Here's what happens when Apple moves into your market

Up until the middle of 2014, Samsung looked like it could easily command the biggest share of the smartphone market and, as such, take home a massive chunk of the revenues.

The company had correctly predicted that smartphone screens would become bigger and, as consumers got used to the idea of having a five-inch device, sales would skyrocket. For a while, Samsung sold the vast majority of big-screened phones on the market.

But Apple, which was still selling 4 inch phones, had different plans.

Details of what would become the larger iPhone 6 leaked in July of 2014 and everything went downhill from there for Samsung. Apple shipped 74 million iPhones in the holiday quarter of 2014, reinvigorating its sales and re-asserting itself as the biggest company in the world by market cap, generating $18 billion (£12 billion) profit in the process.

Samsung went the other way, with falling sales and profits which are only starting to recover one and a half years on.

These charts from Jackdaw Research show what happens when Apple moves into your market. Basically, Samsung’s phone sales can be divided into two historic periods, “Pre-iPhone 6” and “Post-iPhone 6.”

First, shipments …

Samsung iPhoneJackdaw ResearchSamsung’s shipments were hammered by the bigger screen iPhone.

Now the revenues …

Samsung AppleJackdaw ResearchSamsung’s revenues — which came from selling a big-screened phone — fell off a cliff.

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