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Will Apple Jump into the Booming Big-Screen Smartphone Market?
Large screens on smartphones are in demand -- it would be in Apple's best interest for its next iPhone to sport one.
Michael Comeau    

This article was originally posted on the Buzz & Banter, where subscribers can follow over 30 professional traders as they share their ideas in real time. Want access to the Buzz plus unlimited market commentary? Click here to learn more about MVPRO+.

Canalys just reported its first-quarter smartphone market share numbers, and there's an interesting wrinkle that supports the case for the big-screen Apple (NASDAQ:AAPL) iPhone that just about everyone expects this year.

According to Canalys' estimates, the smartphone market grew 29% year-over-year, but smartphones with 5-inch or larger screens grew by a whopping 369%. Globally, big-screen models represented 34% of shipments, while in Japan (a very strong iPhone market), they were 43% of sales.

In terms of market share for the big-screen segment, which is dominated by the big Google (NASDAQ:GOOG) Android players, Samsung (OTCMKTS:SSNLF) has 44% of the market for 5-inch-plus devices, and 53% for 5.5-inch-plus devices.

These numbers imply a huge opportunity for Apple. Even without a big-screen model, the iPhone line did very well last quarter, and a bigger model would almost virtually guarantee a market share increase in the high end of the market.

Interestingly, ABI Research just released its own Q1 mobile phone sales numbers and noted this very interesting fact: Basic mobiles phone lost 5% worth of market share, and virtually all of it went to Android.

Apple has no real place in the low-end market, as the 5C just hasn't taken off. It's possible that people look at it and say, "If I'm going to buy an iPhone, I'm going to get the real one."

But that's OK -- if Apple does get a solid big-screen iPhone out this year, it's likely to do very well in the booming 5-inch-plus segment, which is starved for an Apple product.

It would also significantly offset the weakness in the iPad unit.

Now if Apple doesn't release a big-screen iPhone, I would assume that things will get ugly for the stock. But assuming it does happen, Apple could very well run higher in the back half of the year.

Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.
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Position in AAPL
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Will Apple Jump into the Booming Big-Screen Smartphone Market?
Large screens on smartphones are in demand -- it would be in Apple's best interest for its next iPhone to sport one.
Michael Comeau    

This article was originally posted on the Buzz & Banter, where subscribers can follow over 30 professional traders as they share their ideas in real time. Want access to the Buzz plus unlimited market commentary? Click here to learn more about MVPRO+.

Canalys just reported its first-quarter smartphone market share numbers, and there's an interesting wrinkle that supports the case for the big-screen Apple (NASDAQ:AAPL) iPhone that just about everyone expects this year.

According to Canalys' estimates, the smartphone market grew 29% year-over-year, but smartphones with 5-inch or larger screens grew by a whopping 369%. Globally, big-screen models represented 34% of shipments, while in Japan (a very strong iPhone market), they were 43% of sales.

In terms of market share for the big-screen segment, which is dominated by the big Google (NASDAQ:GOOG) Android players, Samsung (OTCMKTS:SSNLF) has 44% of the market for 5-inch-plus devices, and 53% for 5.5-inch-plus devices.

These numbers imply a huge opportunity for Apple. Even without a big-screen model, the iPhone line did very well last quarter, and a bigger model would almost virtually guarantee a market share increase in the high end of the market.

Interestingly, ABI Research just released its own Q1 mobile phone sales numbers and noted this very interesting fact: Basic mobiles phone lost 5% worth of market share, and virtually all of it went to Android.

Apple has no real place in the low-end market, as the 5C just hasn't taken off. It's possible that people look at it and say, "If I'm going to buy an iPhone, I'm going to get the real one."

But that's OK -- if Apple does get a solid big-screen iPhone out this year, it's likely to do very well in the booming 5-inch-plus segment, which is starved for an Apple product.

It would also significantly offset the weakness in the iPad unit.

Now if Apple doesn't release a big-screen iPhone, I would assume that things will get ugly for the stock. But assuming it does happen, Apple could very well run higher in the back half of the year.

Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.
< Previous
  • 1
Next >
Position in AAPL
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Will Apple Jump into the Booming Big-Screen Smartphone Market?
Large screens on smartphones are in demand -- it would be in Apple's best interest for its next iPhone to sport one.
Michael Comeau    

This article was originally posted on the Buzz & Banter, where subscribers can follow over 30 professional traders as they share their ideas in real time. Want access to the Buzz plus unlimited market commentary? Click here to learn more about MVPRO+.

Canalys just reported its first-quarter smartphone market share numbers, and there's an interesting wrinkle that supports the case for the big-screen Apple (NASDAQ:AAPL) iPhone that just about everyone expects this year.

According to Canalys' estimates, the smartphone market grew 29% year-over-year, but smartphones with 5-inch or larger screens grew by a whopping 369%. Globally, big-screen models represented 34% of shipments, while in Japan (a very strong iPhone market), they were 43% of sales.

In terms of market share for the big-screen segment, which is dominated by the big Google (NASDAQ:GOOG) Android players, Samsung (OTCMKTS:SSNLF) has 44% of the market for 5-inch-plus devices, and 53% for 5.5-inch-plus devices.

These numbers imply a huge opportunity for Apple. Even without a big-screen model, the iPhone line did very well last quarter, and a bigger model would almost virtually guarantee a market share increase in the high end of the market.

Interestingly, ABI Research just released its own Q1 mobile phone sales numbers and noted this very interesting fact: Basic mobiles phone lost 5% worth of market share, and virtually all of it went to Android.

Apple has no real place in the low-end market, as the 5C just hasn't taken off. It's possible that people look at it and say, "If I'm going to buy an iPhone, I'm going to get the real one."

But that's OK -- if Apple does get a solid big-screen iPhone out this year, it's likely to do very well in the booming 5-inch-plus segment, which is starved for an Apple product.

It would also significantly offset the weakness in the iPad unit.

Now if Apple doesn't release a big-screen iPhone, I would assume that things will get ugly for the stock. But assuming it does happen, Apple could very well run higher in the back half of the year.

Twitter: @MichaelComeau

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.
< Previous
  • 1
Next >
Position in AAPL
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
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