Nokia still leads the world mobile phone market, followed by Samsung, LG, Sony Ericsson and Motorola. Nokia increased their smartphone sales while Samsung grew from its converged mobile devices with its Omnia II. LG profited from their enV and Android smartphones.According to IDC's Worldwide Mobile
Phone Tracker, the
worldwide mobile phone market grew 11.3% in the fourth quarter of 2009 (4Q09),
ending five consecutive quarters of retrenchment. In its first quarter, Motorola shipped 2 million Android units worldwide. Its
DROID and CLIQ/DEXT devices were shipped to more than 20 countries
Vendors shipped 325.3 million units in 4Q09 compared to
292.4 million units in the fourth quarter of 2008. Vendors shipped a total of
1.13 billion units on a cumulative worldwide basis in 2009, down 5.2% from the
1.19 billion units shipped in 2008.
IDC
anticipates that the worldwide mobile phone market will rebound in 2010.
"In 2009, the mobile phone market, like many others, contracted due to
economic pressures. But as the year
progressed, demand for mobile phones increased each quarter while
year-over-year declines progressively decreased," adds Llamas.
"Economic recovery mixed with pent-up demand will create positive
conditions for handset vendors in both developed and emerging markets in 2010.
Meanwhile, key handset vendors expect to exceed their 2009 shipment levels with
refreshed portfolios, leveraging interest in touchscreens, messaging devices,
and converged mobile devices."
"The mobile phone market has rebounded in
dramatic fashion," said Kevin Restivo,
senior research analyst with IDC's Mobile Phone Tracker.
"The Asia/Pacific
region and the United States were primarily responsible for pushing the market
back into growth territory. Overall, vendors offered a wide array of converged
mobile devices (smartphones) and messaging devices in the seasonally strong
fourth quarter, to take advantage of increased user demand."
"One area of the market that has consistently
shown growth all year is the converged mobile device market," said Ramon Llamas,
senior research analyst with IDC's Mobile Devices
Technology and Trends team. "Consumer tastes for mobile phones have
increasingly shifted from simple voice telephony to greater data usage, and
both handset vendors and carriers have been eager to meet demand despite
ongoing economic challenges. IDC believes that the converged mobile device
market grew nearly 30% year over year, and that the market will continue to
gain momentum as device selection increases and price decreases continue into
2010 and beyond."
Top
Five Mobile Phone Vendors, Shipments, and Market Share, Q4 2009 (Units in Millions)
|
Vendor |
4Q09 Shipment Volumes |
4Q09 Market Share |
4Q08 Shipment Volumes |
4Q08 Market Share |
4Q09/4Q08 Growth |
|
1. Nokia |
126.9 |
39.0% |
113.1 |
38.7% |
12.2% |
|
2. Samsung |
68.8 |
21.1% |
52.8 |
18.1% |
30.3% |
|
3. LG |
33.9 |
10.4% |
25.7 |
8.8% |
31.9% |
|
4. Sony Ericsson |
14.6 |
4.5% |
24.2 |
8.3% |
-39.7% |
|
5. Motorola |
12.0 |
3.7% |
19.2 |
6.6% |
-37.5% |
|
Others |
69.1 |
21.2% |
57.4 |
19.6% |
20.4% |
|
Total |
325.3 |
100.0% |
292.4 |
100.0% |
11.3% |
Source:
IDC Worldwide Quarterly Mobile Phone Tracker, January 28, 2009
Note: Vendor shipments are
branded shipments and exclude OEM sales for all vendors.
Top
Five Mobile Phone Vendors, Shipments, and Market Share, 2009 (Units in Millions)
|
Vendor |
2009 Shipment Volumes |
2009 Market Share |
2008 Shipment Volumes |
2008 Market Share |
2009/2008 |
|
1. Nokia |
431.8 |
38.3% |
468.4 |
39.4% |
-7.8% |
|
2. Samsung |
227.2 |
20.1% |
196.6 |
16.5% |
15.6% |
|
3. LG |
117.9 |
10.5% |
100.8 |
8.5% |
17.0% |
|
4. Sony Ericsson |
57.1 |
5.1% |
96.6 |
8.1% |
-40.9% |
|
5. Motorola |
55.2 |
4.9% |
100.1 |
8.4% |
-44.9% |
|
Others |
238.6 |
21.2% |
227.6 |
19.1% |
4.8% |
|
Total |
1,127.8 |
100.0% |
1,190.1 |
100.0% |
-5.2% |
Source:
IDC Worldwide Quarterly Mobile Phone Tracker, January 28, 2009
Note: Vendor shipments are
branded shipments and exclude OEM sales for all vendors.
Mobile Phones - These small, battery-powered, voice-centric devices
utilize operator-provided cellular/PCS air interfaces for voice communication.
