'Super 3G' handsets to ring the changes

Third of all handset sales by 2012, says Informa

Written by Robert Jaques

'Super 3G' devices will become the largest selling handset type by 2012 as the worldwide mobile market moves towards higher data-rate networks, market watchers predict.

The latest Future Mobile Handsets report from Informa Telecoms & Media forecasts super 3G devices to account for 35.8 per cent of all handset sales in 2012, up from only 1.8 per cent in 2007.

Advertisement

The global handset market will have more than doubled in the past six years, clocking up 974.7 million handset sales in 2006 alone.

This buoyant growth is expected to slow from 2007 onwards, however, with annual growth rates eventually dipping under 10 per cent from 2008.

Total handset sales are forecast to pass the one billion mark for the first time in 2007 to reach an unprecedented 1.105 billion, according to Informa.

The analyst firm predicts that global volume sales are not about to go in decline, but that there will be a degree of levelling out in shipment numbers to reach a still "remarkable" 1.452 billion units by 2012.

According to the study, the market has become polarised. On the one hand, the emerging economies are experiencing large increases in subscriber numbers, driven by healthier economies and the availability of low-cost, entry-level handsets.

But in more developed regions with high penetration rates, growth is largely restricted to a more active replacement of handsets with leading designs and enhanced technical capabilities.

"Handset manufacturers are basing business models on low margins and high-volume supply for basic and low-feature phones," said Dave McQueen, principal analyst at Informa Telecoms & Media.

"But they are currently banking on high margins for feature rich phones, smartphones, value-added service phones and mobile broadband devices supporting super 3G and higher generations.

"Given that the cost of these devices is still relatively high, manufacturers are forced to base their profit on the value of the device rather than on volume."

Tags:

Related whitepapers

Related jobs

Do you agree?

IT white papers

Search vnunet IThound

Top categories

Job of the week

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Hiring now on ComputingCareers:

Related IT jobs

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Advertisement

Advertisement

Newsletter signup

Sign up for our range of FREE newsletters:

Existing User

Newsletter user login:

Enter email address to edit your newsletter preferences

Watch

Podcast image

28 Nov 2008

12.57 MBComputing podcast - Standard Life's offshoring plans; and the prospects for government IT More...

Shaun Nichols and Iain Thomson

28 Nov 2008

7.11 MBPodcast Special: Views from the Valley More...

Shaun Nichols and Iain Thomson

21 Nov 2008

9.11 MBPodcast Special: Views from the Valley More...

Poll

Microsoft

Unified Communications: Collaboration

Unified Communications: Collaboration

What is the main advantage of using collaboration technologies?

Previous poll results

Spotlight

Sony Ericsson Xperia X1

Review: Sony Ericsson Xperia X1

The first Xperia smartphone bodes well for the future   More...

VMware

VMware View 3 enhances virtual desktops

Virtual clients now take up less storage space and can...  More...

Apple iPhone 3G

Linux lands on the iPhone

Developers put kernel on Apple handset   More...

Data theft

IT staff desperate to keep their jobs

Most would work longer hours for less pay   More...

Primary Navigation