Monday, June 15, 2009

Indian Telecom Story (Part IX): 400 not out

In the newest release of subscriber figures by TRAI, 11.90 Million users were added in April 2009 as against 15.64 million in March 2009.The number of mobile subscribers in India crossed the 400 million mark in April, putting the country on track to reach its goal of 500 million customers by next year. The rise took India’s total wireless subscriber base to 403.66 million, TRAI said. The slowdown in subscriber growth came after cellular operators withdrew special deals on offer during the final months of the fiscal year to March when the firms sought to boost revenues to help their annual accounts.
But India remains the world’s fastest-growing mobile market and analysts say the government’s target of 500 million mobile phone users could be reached ahead of schedule.The total telecom subscriber base made up of wireless and landline customers stood at 441.47 million at the end of April compared with 429.72 million in March, TRAI added.Total penetration stands at close to 38 telephones for every 100 people, TRAI said.

3G Deployments
India has said it will stage its much delayed auction of third-generation (3G) wireless spectrum by year end.Third-generation wireless service allows voice, data and video to be sent at high speeds to mobile devices and is viewed as the next major booster driving growth in India’s telecoms market.The Congress-led government had forecast the auction could raise Rs400 billion rupees ($8.5 billion).
But since its re-election last month, it has backed off that forecast, saying the global financial crisis could reduce the windfall.India’s newly reappointed telecoms minister A. Raja has also said he will seek to push cheap local mobile call rates even lower to spur cellular growth.
Local mobile calls now cost as little as one cent a minute while long-distance rates vary from two cents to four cents a minute.Raja says he wants to cut the local rate to less than half a cent a minute

Worldwide Mobile and Smart Phone Sales: Q1, 2009 Company and OS updates

Source: Gartner

Continued from earlier Post:http://technologyandtelecom.blogspot.com/2009/06/worldwide-mobile-and-smart-phone-sales.html

Reference/ 2008 Market share archives:
http://technologyandtelecom.blogspot.com/2009/03/mobile-operating-systems-by-market.html
http://technologyandtelecom.blogspot.com/2009/03/smartphone-market-share-update.html
http://technologyandtelecom.blogspot.com/2009/01/how-nokia-blinked-in-america-classic.html
http://technologyandtelecom.blogspot.com/2009/03/smartphone-market-share-update.html


1.Nokia continued to lead the mobile phone market, but its share dropped to 36.2 per cent from 39.1 per cent in the first quarter of 2008
2.Samsung retained second place and improved its market share as its sales totalled 51.4 million units.
3.After dropping to the fifth position in the fourth quarter of 2008, Motorola overtook Sony Ericsson to regain fourth place.

4.Positive performance by Research In Motion (RIM) and Apple showed that services and applications are now instrumental to smartphones’ success.
5.Much of the smartphone growth during the first quarter of 2009 was driven by touchscreen products, both in mid-tier and high-end devices.
6.“’Touch for the sake of touch’ was enough of a driver in the midtier space, but tighter integration with applications and services around music, mobile e-mail, and Internet browsing made the difference at the high end of the market.”
7.Symbian accounted for 49.3 per cent of worldwide smartphone operating systems (OS) market share in the first quarter of 2009, down from 56.9 per cent share in the first quarter of 2008.
RIM’s smartphone OS market share reached 19.9 per cent in the first quarter of 2009, up from 13.3 per cent share in the first quarter of last year.
8.The iPhone OS accounted for 10.8 per cent of the market, up from 5.3 per cent market share in the first quarter of 2008.
9.Nokia’s worldwide sales reached 97.4 million units in the first quarter of 2009, due to reductions in inventory in markets such as Asia/Pacific and Latin America. This was the first time Nokia’s sales dipped below 100 million units since the first quarter of 2007. The real impact of the current market recession was on the average selling price (ASP), which saw an 18 per cent drop year over year. Nokia managed to grow its sales in the smart-phone segment by introducing the Nokia 5800 into more regions.
10.Samsung had a very successful first quarter of 2009. With sales of 51.4 million units, Samsung's market share grew 4.7 percentage points to 19.1 per cent. It returned to double-digit profitability due to a good product mix. Sales of its Omnia, Tocco and Pixon handsets continued to benefit from strong consumer interest in touchscreen devices. The arrival of the Tocco Ultra Edition late in the first quarter of 2009, and the announcement of its first Android-based product, the i7500, will help Samsung in a highly competitive second half of 2009.
11.LG sold 26.5 million units in the first quarter of 2009, growing its market share by 1.9 percentage points year over year. The company benefited from a very strong portfolio of touchscreen, messaging and imaging devices. The new LG Arena device showcases a new user interface that demonstrates a positive focus on improving usability. However, LG’s biggest challenge is to become competitive in the smartphone segment as services and applications become more important to customers.
12.Motorola continued to experience significant difficulties even in its home market, but it had a solid quarter with prepaid operators Boost Mobile and Tracfone. It expects worldwide sales of iDEN handsets to be up 50 per cent in 2009 compared with 2008. These factors will help sustain Motorola until it revamps its portfolio in the fourth quarter of 2009. Motorola has committed to Android not only to revamp its position in the second half of 2009, but also to produce long-term performance improvements. How Motorola will be able to differentiate its offering when so many players in the mobile device market will be delivering Android-based products at the same time will be critical for Motorola.
13.Sony Ericsson lost market share compared both with the fourth quarter of 2008 and the first quarter of 2008, with sales of 14.5 million units. While the recession contributed to this decline, a weak product portfolio was also a factor. The product features that helped Sony Ericsson become one of the world's top vendors — imaging and music — are now too common to serve as a differentiator. Sony Ericsson is late to catch on to the popularity of touchscreen devices and has a limited smartphone portfolio. While its focus on services through Play Now Arena is important, Sony Ericsson needs to ensure its devices include the most desirable applications and features for consumers