July 27, 2012 - 17:25 AMT
IDC: Samsung extends its lead over Apple during Q2

The worldwide mobile phone market grew 1% year over year in the second quarter of 2012 (2Q12), as Samsung and Apple shipped almost half of the world's smartphones. According to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, vendors shipped 406.0 million units in 2Q12 compared to 401.8 million units in the second quarter of 2011.

Samsung and Apple have more than doubled their combined market share over the past two years, which has created more distance between the companies and the competition.

Samsung extended its lead over Apple during the second quarter, taking advantage of Apple's release schedule and launching its flagship Galaxy S III. In addition, Samsung experienced continued success of its smartphone/tablet hybrid device, the Galaxy Note. As a result, Samsung topped the 50 million unit mark and reached a new quarterly smartphone shipment record in a single quarter.

Apple posted an expected sequential decline last quarter, similar to years past. The quarter-over-quarter shipment decline came six months after it unveiled its latest iPhone. The decline is not unusual as iPhone shipment volume is highest in the first two quarters after its release. The company’s once-a-year release cycle usually results in two quarters of lower volumes leading up to the next-generation model introduction. Nonetheless, Apple made significant inroads into new markets and segments, including smaller regional carriers and prepaid service providers.

Nokia smartphone business underwent another quarter of transition. Demand for Symbian and MeeGo units declined, reaching levels not seen since 2005 though the company almost doubled its Windows Phone shipments from the previous quarter.

HTC rebounded from its struggles in the two previous quarters to reclaim the number 4 spot in the smartphone vendor rankings. Its relatively strong performance in the Asia/Pacific region allowed it to climb back up the rank order as did the correction of its channel inventory issues. The company's streamlined portfolio means future share gains will be predicated upon the success of its One products.

ZTE climbed into the smartphone Top 5 for the first time thanks primarily to shipments of its lower-cost entry-level smartphones in China, where it's based. However, the vendor has also grown its international smartphone sales, particularly in the U.S. where its smartphones can be found under other brands.