Guess who’s now the most profitable Android phone maker

Posted by Etoniru Chibueze

At the mention of smartphone profits, the first name that comes to mind is probably Apple. It is no longer news that Apple is the most profitable smartphone maker – chowing up to 91% profit off all smartphone sales. Coming to the Android segment, who is the most profitable among them? Guess who… *drum roll* Huawei.

According to Strategy Analytics:

“… Huawei, Vivo and OPPO are the next three most profitable smartphone vendors globally this quarter, but they are still a long way behind Apple.”

“We estimate Huawei generated US$0.2 billion of smartphone operating profit worldwide in Q3 2016. Huawei captured 2 percent share of all smartphone profits, taking second spot overall, and becoming the world’s most profitable Android vendor for the first time ever. An efficient supply chain, sleek products and effective marketing have been among the main drivers of Huawei’s robust profitability. Vivo and OPPO followed in third and fourth place and each took 2 percent global profit share. Vivo and OPPO delivered relatively healthy profitability due to disciplined pricing and soaring shipments across Asia.”

“Three of the world’s top four most profitable smartphone vendors are currently Chinese. Huawei, Vivo and OPPO have not only improved their smartphone product lineups this year, they have also enhanced their operational abilities and kept a tight lid on expanding distribution costs.”

What about Samsung?

Earlier this year, Samsung raked in cash from the early launch of the Samsung Galaxy S7. Following the explosions and recall of the Galaxy Note 7, however, the company lost close to $1 billion. With this, we can’t expect anything else from Samsung till the launch of another device – probably next year.

Notice that the three brands are all Chinese. This tells us something. You can find the full report from the source link below. 


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