Wireless Device Strategies

First to market each quarter with the most accurate and detailed data on handset strategies. The industry’s most timely, consistent and accurate tracking of device vendor KPI metrics, as well as handset market sales and shipment forecasts.

July 30, 2014 23:06 lsui

According to the latest Global Handset Subsidy Forecast by Region & Country : 2011 to 2020 report from our Wireless Device Strategies (WDS) service, global handset subsidy spending by mobile operators reached a peak in 2013. Subsidies will lessen from 2014 onwards as carriers tighten further their subsidy budgets.

Some major operators in tier-one countries, such as AT&T US or China Mobile, are trying actively to reduce handset subsidies. This means global handset subsidies will slip both in volume and value for the foreseeable future.

T
he US remains the largest subsidy country by value, while China will overtake the US to become the biggest subsidy country by volume in 2014.

Our
 extensive report, published here, provides worldwide handset subsidy forecasts by 6 regions and 2 key countries from 2011 through 2020. Subsidized handset volumes, average subsidy per subsidized handset, as well as total subsidy spend are included. Further breakdowns by device-type (smartphone vs. non-smartphones) and by subscription type ( prepaid vs. postpaid) are included, as well.

 


July 30, 2014 22:34 lsui

According to our latest Q2 2014 Huawei Insight Report, from our Wireless Device Strategies (WDS) service, Huawei's global mobile phone shipments jumped an impressive +60% annually during Q2 2014, well above the industry average growth rate. For the first time ever, Huawei become the world's 4th largest mobile phone vendor, surpassing LG and closing in on Apple.

Huawei maintained strong momentum in the smartphone market, where its shipments grew +81% YoY, more than three times above the industry average. Huawei strengthened its position as the world's third largest smartphone vendor this quarter, with a marketshare at record levels.

Huawei made huge progress in the global 4G market this quarter. Its worldwide LTE handset volume share tripled from last quarter. Leveraging its own chipset platform for vertical integration, Huawei is becoming more sophisticated and it is well-positioned to grow further in the 4G segment during H2 2014.

More analysis of Huawei can be viewed by clients here.

 


July 30, 2014 04:23 woh

According to a recent Q2 2014 report for LG, published under our Wireless Device Strategies (WDS) service, LG finally came back into profit for the first time in a year, due to robust shipments of LTE smartphones such as the G3, G2, G Pro 2 and G2 mini, and the widespread availability of affordable L-series 3G smartphones across both developed regions and emerging markets. However, China and India, the two biggest handset markets in the world, still remain a weak-spot for LG to address immediately, as a number of locally-focused vendors, such as Xiaomi, are growing their market presence quarter by quarter.


July 19, 2014 00:38 nmawston

According to our WDS (Devices) research service, Motorola’s global handset shipments increased sharply during Q2 2014. New Android models, like the Moto E and G, are driving higher volumes across Latin America, Europe and Asia. After eight relentless years of decline, Motorola is finally regaining marketshare. However, North America and China remain major weakspots for the company and they are proving to be significant obstacles. Additional data and analysis of Motorola's second-quarter performance can be downloaded by clients here.


May 27, 2014 15:13 nmawston

Our WDS (Devices) research service forecasts mobile phone revenues to grow +13% worldwide during 2014. At the same time, the four BRIC countries combined -- Brazil, Russia, India, and China -- will all grow at rates well above the global average. Led by China, BRIC countries will generate 36% of all global cellphone revenues in 2014. Among the four countries in 2014, China will experience the highest revenue & ASP growth rate, propelled by the decrease in ultra-low tier market and the increase in other higher price range segments.

Our extensive report -- which can be downloaded by clients here -- forecasts BRIC country handset sales volume, wholesale (trade) revenues, and wholesale ASPs across five price-tiers from 2009 to 2020. Additional analysis of the premium, high, mid, entry and ultra-low price-bands is included. The report is a valuable tool for device vendors, operators, component manufacturers, software developers, financial analysts, car makers and other stakeholders who want to measure each country's mobile phone market by value and benchmark their pricing strategies.


May 22, 2014 19:52 lsui

Our Wireless Device Strategies (WDS) service recently published the report: VALUE SHARE : Global Handset Revenue, ASP and Profit in Q1 2014. WDS clients: please click here to access the full report.

Global handset wholesale revenues increased +8% YoY and profits grew +14% annually. Apple and Samsung continued dominating the revenue pool, but Chinese brands Xiaomi, TCL-Alcatel and Huawei jumped into the top 5 most profitable handset vendor list this quarter, with improved operating margins.

Xiaomi is rising quickly, ranking the third most proftiable handset vendor, the sixth largest vendor by revenue, as well as the ninth largest vendor in shipments this quarter.

 

April 29, 2014 15:52 sbicheno

According to the latest research from our Wireless Device Strategies (WDS) research service, global mobile phone shipments grew 9 percent annually to reach 408 million units in the first quarter of 2014. Huawei was the star performer among the top five players, capturing 3 percent share and growing two times faster than the industry average.

Global mobile phone shipments grew 9 percent annually from 372.7 million units in Q1 2013 to 407.9 million in Q1 2014. Smartphones accounted for 7 in 10 of total mobile phone shipments during the quarter. The 9 percent growth rate of the overall mobile phone market is at its highest level since 2011, driven by healthier demand for 4G and 3G models across Asia, Africa and elsewhere.

