Nokia and Motorola Dominate Chinese Smartphone Market
A report from China's CCID Consulting has found that the sales volume of China's smart phone market in 2008Q3 reached 7.474 million units, up 0.6% over Q2 '08; the sales revenue in Q3 reached 18.17 billion Yuan, up 4.5% over 2008Q2. Smart phones' sales volume in 2008Q3 accounted for 19.3% of the total mobile phone sales volume, up 0.7% over 2008Q2.
As for brand structure, in 2008Q3, market concentration has improved; the shares of Nokia and Motorola account for 89.15% of the total market, further compressing other manufacturers' market space. The success in brand and product allows Nokia and Motorola the accumulative advantage in smart phone market. It is forecasted that their market share will even reach over 90% under a better for better effect, which is particularly prominent in the smart phone market.
Covering all levels in mobile phone products, Nokia's smart phones cover low-class, middle-class and high-class, with products' prices from several hundred Yuan to six thousand Yuan. The fall in average prices allow smart phones to become the market mainstream, so Nokia lays its solid dominant position in middle-and low-end market. The low-end market of 2,000 Yuan and under phones is almost occupied by Nokia. Motorola's market share has improved slightly in 2008Q3, with its new middle-end products becoming popular among users.
Apart from Coolpad, which outperforms the others, the market share of other brands are less than 11%. Amoi, under an operation crisis, its market place is down from third to eighth. By right of the first kind of middle-end mode, which is customized for China Mobile, Coolpad enlarges its market territory and becomes the fifth largest brand in China's smart phone market.
Rebound of Symbian marginalizes non-mainstream system
In 2008Q3, the Symbian camp, represented by Nokia and Sony Ericsson, experienced a decline, but by right of low-end product 6120C, and N series' strong performance, Nokia still occupied the large market share, which drives Symbian OS market share' rebound. Symbian OS market share reached 71.30% in 2008Q3, up 6.6% over 2008Q2. Linux's market share in 2008Q3 reached 19.5%, up 5.8% over 2008Q2. Motorola is Linux camp's absolute leader, with its new products the largest impetus of the Linux market. Other OSs accounted for 1.2% in 2008Q3's market. Amoi is Newplus's backbone. With Amoi's failure in smart phones, Newplus also suffered, further marginalizing non-mainstream OSs.
Moderate Growth expected, Android system may unveil
Although macroeconomic downturn has certain influence on the mobile phone market, but as the end of year is approaching, operators will set off the first round of business promotion after the telecom reorganization, and manufacturers will adjust price and shipment, and users will pay more attention to smart phones. China's smart phone market is expected to keep moderate growth.
T-mobile G1 mobile phone announced that google's Android OS would unveil, which has attracted the attention of many mobile phone manufacturers. China's first mobile phone with Android system may be launched in 2008Q4. In the future, Android will lead Linux to challenge Symbian's absolute dominant position.
Posted to the site on 15th December 2008
