Apple makes 92 percent of all smartphone profits

Three years ago, Apple made 73 percent of all profits in the smartphone sector, despite just having nine percent of global handset sales. But these days, Apple’s profits have soared to new heights.

As the Wall Street Journal reported on Monday, citing a new report by industry research firm Canaccord, in the first quarter of 2015, Apple took in 92 percent of the total operating income of the world’s eight largest smartphone makers. That figure jumped up from 65 percent during the same period in 2014.

Samsung is the world’s largest smartphone manufacturer as measured by units sold. According to market research firm IDC, it shipped 82.4 million phones during the first three months of 2015, compared to Apple’s 61.2 million.

"The challenge made by Apple for the top spot in the fourth quarter returned to a clear lead for Samsung in the first quarter, despite the soaring global demand for the iPhone 6 and 6 Plus," Anthony Scarsella, research manager with IDC's Mobile Phone team, said in an April statement. "Samsung's shipments, given that the S6 was not launched into the market for the full quarter, were driven by large volumes into emerging markets and steady demand for its midrange and lower-priced smartphones."

IDC attributed much of Apple’s success to rapid expansion in China, Macau, Taiwan, and Hong Kong, noting that iPhone sales “grew 40 percent year over year and a remarkable 63 percent in emerging markets.”

Ian Fogg, an analyst with IHS, e-mailed Ars to say that it's also important to note how vital the iPhone is to Apple.

"69 percent of Apple's total revenues are from the iPhone," he wrote. "While Apple's iPhone is a vibrant money maker in the mobile market, the iPhone is now the centerpiece of Apple's business too."

Canaccord did not immediately respond to Ars’ request for comment.