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October 31, 2010

Global mobile phone market up 14.6% in Q3, says IDC

Nokia maintains its top spot with market share of 32.4%

By CBR Staff Writer

The global mobile phone market grew 14.6% in the third quarter of 2010, which is the fourth consecutive quarter of double-digit growth, driven by the growing smartphone device category, according to a new report from market intelligence firm IDC.

The new report showed that vendors shipped 340.5 million units in the third quarter of 2010, compared to 297.1 million units in the third quarter of 2009.

The popularity of smartphones with consumers and businesspersons is evidenced by the appearance of a second smartphone-only vendor in the top 5 ranking.

Apple moved into the number 4 position worldwide in third quarter of 2010, joining Research In Motion (RIM) as one of the largest mobile phone suppliers.

IDC worldwide mobile phone tracker senior research analyst Kevin Restivo said the entrance of Apple in the top 5 vendor ranking underscores the increased importance of smartphones to the overall market.

"Moreover, the mobile phone makers that are delivering popular smartphone models are among the fastest growing firms and vendors that aren’t developing a strong portfolio of smartphones will be challenged to maintain and grow market share in the future," Restivo said.

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For the third quarter of 2010, Nokia gained the top spot with a market share of 32.4%, with shipments reaching 110.4 million, an increase of 1.8%, compared to 108.5 million units shipped in the same period last year.

Samsung stood second in the list with 71.4 million units accounting for 21% market share.

LG Electronics shipments decreased by 10.1% to 28.4 million from 31.6 million units in the same period last year, with a market share of 8.3%.

New entrant Apple took a market share of 4.1% with 14.1 million units shipped in the quarter, up 90.5%, compared to 7.4 million units shipped in Q3 2009.

RIM ended fifth with 12.4 million units shipped and a market share of 3.6%, an increase of 45.9%, compared to 8.5 million units shipped in Q3 2009.

Geographically, the Asia/Pacific market excluding Japan (APEJ) saw erosion in Nokia’s market share due to emergence of brands including Micromax, Nexian, i-Mobile, and Android-powered smartphones which gained momentum across the region at the expense of Nokia.

The Western European handset mobile phone market’s growth was largely attributable to smartphones, which grew by the introduction of the iPhone 4 and Android-powered devices from HTC and Samsung.

The North American mobile phone market registered growth in the smartphone market with the availability of Apple iPhone 4, RIM’s BlackBerry Torch 9800, the HTC EVO 4G, and Motorola’s new DROID X and DROID 2, all of which were launched last quarter.

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