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Mon 29 Aug 2005 04:00 AM

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Nokia consolidates position as leading handset supplier

Nokia and Motorola strengthened their position in the marketplace during the quarter, as the two companies are reported to have accounted for 49.8% of worldwide mobile phone sales.

Worldwide mobile phone sales totaled 190.5 million units in 2Q05, reflecting 21.6% growth year on year, according to Gartner, Inc. The research company reported that this performance represented the second strongest quarter of growth on record after 4Q04 when worldwide sales surpassed 195.3 million units.

Nokia and Motorola strengthened their position in the marketplace during the quarter, as the two companies are reported to have accounted for 49.8% of worldwide mobile phone sales in 2Q05. Nokia’s market share grew 2.3 percentage points in the quarter to reach 31.9%, according to Gartner. Motorola saw its market share grow from 15.7% in 2Q04 to 17.9% in 2Q05.

Combined sales in Eastern Europe, the Middle East and Africa grew by 37% year on year, as Gartner estimates that mobile phone sales rose to 33.6 million units during the quarter.

“In emerging markets, growth was boosted by an uptake in new connections as consumers took advantage of falling average selling prices of mobile phones,” says Carolina Milanesi, principal analyst for mobile terminals research at Gartner in the UK. “The strength of the world’s mobile phone market in the second quarter of 2005 reinforces Gartner’s view that it will reach 780 million units by the end of the year,” Milanesi says.

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