IPhone X Is More Lucrative To Apple Than Previously Estimated

IPhone X Is More Lucrative To Apple Than Previously Estimated

While Samsung continues to lead as the top smartphone vendor in Q3, 2017, when it comes to the most shipped smartphone it was the year-old iPhone 7 from Apple, according to research firm Canalys.

Apple's iPhone 7 was the most selling smartphone in Q3 2017 with a figure of 13.0 million units of shipment. Margins on the 256GB model could also be similar, despite the recent uptick in NAND prices, as Apple has priced the device at a $150 premium versus the base model, instead of its typical $100 increment. Now, with the iPhone X, Apple is using OLED displays (a first on an iPhone) and depth-sensing cameras, which enable the device's face-based unlocking feature.

Coming to the newer iPhone 8 series, Canalys' numbers say they accounted for 11.8 million shipments in the quarter, despite the mid-September launch.

Apple rolled the dice and released two new versions of the iPhone this year, and so far, that strategy isn't paying off, as the iPhone 8 looks to be a rare misstep by the world's most valuable company. The iPhone 6s was a distant second, after an uptick that resulted in 7.9 million shipments.

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Canalys estimates the iPhone 8 Plus saw shipments of 6.3 million units, while the iPhone 8 lagged with 5.4 million units. This makes the iPhone 8 Plus the first iPhone Plus model to out-ship its smaller sibling in a single quarter.

Rounding out the top five was the Samsung Galaxy J2 Prime, Oppo A57, and Oppo R11. The iPhone 7 also shipped strongly after its price cut in September. With the launch of the iPhone X, it now has five tiers of iPhone and delivers iOS at more price bands than ever before. No doubt, that Apple took a huge bounce in its shipment over the third quarter but that is due to an increase in the sale of its older and cheaper models like iPhone 6S, SE, iPhone 6 and others.

The most interesting entry in the top five is Xiaomi, which managed to ship 28 million units in the third quarter, an increase of a whopping 86.9 percent. This was thanks to growth in its J-series, which did particularly well in India and the Middle East. Samsung's new Galaxy Note8 dispelled any remaining negative sentiment around the Note series, shipping a solid 4.4 million units. "It discounted the Galaxy S8 in several major countries in Q3, which helped ease inventory buildup from the previous quarter".

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