Wireless Smartphone Strategies

The industry’s most comprehensive set of critical market statistics and qualitative analysis, tracking and reporting on smartphones.

October 31, 2014 12:13 nmawston
According to the latest report from our WSS (Smartphones) research service, global smartphone shipments reached 320 million units in the third quarter of 2014. The Android operating system captured a dominant 84 percent global marketshare, squeezing Apple iOS, Microsoft and Blackberry.

Global smartphone shipments grew 27 percent annually from 252.9 million units in Q3 2013 to 320.4 million in Q3 2014. Smartphone growth continues to be driven by robust demand in emerging markets, particularly Asia and Africa Middle East.

Android’s domination of global smartphone shipments remained strong in Q3 2014, with an impressive 84 percent of all smartphones now running Google’s OS. Android’s gain came at the expense of every major rival platform. BlackBerry’s global smartphone share has stayed flat at 1 percent in the past year, due to a lackluster range of BB10 devices. Apple iOS lost one point of share to Android because of its limited presence at the lower end of the smartphone market. Microsoft Windows Phone continued to struggle in China and Japan, and its global smartphone marketshare fell from 4 percent in Q3 2013 to 3 percent during Q3 2014.

 

Android’s leadership of the global smartphone market looks unbeatable at the moment. Its low-cost services and user-friendly software remain attractive to hardware makers, operators and consumers worldwide. However, challenges are emerging for Google. The Android platform is getting overcrowded with hundreds of hardware brands, Android smartphone prices are falling worldwide, and few Android device vendors make profits.



Exhibit 1: Global Smartphone OS Shipments and Market Share in Q3 2014 
[1]

Global Smartphone Operating System Shipments (Millions of Units)

Q3 '13

Q3 '14

Android

205.9

268.0

Apple iOS

33.8

39.3

Microsoft

10.3

10.5

BlackBerry

2.5

2.3

Others

0.4

0.3

Total

252.9

320.4

     

Global Smartphone Operating System Marketshare  %

Q3 '13

Q3 '14

Android

81.4%

83.6%

Apple iOS

13.4%

12.3%

Microsoft

4.1%

3.3%

BlackBerry

1.0%

0.7%

Others

0.2%

0.1%

Total

100.0%

100.0%

     

Total Growth Year-over-Year  %

46.4%

26.7%

     

Source: Strategy Analytics

   

 

 


[1]  Numbers are rounded.


October 28, 2014 21:14 nmawston

According to a new report from our WSS (Smartphones) research servcice, Apple shipped 39 million iPhones worldwide in Q3 2014. Its annual shipment growth rate was only +16% and it continues to slow down. However, weaker shipments are being offset by a stronger ASP, which increased for the first time in two years due to a higher mix of expensive iPhone 6 models. More analysis of Apple's pricing can be viewed by clients here.


October 20, 2014 15:20 nmawston

According to a new report from our Wireless Smartphone Strategies (WSS) service, Blackberry captured 1% smartphone share worldwide in Q3 2014. The company’s hardware division is finally on the cusp of returning to profits for the first time in three years. Cost cuts (e.g. outsourcing) and improved BB10 designs -- like the Z3 and Passport models -- are driving the vendor’s enhanced performance. Additional analysis can be viewed by clients here.


October 2, 2014 23:21 lsui

According to a new report from our Wireless Smartphone Strategies (WSS) service -- Global Smartphone Sales by 17 Technologies : 2007 -2017 -- HSUPA / HSPA+ will be replaced by LTE as the world's most widely used smartphone air-interface technology in 2015.

We forecast 4G technoligy to account for 38% of total global smartphone sales in 2014, rising to 45% in 2015. Moreover, LTE-Advanced will entend into more markets from 2014 onwards.

China will surpass USA to become the largest LTE smartphone market globally in 2014.

 


September 20, 2014 06:20 lsui

According to the latest report from our Wireless Smartphone Strategies (WSS) service: Global Smartphone Sales Forecast for 88 Countries : 2007 to 2020, global smartphone sales will grow +13% in 2015, offseting the slowdown in feature phones.

Asia Pacific will remain the growth driver, accounting for half of global volumes in 2015. China and US will remain the largest smartphone sales countries through 2015. India will surpass the US to become the 2nd larget market by 2019. Central Latin America and Africa Middle East will see strong smartphone growth through 2020 and play a role as a new growth engine for the global market.

The world's top 20 countries will account for 8 in 10 of global smartphone volumes in 2015.


September 18, 2014 12:03 nmawston

According to new research from our Country Share Tracker (CST) service, the Xiaomi Redmi was the world's 4th best-selling smartphone by volume in Q2 2014. The impressive performance (re)confirms how big the China market has become, and how powerful the Chinese brands are becoming (e.g. Huawei, Lenovo, TCL-A, ZTE, etc.). More analysis and data, of global smartphone shipments by MODEL for Q2 2014, can be downloaded by clients here.


