Apple Erasing Samsung’s mobile Profitability

After its years long legal battles over patent infringement, Apple has rapidly erased Samsung’s mobile division profitability, making it very much unprofitable since every other Android or Windows licensee has reduced its margins in the phone, tablet and PC market.

According to MacDailyNews, an iPhone having a larger screen option could hurt Samsung immeasurably more than myriad, unending traipses through the legal morass. According to Daniel Eran Dilger, he reports that while Apple’s critics have been giving the credits to Xiaomi for Samsung’s unprofitability, the South Korean giant’s plummeting profitability is not due to the drop in its low priced, high volume tablets and phones but an implosion of Samsung’s profitable, high end Galaxy S and Note models which directly have been competing with iPhones’.

Samsung had made an announcement of its 73.9% drop in its mobile division profits for the Q3 and analysts have been keeping tab through 2013 on the company’s increasing competitive pressure from Apple on the high end as well as from high volume sales of lower end models being increasingly produced by Chinese companies especially Xiaomi.

Tough Battle for Samsung

Samsung is going through a tough battle on both fronts though based on the numbers which the company has reported, the drop in profits that Samsung has suffered in the Q3 has been the outcome of the thermonuclear assault by Apple focusing on its core revenue and profit generators.

Moreover Apple’s damage to Samsung will tend to get worse for the company as it remains are ravaged by the other Android licensees. Though Samsung’s profit has collapsed, IDC has reported in its smartphone market estimates that Samsung continues to lead the world in shipments as well as market share by a huge margin by shipping 78.1 million units, a YoY decline of around 8.2 percent.

Samsung had also reported that there was a slight growth in shipment in its earnings release though the earnings declined QoQ since ASP decreased due to weak smartphones product mix with the sales decrease adding pressure on the cost structure.

Samsung Yet to Pay Apple for Patent Infringement

The profits reduced due to average selling prices going down since it was selling less profitable phones and it was getting expensive to build its most expensive phones due to reduction in economies of scales.

Samsung stated that in the quarter, its phone shipments were driven by mid to low end products. As a result Samsung missed out on high end sales and while it was estimated that its total sales went down by 8.2 percent, analyst Ben Benjarin reported that its premium phones went down by almost fifty percent in the third quarter.

It is said that Samsung has still not paid Apple the almost $1 billion judgement which they were ordered to pay back in the year 2012 for patent infringement though it was reported of a much larger $4.7 billion YoY drop in quarterly profits within its IT & Mobile Communication group which is a rough comparison to Apple’s operation and the outcome of this decline in profits is not a mystery.

Apple SIM – Switch Carriers

Apple SIM – subscriber identity module had promised the possibility of switching carriers with a few taps on the tablet rather than to physically switch out SIM cards but in several instances, the Apple SIM is not available in the new iPad Air and iPad Mini or it is locked to specific carriers.

The new Apple SIM card in the updated iPad models was to make it simpler to bounce around various wireless carriers which did not seem to last long. It was confirmed recently by a spokesman that it would lock down the SIM cards found in the updated tablet. A source familiar with the carrier’s plan states that, a new iPad purchased at a T-Mobile store would be having a SIM pre-set to the carrier.


According to Apple the tablet purchased at a Sprint store would not have the Apple SIM at all though it will be fitted with a Sprint based SIM. In any of these cases, if the user needs to switch, they would have to physically change the SIM card like the earlier iPad models. Apple wants to make the process of choosing and purchasing an iPad as well as the carrier partner, an easy option though carriers are keen on maintaining some control over the consumers.

T-Mobile/Sprint/AT&T- Part of Apple SIM Program

The back and forth on Apple SIM points out the differing priorities between the carrier and Apple. iPad purchased at an Apple store or any other third party store like Best Buy on T-Mobile’s network will remain open with users having the option to switch to another carrier on the fly. Sprint too has similar policy while an AT&T, iPad purchased at an Apple store would not remain open. T-Mobile, Sprint and AT&T have been listed as part of the Apple SIM program, which is considered to be a single SIM that can manage all three carriers.

