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Smartphone sales soaring

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Smartphone sales soaring

Demand for smartphones has increased by 43 per cent over the course of the last year, thanks to a flood of low cost mobiles with high-end functionality.

According to a Strategy Analytics report authored by Neil Mawston, some 60 million smartphones were sold worldwide during the second quarter of 2009.

The change in market trends means that multi-purpose mobiles now represent one in five of all mobiles sold.

Commenting on the data, industry analyst Mr Mawston said that although consumers are benefiting from competition, manufacturers were finding operating conditions increasingly testing.

He said: "Dozens of vendors from the telecoms, PC and consumer electronics industries are piling into the market and driving down prices.

"Even established brands such as Nokia, RIM and Apple are finding it increasingly hard to raise prices and profits in the face of such fierce competition."

The study also revealed that Apple's share of the smartphone market fell from 15.9 per cent to 14.1 per cent.

However, sales of over three million units for the iPhone 4 within a matter of weeks of launch suggest that is likely to more than regain its loss of market share over the next three months.

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