Mobile Handset Demand Remains Strong

Global demand for mobile phone handsets remains strong, according to new research from consultancy firm Strategy Analytics.

It said that 282 million handsets were shipped worldwide in the first quarter of 2008, up 14% year on year.

Strategy Analytics said that the growth was driven by rising demand in markets such as Africa and Asia.

It added that rising food prices in developing countries and the financial crisis affecting richer countries had as yet had limited impact on demand for mobile handsets.

Nokia was the dominant handset supplier with a market share of 40.9%, although shipments of LG and Samsung phones were the fastest growing.

Strategy Analytics predicts that 290 million handsets will be sold in the second quarter of this year, up 12% year on year.

However, earlier this month Nokia warned that the global mobile phone market is set to decline for the first time.

The mobile phone company, which was releasing its first quarter results, said that it expects the number of phones sold to increase by 10% from the 1.1 billion phones sold last year (see Mobile Phone Market To Decline Says Nokia).

Strategy Analytics: www.strategyanalytics.net