Apple Vs Samsung: It appears that Apple Inc. (NASDAQ:AAPL) marketing chief Phil Schiller has finally heard enough from Samsung. Although he doesn’t talk often, when he does people listen.
Apple Inc. (NASDAQ:AAPL) is actually the smart money’s second favorite publicly traded company but hedge funds have started dumping Apple Inc. (NASDAQ:AAPL) in favor of a surprising financial stock (see which stock hedge funds are buying like crazy).
In an interview yesterday, Schiller took a couple shots at Samsung just as the company is getting ready to launch its new smartphone to the public.
In addition to downplaying the competition that the phone is sure to bring to the market, he went on about his opinion on the Android operating system.
The Wall Street Journal has the scoop, and you may be surprised at everything Schiller had to say.
Of course, everything that has come out of Schiller’s mouth is nothing new. Over the past few months, Apple Inc. (NASDAQ:AAPL) has been attempting to fight off advances from Samsung as it becomes more and more obvious that they are the Cupertino-based company’s biggest competition.
Here is what he had to say:
“When you take an Android device out of the box, you have to sign up to nine accounts with different vendors to get the experience iOS comes with. They don’t work seamlessly together.”
Along with this he added that “Android is often given as a free replacement for a feature phone and the experience isn’t as good as an iPhone.”
According to IDC, Android smartphones accounted for roughly 70 percent of shipments last year. This is in comparison to 19 percent for Apple’s iPhone.
With these numbers in mind, it is easy to see that Apple Inc. (NASDAQ:AAPL) has a lot of catching up to do. Or does it? Schiller does not seem to agree with all of the market share figures that are currently painting a bad picture of the company. He said:
“I’m not sure that the estimates and the modeling accurately gives an accurate picture of it all.”
Regardless of what Schiller has to say about Samsung, it does not change the fact that Apple is in a rut. The Wall Street Journal piece sums this up nicely by saying:
“Apple, long seen as the innovator in smartphones, has been wrestling with an image problem lately. Growth has slowed. In its most recent earnings report, the company said its revenue grew about 18%, but profit rose 0.1%.”
Along with this, Apple stock has been in a downward spiral for quite a few months. On the contrary, Google Inc (NASDAQ:GOOG) stock is on the rise.
With Samsung releasing a new Galaxy phone, Apple Inc. (NASDAQ:AAPL) is now on the clock.
What are your thoughts on Schiller’s comments? Share your opinion in the comment section below.
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DISCLOSURE: I have no positions in any stock mentioned.
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