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Analyst: Apple grabs huge chunk of phone profits
Apple turns a significantly bigger profit from each smartphone it sells than do handset makers in general, giving the company a huge chunk of the overall market's profits, according to an analyst's assessment.
Apple analyst T. Michael Walkley of investment firm Canaccord Genuity said in a note to investors this week that Apple sees a gross margin of 50 percent and operating margins of around 30 percent on its iPhone. That's within an industry where most handset makers struggle to turn a profit, or reach operating margins of even 10 percent.
As a result, he said, Apple … Read more
