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Apple Inc. (AAPL), Microsoft Corporation (MSFT) & Google Inc (GOOG): How Are These Tech Titans Affected By Alterations in the Smartphone Landscape?

On June 4, Comscore, a market-research company focused on technology markets, released data regarding the United States smartphone industry in the 3 months ending in April. According to the report, 138.5 million people owned smartphones in the U.S. during these three months, which is up 7% since January. This statistic represents 58% mobile market penetration.

The report encompassed statistics regarding the market share accredited to the largest OEMs (original equipment manufacturers) during 2013, which the chart below displays.

Top Smartphone OEMs

3 Month Avg. Ending Apr. 2013 vs. 3 Month Avg. Ending Jan. 2013

Total U.S. Smartphone Subscribers Age 13+

Source: comScore MobiLens

Share (%) of Smartphone Subscribers
Jan-13 Apr-13 Point Change
Total Mobile Subscribers 100.0% 100.0% N/A
Apple Inc. (NASDAQ:AAPL) 37.8% 39.2% 1.4
Samsung 21.4% 22.0% 0.6
HTC 9.7% 8.9% -0.8
Motorola 8.6% 8.3% -0.3
LG 7.0% 6.7% -0.3

Apple Inc. (AAPL) to be Added to Several WisdomTree ETFsAs is depicted, the leading smartphone manufacturer, Apple Inc. (NASDAQ:AAPL), increased its market presence in the United States, rising from a market share of 37.8% in January of this year to 39.2%, representing an increase of 1.4 percentage points.

Comscore also released data regarding the market share possessed by each of the major platforms offered in the U.S, which the chart below displays.

Top Smartphone Platforms

3 Month Avg. Ending Apr. 2013 vs. 3 Month Avg. Ending Jan. 2013

Total U.S. Smartphone Subscribers Age 13+

Source: comScore MobiLens

Share (%) of Smartphone Subscribers
Jan-13 Apr-13 Point Change
Total Smartphone Subscribers 100.0% 100.0% N/A
Google Inc (NASDAQ:GOOG) 52.3% 52.0% -0.3
Apple Inc. (NASDAQ:AAPL) 37.8% 39.2% 1.4
Research In Motion Ltd (NASDAQ:BBRY) 5.9% 5.1% -0.8
Microsoft Corporation (NASDAQ:MSFT) 3.1% 3.0% -0.1
Symbian 0.5% 0.5% 0.0

Google Inc (NASDAQ:GOOG)’s Android platform held the top position, but fell from a market share of 52.3% in January to the 52.0% mark in April.

Apple Inc. (NASDAQ:AAPL)’s iOS platform held strong at the number two position, and increased its market share by 1.4 percentage points, from 37.8% in January to the 39.2% level by April.

The number three position was maintained by the fading 7.1 OS of Research In Motion Ltd (NASDAQ:BBRY). The company’s U.S. platform market share fell a considerable 0.8 percentage points, from 5.9% in January to the 5.1% mark in April.

Microsoft Corporation (NASDAQ:MSFT)’s Windows 8 smartphone platform held the fourth spot in the U.S, but fell from 3.1% in January to the 3.0% level by April.

Financial Significance of the Smartphone

The global smartphone market severely influences each of the major companies highlighted in this report by Comscore, but the dependence each company possesses on the market varies as a result of the amount of revenue generated from their smartphone segments.

In 2012, Apple Inc. (NASDAQ:AAPL) generated $80.47 billion in revenue from its iPhone and related products and services segment, which accounted for 51.41% of the company’s overall revenue. Apple Inc. (NASDAQ:AAPL) controls both the hardware and software aspects of its iPhone, as is prevalent through its presence in both the platform and OEM categories.

Google Inc (NASDAQ:GOOG) takes a unique approach to the smartphone industry. The company makes its Android software available to manufacturers, and in return, is allowed to run advertisements, which generate revenue for the company, on the devices running their platform. The Android platform is operating on over a half of a billion devices currently. The advertising segment produced $43.69 billion in revenue 2012, which represents 87.08% of overall company revenue, however not all of the revenue was a result of advertisements made on the Android platform.

Research In Motion Ltd (NASDAQ:BBRY)’s exposure to the smartphone market is found throughout the company’s entire business operation. Research In Motion Ltd (NASDAQ:BBRY) possesses a grasp over both the software and hardware aspects of its smartphone, much like Apple Inc. (NASDAQ:AAPL). The $18.43 billion in revenue generated by the company in 2012 can all be attributed to Research In Motion Ltd (NASDAQ:BBRY)’s smartphones and related services and software.

Microsoft Corporation (NASDAQ:MSFT)’s exposure to the smartphone market is through its Windows 8 software, which is available on several brands of smartphones. In 2012, the company’s Windows division produced $18.37 billion in revenue, representing 24.91% of the overall company revenue of $73.72 billion.

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