The Winner of Apple-Samsung Patent Fight? Their Rivals

As Apple and Samsung squabble in court over who copied whose phone features, the companies' grip over the smartphone industry is slipping.

The two companies account for nearly all smartphone hardware profits. But they are losing market share to Chinese rivals with lower-priced phones, particularly in developing nations. Two years ago, Apple and Samsung accounted for more than 55% of world-wide smartphones shipments, according to research firm Strategy Analytics. In the first quarter, that fell to 47%. Samsung said that quarterly operating profit at its mobile division fell from a year earlier for the first time since 2010. Apple's annual profit fell last year for the first time in more than a decade.