IDC: Worldwide Smartphone Shipments Up 38.4% in 2013

FRAMINGHAM, Mass. January 27, 2014 – The worldwide smartphone market reached yet another milestone, having shipped one billion units in a single year for the first time. According to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, vendors shipped a total of 1,004.2 million smartphones worldwide, up 38.4% from the 725.3 million units in 2012. This aligns with IDC’s most recent forecast of 1,010.4 million units, making for a difference of less than 1%. Smartphones accounted for 55.1% of all mobile phone shipments in 2013, up from the 41.7% of all mobile phone shipments in 2012. In the fourth quarter of 2013 (4Q13), vendors shipped a total of 284.4 million smartphones worldwide, up 24.2% from the 229.0 million units shipped in 4Q12.

In the worldwide mobile phone market (inclusive of smartphones), vendors
shipped 1,821.8 million units, up 4.8% from the 1,738.1 million units
shipped 2012. In 4Q13 alone, vendors shipped a total of 488.4 million units
worldwide, up 0.9% from the 484.0 million units shipped in 4Q12. This is
2.8% lower than the 502.4 million units that IDC had recently forecast.

“The sheer volume and strong growth attest to the smartphone’s continued
popularity in 2013,” says Ramon Llamas, Research Manager with IDC’s Mobile
Phone team. “Total smartphone shipments reached 494.4 million units
worldwide in 2011, and doubling that volume in just two years demonstrates
strong end-user demand and vendor strategies to highlight smartphones.”

“Among the top trends driving smartphone growth are large screen devices
and low cost,” said Ryan Reith, Program Director with IDC’sWorldwide
Quarterly Mobile Phone Tracker. “Of the two, I have to say that low cost is
the key difference maker. Cheap devices are not the attractive segment that
normally grabs headlines, but IDC data shows this is the portion of the
market that is driving volume. Markets like China and India are quickly
moving toward a point where sub-$150 smartphones are the majority of
shipments, bringing a solid computing experience to the hands of many.

Smartphone Vendor Highlights:

Samsung ended the quarter the same way it began the year: as the clear
leader in worldwide smartphone shipments. But even with sustained demand
for its Galaxy S III, S4, and Note models, as well as its deep selection of
mid-range and entry-level models, the company realized a decline compared
to the previous quarter. Nevertheless, the company maintained a sizable
double-digit lead over the next vendor.

Apple posted record shipment volume during 4Q13, driven primarily by the
addition of multiple countries offering the iPhone 5S and 5C, and sustained
demand from its initial markets that saw these models launch at the end of
3Q13. Still, Apple had the lowest year-on-year increase of all the leading
vendors. Now that Apple has finally arrived at China Mobile, it remains to
be seen how much Apple will close the gap against Samsung in 2014.

Huawei maintained its number three position worldwide, attained the highest
year-on-year increase among the leading vendors, and raised its brand
profile with a higher proportion of self-branded units compared to the ODM
work it had done for other companies. Still, even with its success, Huawei
faces a crowded group of potential competitors within striking distance.

Lenovo, despite having no presence in North America nor Western Europe,
finished the quarter in the number four position. The company’s strength
lies in its strong presence within key emerging markets and a
well-segmented product portfolio spanning from simple, affordable
smartphones to full-featured 5” screen models. Should the company become
successful at branching into more developed markets in 2014, it could
challenge Huawei for the number three spot.

LG finished just behind Lenovo and edged out ZTE for the number five
position, with just five million units separating the two companies. At the
same time, its year-on-year improvement put the company on par with Huawei
and Lenovo with market beating growth. LG’s success can be directly
attributed to its revived portfolio from a year ago, which featured more
large-screen and high-end models, including the Nexus 5 and its Optimus G
series.

