Mobile-Phone Shipments Show Healthy Q2 Growth Worldwide

Strategy Analytics and International Data Corp. said shipments increased by 26 percent and 22.5 percent, respectively.

July 20, 2006

2 Min Read
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Global shipments of mobile phones grew at a healthy clip in the second quarter, with Motorola and Nokia dominating the market, research firms said Thursday.

Strategy Analytics and International Data Corp. said shipments increased by 26 percent and 22.5 percent, respectively, compared with the same period a year ago. Strategy pegged the number of units shipped at 235 million, while IDC estimated nearly 238 million.

Both analyst firms had Motorola and Nokia together controlling about 55 percent of the market. Nokia remained the leader, with 33 percent, according to both firms. Motorola had 22 percent.

Nokia shipments grew at a healthy 29 percent in the quarter compared to a year ago, IDC said. But Motorola soared with more than 53 percent growth. Over the last four quarters, Motorola has increased shipments by an average of 52 percent, beating Nokia's 32 percent average, according to Strategy.

"If Motorola can continue this breakneck pace - a stretch, but not totally inconceivable given the strength of their core designs - it would overtake Nokia in the first half of 2007," Strategy analyst Neil Mawston said in a statement.The industry as a whole was going strong, shipping more than 470 million units so far this year, IDC said. If the growth rate continues the industry may be close to shipping 1 billion units for the full year.

"The industry has been eyeing the milestone of 1 billion handsets shipped in a single year for some time, and many believe 2006 will be the year it happens," IDC analyst Ryan Reith said in a statement. "However, while the first half of the year has been impressive, IDC does not see this milestone being surpassed this year."

While demand for mobile phones in emerging markets is soaring, it is expected to be tempered by slowing demand in select mature markets, Reith said.

No. 3 in the market was Samsung, which both firms said had more than an 11 percent share. Rounding out the top five vendors was No. 4 Sony Ericsson and LG Electronics.

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