Camera Phone Sales Taking off in Europe
Canalys' latest research shows how quickly shipments of phones with integrated cameras are growing in EMEA (Europe, Middle East & Africa), despite the overall mobile phone market being somewhat stagnant. High-end smart phones, such as the Nokia 3650 and Sony Ericsson P800, are joined in this market by less expensive offerings from these vendors as well as a range of competitively priced models from Asian vendors such as Samsung, Sharp, Panasonic, NEC and LG.
Operators are obviously keen to get low-priced imaging handsets into the hands of as many consumers as possible. For them, the priority is generating MMS messaging revenue, not selling expensive phones, and the smaller Asian vendors are also more willing to allow the operators to control branding on the device, said Chris Jones, Canalys director and senior analyst. "So far, Nokia and Sony Ericsson are defending their positions well in this emerging segment, but it's important they do not take this leadership for granted."
Association with the heavily promoted Vodafone Live! has certainly boosted the performance of Sharp and Panasonic in the first half of the year, but Canalys also warns operators not to underestimate the power of the leading mobile phone brands. Nokia's absence from 3's launch line-up, for example, almost certainly contributed to the lower than hoped for take-up, though other factors also paid a big part. Brand power and innovative product designs have kept Nokia at the head of the overall mobile phone market and continue to do so in new segments such as imaging phones. Sony Ericsson has also done well in this segment, with its Bluetooth-enabled T610 proving very attractive to those looking for a small, non-clamshell handset with an up-to-date specification.
One vendor noticeable by its absence from the leading pack is Motorola, though this comes as no surprise to senior analyst Andy Buss: "The fascination with integrated digital cameras began in Japan and has now come to Europe. The US trails the rest of the world in this regard and this is bound to influence the product designs of US-led companies. A mobile phone is a fashion statement, not just a functional piece of telecoms equipment. Phones with add-on cameras may be functional, even flexible, but they are simply not as stylish as the leading integrated models. The Asian and European companies realised this early on and are seeing the benefits."
Posted to the site on 11th September 2003