September 9, 2014 22:28 lsui

As expected, the newly launched Apple iPhone 6 and 6 Plus did NOT contain many surprises, as some features (size and NFC etc.) had already leaked before. However, there are a few things missing that caught the attention of analysts in our WSS (Smartphones) research service:

1. No 32GB version for both models. Now, 64GB has filled the position of 32GB, and Apple futher extended this with a 128GB version. Apple is not the first vendor to launch a 128GB version (e.g. Meizu MX3 128GB), but we believe the cheaper 16GB version will still make up a big chunk of iPhone 6 and 6 Plus volumes. Meanwhile, the 64GB and 128GB models will, of course, help Apple to maintain a higher-pricing position;

2. The rumored sapphire crystal display did not come true with the new iPhones. Instead, Apple adopted it into the Apple Watch, a small-screen device. We suspect manufaturing capacity might be a key reason for Apple not adopting a sapphire display in its new iPhones;

3. Not LTE Cat 6 powered. The iPhone 5 and 5s were powered with LTE Cat 3 chipsets, and some expected new iPhones to have Cat 6, the most advanced 4G chipset, allowing 300Mbps downlink rate. However, it has ended up that the iPhone 6 and 6 Plus only support 150Mbps Cat 4 category;

4. Camera function did not make a major improvement. Since the iPhone 4S, Apple has not significantly enhanced the camera function. The iPhone 6 and 6 Plus still feature an 8-megapixel camera, and it is not supporting 4K video-catpure. Apple is lagging here on these tech specs;

5. China (mainland) is not on the first 9-country list. Different from last year, China is NOT on the first 9-country list at launch. The iPhone 6 and 6 Plus will be available in US, Canada, UK, France, Germany, Australia, Japan, Singapore and Hong Kong on September 19th, 2014. We suspect China clamping down on the iPhone in the government sector may have caused the change. This could become a serious challenge for Apple.


July 17, 2014 18:25 nmawston

According to our WSS (Smartphones) research service, BlackBerry smartphone shipments fell sharply worldwide during Q2 2014. The Canadian vendor continued to struggle in all regions worldwide. However, cost-cutting and inventory destocking helped BlackBerry to trim its financial losses to the lowest level for over a year. A partnership with Amazon Appstore also improved its services portfolio and there are tentative signs that BlackBerry may finally stabilize in the second half of this year.


July 1, 2014 23:40 swaltzer

Subscribers can now view the replay and slides of our recent webinar on Strategy Analytics' newly upgraded My Dashboards ToolSee how Strategy Analytics’ upgraded Devices 'Dashboards' provide you with the data you need on the global handset and smartphone markets. Our 'dashboard' is an online, customizable pivot-table and charting tool. The new and powerful tool provides the ability to access, visualize, export, and create bookmarks of custom-cuts of our most popular market tracking and forecasting datasets. The Webinar introduced 'Dashboards' and taught you how to get the most out of our upgraded 'MyDashboards' tool.


June 10, 2014 15:50 lsui

At the breakout session today -- in ZTE's annual analyst event in China -- the keywords are online channel and voice interaction.

Like many other Chinese vendors, ZTE has emphasized the critical role that online distribution channels play in branding equity enhancement. For instance, all of its three 4G models recently launched focus on online channels by working with big Chinese e-tailers, such as JD and T-Mall. ZTE targets that 20% of total smartphone sales this year will go via the online channel. Interestingly, offline and online is not completely exclusive. In contrast, as we have seen from Xiaomi, ZTE also tries to leverage online resources to do branding, and blur the boundary between the two to bring more online models to offline channels to generate volumes. For example, it plans to open up over hundreds of Nubia physical stores this year to enhance the penetration into offline channels.

ZTE showcased more voice-recognition usages today, such as voice-print unlocking, voice navigation, etc. ZTE claims the voice-recognition rate has improved to over 90% with its own technology by working with Nuance and other technical partners. Moreover, it will adopt more voice-interaction functions by integrating it with ZTE's own UI-MiFavor 3.0 later this year.  We like the idea very much, but it remains to be seen how users / consumers will embrace it or not -- the industry might need a more influential American player, such as Apple, to make voice-recognition adoption more widely available.

Something missing today from the session was the topic of LTE-Advanced -- it was not really covered. It is also surprising that ZTE confirmed they will adopt their own chipset mainly in modem products -- rather than their own smartphones -- in the short term, making us suspect it might still need time to improve and optimize the chipset products for cellphones.