Stiff competition
The total mobile device market grew a more modest 13.8 percent. year-on-year, in Q2, but that's still not bad. Less positive for the industry was evidence that at least some of this growth was due to aggressive pricing, especially in the increasingly commoditised feature-phone sector, where Samsung and LG paid for market share increases with lower margins.
"Although the mobile communication devices market showed double-digit growth this quarter, average selling prices (ASPs) were lower than expected and margins fell," said Milanesi. "We attribute the decline in ASPs to a stronger dollar, a depreciating euro, and intense competition that drove price adjustments and changes to the product mix."
The growth in market share for the Koreans seems to have slowed; revealing their relative weakness in smartphones. In contrast, HTC jumped into the top ten on the back of its Android smartphones, but Motorola will be disappointed with such a fall in its overall share. The strength of the Chinese market is revealed by the emergence of G'Five.
Worldwide Mobile Device Sales to End Users in 2Q10 (Thousands of Units)
Company |
2Q10 Units |
2Q10 Market Share (%) |
2Q09 Units |
2Q09 Market Share (%) |
Nokia |
111,473.8 |
34.2 |
105,413.4 |
36.8 |
Samsung |
65,328.2 |
20.1 |
55,430.1 |
19.3 |
LG |
29,366.7 |
9.0 |
30,497.0 |
10.7 |
Research In Motion |
11,228.8 |
3.4 |
7,678.9 |
2.7 |
Sony Ericsson |
11,008.5 |
3.4 |
13,574.3 |
4.7 |
Motorola |
9,109.4 |
2.8 |
15,947.8 |
5.6 |
Apple |
8,743.0 |
2.7 |
5,434.7 |
1.9 |
HTC |
5,908.8 |
1.8 |
2,471.0 |
0.9 |
ZTE |
5,545.8 |
1.7 |
3,697.9 |
1.3 |
G'Five |
5,208.6 |
1.6 |
NA |
NA |
Others |
62,635.2 |
19.30 |
45,977.2 |
16.1 |
Total |
325,556.8 |
100.0 |
286,122.3 |
100.0 |
Source: Gartner (August 2010)