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Smartphone sales surpass Feature phone sales in 2Q13 for the first time: Gartner

GartnerThe worldwide smartphone sales have reached 225 million units, up 46.5 percent from the second quarter of 2012, thereby accounting for 51.8% of mobile phone sales in Q2, 2013, as disclosed in a recent report “Market Share Analysis: Mobile Phones, Worldwide, 2Q13” by Gartner. This report presents some new milestones achieved in the global smartphone industry.

Here are some key highlights from the report.

1) Mobile phone sales vs Smartphone sales: The increase in smartphone sales have, for the first time, surpass feature phone sales especially in regions such as Asia/Pacific, Latin America and Eastern Europe. This fall in demand of feature phones have significantly affected Nokia’s mobile phone sales. As per the report, currently Nokia is facing tough competition from Android devices, especially from regional and Chinese manufacturers which are more aggressive in terms of price points.

2) Worldwide Smartphone Sales to End Users by Vendor in 2Q13: Talking about Market share of the leading global players, Samsung continues its top position with 31.7% share of smartphone sales, up from 29.7% in Q2, 2012. Samsung is then followed by Apple and LG Electronics with 14.2% and 5.1% share respectively.

chart1For Samsung, the demand in the premium smartphone segment come mainly from the lower end of this segment in the $400-and-below ASP mark. Thus, it will be critical for Samsung to step up its game in the mid-tier and also be more aggressive in emerging markets.

While sales continued to grow for Apple, the company faced a significant drop in the ASP (Average Sales Price) of its smartphones. Despite the iPhone 5 being the most popular model, its ASP declined to the lowest figure registered by Apple since the iPhone’s launch in 2007. The ASP reduction is due to strong sales of the iPhone 4, which is sold at a strongly discounted price.

3) Worldwide Smartphone Sales to End Users by Operating System in 2Q13: Microsoft took over BlackBerry for the first time with 3.3 percent market share in the second quarter of 2013. However Android and iOS still lead the market with 79% and 14.2% share respectively.


Though Microsoft is enjoying its success, experts believe that Microsoft should continue to focus on growing interest from app developers to help grow its appeal among users.

According to the analysts, though sales in second quarter of 2013 are broadly on track, the continued price reduction of smartphones will drive consumer adoption in the second half of the year.

A brief overview of the report can be seen here.

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