Samsung becomes the world’s second largest mobile phone vendor

Jonah Iboma


Samsung has overtaken Motorola for the first time to become the world’s second largest handset vendor, according to a research from Strategy Analytics.The technology research firm said global mobile phone shipments grew by 11 percent year-over-year, to reach 258 million units in the second quarter of 2007. The report noted that in the period under review, Samsung shipped 37.4 m mobile phones while Motorola shipped 35.5, a decrease of about 10m phones when compared with shipments done in first quarter of the year.Nokia, however continues to maintain a leadership in the market with shipment of over 100million mobile phones in the second quarter. This helped the firm increase its market share from 36.9 to 39.1per cent.With the 35million phones shipped in the second quarter, Samsung now has a 14.5 per cent market as against 14.1 per cent. Motorola, which had a 184 per cent share in the first quarter dropped about five points to end the period with a 13.8 per cent share of the global handsets market.Commenting, Associate Director at Strategy Analytics, Mr. Neil Mawston, said, “Total global cell phone shipments have continued to slow down this year, but Samsung is speeding up. A combination of aggressive marketing and an attractive 3G-device portfolio has driven Samsung into second position for the first time ever. Its 48 percent annual growth has come partly at the expense of Motorola, whose lacklustre product portfolio across all tiers urgently needs refreshing.”Meanwhile, Sony Ericsson captured 10 percent of the global market, to register its best ever performance since the merger in 2001, with Strategy Analytics, stating that the “demand for its J, K and W Series phones remains high.”Analyst at Strategy Analytics, Bonny Joy, added, “The second quarter of 2007 was not just about Samsung. Nokia hit a record 39 percent share, as it remained dominant in emerging markets. We expect Nokia to surpass 40 percent in the second half. Meanwhile other findings from Strategy Analytics’ on the second quarter of 2007 Global Handset Market Share Update report include; Apple shipped 0.3 million iPhone units worldwide, for a tiny 0.1 percent share. It however predicted that this ratio will approach one percent by the end of 200. LG achieved an 11 percent operating margin. This was its highest level for 5 years.

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