News

29 January 2010

 

Handset market returns to growth in Q4/2009

Global mobile handset shipments were 324 million units in fourth-quarter 2009, up 10% on 294 million a year ago, according to market research firm Strategy Analytics latest report ‘Q4 2009 Global Handset Market Share Update’. This was the cell-phone market’s first quarter of positive growth since Q3/2008, signaling an end to the industry’s year-long recession (which began during Q4/2008). Overall, full-year 2009 shipments were 1131.9 million, down 3.9% on 2008's 1177.3 million.

Shipments (millions)		Q4/08		2008		Q4/09		2009
Nokia		113.1		468.4		126.9		431.8
Samsung		52.8		196.6		69.0		227.3
LG Electronics		25.7		100.8		33.9		117.9
Sony Ericsson		24.2		96.6		14.6		57.0
Motorola		19.2		100.1		12.0		55.1
Others		58.8		214.8		68.0		242.8
Total		293.8		1177.3		324.4		1131.9
Market share %		Q4/08		2008		Q4/09		2009
Nokia		38.5%		39.8%		39.1%		38.1%
Samsung		18.0%		16.7%		21.3%		20.1%
LG Electronics		8.7%		8.6%		10.5%		10.4%
Sony Ericsson		8.2%		8.2%		4.5%		5.0%
Motorola		6.5%		8.5%		3.7%		4.9%
Others		20.0%		18.2%		21.0%		21.5%
Growth year-on-year		–10.7%		4.9%		10.4%		-3.9%

Table: Mobile handset shipments and market share (top 5 vendors).

“We expect the global handset market to continue its recovery, with shipments growing a forecast 8% annually during the first quarter of 2010,” says Strategy Analytics director Neil Mawston. “Consumers, operators and handset vendors are steadily regaining confidence. However, some major regions, such as South America, are still a little fragile, so it will not always be a smooth recovery and some regions will fare better than others,” he adds.

Nokia shipped 126.9 million handsets in Q4/2009, up a slightly above-average 12% on 113.1 million a year ago, growing market share from 38.5% to 39.1%. However, full-year shipments fell from 468.4 million in 2008 to 431.8 million in 2009, as market share fell from 39.8% to 38.1%.

In contrast, Samsung shipped a record 69 million handsets in Q4/2009, up a well above-average 31% from 52.8 million a year ago, boosting its market share from 18% to 21.3%. For the full year, despite the recession, shipments actually rose 16%, from 196.6 million in 2008 to 227 million in 2009 (exceeding 200 million for the first time), boosting market share from 16.7% to 20.1%.

LG also grew a well above-average 32% in Q4/2009, from 100.8 million a year ago to 117.9 million, gaining market share from 8.7% to 10.5%. Full-year shipments also rose by 17%, from 100.8 million to 117.9 million, boosting market share from 8.6% to 10.4%.

The handset recession's highest-profile casualties have been Motorola and Sony Ericsson, with each shedding several points of market share over the past 18 months. Motorola’s shipments have fallen 37% from 19.2 million in Q4/2008 to 12 million in Q4/2009 (dropping from 6.5% market share to 3.7%). So, full-year shipments fell from 100.1 million in 2008 to just 55.1 million in 2009. This took market share from 8.5% to 4.9%, behind Sony Ericsson’s 5%, which has itself fallen from 8.2% (after its shipments dropped from 96.6 million to 57 million). Sony Ericsson’s Q4/2009 shipments were 14.6 million, down a massive 40% on 24.2 million a year ago (dropping market share from 8.2% to 4.5%, which is nevertheless still better than Motorola's Q4/09 market share).

Both Motorola and Sony Ericsson developed inadequate 3G handset portfolios, says Strategy Analytics, enabling rivals like LG and Apple to lure operators with more attractive offerings during 2009.

Apple shipped a record 8.7 million iPhones in Q4/2009 (a healthy 2.7% market share). Apple recently unveiled the iPad multimedia tablet, which will complement the iPhone but may struggle to match the iPhone’s sizeable volumes, reckons the market research firm.

See related item:

Handset semiconductor sales rebound in Q4/09

Search: Handset shipments

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