This is MacO-S-Kinn.

Shrinking market share while growing the bottom line, iPad 2 supplies approaching iPad 2 demand

and Apple keeps fighting the App Store fight.

It's Monday, July 11, 2011. I'm Kan Ray and this is news from Maco Can.

Brought to you by yours truly and supported by listeners like you subscribers to MacoS can Day 6.

More information is available at MacoS can.com.

This show is also supported by the MacOS Can Podcast app for the iPhone, iPad, and iPod touch,

available in the App Store now for $2.99. Can Accord Genuity analyst T. Michael Walkley has laid out what are likely the most important questions for Apple's business when it comes to phones.

How much money are they making off of them and how much more are they likely to make off them going forward?

The answers, roughly half and a whole lot more.

Apple Insider has the analyst saying that while phones built on Google's Android

operating system do have greater market share than iPhones, Apple took in roughly 50% of all of the money earned in cell phones, not smartphones, all handsets in the first

quarter of this year.

And things seem to be going fine as of last month as well.

Quoting his note, Our June checks indicated continued strong sales of the iPhone

4, as it remained by far the top selling smartphone at AT&T and Verizon, despite continued

popularity of 4G smartphones and several new high-end

Android smartphones. As for Verizon, Walkley's checks showed iPhone 4 as the

number one selling smartphone in June despite six new

Android phones. Quoting his note again, with Verizon not allowing subsidies to

customers that are still under a two-year contract.

We anticipate steady upgrades by Verizon customers to the iPhone will continue over the next

...