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Apple and Samsung have both knocked Nokia from its former perch as the global No. 1 smartphone maker, after sales by the Finnish company tumbled drastically in the second quarter, according to the latest figures by US-based researcher Strategy Analytics.Apple accounted for 18.5 percent of global smartphone shipments in the second quarter, compared with 13.5 percent a year earlier, Strategy Analytics said. Nokia dropped to third place, falling behind Samsung after its market share shrank to 15.2 percent from 38.1 percent, the analysts said.
Nokia remains the biggest handset producer overall, even though its market share has fallen to its lowest level since 1999. Its stock is down 47 percent this year, reflecting Nokia’s difficulties in competing with the iPhone and handsets using Google’s Android software.
Meanwhile IMS Research has reported global smartphones sales will top 420 million devices in 2011, taking 28 percent of all handsets. IMS says introduction of more affordable entry-level smartphones ensures annual sales will surpass one billion devices by the end of 2016, accounting for one of every two mobile handsets sold.
“But despite the higher margins for smartphones, and the seemingly insatiable consumer appetite for converged devices, it is clear that not all original equipment manufacturers are equally positioned to capitalise on this market trend,” says analyst Josh Builta.
“For instance, LG, despite being the third largest OEM in the world, has offered a fairly limited smartphone portfolio in recent years, a factor that resulted in the company reaching less than a three percent share of the total smartphone market in 2010.”
Apple’s 2Q 2011 results – in which it reported record sales of more than 20 million iPhones – indicates it can be expected to remain an influential presence in the market despite the increased competition.
