Wireless Smartphone Strategies

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

February 26, 2015 12:02 nmawston

According to the latest research from our WSS (Smartphones) research service, global smartphone operating profit reached US$21 billion in Q4 2014. The Android operating system captured a record-low 11 percent global smartphone profit share during the quarter. In contrast, Apple iOS took a record-high 89 percent profit share.

Global smartphone operating profit grew 31 percent annually from US$16.2 billion in Q4 2013 to US$21.2 billion in Q4 2014. Android hardware vendors combined took a record-low 11 percent global smartphone profit share, down from 29 percent one year ago. In contrast, Apple iOS captured a record-high 89 percent profit share, up from 71 percent in Q4 2013.

Apple iOS continues to tighten its grip on the smartphone industry. Apple’s strategy of premium products and lean logistics is proving hugely profitable. Android’s weak profitability for its hardware partners will worry Google. If major smartphone manufacturers, like Samsung or Huawei, cannot make decent profits from the Android ecosystem, they may be tempted in the future to look at alternative platforms such as Microsoft, Tizen or Firefox. 

Exhibit 1: Global Smartphone Operating Profit Share in Q4 2014  [1]

Global Smartphone Operating Profit (US$, Billions)

Q4 2013

Q4 2014

Apple iOS

11.4

18.8

Android

4.8

2.4

Microsoft

0.0

0.0

BlackBerry

0.0

0.0

Others

0.0

0.0

Total

16.2

21.2

     

Global Smartphone Operating Profit Share (%)

Q4 2013

Q4 2014

Apple iOS

70.5%

88.7%

Android

29.5%

11.3%

Microsoft

0.0%

0.0%

BlackBerry

0.0%

0.0%

Others

0.0%

0.0%

Total

100.0%

100.0%

     

Total Growth Year-over-Year  %

~

31.4%

     

Source: Strategy Analytics

   

 



[1]  Numbers are rounded. Data refers to realized operating profit for smartphone hardware vendors aggregated by operating system.


February 26, 2015 00:08 nmawston

According to the latest research from our WSS (Smartphones) research service, global smartphone users reached 2 billion for the first time ever in 2014.

One in three of the world’s population now owns a smartphone.

Global smartphone users grew 37 percent from 1.5 billion in 2013 to reach 2.1 billion users in 2014. This is the first time worldwide smartphone users have surpassed the two-billion level. We forecast global smartphone users to increase a further 22 percent to 2.5 billion in 2015. An impressive 35 percent of the world’s 7.2 billion population will own a smartphone by the end of 2015, up from 29 percent in 2014.

Well over 2 billion people worldwide own a smartphone today. The smartphone has become one of the most widespread electronic devices of all time. The smartphone is ubiquitous and it is rapidly evolving to become a central hub for controlling consumers’ daily lives in the home, car and office of the future.

 

Exhibit 1: Global Smartphone Users in 2013 to 2015  [1]

Global Smartphone Users (Billions of Units)

2013

2014

2015

Total Smartphone Users

1.5

2.1

2.5

Total Population

7.0

7.1

7.2

Total Smartphone Users as % of Total Population

22%

29%

35%

       

Source: Strategy Analytics

 

 

 

 



[1]  Numbers are rounded. A “user” is defined as a person who owns and uses one or more active smartphones.


February 11, 2015 06:30 nmawston

As expected a few months ago, the world's first Ubuntu smartphone will finally be launched commercially today, Wednesday 11th February, 2015. Right before Mobile World Congress (MWC), the cellphone industry's biggest annual tradeshow.

The device in question is a repurposed BQ E4.5 mid-tier Android model -- but with Android software replaced by Ubuntu.

The new device will be distributed online (in Western Europe only) in a "flash sale" today, followed by three more such events by the close of February.

The BQ Aquaris E4.5 Ubuntu Edition has a 4.5-inch screen, 1GB RAM and dual-SIM connectivity. The hardware specs are good, but not groundbreaking, at that midrange pricepoint.

There will also, eventually, be a Meizu MX4 Ubuntu model launched in China in H1 2015. Meizu is currently the 11th largest smartphone vendor in China.

For the apps ecosystem, Ubuntu does not yet have a recognized apps store, but it does offer "scopes" that are single-screen windowpanes / homescreens on the handset for apps and services. For example, there is a "scope" (app) for Web-browsing, social networking, and so forth.   

BQ is a top-10 smartphone vendor in Spain. Like Wiko France, Xiaomi China and Micromax India, BQ Spain is a "local" smartphone vendor that is attempting to gain marketshare through local apps, local distribution and good, old-fashioned hardware price-cuts. So far, BQ has grown relatively well at home in Spain, but its international presence outside the country is tiny.

