Time for Q2 smartphone bloodbath update. So it seems like Gartner has stopped releasing quarterly smartphone market share stats. That is a shame as Gartner was among the best in that count. But we'll continue with the 3 remaining big houses, IDC, Canalys and Strategy Analytics, using their total number as the input into th eaverage of the three for our total market size. And we get a Q2 market count of 296.2 million smartphones which is up 5% from Q1. The migration rate in new handset sales is already at 58% of all phones sold are now smarpthones. If you want the Q1 numbers they are here.
CORRECTION Oct 16 2014 - as Xiaomi and Coolpad have released their H1 stats for 2014 after I posted this chart, I have now updated the numbers which shifted Xiaomi up and Coolpad down on the chart and changed some positions of ranks between those two.
UPDATE Aug 21, 2014: Just spotted on Motley Fool, a story quoting Gartner giving 301.3M as the total market size for smartphones in Q2 of 2014. I went to Gartner site and at least now, they do not have the news as a press release, but if they do, I will add that. I hope Gartner keeps reporting the quarterly data. But at least there is a source quoting their number. The total average goes up now to 297.5M (growth of 6% from Q1). I have updated the stats to reflect that number.
Here is the table of the Top 10 smartphone brands in Q2 of 2014:
BIGGEST SMARTPHONE MANUFACTURERS BY UNIT SALES IN Q2 2014
Rank . . Manufacturer . Units . . . Market Share . Was Q1 2014 . . OS systems supported (coming)
1 (1) . . Samsung . . . . 74.1 M . . 24.9% . . . . . . . ( 30.7% ) . . . . . . Android, Windows (Tizen)
2 (2) . . Apple . . . . . . . 35.2 M . . 11.8% . . . . . . . ( 15.5% ) . . . . . . iOS
3 (4) . . Lenovo . . . . . . 15.8 M . . . 5.2% . . . . . . . ( 5.0% ) . . . . . . Android (Tizen)
4 (3) . . Huawei . . . . . . 15.6 M . . . 5.2% . . . . . . . ( 6.4% ) . . . . . . Android (Tizen)
5 (8) . . Xiaomi . . . . . . . .15.1 M . . . 5.1% . . . . . . . ( 3.9% ) . . . . . . Android
6 (5) . . LG . . . . . . . . . 14.5 M . . . 4.9% . . . . . . . ( 4.4% ) . . . . . . Android
7 (7) . . Coolpad/Yulong . 11.9 M . . . 4.0% . . . . . . . ( 3.9% ) . . . . . . Android
8 (6) . . ZTE . . . . . . . . . 10.5 M . . . 3.5% . . . . . . . ( 3.0% ) . . . . . . Android, Windows (Firefox)
9 (9) . . Sony . . . . . . . . . . 8.8 M . . . 3.0% . . . . . . . ( 3.4% ) . . . . . . Android
10 ( - ) . Motorola (Google) . 8.6 M . . . 2.9% . . . . . . .( - - - ) . . . . . . . Android
Others . . . . . . . . . . . . 88.8 M
TOTAL . . . . . . . . . . . 296.2 M
Source: TomiAhonen Consulting Analysis 15 August 2014, based on manufacturer and industry data
This table may be freely shared
So Nokia who invented the smartphone, fell out of the Top 10 in the last quarter when it still existed as an independent smartphone manufacturer (the handset unit was transferred to Microsoft ownership in late April). But Motorola makes a surprise comeback as it is preparing for shift in ownership from Google to Lenovo. If Motorola is added to Lenovo's production, Lenovo gets to 8% market share and nearly 24 million smartphones sold per quarter (almost 100 million per year) and a very clear number 3 position. (the above chart has been corrected after comment from reader pointed to offical Lenovo Q2 number)
Samsung had a horrible quarter crashing market share from 31% to 25%. While still mroe than twice as big as the number 2 (Apple), Samsung saw its profits take a big hit too and is facing competition on all fronts and the Galaxy line's lustre is now dulled. Time for Samsung to dazzle us with something new and amazing. If this is a one-quarter one-off blip, then Samsung should be fine, but if they see another quarter of a drop in market share now into Q3, that would be a danger-sign for the boys of Gangnam.
The iPhone also saw a big drop from Q1 but that is normal sales pattern every year for Apple as we arrive to the end of the previous iPhone product cycle and await the next iPhone models coming out in September. But the annual iPhone market share has peaked and is in perennial decline. The annual market share for Apple is now projecting to hit around 14% for full year 2014.
