Apple crowned king of smartphone profit-making

Apple Pay UKApple has more money in the bank than almost any other company on earth, with a lot of its current wealth down to the success of the iPhone range, or more specifically, the amount of profit it makes from the sale of each handset.

Now a report from Canacccord Genuity has shown that Apple is actually outpacing every other mobile maker in terms of profits, generating 94 per cent of the industry’s total in the third quarter of 2015, according to TechRadar.

This figure is impressive on its own, but made all the more poignant because it is an increase on the 85 per cent share of total profits that Apple held onto during the same period in 2014.

This means that either Apple has become much more profitable in the interim, or its rivals have failed to make any money from selling handsets. Unfortunately for companies like HTC and Sony, the latter is true.

At the moment, Apple accounts for just 14.5 per cent of the smartphone market in terms of handset sales, but even with rival Samsung selling significantly more devices, the profit margin on each iPhone that is purchased is so high as to make Apple’s position unassailable.