Gartner: Q3,2010 Mobile Phone and Smartphone market shares
The Gartner release on Mobile Phone shipments for Quarter 3, 2010 puts Worldwide mobile phone sales to end users at 417 million units, a 35% growth over 308 million units in Q3,2009. Smartphone sales grew 96% YoY from 41 million units in Q3, 2009 to 80 million units in Q3,2010. Contribution of Smartphone sales to overall sales of smartphones increased from 13% in Q3, 2009 to 19.3% in Q3,2010. Smartphone sales have driven the total mobile phone numbers which otherwise have registered 25% growth YoY.
Nokia dropped 8.5% market share to end at 28.2% market share. Another interesting trend observed is the fragmentation of the market by the “Others” category chiefly comprising of white-box manufacturers who have continued to expand their reach outside of China into markets such as India, Russia, Africa and Latin America. These feature rich value for money handsets now form 33% of the total mobile handset sales i.e 1/3rd of the handsets sold globally are white box labels. This in part has been instrumental in taking the wind out of the sales of Nokia, Samsung and LG, the top 3 vendors each of whom have dropped market shares. The Other category grew 16% market share where as the top 3 lost 14.6% market share. Furthermore these numbers are expected to rise further with accelerating growth of the white box handset category.
While Nokia reported better financial figures basis better ASPs (in absence of low end products, which were supply crunched) and favorable currency exchange rates, it is doubtful if Nokia would be able to claw back in terms of market share. The Nokia Dual SIM handsets would certainly get additional sales, but it is difficult for Nokia to come back to 36% in view of steady growth of the white-labeled handset makers.
Samsung had a strong third quarter, as mobile phone sales reached 71.7 million handsets in the third quarter of 2010, up 18.2 percent from the third quarter of 2009. Samsung’s smartphone market share reached 10 percent in the third quarter of 2010. Samsung sold close to 1 million bada devices in the third quarter of 2010, and 6.6 million Android phones, making Samsung the top Android seller.
LG sold 27.5 million mobile devices in the third quarter of 2010, as its global market share dropped to 6.6 percent. LG’s strengths in stylish midtier devices are becoming less relevant in mature markets that are moving increasingly toward smartphones, and this is translating directly into market share. LG lacks a flagship smartphone; its devices tend to be affordable midtier devices that lack hardware or software innovation, priced at the low end of communication service provider
Apple really has gone from strength to strength and inspite of the Antennagate Fiasco, iPhone sales grew 91%. This was good from the Mobile phone perspective, but it was not able keep pace with the 96% growth in smartphone markets.While Apple remains focused on consumers, enterprise adoption of the iPhone and iPad has grown and will continue powering iPhone sales into 2011. With 48% of the smartphone profits, Apple isnt in a any eagerness for volumes.
RIM sales have registered a 40% growth which again pales considerably against a 96% growth in smartphones mostly powered by Androids. Blackberry has been under some pressure in the recent times and a lot depends on the Torch and the Playbook Tablet. The numbers currently donot augur a recovery for Blackberry.
Android grew at the cost of every other Mobile Phone OS in the smartphone markets. Androids grew at a whooping 1340% YOY. Even though Nokia sold more smartphones, but it pales compared to Android. Every third smartphone in the world is Symbian and every fourth smartphone in the world is a Android powered device. However, Symbian’s future is a little unclear with the exit of foundation members Samsung and Sony Ericsson. (Read more about Symbian here) This leaves even less hope for the beleaguered Symbian to hold on to its leadership which has been so severely challenged by Android.
An important event last quarter was the return of the Windows Mobile with its 7.0 version. While there are minor glitches to the OS, it is still a huge improvement over its predecessors and may herald the coming back of WinMO. (Read more here)
For the whole year 2010, Gartner expects overall device sales to show a 30% YoY increase. The impact of media tablets on mobile device sales will be tested in 2011. Gartner forecasts that media tablets (such as the Apple iPad) will reach 54.8 million units in 2011.