Apple vs. Samsung: Battle of the Green Giants
Welcome ladies and gentleman to the green battle of the year. In this corner earning $133 bil./yr. originating from South Korea is Samsung (revenue source: Fortune Global 500). And in the opposing corner is Apple, born and raised in the USA, which just announced FY11 revenue of $108 billion.
Round 1: Green Company Rankings. In Newsweek’s latest Green Rankings, Samsung jumped 33 spots to tie Nokia as the top-ranked Smartphone Supplier in the world. While correlation does not equal causation, Samsung’s laser-focused efforts on green initiatives has also led to a greener bottom line. Since January 1, 2011, Samsung’s profit has increased 42% from 2.95 trillion won (~ $2.46 billion) to 4.2 trillion won (~ $3.5 billion) (source: Samsung estimates, Oct. 6, 2011). As shown in the chart below, Apple is the second greenest smartphone supplier (behind Samsung and Nokia), although it ranks first in smartphone global market share. Round 1 winner: Samsung.
Round 2: Sustainability: In September, the Dow Jones Sustainability Index Annual Review named Samsung the most Sustainable Technology company in the world. Round 2 winner: Samsung.
Round 3: Green Brands. In July, Samsung had the third best Global Green Brand Rank for smartphone manufacturers in Interbrand’s Top 50 report (#25 among all brands). Apple ranked 1st (#13 overall) and Nokia ranked 2nd (#22 overall). Round 3 winner: Apple.
Round 4: Green Profits: Yet Apple is the champ in the other green category: profits. In 2Q of 2011, Apple captured the lion’s share of global operating profits among the top mobile phone makers: 66%. According to Asymco market intelligence, that was twice the combined profits of Samsung (11%), RIM (11%) and HTC (7%). Round 4 winner: Apple.Continued on the next page