With SIII, Samsung makes smartphone duopoly official

Post date: Jun 21, 2012 9:48:36 AM

Besides Apple, nobody can sell phones like Samsung. With the huge U.S. launch of the Galaxy SIII, it's looking harder than ever for the other guys to catch up.

SAMSUNG APPLE DUOPOLY - Um-hmm! That's what I am talking about. The Samsung's Galaxy SIII, the current smartphone of desire.

Already in the hands of some European tech buyers, today it arrives in the U-S-of -A.It's the latest salvo in what's increasingly a 2-way war between Samsung and Apple.

The tech giants are battling to one-up each other with new models and new lawsuits.

In the process, starving the other guys of market share and more importantly, profits.

HTC CEO, PETER CHOU, SAYING:

"It's definitely unhealthy, and I believe this will not be continued, I believe."

That is reflected in stock prices, with once mighty handset makers humbled despite the overall boom in smartphone demand. Eventually, something's gotta give.

Rumours of wounded blackberry maker RIM or even Nokia being bought out make the rounds at least once a quarter.

These competitors have been doing their best to stage a comeback.

HTC and LG have both put out flashy new high-end smartphones, that have the specs to take on Samsung's SIII. But they are struggling to convince consumers:

SANFORD C. BERNSTEIN ANALYST, MARK NEWMAN, SAYING:

"HTC One X is a good product.. but they don't have the marketing budget to go out there and sell it, and to go out there and encourage and give incentives all around the would, and advertising all around the world to encourage people to buy it."

Second-tier manufacturers also don't have the scale, with Samsung and Apple outpacing them heavily on R&D spending.

That imbalance may eventually create an innovation gap, resulting in fewer competitive alternatives to the big two on retail shelves.

SENIOR VICE PRESIDENT OF DEVICES AT AT&T MOBILITY, JEFF BRADLEY, SAYING:

"We're big proponents of giving our consumers choice. Whether that's an iOS device, whether that's an Android device, or a Windows phone device, or frankly a Blackberry device."

The one battlefield where competition remains heated: the low end.

Chinese manufacturers Huawei and ZTE are aggressively ramping up, posting strong shipments in the crucial mainland market.

They're also targeting Apple's home base, with ZTE planning to boosts its investments in the US by 10% annually

REUTERS REPORTER JONATHAN GORDON, SAYING:

"Confident and cash-rich, if these Chinese firms set their sights on the higher-profit high-end, they may prove the only players able to break Samsung and Apple's choke-hold on the industry.

Jon Gordon in Hong Kong."