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Essay / Apple vs Samsung Case Study - 555
Apple vs SamsungThe global consumer electronics industry is an ever-expanding multi-billion dollar market. It is expected to grow at an annual rate of 7% by 2015. Among the various electronic devices in the market, the fastest and best-selling segments are personal computers and smartphones. Among the various companies in the smartphone category, Apple Inc. and Samsung Electronics are the ones that dominate the market. Based on 2013 performance, “Apple took 56% of the operating profits from feature phones and smartphones, while Samsung took 53% of the industry's profits” (Shaughnessy). This translates to EBITDA of $58.5 billion for Apple and $41.8 billion for Samsung, each representing about double what others in the industry earned over the same period. These two giants both sell the same types of products but use different platforms. Apple uses the iOS platform, which is proprietary, while Samsung uses the Android platform which is an open source system. This means that Apple relies on its own proprietary designs and systems to remain profitable. Samsung uses ...