At the Apple store, the buyer and the seller has the option of choosing between the three carriers. Verizon Wireless on the other hand is not a participant in the program and utilises its own SIM cards. While AT&T seems to lock down the SIM, the carrier debates that it remains easy to change services. According to Mark Siegel, AT&T spokesman, he states that users have always been switching but the issue lies in how you switch.

iPad – Unlocked Device, on Multiple Carriers

He further stated that the iPad is an unlocked device which has been running on multiple carriers for long. The Apple SIM cards in the cellular model of the latest iPad Air 2 and iPad Mini 3 are different from the older iPad wherein the buyers needs to choose their carriers while purchasing and physically swap the SIM cards if intending to switch to a different carrier.

Apple SIM card could be of some help in saving users money in providing them with some convenient way on the option of buying a new SIM card and physically swapping it in the tablet for the purpose of changing services though it does not seem to be in this case.

Apple's Family Sharing Feature

Apple’s latest update to iOS has now made it possible to share music, apps as well as books with family at no cost wherein a family need not buy additional copies of the Beatles’ catalogue. The family sharing feature to iOS 8 now makes it easier for the entire family to share purchases on iTunes, App Store and iBooks.

It enables the family to access the music, books and apps which have been bought on one account and the others need not buy separate copies. Apple has designed this feature to bring about harmony to the family’s digital life by sharing photos, creating a family calendar and keeping in touch with each other from any location, but more than that it means that one can save a large amount of cash.

Earlier one would have to buy a copy if they desired it on their iPhones or iPad but now with the option of Family Sharing, one member could buy a single copy and the same could be shared with the other members in the family. Besides this, the shared calendar could also help in keeping updates with all the comings and goings at family level.

Sync Up to 6 Accounts

With the minimum of efforts, one can sync up to 6 accounts and avail the family sharing feature To get started one would need to setup their account on their iPhone by going to Settings >iCloud>Family>Add Family member, wherein one would be asked to provide the Apple ID of the person intending to be added.

The feature required that one of the members to be a family organiser and set up a profile with a name and image. One can choose the option to either send invite to their member device or if they are around could seek their permission to enter their password in the setup screen and iCloud would automatically add them in the group.

If kids below 13 years having no Apple ID could also be added right from the Family sharing page provided they have a credit card account and once a member joins in the group, the Family Sharing features are activated on their device.

iTunes/iBooks/App Stores – Collections of Content

Once the member has been added to Family Sharing plan, songs, movies, album, TV shows apps and books that a family member has purchased are now immediately available to all in the group. To locate music or apps which other members could have purchased, one needs to visit the purchased tab in iTunes, App Store or iBooks to browse on the collections of content and then tap the iCloud icon to download the same on individual device.

The other family members could also access the entire collection just the same way and should there be some items on your account which one does not want the other members to see, one can hide individual books, apps and movies on opening iTunes on your Mac, go to the Purchased section and choose the item intending to delete till a X appears in the top left corner.

Those who have joined the Family Sharing account could pay for all their new purchases on iBooks, iTunes and the App Store on providing their credit card details.

Apple’s iPhone – Advanced Car Remote Control

Recently published patent application called `Accessory control with geo-fencing’ by the US Patent and Trademark office, imagines virtual field or boundary surrounding a car which is called a geofence.

The tech giant has filed a patent which will help the car to perform various functions and on detecting the proximity to the car based on the geofence, the iPhone has the capabilities of performing a variety of task like the opening of the door, starting the ignition or popping open the trunk.

For instance, the doors of the vehicle could lock if the driver tends to move a certain distance away or the boot could unlock if the owner of the vehicle walked to the rear of the car. Smartphones that could act as remote controls for your car with various apps and technologies is nothing new since they are already available enabling the phone to remotely operate in unlocking doors or starting the car.

 Apple is now planning to turn the iPhone into an advanced remote control for cars, enabling users to unlock the doors as well as start the engine whenever they approach their vehicle. Apple’s invention would now perform these functions automatically depending on the position within or outside the geofence.

And the iPhone could communicate with the car via CarPlay or a similar device. For many years now, remote controls for cars have been made available but Apple is striving to use the geo fenced location potentials in taking the technology still further.

iPhone to Signal Message/Alarm to lock Doors

The iPhone can remotely connect through Bluetooth to the in-car system like the Apple’s CarPlay enabling drivers in making calls, send messages as well as use maps through the smartphone’s voice activated assistance – Siri.

