Samsung #1 in Half the world, 2nd in Profit
Strategy Analytics confirmed this week that Samsung’s mobile phone market share is #1 in North America, Latin America and Western Europe. With 30%, 25.6% and 38.1% respectively in each of those regions, Samsung topped Nokia in Latin America for the first time. It retained its market share leadership in North America and Western Europe. Nokia kept its lead in the other three regions: Asia (28.1%), Middle East and Africa (52%) and Central/Eastern Europe (46%).
Samsung continues to trail Apple in the share of mobile phone industry profits (Chart source: Company reports and Canaccord Genuity estimates). Apple maintains its profit leadership with a 52% share compared with Samsung’s 29%. Market share rapidly tapers off with the next three mobile phone manufacturers with HTC (9%), Research In Motion (7%) and Nokia (4%).
What is the likely trend for Q4? There are several factors that will drive a close race between Apple and Samsung:
- HTC announced on October 31st that they expect 4Q sales to be lower than 3Q sales with estimates at least 20% less than analysts expected. Samsung and Apple will gain from any share that HTC loses.
- Several sources have published that Apple may have reduced iPhone4S and iPad production demands. Apple stock lost 5% within 2 days of the reports being published.
- Given the financial turmoil in Europe, some analysts expect that manufacturers that shipped heavily in 3Q (as Samsung did) may be adversely affected by reduced demand in 4Q as consumers may choose to purchase less costly items than smartphones.
Who will win? Stay tuned…for you will hear updates first at Technorati.