Telecom & Wireless

Android Taking Over Mobile O/S Market (GOOG, MSFT, NOK, AAPL, RIMM)

Google Inc. (NASDAQ: GOOG) may be the king of search, but its Android mobile operating system is set to take over the world.  Gartner has noted that Android is going to become the #2 mobile operating system this year and that it will challenge Symbian for the #1 position by the year 2014.  This Android dominance is two years earlier than Gartner’s first forecast just a year ago.

By Gartner’s account, forget Microsoft Corporation (NASDAQ: MSFT) and Windows in the mobile o/s market.  It is an Android thing.  Gartner believes that Symbian and Android will account for nearly 60% (59.8%) of mobile operating system sales by 2014.  Here is a table with the expectations by year:

Mobile O/S 2010e 2011e 2014e
Symbian 40.10 34.20 30.20
Android 17.70 22.20 29.60
Research In Motion 17.50 15.00 11.70
iOS 15.40 17.10 14.90
Windows Phone 4.70 5.20 3.90
“Other O/S” 4.70 6.30 9.60

Don’t count Nokia Corporation (NYSE: NOK) out with Symbian, whether it has and needed a new CEO or not.  Gartner noted that Symbian “will remain at the top of Gartner’s worldwide OS ranking due to Nokia’s volume and the push into more mass market price points.”  Research-in-Motion Ltd. (NASDAQ: RIMM) is currently one of the key four players along with Apple Inc. (NASDAQ: AAPL) and its iOS.

Gartner also continues to believe that new launches of updated operating systems (Apple iOS 4, BlackBerry OS 6, Symbian 3 and Symbian 4, and Windows Phone 7) will help maintain strong growth in smartphones in the second half of 2010 and 2011 and that these will continue to spur innovation.  Gartner’s angle is that the overall market share in the operating system space will consolidate around a few key providers that have the most support from CSPs and developers and strong brand awareness.

The latest research is calling for a more rapid and budgetary device launch from companies like Samsung, Sony Ericsson, LG and Motorola

JON C. OGG

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