If anyone doubted the smartphones are the future, iPhone profits should set those doubts to rest.  Apple became the most profitable handset vendor in the world in the third quarter of 2009, surpassing Nokia for the first time, according to Strategy Analytics.

Apple logged an estimated $1.6 billion in iPhone sales, compared with $1.2 billion for Nokia.

The figures validate two points: first, consumers are clearly willing to pay premiums on their phones if they feel they’re getting value (Nokia typically services the lower-end market); second, that value derives from the ability to run hundreds of data apps on their phones, just as they can on their computers.

We’re not yet at the point where voice is just one of many applications the average consumer looks for in a phone. But you can see it coming.

Posted under Michael's Blog