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Smart phone shipments reach record level in third quarter

Smart phone shipments defy recession

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FRAMINGHAM, Mass. - The global smart phone market set a record for shipments in the third quarter as it continues to weather the economic turmoil, according to research firm IDC.

For IDC’s report, click here.

Smart phone vendors shipped 43.3 million units during the third quarter, up 4.2 from the same period a year earlier and up more than 3 percent from the second quarter of this year.

Ramon Llamas, senior research analyst at IDC, said smart phones will likely continue to grow faster than the overall cell phone market.

The buzz surrounding Android, Google Inc.'s operating system for cell phones, is "reaching critical mass," he added, with recent Android-based handset launches from manufacturers such as Motorola Inc., HTC and Samsung LG.

Finland's Nokia Corp. kept its post as the top smart phone manufacturer. But Apple Inc., whose iPhone revolutionized the industry, reached the highest shipment volume in a single quarter and it was the third-largest smart phone vendor during the quarter.

BlackBerry maker Research in Motion Ltd. was in second place, with a market share of 19 percent to Apple's 17.1 percent. Nokia, meanwhile, had 37.9 percent of the smart phone market.

IDC’s summary on top five firms:

• Nokia maintained its position as the overall leader in the converged mobile device market. Driving shipments forward were its popular flagship device, the N97, and an improving enterprise-focused portfolio led by the E71. Nokia also announced its first Maemo-powered device, the N900, targeting high-end users. While its worldwide leadership position is clear, Nokia still struggles in North America.
• Research In Motion continued on its upward path with BlackBerry devices available for first-time users and returning users alike. Although most of its volumes remained within its home region of North America, the company also posted significant improvement internationally, with some regions recording triple digit growth year over year. Research In Motion launched two new devices during the quarter; the BlackBerry Tour for CDMA networks and the BlackBerry Curve 8520 for GSM networks.
• Apple reached its highest volume yet in a single quarter. The nearly global availability of the iPhone 3G S sparked another round of annual replacements for Apple loyalists, while the lower price on the iPhone 3G put the device well within reach of customers wary of the price. Although the iPhone has struggled within emerging markets, its arrival at China Unicom this year could foreshadow greater shipment volumes.
• HTC finished the quarter in fourth place (with HTC shipment data excluding phones sold under another company's brand). HTC remains the largest provider of Windows Mobile-powered devices, with several new devices shipping the new Windows 6.5 operating system. These include the HD2, Imagio, Tilt2, Pure, and Touch2. Not to be overlooked is its quickly growing Android-powered volumes with the Dream, Hero, and Magic.
• Samsung returned to the top five vendors during 3Q09. Although volumes were flat from a year ago, the company saw marked improvement in Asia/Pacific, Latin America, and EMEA. The company has been a big supporter of Windows Mobile on its devices, and features Windows 6.5 on its Intrepid device. Samsung also plans to launch its Android-powered offering with the Moment and Behold II.

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