Apple benefited hugely in the three months ending in October, according to quarterly smartphone market share data released by Kantar Worldpanel on Wednesday. During the period, iPhone sales accounted for an impressive 4 of every 10 smartphone sales in the U.S. Apple's sharp rise in smartphone market share during the period bodes well for the iPhone 7 and iPhone 7 Plus prospects.
Big U.S. market share for iPhone
With Apple beginning deliveries of its iPhone 7 and iPhone 7 Plus in September and Kantar's quarterly data ending in October, Kantar's quarterly data includes about a month and a half of important sales of the new devices. That being the case, the data provides some insights into how the new phones are faring.
Based on Kantar's data, the iPhone 7 and iPhone 7 Plus seem to have hit the ground running. iPhone sales represented 40.5% of smartphone sales in the three months ending October -- up a notable seven percentage points year over year, from 33.5%.
Going further, Kantar provided some specific, bullish data on the new iPhone versions during the period, saying the iPhone 7 the top-selling device during the period, accounting for 10.6% of smartphone sales, and the iPhone 7 Plus was the fourth best-selling smartphone with a 5.3% share of smartphone sales. This is particularly notable considering these phones were available for only half of this period -- and their availability was supply constrained.
Apple almost certainly benefited significantly from Samsung's recall of its flagship Galaxy Note 7 smartphones during this period. The device was recalled a few weeks after its launch, and a few weeks before Apple started shipping its iPhone 7 and iPhone 7 Plus devices. Samsung eventually took its recall even further, opting to end production of the Note 7 altogether after replacement batteries failed to deter spontaneous battery overheating that would lead to the Note 7 catching fire.
Apple vs. Alphabet
In addition to highlighting a strong period for iPhone sales in the U.S., Kantar's just-released data highlighted two other important takeaways for Apple investors.
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