It is good to see innovation from Ubuntu, but BQ's (and Meizu's) new device will NOT worry the likes of Apple and Samsung. The BQ Ubuntu phone has limited global distribution, a limited apps ecosystem, limited developer support and limited hardware-vendor support. Our WSS (Smartphones) service forecasts Ubuntu to account for just 1% share of all smartphone shipments worldwide in 2015. Ubuntu will struggle to make headway in the crowded smartphone market.


January 29, 2015 01:51 khyers

According to the latest research from Strategy Analytics, global smartphone shipments grew 31 percent annually to reach a record 380 million units in the fourth quarter of 2014. Apple tied with Samsung to become the world’s largest smartphone vendor.

Global smartphone shipments grew 31 percent annually from 290.2 million units in Q4 2013 to a record 380.1 million in Q4 2014. An impressive 1.3 billion smartphones were shipped worldwide in 2014, with very strong growth seen last year in emerging markets such as China, India and Africa.

Apple shipped 74.5 million smartphones worldwide and captured a record 20 percent marketshare in Q4 2014, increasing from 18 percent a year earlier. Apple’s new iPhone 6 and 6 Plus models are proving wildly popular in China, United States and Europe. Apple tied with Samsung to become the world’s largest smartphone vendor for the first time since Q4 2011. Samsung shipped 74.5 million smartphones worldwide and captured 20 percent marketshare in Q4 2013, dipping from 30 percent in Q4 2013. Samsung continues to face intense competition from Apple at the higher-end of the smartphone market, from Huawei in the middle-tiers, and from Xiaomi and others at the entry-level. Samsung may soon have to consider taking over rivals, such as Blackberry, in order to revitalize growth this year. Samsung remained the number one smartphone player globally on a full-year basis in 2014. 

Lenovo merged officially with Motorola to capture 6 percent global smartphone marketshare and take third position in Q4 2014. Lenovo is hoping to leverage Motorola’s famous brand to drive global scale this year and to offset some of Lenovo’s recently weakening smartphone growth at home in China. Meanwhile, Huawei shipped a robust 24.1 million smartphones for 6 percent share and fourth position worldwide in Q4 2014. Huawei is expanding rapidly online in China and through retailers across Africa, enabling it to become an emerging powerhouse in developing markets.

Exhibit 1: Global Smartphone Vendor Shipments and Marketshare in Q4 2014*

 

Global Smartphone Vendor Shipments (Millions of Units) 

Q4 '13 

2013 

Q4 '14 

2014 

Samsung 

86.0 

319.8 

74.5

317.2

Apple

51.0

153.4

74.5

192.7

Lenovo-Motorola

18.8

62.1

24.7

92.7

Huawei

16.6

50.4

24.1

74.1

Others

117.8

404.3

182.3

606.8

Total

290.2

990.0

380.1

1283.5

         

Global Smartphone Vendor Marketshare (%)

Q4 '13

2013

Q4 '14

2014

Samsung

29.6%

32.3%

19.6%

24.7%

Apple

17.6%

15.5%

19.6%

15.0%

Lenovo-Motorola

6.5%

6.3%

6.5%

7.2%

Huawei

5.7%

5.1%

6.3%

5.8%

Others

40.6%

40.8%

48.0%

47.3%

Total

100.0%

100.0%

100.0%

100.0%

 

 

 

 

 

Total Growth: Year-over-Year (%)

33.7%

41.4%

31.0%

29.6%

Source: Strategy Analytics

The full report, Apple Becomes World’s Largest Smartphone Vendor in Q4 2014, is published by the Strategy Analytics Wireless Smartphone Strategies (WSS) service, details of which can be found here.

*Numbers are rounded.

 

 

 

 



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.


July 17, 2014 18:14 nmawston

Mozille announced today that its Firefox OS is now available on 7 smartphone models at 5 major carriers in 15 countries worldwide. Latin America and Europe are the current regions of availability, with Asia next on the roadmap.

Clients of our Wireless Smartphone Strategies (WSS) service can download our global Firefox smartphone sales, installed base and user base forecasts across 88 countries through 2018 at this weblink.


April 16, 2014 14:44 nmawston

According to a new report from our Wireless Smartphone Strategies (WSS) service, global smartphone wholesale (trade) revenues will grow +21% over the next 7 years. Increasing smartphone volumes will be partly offset by decreasing average selling prices (ASP), as vendors and operators penetrate deeper into the price-sensitive prepaid market. Falling component prices will enable sales expansion in lower price-tiers, particularly for emerging markets like Asia and Latin America. Meanwhile, Apple and others will continue to target the subsidy-led premium category.

Our extensive published report, available to clients, forecasts global smartphone sales volume, revenues and wholesale average selling prices (ASP) by 6 major regions and 8 price-tiers from 2003 to 2020. Extensive 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 the smartphone market by value and benchmark their pricing strategies.


April 8, 2014 18:30 khyers

 

Global smartphone sales will grow +21% in 2014, as consumers worldwide continue to upgrade their mobile devices. Asia Pacific remains easily the biggest region, followed by North America. The three largest smartphone countries by far in the next seven years will be China, India and the USA, due to their massive populations.

