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Innovation in Smartphone Industry-Sample

Innovation in Smartphone Industry-Sample

Assessment Description

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This report is focused on evaluating the different forms of innovation that have been experienced within the Smartphone industry are analyzed and its impact over the society has been analyzed. The report evaluated typically over the Apple iPhones and has highlighted that with the use of different innovative ideas, the company has been able to develop a business framework that has helped to develop a new market and has offered several benefits to the society as well as the economy. Moreover, at the same point of time, the smartphone industry has had a negative impact over the environment and it is likely that it will negatively affect the society in the long run. In this report we get to know that initially Nokia was the leading Smartphone vendor, however, due to their lack of innovation and out of the box thinking they could not retain the position for a very long time, and Apple took over in the year 2007.

Apple bought a revolutionary change to the smart phones. They designed phones which had a smooth touch and smaller size. It had end number of applications within the phone and some features that attracted customers easily. However, the iPhone did have some disadvantages as well which were that due to so many social networking applications the condition of cyber crimes worsened. The report tells us that smartphones have certainly brought a revolutionary change in our lives and Apple, in turn, brought a change in the world of smartphones.




The Commercial Smartphone Industry. 3


How has the industry changed?. 4

The need of Apple smart phones?. 4


Impact on Society: 6

How may this industry change in the future?. 6

References. 7


The Commercial Smartphone Industry

A mobile phone which can perform several different functions similar to that of a computer, has internet access, an integrated touch screen interface which is capable to run downloaded applications are known as a Smartphone. The smartphones hit the consumer market during the late 90s, but it became popular only after Apple launched its iPhone in 2007. It completely revolutionized the industry by introducing offers such as touch screen and virtual keyboards for its users. The first Android phone was however launched in the late 2008 phones (Nagpal, 2014).

The Smartphone industry has been growing and developing since then, not only regarding market size but terms of models and suppliers as well. By 2017, it has been projected that one-third of the world’s population would have a smart phone and there is an estimated total of almost 2.6 billion smart phone users in the world.

Nokia was the leading smart phone vendor in the first quarter of 2011, with 24 percent of share. Today, however, Samsung is leading the pack with about a quarter of all global shipments. The second largest vendor of smart phones worldwide is Apple. In 2015, Apple sold the highest number of iPhones worldwide. Other prominent smart phone vendors include Huawei, Lenovo, HTC, Samsung, LG, etc. Android became a clear market leader, and as of the third quarter of 2015, Android had 85 percent the market share. Apple’s operating system IOS accounts for about 15 percent of the share (Vaughan-Nichols, 2003).

Apple is an American Multinational Technology Company headquartered in California that designs, develops and sells computer electronics and computer software’s. Its hardware products include the Iphone, Ipad, Ipad, Mac, iPod portable player, Apple Watch and Apple digital TV.

The founders of Apple were Steve Wozniak, Steve Jobs, and Ronal Wayne in 1976 to develop and sell personal computers.

Apple is known to be the world’s largest IT Company regarding revenue, world’s largest technology company by assets, and the world’s second largest mobile phone manufacturer. Apple’s worldwide revenue totaled $233 million for the fiscal year ending September 2015. Its revenue generation accounts for approximately 1.25 percent of the total GDP of the United States. The company operates with enjoys a high level of brand loyalty and has been the world’s most valuable brand for four years in a row. There are over one billion actively used Apple products worldwide as of March 016 (Singh et al., 2016)


How has the industry changed?

Smart phone penetration in developed countries is about 70 percent. These gadgets have become one of the most transformative tools in our quantitative and qualitative arsenal. However, unlike laptop and desktop computers, which didn’t know much about their user’s smart phone know just everything about them? Not only have they become the most selling gadgets but also they have penetrated all factors of our lives (Muzumdar, 2015).

The first Smartphone was produced by IBM and BellSouth and was brought in the markets in 1993. The phone named Simon had a touch screen that was capable of sending and receiving faxes and emails. Smartphones are a major extension on the normal mobile phones. These smart phones have GPS capabilities with a whole array of applications. The capabilities of this smart phone simply do not end at the internet access or documents editing. Now it also can interpret and decipher information like that from a response code that is present on a product’s packaging. Smart phone industry is advancing at a very quick pace now and can talk, answer questions, turn off lights and also watch movies (Chen et al., 2012).

