EL SEGUNDO, CA – Nokia increased its mobile phone unit shipments in the third quarter by more than the total second-quarter shipments of Fujitsu, Ningbo Bird, TCL-Alcatel, Panasonic, Pantech & Curitel, and UTStarcom combined – and more than the collective increases in shipments from the other four top mobile-handset suppliers in the third quarter.
Nokia’s global mobile-handset shipments rose by a stunning 10.9 million units compared to the second quarter, says iSuppli Corp. The sales leader increased its shipments to 111.7 million units, up 10.8% sequentially. This gave the company a global market share of 39.5%, up from 37.9% in the second quarter.
“The company’s shipments of ‘convergence’ mobile phones that integrate multimedia and smart-phone features grew by 53.8%” year-over-year, said Tina Teng, analyst, wireless communications, for iSuppli.
The disappointment in Nokia’s third-quarter results came in its its performance in the Americas , where it a shipment decline of 12.7% in Latin America and 1.7% in North America vs. last year.
Worldwide mobile phone shipments amounted to 283 million units, up 6.4% sequentially and 15.4% compared to the third quarter in 2006, according to iSuppli.
High first-time sales of phones in emerging markets and high replacement rates in Europe were the major factor driving the growth.
The Top-5 mobile handset suppliers benefited from the healthy growth, with all of these companies increasing their shipments during the third quarter compared to the second.
Combined shipments for these companies rose 9.6% sequentially.
While Nokia’s unit shipment gain was impressive, Samsung Electronics Co. Ltd. of South Korea actually posted a slightly larger increase on a percentage basis, helping the company to maintain the second rank in the industry.
Samsung’s global mobile-handset shipments rose to 42.6 million units, up 13.9% sequentially. Compared to the same quarter last year, Samsung’s shipments rose by 38.8%, the highest rate of all the Top-5 mobile-handset makers.
This boosted Samsung’s market share to 15.1%, up from 14.1% in the second quarter, 2.2 points over No. 3 Motorola.
“Samsung’s strong performance was due to impressive increases in shipments in the European and Americas regions,” Teng said. “The company’s shipments in Europe and the Americas rose by 28.1% and 26.6% respectively in the third quarter. This more than offset the 6% sequential decline in shipments in Asia during the same period.”
Based on iSuppli’s preliminary estimate of Motorola’s share, the company shipped 36.5 million mobile handsets, up 2.8% sequentially. This lagged the handset market’s overall shipment growth rate of 6.4%, but kept Motorola’s market share fairly steady at around 13%. However, on a year-to-year basis, Motorola’s shipments plunged by 32.7%, making it the only company not to post an increase on an annual basis in the third quarter.
In the second quarter Motorola lost its longtime No. 2 ranking to Samsung. The company struggled to achieve an operating profit in the first and second quarters, says iSuppli. However, “with its new product line coming out during the holiday season, Motorola should be able to achieve continued growth in shipment volume during the fourth quarter,” Teng said.
LG was the clear leader in terms of volume-shipment percentage growth, with its sales rising by 14.7% sequentially, says the research firm.
However, all the growth was driven by emerging markets such as the Middle East, Latin America, India and China, as was reflected in its average selling price. Slow sales in North America and Europe resulted in LG’s mobile-handset ASP falling to $124, down 18.6% from the second quarter.
Despite a revenue decline of 7.9% (measured in won), LG still managed to maintain its operating profit at 8.4%.
Nokia’s global mobile-handset shipments rose by a stunning 10.9 million units compared to the second quarter, says iSuppli Corp. The sales leader increased its shipments to 111.7 million units, up 10.8% sequentially. This gave the company a global market share of 39.5%, up from 37.9% in the second quarter.
“The company’s shipments of ‘convergence’ mobile phones that integrate multimedia and smart-phone features grew by 53.8%” year-over-year, said Tina Teng, analyst, wireless communications, for iSuppli.
The disappointment in Nokia’s third-quarter results came in its its performance in the Americas , where it a shipment decline of 12.7% in Latin America and 1.7% in North America vs. last year.
Worldwide mobile phone shipments amounted to 283 million units, up 6.4% sequentially and 15.4% compared to the third quarter in 2006, according to iSuppli.
High first-time sales of phones in emerging markets and high replacement rates in Europe were the major factor driving the growth.
The Top-5 mobile handset suppliers benefited from the healthy growth, with all of these companies increasing their shipments during the third quarter compared to the second.
Combined shipments for these companies rose 9.6% sequentially.
While Nokia’s unit shipment gain was impressive, Samsung Electronics Co. Ltd. of South Korea actually posted a slightly larger increase on a percentage basis, helping the company to maintain the second rank in the industry.
Samsung’s global mobile-handset shipments rose to 42.6 million units, up 13.9% sequentially. Compared to the same quarter last year, Samsung’s shipments rose by 38.8%, the highest rate of all the Top-5 mobile-handset makers.
This boosted Samsung’s market share to 15.1%, up from 14.1% in the second quarter, 2.2 points over No. 3 Motorola.
“Samsung’s strong performance was due to impressive increases in shipments in the European and Americas regions,” Teng said. “The company’s shipments in Europe and the Americas rose by 28.1% and 26.6% respectively in the third quarter. This more than offset the 6% sequential decline in shipments in Asia during the same period.”
