Note: This was posted after Apple announced earnings due to it being hung up in review. I thought it may still be of interest.
Apple (NASDAQ:AAPL) should continue to benefit from Nokia's (NYSE:NOK) and RIMM's (RIMM) continuing problems in the smartphone market. While Nokia could make a comeback with Microsoft's new Windows Phone software the reviews of the new Nokia Lumia phone have been lackluster.
On Thursday, April 19, Nokia announced that it has incurred losses in the March quarter that were greater than expected due to competitive challenges and seasonality. http://press.nokia.com/2012/04/19/nokia-corporation-q1-2012-interim-report/
Since seasonality shouldn't be much different from one year to another I would attribute the shortfall to Apple, Samsung and low-end Asian competitors. Nokia announced that it had only sold 11.9 million smartphones in the March quarter vs. 24.2 million a year ago, a decline of 51%.
This is another indication that Apple could have had a strong iPhone quarter with my estimate being 39 million iPhones http://seekingalpha.com/article/514751-reading-samsung-s-tea-leaves-to-predict-iphone-demand vs. sell-side analysts around 30 to 31 million and I believe the buy-side at 34-35 million.
Disclosure: I am long AAPL.
Additional disclosure: I have no position in Nokia (NOK) or RIMM (RIMM) and do not plan to initiate any positions within the next 72 hours.