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Apple vs. Samsung—Size Matters: Blodget

Wednesday, 13 Mar 2013 | 10:27 AM ET
Smartphone Wars Kick Into High Gear
Wednesday, 13 Mar 2013 | 7:15 AM ET
Will BlackBerry dethrone Apple as the world's leading smartphone maker or will Samsung capture the title? Bridget Carey, CNET senior editor, weighs in on the increasing competition in this tech space.

Apple may be "leapfrogged" on Thursday when Samsung unveils the next generation of its flagship Galaxy smartphone, Business Insider Editor-in-Chief Henry Blodget told CNBC.

"It's the size of this screen. This is beautiful," he told "Squawk Box" on Wednesday, referring to the Galaxy S III, Samsung's current model. Then, holding up an iPhone 5, he added, "I waited two years for this. This feels so puny and old now."

(Read More: Samsung, Blackberry and Apple Make Mobile Moves)

Samsung is scheduled to unveil its Galaxy S IV on Thursday in New York. Some analysts have predicted that the new phone could top 10 million unit sales in the first month after launch.

"Samsung deserves huge credit. They have come out of nowhere. They're now the biggest global smartphone manufacturer," Blodget said. "They have great products … and two, they've made a huge bet on the marketing side and it is worked. Apple has been ambushed by Samsung."

The South Korean electronics company spent $400 million on ads in the U.S. last year and took the 2012 smartphone sales crown. But Apple did outsell Samsung in the U.S. in the quarter ending in December.

(Read More: BlackBerry Will Exit the Handset Market: Pro)

The new Galaxy phone is widely expected to boast crisp, full high-definition quality pictures, a slightly bigger 5-inch screen, a 13 mega-pixel rear camera and an improved eight-core processor.

Media reports have also suggested that the new Galaxy—which uses Google's Android software—may have functions that track a user's eye movement, and boast an unbreakable or flexible screen.

"This eye-tracking thing. When I heard that I said, 'OK. Now we've jumped the shark.' Like nobody wants that," Blodget said.

But big picture "competitors have caught up to Apple and there's a good chance tomorrow Apple is going to be leapfrogged," he said. "That is a big problem for them. But they're not out of the game."

CNET Senior Editor Bridget Carey told CNBC that Apple fans may be "getting bored" with the iPhone's incremental updates. "If you look at their pattern … they're going to have another iPhone come out [this year] that looks the same, but probably has a little bit of an internal boost."

"This is Samsung's time to really wow us," she added. "And if they can, they can scoop in when Apple is going to have their year where it's an 'iPhone 5S' (upgrade), and maybe it's not all that impressive."

By CNBC's Matthew J. Belvedere; Follow him on Twitter @Matt_SquawkCNBC. Reuters also contributed to this report.

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  • Matt Hunter is the senior technology editor at CNBC.com.

  • Cadie Thompson is a tech reporter for the Enterprise Team for CNBC.com.

  • Working from Los Angeles, Boorstin is CNBC's media and entertainment reporter and editor of CNBC.com's Media Money section.

  • Jon Fortt is an on-air editor. He covers the companies, start-ups, and trends that are driving innovation in the industry.

  • Lipton is CNBC's technology correspondent, working from CNBC's Silicon Valley bureau.

  • Mark is CNBC's Silicon Valley/San Francisco Bureau Chief covering technology and digital media.