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Growing Demand For Handsets In Second Quarter

Growing Demand For Handsets In Second Quarter

Shipments of mobile handsets increased by almost a fifth in the second quarter of 2003, according to the latest figures from IDC.

The firm’s Worldwide Handset QView shows that global shipments rose by 19.2% year on year to 118.3 million units. This represented an increase of 6.7% over the first quarter total (see Global Handset Market Remains Solid In Q1). Meanwhile, Nokia maintained its position as the leading handset manufacturer.

“Despite continued economic uncertainty worldwide, the threat of SARS, and concerns of terrorism, the mobile phone market recorded impressive results this past quarter,” said Ross Sealfon, research analyst in IDC’s mobile device programme. “After remarkable success in Japan, cameraphones are attracting worldwide interest, and coupled with color displays and subsidized pricing, the overall mobile phone market is seeing significant growth in 2003.”

During the second quarter, there was a notable rise in the number of converged handheld devices or ‘smartphones’ available to buy. Shipments of these products grew by 330.7% year on year and 12.0% sequentially to 1.97 million units. Converged devices now make up 1.7% of the total mobile phone market, up from 0.5% in the same period last year.

“Integrating wireless voice and data capabilities, the converged device market continues to draw broader consumer and enterprise interest, expanding its core customer base,” said Sealfon. “With form factors and operating systems improving, this market is poised for steady growth.”

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