Samsung grew 6 percent annually and shipped 113.0 million mobile phones worldwide, capturing 28 percent marketshare in Q1 2014. Samsung’s growth rate has slowed recently due to tougher competition from Chinese vendors, but Samsung maintains an impressive product portfolio and it is still shipping more mobile phones worldwide than Apple, LG and Nokia combined. Nokia shipped 47.0 million mobile phones worldwide for 12 percent share in Q1 2014. Nokia continues to face intense competition from Apple and dozens of Android vendors. New owner Microsoft will be looking to Nokia’s upgraded X phone portfolio to stabilize the downturn in the coming months.

Apple shipped 43.7 million iPhones worldwide in Q1 2014, up from 37.4 million a year earlier. Apple has closed the marketshare gap on Nokia to just one point, and Nokia will have to fight hard to stay ahead in the second half of this year. LG had a mixed quarter, capturing 4 percent share of the global mobile phone market. LG is performing well in Europe, but China and India remain major weak spots that the vendor still needs to address.

Other findings from the research include:

  • Huawei shipped 14.2 million mobile phones worldwide for 3 percent marketshare to remain the world’s fifth largest vendor in Q1 2014. The company’s annual growth rate is two times higher than the overall mobile phone industry average. Huawei’s 3G and 4G Android devices are proving relatively popular in Asia and North America;
  • A long tail of second-tier brands continues to build momentum beyond the established top five mobile phone brands. Key emerging challengers in mobile phones worldwide at the moment include TCL-Alcatel, Coolpad, Lenovo, Xiaomi and others. These are important players to monitor.

Global Mobile Phone Vendor Shipments and Market Share in Q1 2014

Global Mobile Phone Vendor Shipments (Millions of Units)

Q1 '13

Q1 '14

Samsung

106.6

113.0

Nokia

61.9

47.0

Apple

37.4

43.7

LG

16.2

16.4

Huawei

11.6

14.2

Others

139.0

173.6

Total

372.7

407.9

 

 

 

Global Mobile Phone Vendor Marketshare  %

Q1 '13

Q1 '14

Samsung

28.6%

27.7%

Nokia

16.6%

11.5%

Apple

10.0%

10.7%

LG

4.3%

4.0%

Huawei

3.1%

3.5%

Others

37.3%

42.6%

Total

100.0%

100.0%

 

 

 

Total Growth Year-over-Year %

-1.4%

9.4%

 

 

 

Source: Strategy Analytics

 

 

 

The full report, Global Mobile Phone Shipments Reach 408 Million Units in Q1 2014, is published by the Strategy Analytics Wireless Device Strategies (WDS) service, details of which can be found here: http://tinyurl.com/ck93xsu.


March 18, 2014 23:13 yli

Our Wireless Device Strategies (WDS) service recently published a report : China LTE Phone Sales Will Rocket to 135 Million Units in 2014. In there, we predict China Mobile will concentrate on three-mode and five-mode LTE cellphones this year. China Mobile has since reported a shift back toward five cellular modes (TD-LTE / FD-LTE / WCDMA / TD-SCDMA / GSM) for all customized and procured LTE phones via China Mobile's operator channels from June 2014 onwards. We have confirmed this move with China Mobile.
 
We believe the shift to five-mode phones will slow down LTE handset prices penetrating down below the RMB 600 level this year. However, three-mode (TD-LTE / TD-SCDMA / GSM) LTE handsets will continue to be available via open channels (e.g. Gome), and make up a meaningful portion of open-channel LTE volumes in 2014.
 
The shift will also resolve the roaming issues for end-users and save some R&D costs for device vendors. Qualcomm and Marvell will benefit from the move. Both are among the key LTE chipset suppliers for China's LTE market at this moment. However, local chipset makers, such as Spreadtrum, may face some headwinds from it.
 
Apple and Samsung remain major 4G handset suppliers in China at the moment -- however, we expect leading local players, such as Huawei, ZTE, Coolpad and Lenovo, will play an increasing role in this fast-growing market. Meanwhile, second-tier and third-tier local brands, such as Tianyu, Hisense, Gionee, Vivo, OPPO and Changhong, are likely to be aggressive challengers in the LTE segment later this year and worth keeping an eye on.



February 25, 2014 18:09 sbicheno

Our Wireless Device Strategies (WDS) service is attending the Mobile World Congress (MWC) trade show in Barcelona, Spain.

This is a summary of some of our main findings from Day 2 (Tuesday):

Our attention was mostly caught be lower-priced smartphones on day 2 of MWC 2014. In addition to the low and mid price-tier smartphone announcements from Mozilla, Huawei and Nokia previously, several other major handset vendors played their mass-market hands today.

LG complemented the launch of the G Pro 2 phablet with the F70 and F90 Android smartphones that are designed to bring LTE to lower price bands. Lenovo went one better with the launch of three smartphones: the S660, S850 and S860, which will address a range of price-points.

Alcatel, meanwhile, maintained its rapid rate of handset launches, with the Alcatel Onetouch Pop Fit standing out as it has a tiny 2.8-inch screen and is aimed at the currently niche fitness smartphone market.

And BlackBerry has been quick to learn the lessons from the launch of the Z10 and Q10 by announcing the first fruits of its partnership with Foxconn. The Z3 is an all-touch smartphone designed specifically for the BlackBerry stronghold of Indonesia, while the Q20 will be a combination of the traditional QWERTY handset design with the new BB10 OS in a lower-priced package.


February 25, 2014 10:02 nmawston

According to our Wireless Device Strategies (WDS) service, Lenovo’s global mobile phone shipments grew an impressive +50% annually in Q4 2013. The Chinese brand was a star performer. However, Lenovo’s mobile phone / smartphone division continues to make very little profit, and taking over the loss-making Motorola unit will not improve financial matters in the short-term. More analysis of Lenovo's challenges for 2014 can be viewed by clients here.