They are designed primarily, in both form factor and feature set, for a
compelling mobile telephony experience, but may also include text-messaging
capability. Mobile phones may include a headset jack for hands-free operation
as well as a variety of features, such as personal information management,
multimedia, games, or office applications. Mobile phones exist at all points
along the form factor, price point, and feature set continua. Mobile phones
that combine voice communications capabilities with pen or keypad handheld data
features are tracked within the Converged Devices category.
Top
Five Mobile Phone Vendors
Nokia ended the year with a strong fourth quarter performance. Shipments of
126.9 million in 4Q09 represented the company's highest quarterly total in two
years (since 4Q07). The higher handset figures were boosted by improved
smartphone sales. Nokia introduced a number of new smartphone models, including
the X6, to various markets. When its handset shipment
performance is measured on an annual basis, however, Nokia shipped fewer
devices in 2009 than in each of the last two years.
Samsung bested its single quarter record in 3Q09 by shipping
68.8 million units in 4Q09. The company capitalized on growing interest in
converged mobile devices with its Omnia2 while addressing end-user demand for
touchscreen and quick-messaging devices within developed markets. In emerging
markets, Samsung's attention to local market tastes and extended distribution
channels helped build its presence. Despite its heady growth, the company fell
further behind market leader Nokia while distancing itself ahead of LG
Electronics.
LG Electronics followed last quarter's record-breaking
shipment volume with a new record, reaching 33.9 million units in 4Q09.
However, operating margins took a sharp drop from 8.4% in 3Q09 to 1.3% in 4Q09,
reflecting average selling price declines, higher marketing expenses, and
channel expansion within emerging markets. Still, the company continues to reap
success from its popular enV and Cookie products while building its converged
mobile device portfolio with the Android-powered GW620 and GW880 and Windows
Mobile-powered GW820.
Sony Ericsson posted
its sixth consecutive quarterly loss this
month. However, the joint venture's gross margins rose to 23% from 15%
on a
year-over-year basis, thanks to sales of new higher-margin mobiles. The
vendor's sales of 14.6 million handsets represented its highest
shipment figure
of the year thanks to the introduction of new models such as the Satio
and Aino. It also announced the Xperia X10 and Vivaz models that the
company
says will be released later this year.
Motorola ended 2009 with mixed results. The company posted its 12th
consecutive quarter of year-over-year shipment declines, but also reported its
lowest year-over-year decline since the first half of 2008. Moreover, Motorola
recorded an operating loss of $132 million, a reduction of nearly 80% from 4Q08
levels. In its first quarter, Motorola demonstrated how Android has become a
key component of its product portfolio, shipping 2 million units worldwide. Its
DROID and CLIQ/DEXT devices were shipped to more than 20 countries. It also
recently announced the BACKFLIP, MOTOROI, MT710, and the XT800 models, which
are slated for release later in the year.
Regional
Analysis
- In Asia/Pacific
(excluding Japan), 2009 as a whole was relatively flat year on year, marked
by a stronger preference for low-cost handsets in China and India as users
substituted away from more expensive options under recessionary pressure.
However, the Asia/Pacific market saw strong gains in 4Q09, reflecting a strong
start to recovery. Touchscreen-enabled devices remained a hot segment of the
market, helping to drive the demand for converged mobile devices across the
region.
- The Western European
handset market grew on both a
year-over-year and sequential basis in 4Q09. LG Electronics and Samsung
performed particularly well thanks to their collective strength in the
traditional mobile phones segment while Apple, Nokia, and Research In Motion
helped sustain growth in the converged mobile device market. On a full-year
basis, however, shipments into the region still declined as the improved second-half
performance was not enough to offset the declines in the first half. In CEMA
(Central and Eastern Europe, Middle East, and Africa), vendors found pockets of
improvement during 4Q09, but overall sales in the region were focused on
entry-level handsets targeted at first-time users.
- The North American
market finished 2009 relatively strong posting the second-highest regional
growth after the Asia/Pacific region (excluding Japan). Converged mobile
devices remained in high demand in the fourth quarter due to a combination of
lower priced devices and rate plans as well as greater user and carrier
interest. However, feature phones accounted for the majority of shipments last
year despite an overall volume decrease on a year-over-year basis. In Canada,
mobile phone shipment volumes were buoyed by the introduction of a new wireless
network, which increased the demand for smartphones, particularly the Apple
iPhone.
- The Latin American mobile phone market shrunk in the fourth
quarter. However, the performance marked an improvement from the double-digit
declines posted in previous quarters. Stronger Brazilian currency pushed prices
for mobile phone imports lower, spurring greater demand. In Argentina, channel partners purchased additional
product ahead of a new tax rate that came into effect in December. Finally, the
popularity of pre-paid service options across the regions included more
converged mobile devices, stoking greater demand from vendors.