Ng: Market share

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Thursday, February 27, 2014


I JUST saw an interesting article on CNET that says, and this is quoting IDC’s worldwide quarterly prediction that Windows Mobile will be the only mobile phone that will gain market share in a few years.

Of course that can be misleading considering that Windows Phone only has 3.9 percent market share. But it will grow to seven percent by 2018, it predicts. So here are the numbers they project.

Android is slated to sell 950 million phones in 2014 for a 78.9 percent market share.

Apple will sell about 180 million phones for a 14.9 percent market share. Windows Phone will sell 47 million units for a 3.9 percent market share. Blackberry will only account for about 12 million phones, which means it will just be about 1 percent.

Fast forward four years and by 2018, Android phones will account for 1.32 billion units but at a slightly lower market share of 76 percent. Apple’s iOS will grow to about 250 million phones for still about 14 percent market share. And Windows Phone will more than double to sell 121 million phones for about seven percent market share.

Blackberry will go down even further to maybe less than 0.3 percent market share.

Microsoft is slated to finish acquiring Nokia’s phone division and they also announced that LG, Lenovo and Foxconn itself will be manufacturing Windows phones. Smartphone shipments growth is slated to slow down to a 19.3 percent growth this year and will further slow down to 8.3 percent by 2017.

2013 was a banner year for smartphones as it was the first time it hit a billion units and it grew by over 39.2 percent. But it will probably be expected to have half the growth this year and further slow down in the coming years.

There is another interesting statistic that was presented by the IDC report. It predicts the average selling price of Android phones and Windows Phone to be sold in 2014 to be about $250, while the average Apple iOS phone would be about $650. This shows the relatively high premium that users are willing to pay for an IOS phone and why Apple is now the world’s biggest company (according to capitalization and profits).

In a further move, it does seem that Microsoft is intent to maintain if not grow its market share. In another report by Bloomberg, Microsoft was said to have cut the price of its Windows 8.1 by nearly three fourths for device makers who produce notebook or tablets that sell for less than $250. This is reportedly meant to make the devices more competitive against Chrome Notebooks and Android tablets.

(www.twitter.com/wilsonng)

Published in the Sun.Star Cebu newspaper on February 28, 2014.

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