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November 23, 2011

China Sweeps U.S. in Smartphone Market

Market intelligence from Strategy Analytics says that China came in at the top as far as smartphone shipments for the third quarter of this year.

By volume, China has the largest smartphone market, the report says, a total number of 24 million units compared to the U.S. which clocked in at just 23 million units.

"Smartphone shipments grew 58 percent sequentially to reach a record 23.9 million units in China during Q3 2011,” said Linda Sui, Analyst at Strategy Analytics in a press release.  In contrast, smartphone shipments fell 7 percent sequentially to reach 23.3 million units in the United States. China has overtaken the United States for the first time to become the world's largest smartphone market by volume."

Strategy Analytics notes that U.S. shipments were atypical for the quarter, since many consumers were waiting for the iPhone 4S, so the U.S. could still bounce back to the lead in coming quarters. Even still, China grew 58 percent, while the U.S. fell 7 percent.

“China’s rapid growth has been driven by an increasing availability of smartphones in retail channels, aggressive subsidizing by operators of high-end models like the Apple iPhone, and an emerging wave of low-cost Android models from local Chinese brands such as ZTE,” added Strategy Analytics director Tom Kang.

Nokia, who has been present in the market for a long time, is still the leading manufacturer with 28 percent market share, followed by the South Korean Samsung. Local manufacturers are starting to show their presence though, thanks to Android and Android based OS’s, with this likely to change the landscape in the medium term.

"The United States remains the world's largest smartphone market by revenue, but China has overtaken the United States in terms of volume. China is now at the forefront of the worldwide mobile computing boom. China has become a large and growing smartphone market that no hardware vendor, component maker or content developer can afford to ignore,” said Neil Mawston, Executive Director at Strategy Analytics.


Michelle Amodio is a MobilityTechzone contributor. She has helped promote companies and groups in all industries, from technology to banking to professional roller derby. She holds a bachelor's degree in Writing from Endicott College and currently works in marketing, journalism, and public relations as a freelancer.

Edited by Carrie Schmelkin


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