The fight for number 4 is raging with Huawei nicely already positioned with good sales beyond China, but Lenovo, Xiaomi and Coolpad following ZTE and Huawei to markets beyond China. Sony is now on the bubble but the next tier such as Micromax of India is still a way off, so if Sony can find some smartphone sales growth, they might not go the way of Blackberry, HTC and Nokia, tumbling out of the Top 10. LG had a strong quarter and shows promise their turnaround is finally complete. Then lets do the Android table, sorry, the smartphone OS table:
BIGGEST SMARTPHONE OPERATING SYSTEMS BY UNIT SALES IN Q2 2014
Rank . OS Platform . . . . Units . . . . Market share . Was Q1 2014 . . Manufacturers in Top 10
1 (1) . . Android . . . . . . . 253.1 M . . 85.1 % . . . . . ( 81.0 %) . . . . . Samsung, Huawei, Lenovo, LG, ZTE, Sony, Yulong/Coolpad, Xiaomi, Motorola/Google
2 (2) . . iOS . . . . . . . . . . 35.2 M . . 11.8 % . . . . . ( 15.5 %) . . . . . Apple
3 (3) . . Windows Phone . . 7.4 M . . . 2.5 % . . . . . ( 2.2 %) . . . . . . Samsung
4 (4) . . Blackberry . . . . . . 1.6 M . . . 0.5 % . . . . . ( 1.1 %) . . . . . . (None)
others . . . . . . . . . . . . . . . 0.2 M . . . 0.1 % . . . . . ( 0.1 %)
TOTAL . . . . . . . . . . . . 297.5 M
Source: TomiAhonen Consulting Analysis 15 August 2014, based on manufacturer and industry data
This table may be freely shared
Yeah Android blah-blah-blah. Windows Phone dead blah-blah-blah..
Then lets do the update to the installed base of smartphones in use worldwide:
INSTALLED BASE OF SMARTPHONES BY OPERATING SYSTEM AS OF 30 JUNE 2014
Rank . OS Platform . . . . Units . . . Market share Was Q1 2014 . Main Manufacturers of current base
1 . . . . Android . . . . . . 1,336 M . . . 72 % . . . . . . ( 69 %) . . . . . . Samsung, Huawei, Sony, Lenovo, ZTE, LG, Coolpad, HTC, Xiaomi, Motorola/Google
2 . . . . iOS . . . . . . . . . 359 M . . . 19 % . . . . . . ( 21 %) . . . . . . Apple
5 . . . . Windows Phone . . 53 M . . . 3 % . . . . . . ( 3 %) . . . . . . Nokia/Microsoft, Samsung, HTC
4 . . . . Blackberry . . . . . 44 M . . . 2 % . . . . . . ( 3 %) . . . . . . Blackberry
3 . . . . Symbian . . . . . . 41 M . . . 2 % . . . . . . ( 4 %) . . . . . . Nokia
Others . . . . . . . . . . . . . . 10 M . . . 1 %
TOTAL Installed Base . 1,833 M smartphones in use at end of Q2, 2014
Source: TomiAhonen Consulting Analysis 15 August 2014, based on manufacturer and industry data
This table may be freely shared
Yeah this is so over. Android keeps growing to eventually mirror its new sales market share. Apple gradually adjust back to its new sales market share levels. The little boys play for the rest. Windows Phone has now become the third most used smarpthone OS if you want to celebrate that 'achievement' at 3% of the installed base so nobody in their right mind would ever even consider making apps for this dead OS when Windows smarpthones once had 12% market share and Nokia alone under its previous OS Symbian had 35% of smartphones the year before they made the switch to Windows. But technically yes, Windows Phone has now in Q2 finally overataken both Symbian and Blackberry to become in reality 'the third ecosystem' even at its pitiful 3%.
So thats what it looks like now as the main battles of the smartphone wars are done and dusted. Thats Q2 for this year.
For those who want deeper data on handset industry my TomiAhonen Phone Book statistical volume is updated every 2 years in the summer. the last edition was 2012, the new 2014 edition is coming soon. If you buy the 2012 edition now, you will receive both for the same low price, the 2012 edition immediately and the 2014 edition as it is released in some weeks from now. To see what kind of info it contains, see this link TomiAhonen Phone Book.
@zlutor
AOSP is about 20%. If tomi said Google Android about 1.3 billion. That's mean AOSP about 300 million phone. Bigger than WP or bb os10(3 million phone?).
Posted by: adi purbakala | August 19, 2014 at 08:35 AM
@rottenapple
After nokia got sold to Microsoft, the astroturfer (baron) left us.
Posted by: adi purbakala | August 19, 2014 at 08:41 AM
@zlutor
If you count AOSP as a separate OS, then WP is not the third ecosystem anymore. So problem solved. We already have a third ecosystem, no need for WP. WP can die.
Posted by: cornelius | August 19, 2014 at 01:36 PM
@AndThisWillBeToo: shame on me... yes, it is there but I missed it... :(
Posted by: zlutor | August 19, 2014 at 02:48 PM
Samsung, out in the cold.
