Saturday, October 25, 2014

Which Smart Phone Manufacturers Make Money?


With so many smart phones being sold and seemingly everyone having one, it's hard to imagine that business would not be booming for most of the companies in the industry. However, when looking at the revenue of most of these companies, selecting one that actually makes money in the space is more like playing the board game Clue, but instead of Colonel Mustard in The Observatory with a rope, the winning answers are Apple in the US and China with the iPhone, and Samsung in Global and Emerging markets with the Galaxy Line.
 
            Truly the rest of the manufacturers are the victims in this analogy. Samsung and Apple really are the only people making money in the space, which is somewhat fitting since their devices are a lot better than most of their competitors' devices on average. They also sell more of them, spend more on advertising and research and development, and have higher profit margins.

            According to a report, Apple had the highest operating margin in the smart phone space at 33 percent. Samsung lagged behind in second place at 19 percent, while LG fell to 2 percent, just a touch above Sony and HTC who both have operating margins on 1 percent. Nokia, Blackberry and Google's Motorola all suffered losses of 1 percent, 7 percent and 22 percent respectively.

            Some manufacturers have decided that they might leave the space, which is what Sony is considering with their weak earnings from the sector. They still produce the camera for the iPhone and sell the Xperia Z3 which has a monster 20mp camera and is available as waterproof for up to 30 minutes and 5 meters, so there is hope yet for the company if earnings reports turn around.

            Google has decided to flip Motorola after they were not able to turn its fate around and are exploring partnerships with other companies like HTC and LG who have proven more successful in the market. Google did manage to keep its Aurora project from the Motorola deal as they explore the space of modular electronics.

            LG released the Flex last year, so perhaps their angle to break out into more profits is durable and bendable devices that are still powerful. This is an especially interesting direction for cell phone design and it should be exciting to see how LG goes about using it to create great products for us, their customers.


            The final question here is what are the profit margins that LG, Motorola, Sony and HTC getting from their phones. That's a question for another time, but remember that other companies are making excellent phones, it is not just Apple and Samsung, though advertising can easily make you believe otherwise.

           

Wednesday, October 22, 2014

Which Smart Phone is the Best Value?



The question of which cell phone manufacturer on prefers is a pretty polarizing question. Every day we see commercials from both camps mocking each other, and I will admit that I have reenacted the Samsung commercial near a line of people waiting to get into the Apple store at 10 in the morning for a product update. 

            It's time to take emotions like pride and loyalty out of the equation, and objectively ask the question: Which smart phones are the best value? To determine the value, we will start by looking at the costs of the phones. Not just the price people pay at the Apple store or with a phone plan, but the cost to produce the phone, not including labor. 

            For the iPhone 6 the total cost of parts came in at $200. To break that down into parts, the battery cost $3.50, while the screen came in at $41.50, the logic  board $126, the camera cost $16.50, the speaker is $7.00, and the rest of the phone cost $32.50. Apple has the iPhone 6 retailing for $649.99, so parts make up close to 35% of the phones total cost.

            On the Samsung Alpha side of things, the Alpha cost less to produce than it's Apple competitor, only amounting to $195.50 in parts. Both the battery and speakers are the same price at $3.50 and $7.00 respectively, but the rest of the phone was less expensive. The screen cost $40.00 while the logic board was only $109.50, the camera was $15 and the rest of the phone costs Samsung $20.50 With the phone retailing for $612.99, the parts represent just 32% of the cost.

            It is estimated that both companies pay less than $5 for the production of each phone, which does not significantly effect the percentages. Considering that some of Apples parts are just better, like the logic board, screen and the camera, and the fact that a higher percentage of the cost goes into the parts, the iPhone 6 is a better value.

            Considering Samsung's historically larger advertising budget, it is easy to see where the money is going. Both companies spent more than $300 million on television ads in the US alone. With both manufacturers entering all global markets, it is easy to see just how competitive the competition is. The Ad agencies and Television stations supported by these large programs,  of two companies attempting to be the best hand held electronic device manufacturers. 

            I guess the question remains of how the iPhone 6 Plus stacks up against the Galaxy s5 in terms of value. Both phones are powerful computing devices, but one always seems to have an edge over the other and it's changing all the time. This type of competition demands the production of unique, powerful and innovative devices.
           

