“The South Korean firm said it expects operating profits for the period to be 5.2tn won ($4.5bn; Â£2.9bn), 73% higher than a year a earlier.
Samsung overtook Apple as the world’s biggest-selling smartphone maker in the second half of last year.”
There are several reasons for Samsung’s success. Among them are the fact that Google and The Linux Foundation provide them an inexpensive operating system and that millions of developers write applications for that operating system, Android/Linux. That reduces the cost of smartphones greatly and provides good performance for the money to consumers. 2010 and 2011 were still periods of rapid uptake by early adopters of smartphones but the market is maturing and lower cost smartphones are taking an increasing share of units shipped. As prices fall, Samsung’s profit margins are still good. Apple just cannot sell cheap smartphones because of its higher costs of development and its high-price model. While Samsung sells well in every region, Apple until recently only had a tiny number of stores in all of china.