A few days ago Apple successful won a legal battle against Samsung in which the American technology giant had alleged that the South Korean firm was infringing their patent by manufacturing and selling the Galaxy S III brand of smartphone. The move by Apple to bring legal proceedings against a major competitor has been viewed by some market analysts as an attempt to strengthen their stranglehold over the smartphone industry.
Although Apple was successful in the courts, the ruling has led to a temporary increase in the sales of Samsung’s Galaxy S III model of mobile phone. It appears that after news of Apple’s legal victory became public, customers rushed out to purchase the Samsung smartphone. A report conducted by Global Equities Research showed that in the days following the case Samsung experienced a sharp spark in sales.
Sixteen retailers in the United States were surveyed by market researchers, Global Equities Research, after the much publicised legal ruling. Of the sixteen stores surveyed, five reported selling all their Galaxy S III’s within days of the case being closed. Several other stores reported selling all Galaxy S III’s on specific networks, whilst all the shops questioned stated that they had seen a very sharp increase in the number of Galaxy S III’s sold.
One reason why the verdict in favour of Apple has led to a boom in Samsung sales is that customers are concerned that the model may become unavailable soon. The Galaxy S III is widely recognised as a good phone and people wanted to get one before they were removed from American store shelves forever.
Another reason why the court may have caused Samsung’s sales to pick up so considerably is the massive level of public exposure the court case gave their phones. In the American mobile phone market place, the IPhone eclipses all its rivals, both in terms of sales and in terms of public profile. The high profile court case pursued by Apple inadvertently led to a boast in the media attention for the Galaxy S III.
Apple’s legal case against Samsung appears to represent a new strategy being used by the American technology giant to ensure it maintains its lead in the smartphone and tablet market. Many commentators are predicting that Apple will bring further actions against other competitors who are releasing products similar to its own. The massive company, founded by Steve Jobs, seems determined to maintain its impressive commercial lead in the area of tablets and smartphones, whatever it takes.
Post by John, who is currently working for businessmobiles.co.uk as well as his usual day job at DBS. He’s a big smartphone fan and is genuinely considered a Galaxy S III!
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