Big companies like samsung and apple, release all types of new technology with one big goal: to make money. Their purpose is to grow, to be known internationally and to have a good reputation. We're not only talking about phones here, but all sorts of technology as well. The more phones (or tech) released, the more selection you have. This is a BIG thing in capitalisim: Selection.
I think that this type of saturation is great because not only does it offer the consumer all the newest features, it helps keeps costs competitive as well. Some may feel that this is bad for the individual phone companies, but in general in this economy, for the consumer it's a good thing. If it didn't work like this, it would be very boring and most likely expensive.
The saturation is ridiculous. There are so many phones on the market that it is confusing. It is frustrating to be shopping online looking for one when the language is so technical and many shoppers don't know what any of the features really equate to. I guess for people who live in their cell phones, they like the variety of options to choose from.
Releasing a new phone every few months is quite the opposite, in fact. It is very bad for the market because it oversaturates it. It is really annoying for the consumer as well, who just spent hundreds of dollars for the newest technology. It will continue to happen as long as people keep craving the "newest" phone on the market.
This is getting out of control with the release of new phones. Even looking at one particular type, they are relesing a new model every year. So instead of buying a $600 phone and using it for a few years everyone is waiting to get the new one asap as it has become some dumb status symbol to have the new technology.