Who exactly is making money on Android OS?

Quarter (Q1) 2015 results show once again that Apple has smartphone market profits on the lock down. 92%. According to The Wall Street Journal, Apple raked in 92% of all smartphone industry profits in Q1 2015. In other words, Android manufacturers and others are all sharing only 8% of the industry’s profits. All those manufacturers? Who really is making money on Android OS?

making money on Android OS

If my horrible math is not as horrible as I think it is, that means that the remaining 8% of the smartphone market’s profit is shared between Samsung, LG, Sony, TECNO, Infinix, Pliris Mobile, Asus, OnePlus, Xiaomi, BlackBerry, Micromax, Microsoft, Alcatel, BLU, Yezz, Huawei, Lenovo, Lava, Gionee, HTC, Acer, and the scores of other smartphone brands scattered across the planet. Mind you, many of those on that list are reporting losses.

But let me paint the picture more accurately:

  • iOS with 13.8% marketshare makes 92% of the profit
  • Android with 78% marketshare makes 8% of the profit
  • The others….oh, well

Mindboggling situation. Certainly, some of those Android brands are running at a loss, and many are making margins so small on the grand scale.

  • So, no-one is making profit from Windows Phone.
  • No-one is making profit from Firefox.
  • No-one is making profit from Sailfish.

Many Android brands are struggling and returning losses. Samsung has been the poster boy for Android OS, but even its returns have been dropping in recent times. Perhaps if we asked the question, who exactly is making money on Android (tons of money, that is), the only answer would be “Google”.

Like I said in October 2014, perhaps iOS is the only viable smartphone platform. Who is going to prove that wrong?

Award-winning Content creator, Digital marketing consultant, Trainer, Conference speaker, and Nigeria's pioneer and foremost mobile phone reviewer. Legend.

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