Top of the line smartphone sales saturated? Apple doesn’t believe so

July 25th, 2013 - 11:30 am ET by C. D.

Apple surprised to the upside with iPhone sales topping 30 million units. The company’s management has rejected the idea that the premium smartphone market is saturate.

While announcing 31.2 million iPhone’s had been shipped in the third quarter of their 2013 financial year (which runs at the same time as the second quarter of the calendar year), Apple has surprised analysts to the upside, with predictions that 26 to 28 million devices would be shipped – washing over the mixed results from the other categories.

And while smartphone sales at the beginning of the year seemed to indicate that the top of the line segment was perhaps plateauing, with many believing the market was starting to saturate, Apple’s managers have rejected such ideas.

During their financial results presentation, Finance director Peter Oppenheimer indicated that deliveries were up 20% over last year, beating even internal forecasts.

iPhone 5 04

"I don’t subscribe to the common view that the higher end, if you will, of the smartphone market has hit its peak", adds Tim Cook, CEO at Apple. This confirms that he believes that there are numerous ways of stimulating sales, more than just new handsets and services.

He adds that "We have a diverse range of opportunities to improve the distribution of devices through our relationships with carriers and the expansion of our distribution network", with the professional market still offering a lot of possibilities for top of the line handsets.

What Apple never provides details on though is the proportion of different models included in these sales volumes. A  CIRP study yesterday suggested that the iPhone 5 only represented half of shipped devices in the United States in the second quarter, which would demonstrate that a low cost iPhone is still expected by the market.

Source : All Things Digital
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