Based on iSuppli’s preliminary estimate of Motorola’s share, the company shipped 36.5 million mobile handsets, up 2.8% sequentially. This lagged the handset market’s overall shipment growth rate of 6.4%, but kept Motorola’s market share fairly steady at around 13%. However, on a year-to-year basis, Motorola’s shipments plunged by 32.7%, making it the only company not to post an increase on an annual basis in the third quarter.
In the second quarter Motorola lost its longtime No. 2 ranking to Samsung. The company struggled to achieve an operating profit in the first and second quarters, says iSuppli. However, “with its new product line coming out during the holiday season, Motorola should be able to achieve continued growth in shipment volume during the fourth quarter,” Teng said.
LG was the clear leader in terms of volume-shipment percentage growth, with its sales rising by 14.7% sequentially, says the research firm.
However, all the growth was driven by emerging markets such as the Middle East, Latin America, India and China, as was reflected in its average selling price. Slow sales in North America and Europe resulted in LG’s mobile-handset ASP falling to $124, down 18.6% from the second quarter.
Despite a revenue decline of 7.9% (measured in won), LG still managed to maintain its operating profit at 8.4%.
SAN JOSE — Now that its merger with Solectron is complete, how many plants will Flextronics close, and where?
The world's second-largest EMS company could shutter as many as 43 plants, totaling some 8.3 million sq. ft., says one Wall Street analyst.
MANKATO, MN – EMS provider and ODM Winland Electronics has received purchase orders and extensions for the next year totaling approximately $11.6 million.
The orders include a $5.6 million order extension from one of the company's larger customers; a new medical product design project, and a commitment from another client for 12-months continuation of business valued at approximately $5 million.
SAN JOSE, CA – Three-month bookings at North American-based manufacturers of semiconductor equipment in September fell about 10% sequentially and 25% year-over-year, according to SEMI.
WASHINGTON — The Semiconductor Industry Association and the Institute of Electrical Engineers-USA are urging swift congressional action to help skilled immigrants gain permanent U.S. residency status.
In a joint letter sent Oct. 11 to Senate and House leaders, the SIA and the IEEE-USA, often at odds on issues such as the H-1B visa program, together advised passage of measures to ease the hiring of foreign-born scientists and engineers and other proposals to enhance the global competitiveness of the U.S. high-tech sector.
The letter, signed by SIA president George Scalise and IEEE-USA president John Meredith, reads in part, "Both IEEE-USA and SIA see the retention of highly educated immigrants as part of a broader competitiveness and innovation initiative that includes a doubling of federal investment in research in the physical sciences, improvements in science, technology, engineering and math education at the K-12 and undergraduate levels, and enactment of a permanent and strengthened R&D tax credit."
The letter continues, “Currently 51% of master’s and 71% of Ph.D. graduates in electrical and electronic engineering from U.S. universities are foreign nationals. The SIA and IEEE-USA agree that these highly-talented individuals should be able to get permanent resident status … in an expedited manner.”
In a joint letter sent Oct. 11 to Senate and House leaders, the SIA and the IEEE-USA, often at odds on issues such as the H-1B visa program, together advised passage of measures to ease the hiring of foreign-born scientists and engineers and other proposals to enhance the global competitiveness of the U.S. high-tech sector.
The letter, signed by SIA president George Scalise and IEEE-USA president John Meredith, reads in part, "Both IEEE-USA and SIA see the retention of highly educated immigrants as part of a broader competitiveness and innovation initiative that includes a doubling of federal investment in research in the physical sciences, improvements in science, technology, engineering and math education at the K-12 and undergraduate levels, and enactment of a permanent and strengthened R&D tax credit."
The letter continues, “Currently 51% of master’s and 71% of Ph.D. graduates in electrical and electronic engineering from U.S. universities are foreign nationals. The SIA and IEEE-USA agree that these highly-talented individuals should be able to get permanent resident status … in an expedited manner.”
SCOTSDALE, AZ – Research firm IC Insights today upped its 2007 forecast for IC unit shipments to 10%, some two points higher than the firm’s earlier estimate.
If correct, the market would continue its streak of double-digit increases in IC shipments, which dates to 2002.
Moreover, the firm believes there is a good chance unit demand will continue to increase at least 10% annually over the next five to 10 years as new and evolving applications in communications and consumer electronics continue to incorporate large quantities of ICs.
The continuing development of emerging markets is also contributing to demand, the researcher adds.
Strong shipments of DRAM (49%), NAND flash memory (38%), interface (60%), data conversion (58%), and automotive-related analog ICs (32%) are driving overall demand and keeping IC shipments at a high level, according to IC Insights.
Future market growth will be largely influenced by changes in device average selling prices. Strong annual IC unit shipment growth rates are good news for IC suppliers. However, continued pressure on IC average selling prices may cause a prolonged period of "profitless prosperity" for IC suppliers, IC Insights says.
If correct, the market would continue its streak of double-digit increases in IC shipments, which dates to 2002.
Moreover, the firm believes there is a good chance unit demand will continue to increase at least 10% annually over the next five to 10 years as new and evolving applications in communications and consumer electronics continue to incorporate large quantities of ICs.
The continuing development of emerging markets is also contributing to demand, the researcher adds.
Strong shipments of DRAM (49%), NAND flash memory (38%), interface (60%), data conversion (58%), and automotive-related analog ICs (32%) are driving overall demand and keeping IC shipments at a high level, according to IC Insights.
Future market growth will be largely influenced by changes in device average selling prices. Strong annual IC unit shipment growth rates are good news for IC suppliers. However, continued pressure on IC average selling prices may cause a prolonged period of "profitless prosperity" for IC suppliers, IC Insights says.
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