The need of Apple smart phones

There are several important elements within the hustle bustle of modern life. There certain elements that needs to be sorted out and have to be organized. Therefore it becomes really important to schedule ad plan things. If someone wants to enhance and ad advance their personal lives, then they would need a smart phone. The phone can be used as a miniature laptop which would mean that one can live so much of their lifestyle on the move (Chang, 2016).

They are so important these days because of the connectivity they provide. This is not only because of the improved calling and messaging services but also due to the various options that smart phones provide regarding social networking sites. Besides they also have an array of new and advanced connection services like Whatsapp, Skype, Viber which saves a lot of money on phone call allowance. Also, we can send and receive emails through our smart phones which minimize the use of laptops and desktops and are an easy and viable option.

The thing that makes smart phones so important is their efficiency. The speed that the smart phones provide is unbeatable. Also, the size of it makes it a miniature computer. From a business point of view, smart phones are used to connect with colleagues. It allows us to communicate with people and stay in contact with them even when we are on the move (Ganlari, 2016).

The biggest appeal of iPhones is their functionality. As mentioned earlier, it works as a portable computer. One can store important data, files and important details on their smart phone. Online banking, finding places to eat and drink can all be done on a smart phone. One can also secure their smart phones by setting a pin code. Also, who we receive calls from is totally in our hands.

Another important aspect of iPhones is that it gives people the access to latest entertainment, be it movies, TV shows, music or games. Everything is available at the touch of a finger. Moreover, the entertainment available on the smart phones is way more extensive than anyone can think of. Smart phones have completely transformed the world of portable gaming and movies.

There is almost no limit as to what a person can do with their iPhones. They can use their phone as a GPS tracker, map their journey’s, find the latest news and even read books. Therefore, there is an extremely high need for smart phones in this era. (Kenny & Pon, 2011)


Impact on Society:

On 28th June 2007, Nokia was the top selling phone company in the world. People stopped working when they left their computers; Android phones did not exist, and high power executives were addicted to their Blackberry. Next day Apple’s first iPhone went on sale.  The iPhone dramatically changed how the people interacted in the world. It had set very high expectations for other smart phone companies. This phone has impacted people in both positive and negative ways. For many people, this piece of technology has made their lives simpler. This phone has got instant access to information which helps them in numerous ways.  For adults, it has helped them in work related issues like paying bills, sending emails, reports and also paying bills. The iPhone has some apps that help them connect to the world. It connects the users to different parts of the world. Social networking sites are also one of the many reasons why people are so fond of their iPhones. The future-forward technology of the phone has helped people to learn about the news and events all over the world in a short time. Due to the size of the phone, which is getting slimmer with every new generation iPhones are easier to carry and store (Rahim et al., 2016).

Even though the iPhone has impacted the society in many positive ways, there are some ways in which the society has been affected. The Phone has made it easier to communicate but this not always a good thing because people especially teens are using it to send harmful content to one another. Cyber bullying is a major problem in today’s world, and new technology is worsening the situation. Despite the fact, the iPhone has left, and incredible mark in the world and has made millions of lives easier.

How may this industry change in the future?

Despite an array of products, the iPhone makes up over half of Apple’s revenue and the growth of the company in the last decade has made it the most valuable public company.  But the opportunity is fading now, iPhone sales are predicted to grow at an average of 3 PC for the next four years, sop the real opportunity lays elsewhere. Apple is now moving its focus to sell peripherals around the iPhone. By ditching the iPhone jack in iPhone 7 it unveiled and the optional set of wireless Air Pod headphones with an eye-watering price. It also launched an even pricier Apple watch (Johnson et al., 2012).

The watch has not been a clear success, but it is predicted that sales will eventually pick up in a couple of years. Therefore selling iPhone is one thing but when Apple added a smart watch, a pricey set of headphones a music service and more they had a gold mine. There is also a potential for virtual reality devices and TV content. Apple has spent years carefully creating an ecosystem in which one product gradually pushes consumers into buying another.

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