CarPlay which was launched in March is presently compatible with five car makers, namely, Hyundai, Honda, Ferrari, Mercedez-Benx and Volvo and Apple is planning the service to 24 other manufacturers including Land Rover, Ford and Peugeot.

Apple had launched its iPhone 6 and iPhone 6 Plus recently with Apple Pay earlier this week and the new iPads too recently. This technology could even work over a long distance through cellular signal.

As listed in the patent application, the car could start to warm up whenever it detects that the driver and the iPhone is within a distance of a few minutes. For instance on leaving your car and the geofence, the iPhone could signal a message to lock the doors and turn on the alarm.

Idea of Apple’s Patent Application

Multiple geofences may also target certain areas of the car like a geofence in the rear may automatically open the truck if it detects when the person is in the right place and is in possession of the iPhone.

A brief idea of the patent application is that a vehicle accessory could transmit a first signal to a mobile device, the first signal includes the location of the vehicle wherein the device can monitor its own location.

The mobile device can also assess whether one or more location based criteria have been satisfied based on the location of the device and the vehicle’s location.

On determining that the location based criterion has been fulfilled, the mobile device transmits a second signal to the vehicle accessory indicating a function of the vehicle need to be controlled.

For instance, the mobile device could activate or de-activate vehicle features like the door locking, vehicle defrosting etc. in a way which could capitalize on accurate signal transmission.

Apple to Drop SSL 3.0 Support

Apple has recently announced its developers that it will be dropping support for SSL 3.0 on October 29th on its push notification service to mitigate a discovered vulnerability in the software.

 The company will be switching off this support in favour of the more secured transport layer security –TSL protocol considering that the developers will have to build in support to ensurethat uninterrupted push notification service continues. Developers presently supporting both SSL 3.0 and TSL on their push servers will not get affected with this change though those using only SSL 3.0 would need to change to TLS soon to ensure that there is no interruption in the services.

Apple has also provided an option for developers to test compatibility with the updated system and the Apple Push Notification service will soon be updated and changes to the servers may be needed to be compatible. Additional information with regards to this is also available through Apple’s Developer Portal.

Paddle Oracle On Downgraded Legacy Encryption

Earlier this month vulnerability discovered in the SSL secure socket layer 3.0 version by Google researchers was reported by Computerworld. The researchers found it possible using a man-in the-middle attacked known as Paddle Oracle On Downgraded Legacy Encryption – POODLE, the discovery introduces false errors on using TSL, urging secure connections to downgrade back to the SSL 3.0 version where nefarious users could take advantage of a design flaw in SSL 3.0 in order to skim sensitive data from the user’s computers.

In other words the flaw would enable an attacker to steal a person’s authentication cookies where the attacker and the victim are on the same network, thereby posing a risk to people who could be using public Wi-Fi.It was also disclosed earlier that the POODLE vulnerability would allow encrypted information to be stolen by an attacker with network access.

To protect users against security issues with SSL version 3.0, the Apple Push Notification server will withdraw support for SSL 3.0 and providers with SSL would need to support TSL at the earliest for continuous services.

OS X Yosemite & iOS Protection Against the Flaw

Both OS X Yosemite and iOS have protection already in place against the flaw as OS X Mavericks 10.9 and Mountain Lion – 10.8 since Apple has now patched the Poodle SSL vulnerability with its latest release.

Apple and Google have both disabled SSL 3.0 in their browsers and developer environments, while other tech giants are also doing likewise. The vulnerability is considered to be less urgent than the Heartbleed vulnerability which also tends to affect SSL 3.0 though it still affects all browsers and several web servers.

Mozilla is said to disable SSL 3.0 in Firefox version 34 which is scheduled for 25th November. Besides many other companies have also moved to stop supporting SSL 3.0 due to the flaw where one of three have found to affect a variety of products across the internet world including the Shellshock Bash vulnerability besides the Heartbleed in Open SSL. Push servers which are not upgraded to use TLS by the coming week, will no longer be capable to send push notifications.