Apple Inc (NASAQ: AAPL) which reports quarterly results later today is the dominant player in the smart phone and tablet market. The juggernaut company commands a decent-sized market share, but reaps the benefits in terms of profits for the industry. Although Google's (NASDAQ: GOOG) Android platform has recently caught up in terms of smart phone sales, these phones are much cheaper than the high-end iPhones, and therefore more people are able to purchase the phones.
Google doesn't not earn very much profit directly from phone sales, but aims to increase the number of users using their apps on the Google platform. Apple on the other hand earns about $600 in revenue from each iPhone sold. This pricing is similar in the tablet market, however, no competitor has been able to compete with the iPad, which dominates in market share. investors are expecting large profits from Apple's monopolistic dominance in the tablet market.
Microsoft (NASDAQ: MSFT) is a third player, but it's Window's phone has yet to really catch on as it lacks the look and feel, as well as the functionalityy in terms of apps. the only real competitor to Apple, is Google, when it comes to apps. Apple's quarterly release this evening is expected to give investors the confidence they need to continue believing in the Apple story.
