EMEA Mobile device market Q1 2004

According to a research by Canalys, the mobile device market in Europe, the Middle East and Africa continued to show good growth of 62% in the first quarter of 2004. Nokia remained overall market leader, but its share fell slightly sequentially. HP occupied second place overall, with impressive year-on-year growth of 56%, making this the third consecutive quarter where it out-shipped palmOne, which remained in third place. (Note: palmOne figures include Handspring devices).

 

• Smart/feature phone segment up 83%; handhelds/wireless handhelds up 33%
• Nokia still leads, but share falls sequentially; Sony Ericsson flat; Siemens into top three for first time
• Microsoft enjoys biggest share in voice-centric segment to date (7.8%)
• HP stays ahead of palmOne for third quarter running, with 56% growth
• RIM share continues to rise, takes third place in data-centric devices ahead of Dell

Note: This research is not about mobile phones, but about mobile devices, which include feature phones, smartphones and handheld computers. Look at the terms explained.

EMEA mobile device market Vendor market shares Q1 2004 Vendor Q1 2004 shipments % share Growth Q1'04/Q1'03 All devices 2,470,440 100.0% 62% Nokia 1,194,760 48.4% 89% HP 251,530 10.2% 56% palmOne 250,310 10.1% 2% Sony Ericsson 175,450 7.1% 0% Siemens 82,970 3.4% 6382% Others 515,420 20.9% 66%   Data-centric 852,570 100.0% 33% HP 251,530 29.5% 56% palmOne 233,560 27.4% 1% RIM 68,460 8.0% 1058% Dell 43,120 5.1% 22% Others 255,900 30.0% 24%   Voice-centric 1,617,870 100.0% 83% Nokia 1,194,760 73.8% 89% Sony Ericsson 175,450 10.8% 0% Siemens 82,970 5.1% NA Others 164,690 10.2% 109%

 

EMEA mobile device market Operating system vendor market share Q1 2004 OS vendor Q1 2004 shipments % share Growth Q1'04/Q1'03 All devices 2,470,440 100.0% 62% Symbian 1,475,720 59.7% 83% Microsoft 612,430 24.8% 64% PalmSource 292,510 11.8% 3% Others 89,780 3.6% 45%   Data-centric 852,570 100.0% 33% Microsoft 487,030 57.1% 57% PalmSource 275,760 32.3% 2% Others 89,780 10.5% 51%   Voice-centric 1,617,870 100.0% 83% Symbian 1,475,720 91.2% 83% Microsoft 125,400 7.8% 102% PalmSource 16,750 1.0% 19% Others - 0.0% -100%

 

Terms explained

EMEA: Europe, Middle East & Africa.
Feature phone: pocket-sized device positioned primarily for voice, offers full, configurable two-way data synchronisation, but OS-based applications cannot be added without restriction. Example: Nokia 7650.
Smart phone: pocket-sized device positioned primarily for voice, offers full, configurable two-way data synchronisation, and OS-based applications can be added without restriction. Example: Sony Ericsson P900.
Handheld: pocket-sized device positioned primarily for data, no integrated wireless WAN (GSM, GPRS or 3G) capability. Example: palmOne Tungsten T3.
Wireless handheld: pocket-sized device positioned primarily for data, integrated wireless WAN (GSM, GPRS or 3G) capability. Example: O2 xda II.
Data-centric devices: handhelds & wireless handhelds.
Voice-centric devices: feature phones & smart phones.
Mobile device market: handhelds, wireless handhelds, feature phones & smart phones.

Data-centric devices (handhelds & wireless handhelds)

With year-on-year growth of 33%, despite a lull in high-profile, low-cost GPS navigation bundles, the data-centric segment remained healthy this quarter. A continued good mix of individual and enterprise business meant that HP remained ahead of palmOne, whose shipments were almost flat compared to the same quarter one year ago. RIM’s continual improvement in EMEA over the past 18 months saw it appear in the top three for the first time, with the BlackBerry taking 8% share of the data-centric mobile device segment. Its strong security message has helped it leapfrog other handheld vendors, like Toshiba and Dell, who, despite having a significant enterprise client base and track record in mobile products, such as notebooks, have so far failed to differentiate themselves and make an impact in the corporate mobile device solution space.

“RIM has made great progress in EMEA over the past year and a half,” said Chris Jones, Canalys director and senior analyst. “Lower unit prices, the move to colour displays and voice integration all helped put it in a position where it was ready to take advantage of the return of corporate spending when it came. The increasing awareness among business buyers of the need for security in mobile data solutions plays to its strengths as well. Crucially, it has also expanded its relationships with operators and invested in helping them sell solutions to business customers. Other vendors planning to sell wireless handhelds through the operators should learn from its example.”

Data-centric devices (handhelds & wireless handhelds)

Although not matching the stellar growth displayed last quarter, the voice-centric segment continued to perform well, up 83% on Q1 2003. Nokia remained overall leader, though its share improved little on last year and fell sequentially. Smart phone shipments of second-placed Sony Ericsson did not keep pace with the market and were flat year-on-year. Siemens, finally starting to hit volumes with its SX1 smart phone appeared in third place for the first time, overtaking Motorola and Orange. Despite the top three positions being filled by vendors shipping Symbian-based devices Microsoft enjoyed its highest ever share (7.8%) of the voice-centric device segment.

“Having Motorola on board is a big help for Microsoft,” said analyst Rachel Lashford, “Most of Microsoft’s smart phone shipments so far have been tied to the Orange network, but with the MPx200 becoming available on other operators’ networks and with more models appearing over the coming months, we would expect shipments to increase substantially. PalmOne’s Treo 600 hasn’t done as well in EMEA as elsewhere; it needs more models and broader operator coverage to become a contender in the smart phone space. The momentum in this segment, however, remains with the Symbian-based vendors.”

Source: Canalys estimates 2004, canalys.com