As we have seen in the PC market, a hardware only business model is not sustainable. Indeed, as smartphones become more and more commoditized, Samsung’s profits margins will soon be squeezed — especially by competitors like Xaomi who is eating their lunch in China and soon in India and every other 100$ smartphone market.
“Google and Android” replace “Microsoft and Windows” in this scenario and at the moment, Samsung is just a front end to deliver more and more customers to Google, like Compaq, IBM, HP, Sony and many others did for Microsoft in the past, we all know what happened.
If Samsung does not find ways to gain more control and deliver their own apps and services to enhance their own profitable ecosystem , they will become another marginalised hardware maker, unavoidable . In the long run, Android is a dead end for Samsung.
interesting bits from all over. Food for thought.
Posted by: Gonzo | August 19, 2014 at 02:50 PM
@Gonzo
" In the long run, Android is a dead end for Samsung. interesting bits from all over. Food for thought. "
So what... Kodak afraid that digital camera will eat their film camera, and they got cannibalize by others. With android, samsung might got hit by xiaomi etc, but it will survive if they can compete, otherwise they might be down like HTC, but that's not our problem, and it's a good things for us.
As for apple, do NOT think that apple immune to this situation. Apple will be drag into lower margin and collapsing market just like BB in a sudden death, and I predict that's NEXT QUARTER.
I PREDICT that the 4.7" iphone & 5.5 iphone is the pandora box for apple. With that big screen, apple will lose their market at the mid-low end. Up until now, apple sold several market segment with their old phone. Their old phone is about 60%-70% of the phone they sell. With the iphone 6 with 4.7" screen, apple will serve the high end with big screen, but the mid-low end with small screen. This is the part that the mid-low market will look at the alternative with big screen, and the fall of apple. Unless apple took Tomi's advice, and re-introduce the 5S & 5 with 4.7" & 5.5".
Posted by: abdul muis | August 19, 2014 at 03:38 PM
@Boron95
"This could be huge. As an Apple investor, I couldn't be happier. As a user, I'm mildly excited.
Let the iPhone 6 era begin."
To teh MOON
Posted by: Winter | August 20, 2014 at 07:57 AM
@Baron95
"WindowsPhone is solid #2 OS."
I hope that was a typo. Or then something terrible happened to iOS last night.
Posted by: AndThisWillBeToo | August 20, 2014 at 08:46 AM
Blah, blah, blah.
Apparently Baron still suffers from the delusion that most Android users would use Apple if specs were the same. How ridiculous! Again, this shows his extreme tunnel vision, trying to judge the world market from a purely American perspective, not realizing that things are different elsewhere.
Reality check: Many people use Android because they DO NOT LIKE Apple's walled garden ecosystem.
I'll expect one spike this fall, because there's certainly some users out there who chose a large screen Android over an iPhone due to lack of alternatives, but once these have been served, things will settle down.
It also depends a lot on the price Apple demands. Let's not forget that the first Full-HD Android phones for less than $400 have started to appear on the market. Apple also needs to compete against these - and these phones are only getting better over time.
Yes, exciting times indeed. Let's see if Apple can maintain their extortionist prices in a market where comparable hardware costs only half as much...
Posted by: RottenApple | August 20, 2014 at 11:32 AM
@Abdul
"Apple will be drag into lower margin and collapsing market just like BB in a sudden death, and I predict that's NEXT QUARTER.
Their old phone is about 60%-70% of the phone they sell.
Unless apple took Tomi's advice, and re-introduce the 5S & 5 with 4.7" & 5.5".""
Some of your comments, either you are trolling or you are lost.
Total revenue MacDonalds 2013 - 29 billion $ / Total Apple NET PROFIT 2013 - 37 billion $
Half of it related to iPhone, apple makes more net profit without the iphone than many fortune 500 companies at the revenue level and you predict that next quarter apple is dead.
Hilarious, you are a troll. A few months ago a madman analyst predicted that if Apple didn't release a iWatch within 60 days it was over for them, the laughing stock of them all just beaten by you.
Eventually apple will feel pressure and probably lower the price so they won't make 37 billion net profit but 30 billion.. peanuts that will make them go broke.
If Apple would follow advise ... Steve Ballmer - The iPhone is useless, Bill Gates - The Ipad, good we didn't do such thing, John Dvorak a lot of nonsense etc .
It seems to me that it's the way around people should take advise from Apple, look Samsung and Xiaomi did ! Not only they copy the products, packing, look, feel etc but even the presentations.. you are a funny troll.
Posted by: Gozalo | August 20, 2014 at 12:28 PM
HTC is not coming back to the Top 10, folks. They just signed their death wish and launched a Windows Phone version of their One M8 smartphone.