This report - available to subscribers of Strategy Analytics's Wireless Smartphone Strategies service forecasts global smartphone sales, for 88 countries worldwide, from 2007 to 2020. Almost every major country worldwide is covered, including the United States, China, India, Indonesia, Japan, South Korea, Russia, Brazil, Mexico, South Africa, Saudi Arabia, UK, Germany, France, Italy and Spain. This report can be used by operators, software developers, content developers, handset vendors, component makers, car manufacturers and other stakeholders to determine the size and growth rate of the huge global smartphone market


February 7, 2014 17:19 nmawston

According to our Wireless Smartphone Strategies (WSS) service, smartphone shipments dipped -7% annually in North America during the fourth quarter of 2013. Apple jumped ahead of Samsung and LG, on the strength of the new iPhone 5s, but the lackluster appeal of the 5c was a disappointment. Android lost a few points of share from a year earlier, as Apple iOS fought back. Meanwhile, Microsoft overtook BlackBerry to cement its position as the region's third largest platform.

This published report -- available to clients -- contains quarterly smartphone shipments and marketshare for the top 20 vendors and top 5 operating systems in the valuable United States and Canada markets for Q4 2013.


January 27, 2014 23:24 khyers

According to the latest research from our Wireless Smartphone Strategies (WSS) service, global smartphone shipments grew 41 percent annually to reach a record 990 million units in 2013. Huawei, Lenovo and LG were the star performers, capturing a combined 14 percent marketshare worldwide and closing the gap on Apple.

Global smartphone shipments grew 34 percent annually from 217.0 million units in Q4 2012 to 290.2 million in Q4 2013. Global smartphone shipments for the full year were just shy of the 1 billion level, but they nonetheless reached a record 990.0 million units in 2013, increasing from 700.1 million in 2012. Global smartphone shipment growth decreased slightly from 43 percent in 2012 to 41% in 2013, due to high penetration in some major markets like the United States.

Samsung shipped a record 319.8 million smartphones worldwide and captured 32 percent marketshare in 2013. This was the largest number of units ever shipped by a smartphone vendor in a single year. Despite tough competition from a long tail of Chinese and American brands, Samsung continued to deliver numerous hit models, such as the Galaxy S4 and Note 3.

Apple grew a sluggish 13 percent annually and shipped 153.4 million smartphones worldwide for 15 percent marketshare in 2013, dipping from the 19 percent level recorded in 2012. Apple remains strong in the high-end smartphone segment, but a lack of presence in the low-end category is costing it lost volumes in fast-growing emerging markets such as India.

Samsung and Apple together accounted for almost half of all smartphones shipped worldwide in 2013. Large marketing budgets, extensive distribution channels and attractive product portfolios have enabled Samsung and Apple to maintain their grip on the smartphone industry. However, there is clearly now more competition coming from the second-tier smartphone brands. Huawei, LG and Lenovo each grew their smartphone shipments around two times faster than the global industry average and captured a combined 14 percent marketshare. Huawei is expanding swiftly in Europe, while LG’s Optimus range is proving popular in Latin America, and Lenovo’s Android models are selling at competitive price-points across China. Samsung and Apple will need to fight hard to hold off these and other hungry challengers during 2014.”

Exhibit 1: Global Smartphone Vendor Shipments and Market Share in Q4 2013   [1]

Global Smartphone Vendor Shipments (Millions of Units)

Q4 '12

2012

Q4 '13

2013

Samsung

63.0

213.0

86.0

319.8

Apple

47.8

135.8

51.0

153.4

Huawei

10.9

30.2

16.6

50.4

LG

8.6

26.3

13.2

47.6

Lenovo

9.2

23.5

13.6

45.5

Others

77.5

271.3

109.8

373.3

Total

217.0

700.1

290.2

990.0

 

 

 

 

 

Global Smartphone Vendor Marketshare  %

Q4 '12

2012

Q4 '13

2013

Samsung

29.0%

30.4%

29.6%

32.3%

Apple

22.0%

19.4%

17.6%

15.5%

Huawei

5.0%

4.3%

5.7%

5.1%

LG

4.0%

3.8%

4.5%

4.8%

Lenovo

4.2%

3.4%

4.7%

4.6%

Others

35.7%

38.8%

37.8%

37.7%

Total

100.0%

100.0%

100.0%

100.0%

 

 

 

 

 

Total Growth Year-over-Year %

38.2%

42.7%

33.7%

41.4%

 

 

 

 

 

Source: Strategy Analytics

 

 

 

 

The full report, Global Smartphone Shipments Reach a Record 990 Million Units in 2013, is published by the Strategy Analytics Wireless Smartphone Strategies (WSS) service, details of which can be found here.


 

[1]  Numbers are rounded.