To: Simba who wrote (207381 ) 11/30/2002 9:31:00 PM From: JHP Respond to of 436258 Friday, November 29, 2002 invite.ke2.informative.com Mobile phone sales top 100 million units in quarter Robert Ristelhueber EBN (11/26/2002 7:43 PM EST) The mobile phone industry got some early holiday cheer this week when a new survey showed it exceeded expectations with a third quarter 7.8% increase from the same period last year. Worldwide mobile phone sales totaled 104.3 million units in the quarter according to Dataquest Inc., a unit of Gartner, Inc. That was only the second time that the third quarter has realized mobile terminal sales volume in excess of 100 million units, the company said. Each of the six principal geographic regions tracked by Gartner Dataquest recorded a sequential increase in demand. "The positive momentum generated during the third quarter of 2002 seems well positioned to carry over into the fourth quarter of 2002, when a wave of innovative mobile terminal models are expected to become widely available," the report added. Nokia's market share grew to 35.9%, from 34.1% in the same year-ago quarter with the company holding 50% market shares in the Western European market, as well as the larger Europe, Middle East and Africa (EMEA) regional market. The good news wasn't shared evenly throughout the industry, though. Motorola saw its global market share position decline to 14.4% from 15.2% in the third quarter last year, in large part because of critical delays in the availability of two new models -- the T720 and C330 -- which were expected to ship in volume in the early part of the quarter, the report said. The company relies on the Chinese and U.S. markets for more than 50% of its quarterly sales to end-users, and probably would need to develop a stronger presence in the GSM markets of EMEA and Asia-Pacific, minus China, in order to steady its market share, Dataquest said. Sony/Ericsson was the only major manufacturer to see its sales decline. The company sold 5 million units in the third quarter, for a 4.8% market share, compared to 7.2 million units in the year-ago quarter, for a 7.4% share. The company didn't respond to a request for comment by presstime. In its interim third quarter report, issued in October, Ericsson said the near-term mobile phone outlook "continues to be uncertain. Many operators pursue more gradual 3G rollouts or target fewer markets." It noted that the company's strength was concentrated in high-end phones, however, "Several new models targeting the mid and entry-level segments were launched and sales started to gain momentum late in the quarter." Samsung enjoyed the fastest growth of the top five contenders, and its market share surpassed