good with an 11.7% share, while Lenovo has only 5.2% that mostly comes from the Asian continent. Google Inc (NASDAQ:GOOGL)’s somewhere in a corner crying out its bad luck with mobile devices. Anyways, having Lenovo, Huawei, and LG in the top-selling products implies that customers started to perceive mobile devices more like a commodity than a luxury product. The sole exception to this is the Cupertino, California-based tech guru and all the companies that tried to reproduce its success have more or less failed. That’s why the top 10 selling smartphones list is flooded with Apple Inc. (NASDAQ:AAPL) products.

Now, Google Inc (NASDAQ:GOOGL) has been eclipsed by numbers so far, but it’s actually the father of the most popular Operating system and it has to get credit for a brilliant work that brought it 84.7% share of this particular market. Wrapping all up, the handsets business seems to be almost saturated with a huge range of products and small players have little chances to withstand pressures. Only Apple Inc. (NASDAQ:AAPL) manages to somehow produce a stabilized growth, but for how long?

Disclosure: none

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