New research shows the market for smart phones and converged devices continued to increase in the first quarter, with Nokia Corp. claiming the top spot in terms of devices and Symbian retaining the No. 1 position on the operating system side.
“The market for converged mobile devices, or smart phones, demonstrated strong growth potential as both enterprises and consumers continue to show interest in improved devices combining data and telephony capabilities,” said David Linsalata, an analyst in IDC’s Mobile Devices program.
According to IDC’s “Worldwide Mobile Phone QView,” the nascent market for smart phones posted a sequential decrease of 5.5 percent, but a year-over-year increase of 85.8 percent. The firm said the worldwide market for smart-phone devices will surpass 20 million units shipped by the end of this year. The firm said Symbian will largely lead the operating system market, but Microsoft Corp. and PalmSource Inc. will continue to mount long-term challenges.
Interestingly, IDC said 2.5-generation smart phones and camera phones will inhibit the market for 3G phones until the devices improve on functionality and features.
“A compelling case for 3G adoption by consumers has yet to be made. Simply put, there are very few reasons to drive the vast majority of consumers to buy a new 3G mobile phone,” said Alex Slawsby, a senior analyst in IDC’s Mobile Devices Program. “As a result, we expect converged mobile devices, powered by Symbian and Microsoft, as well as 2.5G color screen and camera phones to be the core of the overall market for several years.”
According to IDC’s numbers, Nokia claimed more than 41 percent of the smart-phone market, followed by Research In Motion Ltd., Motorola Inc. and Fujitsu. The firm defines smart phones, or converged devices, as either voice- or data-centric devices capable of remotely accessing and synchronizing e-mail.
In related news, Symbian reported another solid quarter, showing global shipments of Symbian OS-based phones reaching 2.4 million units in the first quarter, a year-on-year increase of more than 100 percent. Symbian reported about $23 million in revenues for the quarter and about $32.8 million in expenses, which compare with about $16.5 million in revenues in the same quarter last year and $31.7 million in expenses.
