Skip to main content

Smartphone Designers are Challenged to Differentiate

According to the the latest market study by ABI Research, smartphone shipments grew from 177 million in 2009 to 302 million in 2010 -- a remarkable 71 percent growth rate.

Meanwhile, handset OEM market share changed significantly. Nokia's share dropped from 39 to 33 percent, even as the collective share held by manufacturers of Android-based phones increased from 4 to 24 percent.

ABI's vice president Kevin Burden said, "the market has been disrupted during a period of record growth."

Today's smartphone includes a long and growing list of technologies, components and software. Some combinations are in demand, others are not. Smartphone OEM strategies determine how these components are used together into cohesive products.

With the rise of Android, the number of handset OEMs with significant smartphone market share increased in 2010. This competitive landscape is forcing handset makers to consider their device and portfolio strategies carefully.

Many are placing their bets on Android. Are they right?

ABI senior analyst Michael Morgan says "Motorola has pinned its entire turnaround strategy on Android. As competitors flood the Android ecosystem, Motorola wants to become known as the OEM that brings Android devices to business."

Meanwhile Samsung is hoping that it can convert its feature phone customers to smartphones, on the backs of both Bada and Android. And Nokia has now moved away from a purely proprietary OS strategy.

How are these strategies working? It appears that handset OEMs choosing Android have had success that is both driven by and limited to the reach of their distribution networks and operator partnerships.

Morgan says, "OEM-specific Android enhancements have not yet created a clear differentiation in people's minds. Smartphone OEMs adopting Android as a key platform must produce meaningful design innovation or risk losing significance."

Popular posts from this blog

Linux Phone Standards Forum

A new Linux Phone Standards Forum (LiPS) has been founded to promote mass market adoption of Linux telephony terminals through standardization, interoperability testing and market education. The founding members include Cellon, France Telecom, FTM Labs, Huawei, Jaluna, Mizi, Open Plug and PalmSource. LiPS will support device manufacturers and operators in bringing to market Linux-based devices at lower cost (due to lower deployment costs through standardization), while facilitating the programming and development process for software and silicon vendors. The Forum said plans to work with other organizations such as the OMTP and OMA to identify requirements of distinct device categories including smartphones, feature phones, fixed-line, or converged devices. For each of these categories, or profiles, LiPS will define standard API�s that support relevant applications and services as well as a certification process for technology providers. In keeping with the open source philosophy, L

Cloud Services Gain New Momentum in Europe

Across European nations, more CIOs and CTOs are investing in public cloud services that become the essential foundation for the design and delivery of innovative digital transformation projects. Public cloud computing spending in Europe will reach $113 billion in 2022 and will double to $239 billion by 2026, growing at a 22 percent 5-year CAGR, according to the latest market study by International Data Corporation (IDC). Investments in Software-as-a-Service (SaaS) will continue to lead most of the spending in Public Cloud in Europe in 2022, but Platform-as-a-Service (PaaS) will be the fastest-growing segment. In fact, PaaS enables digital business deployment via the quick testing and production of new software applications. Public Cloud Market Development Professional services, banking, and discrete manufacturing will be among the top spenders in public cloud services, absorbing almost 60 percent of the overall public cloud services spend in 2022.  Human-centric industries are adjustin

Strategic Digital Transformation Spending Trends

Looking ahead, many Chief Executive Officers (CEOs) continue to selectively invest in new strategic digital transformation projects that enable a significant competitive advantage. Some additional investments may go towards improving existing IT infrastructure and operations.  Worldwide IT spending is now projected to total $4.5 trillion in 2022 -- that's an increase of 3 percent from 2021, according to the latest updated estimate by Gartner. For now, most CIOs will be relieved that their budget is safe from major cuts. While IT spending is expected to grow in 2022, it will be at a slower pace than in 2021 -- partly due to a 5 percent cutback on spending for personal computers, media tablets, and printers. Digital Transformation Market Development "Central banks around the world are focusing on fighting inflation, with overall inflation rates expected to be reduced through the end of 2023. However, the current levels of volatility being seen in both inflation and currency exch