Sunday, October 19, 2014

Tablet Sales Level Off


The tablet has established itself as a core component of the technically minded individual.
Doctors, lawyers, business executives, and laymen alike use the devices for their ever day work
and entertainment purposes. It seems though that sales of the device are going down as the
market seems somewhat capped.


The devices are actually less likely to be broken by consumers and as they are more
powerful than their smart phone counterparts, they tend to last longer as well especially if they
are treated well and repaired when they are broken. It's sort of an everyone's got one scenario, so
the demand is lowering.
Millions of the devices will fly off the shelves this winter still. Apple plans to release an
updated iPad this fall, which many anticipate to be a new iPad 6 and Air which are rumored to be
available in gold. It's a long time coming for the worlds leading tablet, which has been the
number one selling tablet since it's release in April of 2010.
The phablet class of devices is also growing, which is something like the iPhone 6 Plus
and the Samsung Galaxy Note that is somewhere in between the size of a smart phone and a
tablet. These devices are powerful tools that blend the phone design with the tablet design
offering longer battery life, more processing power and
Sadly many of the tablets sold this year are bound by gravity and clumsiness to be
dropped and broken this holiday season. When a repair is needed, a trusted source should handle
the job, like Dr Phone Fix, because the warranty is voided when the device is opened. There is no
faster way to have a device fixed, no matter what the damage is.
Repairing tablet and iPads can be tricky, and often times diagnostics need to be run to
verify all internal parts are working properly. The experts at Dr Phone Fix run through this
process faster than anyone in the industry. Dr Phone Fix is by far the best iPad and tablet repair
in Fort Lauderdale, Florida. They use the best techniques and tools for the job and are fast
becoming the biggest repair service in the country.
With two convenient locations in the area, there is no better source in Fort Lauderdale. As
they started their business in Fort Lauderdale, Dr Phone Fix chose 3000 SW 4th Avenue for their
headquarters. They also operate another store on the North side of town at 1261 E Las Olas
Boulevard to make sure their home town always has devices working properly.
Dr Phone Fix repairs all major brands of smart phones, computer, laptops, tablets, iPods,
and gaming consoles. Visit their website to see the full range of devices that they repair, and if there is a location near you.


Read More: http://drphonefix.com/fort-lauderdale-fl

. Repairs of the new iPhone 6 in Fort Lauderdale


Apple made it's biggest phone ever this year when they released the iPhone 6 Plus this
year. They single-handedly fixed complaints about battery life and screen size in two fell
swoops. In the opening week more than 10 million of the devices were sold, making it the most
popular launch of an electronic product ever.
Some problems have been reported with the cases bending, but consumer reports show
that the iPhone 6 and iPhone 6 Plus are both fairly strong. The iPhone 6 can resist 70 pounds of
force before deforming, while the iPhone 6 plus withstands 90 pounds of force. It is important to
remember that these are some of the thinnest devices ever made, and should be handled
accordingly.
Not all stores are repairing the iPhone6, but Dr Phone Fix is. All of their technicians
were ready on launch day to repair the new phone, and remain ready to handle even the most
extensive repairs. In the case of a bent frame, the safest solution for the integrity of the phone
and it's internals is to completely replace the back frame of the phone.
The process starts very similarly to other iPhone repairs: the pentalobe screws that flank
the charger of the device are removed, followed by the screen. Specialized suction cups are the
easiest way to complete this process. The screen assembly is separated from the logic board, as
well as the battery. From here the technician has access to every part of the phone.
In the case of a replaced frame, all of the internal parts must be removed and tested to
make sure that they were not damaged as well. From there the phone is carefully reassembled, in
a static free environment to ensure no further damage is done to the phone. This is where Dr
Phone Fix diagnostics come into play, as they test every phone they repair. This ensures the
phone is 100% functional when they return it to the customer. Their use of the highest quality
parts and tools makes the deal even sweeter.
As Fort Lauderdale is the home of Dr Phone Fix, there are two location in the area. To the
south at 3000 SW 4th Avenue is the headquarters and further North at 1261 E Las Olas
Boulevard. Both are ready to handle large and small projects with the best technicians in the
industry. By the end of the year, they will have kept their 400,000th out of landfills across Florida
and the US at large.
Dr Phone Fix repairs all major brands of smart phones, computer, laptops, tablets, iPods,
and gaming consoles. Visit their website to see the full range of devices that they repair, and if
there is a location near you.