Carrier boycott will hit them so hard they'll be out of the top 20 by the end of Q3. We have SO seen this before.
Posted by: AndThisWillBeToo | August 20, 2014 at 01:19 PM
@rottenapple
Actually barron is not delusional. What he did is a marketing strategy trick to make our inner mind to always suggest that apple is the best and android is just a cheap imitation. Just look after he said that some might write something like "apple I'd the best", "android is still being apple", etc.
@gozallo
So you think apple is immune to android success? Maybe you should notice that apple only strong in several country indicating that in delicate situation.
Posted by: adi purbakala | August 20, 2014 at 01:46 PM
@adi purbakala:
"Half of it related to iPhone, apple makes more net profit without the iphone than many fortune 500 companies at the revenue level and you predict that next quarter apple is dead."
Heh, yes...
He sure sounds like an Apple salesperson, doesn't he...? ;)
@AndThisWillBeToo:
I wonder how much money they get from Microsoft so they can get one tiny bit of good press as a result...
Posted by: RottenApple | August 20, 2014 at 03:06 PM
Oops, sorry, left some bad copy/paste garbage in my message...
Posted by: RottenApple | August 20, 2014 at 03:07 PM
@boron95
"And the *fact* remains that, for the first time ever there will be an iPhone model launch that will have HW spec parity and wide distribution. We have never ever seen that."
Are you saying that the iPhone6 that will be released this fall will match last years Android HW?
Posted by: Winter | August 21, 2014 at 07:32 AM
@Gozalo
Yes, I'm calling that the time that apple bring the large screen phone will be interesting in apple market share. IF apple ONLY have the large screen as their flagship (not doing what tomi's has been telling them for years, i.e. creating the medium-price iphone with big screen too), Apple market share WILL DIP!!!! and this might be IRREVERSIBLE just like BB marketshare drop. The reason is, Apple validating the big screen, but not giving the iSheep that were medium market a way to owned big screen. This market (iSheep) will run to android....
About Apple net profit today IS NOT a sign/indication that apple will do the right things in the future. Blackberry (was RIM) income/profit was also big, but it goes down dramatically.
Contrary to the article you mention about apple iWatch, i think Apple should not release it, because it will just a blatant copy of Android wear, and it would only make apple brand tarnish.
Posted by: abdul muis | August 21, 2014 at 07:57 AM
@baron
WHAT YOU WRITE:
"LOL - this when Apple stock price just hit an all time high today. And that is when the current generation iPhone (responsible for over 50% of Apple's profits) is in its last legs, about to be replaced by the biggest incremental change in iPhone generations ever - with the larger screens, likely sapphire glass, etc.
And consumers will benefit mightily. I consider that the iPhone 6 will be the fist time that an Apple product will be on par HW wise with the competition. This has never happened before. The original iPhone was 2G in a sea of 3G phones. The current iPhones are 4" devices in a sea of 5" phones. Up to now, Apple buyers had to settle for lower HW specs to take advantage of the iTunes/iCloud ecosystem. Now, they can, for the first time, have their cake and eat it too.
This could be huge. As an Apple investor, I couldn't be happier. As a user, I'm mildly excited."
WHAT I READ:
C'mon guys, don't resist, please make apple bigger in profit and sales number. You could also benefit from this from the apple share if you just shut up and do what other iInvestor (iSheep in suit) did. Why should you resist and do Google all the time? Fighting make less profit.
Furthermore, this is the time that iphone might be great. iphone 2G was sucks. It's not 3G. iphone 3G was sucks, the screen were small. iphone with 4" screen also sucks. I hate using that small screen when everybody else using 5" phone. This is the first time I'm very excited. Please don't jinx this. I want to be happy and proud. Happy because my share giving me money, and proud because my phone is finally catching up with android.
Posted by: abdul muis | August 21, 2014 at 08:03 AM
@winter
"Are you saying that the iPhone6 that will be released this fall will match last years Android HW?"
He's finally reveal a secret that up till now, iphone were NOT ON PAR with android.
Posted by: abdul muis | August 21, 2014 at 08:05 AM
@adi purbakala
"So you think apple is immune to android success? Maybe you should notice that apple only strong in several country indicating that in delicate situation."
I read somewhere that android is on the rise in USA. I think it might be interesting if iphone in USA could mirror what iphone in other country were.
Posted by: abdul muis | August 21, 2014 at 08:12 AM
@Piot
Android premium = 20% of 253.1 million = 50.6 million phone
Apple $400+ (including iphone 4S, 5, 5C) = 82% x 35.2 million = 28.8 million phone
That's mean, MORE ANDROID PREMIUM PHONE COMPARED TO IPHONE!!!!
So, the argument that apple sell more premium device IS INVALID!!!!
Posted by: abdul muis | August 21, 2014 at 08:17 AM