Samsung Now Second Largest Mobile Phone Manufacturer

November 28, 2007 – 11:49 am

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The mighty have fallen. Motorola, has seen a further degradation in their market share, and the company has been supplanted by Samsung as the second largest manufacture of mobile handsets, behind Nokia.

But Samsung showed strong growth to reach 14 per cent, and hit the number two spot as Motorola’s share dropped by seven per cent.

“Motorola today is a pale version of the company it was a year ago,” said Carolina Milanesi, research director for mobile devices at Gartner.

“The third quarter saw Samsung gain the number two position taking advantage of Motorola’s continued weak performance.

“Samsung will have to continue to closely manage its inventory in the last quarter of the year so as not to start 2008 on the wrong foot.”

The reason for the switch in positions for the two companies is simple: Motorola hasn’t had any hit phones, and Samsung has. Motorola needs a blockbuster product soon, or they need to sharpen an emerging strategy of targeting developing countries with lower price products. Failure to do so might result in even a worse showing in the future.

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