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Apple, Nokia, RIM Generate 64 Percent of Smartphone Revenue, Reports Strategy Analytics

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March 17, 2011

Apple, Nokia, RIM Generate 64 Percent of Smartphone Revenue, Reports Strategy Analytics

By Carolyn J Dawson, TMCnet Contributor

According to the report released by Strategy Analytics entitled, “Smartphone Revenues Hit $99 Billion in 2010 and Apple (News - Alert) Takes Lion's Share of 29 Percent”, Apple dominated the Smartphone market revenue with about 29 percent share of the market value even though it had just 16 percent of the Smartphone market volume in 2010. As per the findings, Apple, Nokia (News - Alert) and RIM turned out to be the top 3 players with around 64 percent of the total Smartphone market revenue.

In terms of 2010 smartphone market volume, Nokia had a share of 20 percent while RIM had a 15 percent market value share. In the area of Google Android smartphones, Samsung (News - Alert) proved to the highest revenue generator in 2010 with 9 percent of the market value share followed by HTC. In a release, Tom Kang, Director of the Wireless Smartphone Strategies service said, “While smartphones represented just over 22 percent of the handset market in terms of volume last year, they accounted for more than 50 percent of the market in terms of revenue. This illustrates how important the Smartphone market has become for capturing mobile handset value. Unlike feature phones, Smartphone average sales prices have held steady in the $300 range during 2010, bolstered by the introduction of new technology, such as the Retina LCD and AMOLED displays, as well as high speed 1 GHz processors.”

In a release, Martin Bradley, associate director at Strategy Analytics said, “Other Smartphone vendors have grown using the Android (News - Alert) platform. The dominance of the top 3—Apple, Nokia and RIM—actually weakened in the fourth quarter, as the combined value share of these three players fell from 72 percent to 61 percent. The Android-based handset market, which will grow considerably in 2011, is still dominated by vendors like Samsung and HTC. However, Chinese vendors, like ZTE and Huawei (News - Alert), also have a presence, particularly in lower price tiers.”

With focus on opportunities and disruptive forces in the areas of Automotive Electronics, Broadband Connected Home, Mobile and Wireless and Virtual Worlds, Strategy Analytics provides timely and actionable market intelligence helping businesses make informed decisions. By helping build defensible, distinctive strategies, Strategy Analytics enables clients to win in complex technology markets, on a global and regional scale.

Carolyn John is a Contributor to TMCnet. To read more of her articles, please columnist page.

Edited by Jennifer Russell

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