I don't like getting into these discussions because people on both sides (see this thread!) act pretty silly - the differences between those things in terms of how "advanced" they are are so small it doesn't even matter anymore. Just some thoughts:
1) The huge screens on Android Phones right now are overshooting the market. There are clear signs this is indeed true. What this means is if you put 2 identical phones next to each other, one with a 4.2" screen and the other with a 4.8" screen the smaller phone is the superior (!) one. Same happened to phones 10 years ago - but back then phones got ever smaller up to a point that you'd pick the bigger phone over the smaller one for ease of use. You can argue this but I strongly encourage you to read Christensen and try to get your head around it. Otherwise you will never understand why something you don't like resonates well with the market.
2) The CPU in the iPhone 5 appears to be faster than the Galaxy S3 one but frankly it doesn't matter at all. There is a reason Apple showed of a GAME on a SMARTPHONE on stage to demonstrate the CPU - there is not much room for improved performance other than games. Current CPU's are fast enough and in the future they'll just make phones more expensive even though people won't need them. Android is more resource hungry than iOS but at this point both systems run fluid with current CPU's. From here on it's overshooting again.
3) If we keep the two points above in mind we realize Apple will have a hard time to keep its current position in the market. Android can both reach high-end and low-end customers because there is a huge range of different devices, screen sizes, prices, etc. Apple on the other hand only has one new iPhone model per year. This is why they went with a 4" screen and not another 3.5" or a 4.5" one - they have to satisfy both ends, a task that will get increasingly difficult for them to achieve in the future. To beat Apple, Samsung (and others) should stop to focus on specs with their high-end machines because they are already overshooting the market in some regards. This is not going to help them beat Apple but make it harder. Instead they should focus on the customer experience more - iPhone still leads the customer satisfaction charts (and that's not because people are "sheep").
4) Apple's taking their "closed system" approach to a whole new level right now (see iPhone, iPad, Retina Macbook) and it is getting to a point where the customers are starting to suffer. Long-term this could hurt Apple harshly because customer satisfaction is the center of their success.
And to wrap it all up: If you think either company is acting great right now while the other one is bad you should take a deep breath and think for a minute. Samsung has become an Apple hate machine right now, focusing too much on useless stuff and overshooting the market while Apple is acting so arrogant you just want to throw up. In the end it is the CUSTOMERS on both sides who are the losers.
But hey, that's just me...
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