Samsung Electronics has released its unaudited accounts for Q1 2015, and confirmed its continuing decline, but with some signs of a reversal in sight. Notably the next generation Galaxy S6 and S6 Edge did not ship during the quarter, suggesting a recovery is possible in Q2. However China continues to be a challenge for the company, and the overall balance appears to be swinging back towards its OEM businesses.
- 08. May 2015
- Marco Attard
- Vendor News
Tensions appear to be cooling down between Apple and Samsung, Bloomberg reports, as the two rivals set aside costly legal battles in favour of collaboration on some of the best-selling mobile products in the world.
Apple and Samsung used to be iPhone manufacturing allies, but Steve Jobs dropped lucrative supply contracts to instead engage in seemingly eternal patent spats, all part of the late CEO's war against Android. However current Apple boss Tim Cook appears to have a softer view of the Korean titan-- in August 2014 the two companies agreed to start burying the legal war hatchet (by "drop[ping] all litigation between the two companies outside the United States”), and now Samsung is reportedly back in the iPhone component game.
Apple's Q2 2015 might not reach the world record of the previous quarter, but it still has another record for the iPhone maker-- net quarterly profit of $13.6 billion on $58bn revenue, with gross margin of 40.8%.
In other words, Apple still manage to outdo all expectations, particularly as international sales continue driving results by accounting for 69% of revenues. For the record, Wall Street was expecting revenues reaching around $56.06bn, while Apple itself was hoping for revenues between $52 and $55bn.
“We are thrilled by the continued strength of iPhone, Mac and the App Store, which drove our best March quarter results ever,” CEO Tim Cook says. “We’re seeing a higher rate of people switching to iPhone than we’ve experienced in previous cycles, and we’re off to an exciting start to the June quarter with the launch of Apple Watch.”
Last week, Re/code reported Nokia is "quietly plotting" a comeback in consumer mobile devices. However the Finnish company insists this is not the case and such reports are, in fact, false.
"These reports are false, and include comments incorrectly attributed to a Nokia Networks executive," a company statement tersely reads. "Nokia reiterates it currently has no plans to manufacture or sell consumer handsets."
An agreement with Microsoft bars Nokia from making a smartphone until at least 2016. However the company can license its famous brand for mobile device use, like it already has done with Foxconn's N1 tablet.
The Google-Luxottica partnership in the Glass wearable device is still going ahead, and as such "a new version of Google Glass is in the works and will be out soon," the Wall Street Journal reports.
“In Google, there are some second thoughts on how to interpret version 3 [of Glass],” Luxottica CEO Massimo Vian told shareholders at at the company's general meeting. “What you saw was version 1. We’re now working on version 2, which is in preparation.”
In its turn Google simply says “the [Glass] team is heads down building the future of the product.”