Samsung Leads Global Smartphone Sales

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By Douglas A. McIntyre Published
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Despite a 60% drop in profits and an eroding global market share, Samsung was able to hold onto its place as the number one mobile phone company in the world during the third quarter. The distance of the Samsung lead is so great that it might take years for another manufacturer to catch it.

Global mobile phone sales rose 8% in the third quarter to 460 million.

According to a major research firm:

Neil Mawston, Executive Director at Strategy Analytics, added, “Samsung dipped 15 percent annually and shipped 101.7 million mobile phones worldwide, capturing 22 percent marketshare in Q3 2014. Samsung’s growth rate has slowed recently due to tougher competition from Chinese vendors, but Samsung maintains a good product portfolio and it is still shipping more mobile phones worldwide than Apple and Nokia combined. Nokia shipped 52.2 million mobile phones worldwide for 11 percent share in Q3 2014. Nokia, now owned by Microsoft, continues to face intense rivalry from Apple and dozens of Android vendors across all price-bands.

Smartphones account for seven out of 10 cell phones sold, according to Strategic Analytics.

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Even though Apple Inc. (NASDAQ: AAPL) has a new product that is expected to recharge its sales growth:

Ken Hyers, Director at Strategy Analytics, added, “Apple shipped 39.3 million iPhones worldwide in Q3 2014, up from 33.8 million a year earlier. We note Apple’s annual growth rate has almost halved from 26 percent in Q3 2013 to 16 percent in Q3 2014. Apple is finding it harder to achieve growth this year, despite a successful recent launch of the new iPhone 6 portfolio. LG had a strong quarter, capturing 5 percent share of the global mobile phone market, reaching its highest level since the third quarter of 2011. LG is performing well in the US and Europe, but we caution that China and India remain major weak-spots that the vendor still needs to address.”

As a measure of the challenge Apple faces, a Chinese company took 5% of the total market. Xiaomi sold 18 million phones in the third quarter, up from 5.2 million in the same period a year ago. Most of its phones are sold in its home market.

Samsung may be the top manufacturer in the world, and Apple may have the premier brand, but neither fared particularly well in the most recent quarter.

Global Mobile Phone Vendor Shipments (Millions of Units) Q3 ’13 Q3 ’14
Samsung 120.1 101.7
Nokia (Microsoft) 64.6 52.2
Apple 33.8 39.3
LG 18.3 21.8
Xiaomi 5.2 18.0
Others 185.2 226.5
Total 427.2 459.5
Global Mobile Phone Vendor Marketshare (%) Q3 ’13 Q3 ’14
Samsung 28.1% 22.1%
Nokia (Microsoft) 15.1% 11.4%
Apple 7.9% 8.6%
LG 4.3% 4.7%
Xiaomi 1.2% 3.9%
Others 43.4% 49.3%
Total 100.0% 100.0%
Total Growth: Year-Over-Year (%) 9.4% 7.6%
Source: Strategy Analytics

Methodology: The term “mobile phone” is defined as smartphones and feature phones combined.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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