Apple Predicted to Expand Lead in Global Semiconductor Purchases in 2012
Research firm IHS iSuppli today released the results of a new study tracking global semiconductor sales in 2012, predicting that Apple will expand its lead on the strength of 15% growth in the face of a stagnant market. Apple first topped the list in 2010 after quickly rising from third place in 2009 and sixth place in 2008.
Apple is maintaining its lead in semiconductor purchasing because of continuing strong demand for its products, combined with the company’s capability to maintain beneficial relationships with more than 150 suppliers that provide components or offer manufacturing and assembly services.
But aside from maintaining its global dominance in chip purchasing, Apple is also outgrowing the other OEMs and making gains in the various regions of the world. For Apple, this translates into competitive advantages when it comes to manufacturing electronic products.
The report notes that Apple's increasingly dominant market position, which is estimated to see nearly double the revenue of second-place Samsung this year, gives Apple significant market advantages in terms of controlling pricing, availability, and product roadmaps.
Apple is predicted to continue expanding its lead in 2013, with IHS iSuppli's estimates pegging Apple at 12.3% growth next year, the highest of any top-ten global customer.
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Top Rated Comments
They are #1 and pulling away because they are developing entire new markets, not just fighting over market share scraps. Their efforts to capitalize suppliers gives them an unbeatable competitive advantage on first mover, first access, full order book fulfillment and net cost. That $110B cash asset is being put to great use as collateral for those investments. The cost savings and profit increases add to it. Positive feedback loop.
Rocketman
Samsung to Samsung sales should be included if they've done their research properly. It would be a sale from one Samsung entity to another.
I know this will make my life better. I can't wait to tell everyone I know. They will be so envious of me.
Apple is deploying hardware in a "bleeding edge" fashion on displays, mobile CPU, storage, design and integration, software, software diversity and 3rd party involvement. They are choosing where to push the envelope and not only investing in the R&D and product, but investing in the suppliers themselves to lean forward hard. They are facilitating every network possible since that is not their market segment. They work with carriers to give them more customers than they ever imagined or hoped, and make them so sticky there is no term for it, because it has never happened before.
Loyalty matters in commerce. Shocker! BTW it's called an annuity. c.1671 AD
Rocketman
More memory and mobile GPU for God's sake!