Top Five Smartphone Vendors, Shipments, and Market Share, 2013 (Units in
Millions)
|——-+——————–+—————-+——————–+—————-+——————–|
|Vendor | 2013 Shipment | 2013 Market | 2012 Shipment | 2012 Market | Year-over-Year |
| | Volumes | Share | Volumes | Share | Change |
|——-+——————–+—————-+——————–+—————-+——————–|
|Samsung| 313.9| 31.3%| 219.7| 30.3%| 42.9%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Apple | 153.4| 15.3%| 135.9| 18.7%| 12.9%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Huawei | 48.8| 4.9%| 29.1| 4.0%| 67.5%|
|——-+——————–+—————-+——————–+—————-+——————–|
|LG | 47.7| 4.8%| 26.3| 3.6%| 81.1%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Lenovo | 45.5| 4.5%| 23.7| 3.3%| 91.7%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Others | 394.9| 39.3%| 290.5| 40.1%| 35.9%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Total | 1,004.2| 100.0%| 725.3| 100.0%| 38.4%|
|——-+——————–+—————-+——————–+—————-+——————–|

Source: IDC Worldwide Mobile Phone Tracker, January 27, 2014

Top Five Smartphone Vendors, Shipments, and Market Share, 2013 Q4 (Units
in Millions)
|——-+———————+—————-+———————+—————-+——————–|
|Vendor |4Q13 Shipment Volumes| 4Q13 Market |4Q12 Shipment Volumes| 4Q12 Market | Year-over-Year |
| | | Share | | Share | Change |
|——-+———————+—————-+———————+—————-+——————–|
|Samsung| 82.0| 28.8%| 66.7| 29.1%| 22.9%|
|——-+———————+—————-+———————+—————-+——————–|
|Apple | 51.0| 17.9%| 47.8| 20.9%| 6.7%|
|——-+———————+—————-+———————+—————-+——————–|
|Huawei | 16.4| 5.8%| 10.5| 4.6%| 56.5%|
|——-+———————+—————-+———————+—————-+——————–|
|Lenovo | 13.9| 4.9%| 9.4| 4.1%| 47.3%|
|——-+———————+—————-+———————+—————-+——————–|
|LG | 13.2| 4.6%| 8.6| 3.8%| 53.2%|
|——-+———————+—————-+———————+—————-+——————–|
|Others | 107.9| 37.9%| 85.9| 37.5%| 25.6%|
|——-+———————+—————-+———————+—————-+——————–|
|Total | 284.4| 100.0%| 229.0| 100.0%| 24.2%|
|——-+———————+—————-+———————+—————-+——————–|

Source: IDC Worldwide Mobile Phone Tracker, January 27, 2014

Top Five Mobile Phone Vendors, Shipments, and Market Share, 2013 (Units in
Millions)
|——-+——————–+—————-+——————–+—————-+——————–|
|Vendor | 2013 Shipment | 2013 Market | 2012 Shipment | 2012 Market | Year-over-Year |
| | Volumes | Share | Volumes | Share | Change |
|——-+——————–+—————-+——————–+—————-+——————–|
|Samsung| 446.7| 24.5%| 409.4| 23.6%| 9.1%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Nokia | 251.0| 13.8%| 335.6| 19.3%| -25.2%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Apple | 153.4| 8.4%| 135.9| 7.8%| 12.9%|
|——-+——————–+—————-+——————–+—————-+——————–|
|LG | 70.0| 3.8%| 56.6| 3.3%| 23.6%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Huawei | 55.5| 3.0%| 47.5| 2.7%| 16.7%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Others | 845.2| 46.4%| 753.1| 43.3%| 12.2%|
|——-+——————–+—————-+——————–+—————-+——————–|
|Total | 1,821.8| 100.0%| 1738.1| 100.0%| 4.8%|
|——-+——————–+—————-+——————–+—————-+——————–|

Source: IDC Worldwide Mobile Phone Tracker, January 27, 2014

Top Five Mobile Phone Vendors, Shipments, and Market Share, 2013 Q4 (Units
in Millions)
|——-+———————+—————-+———————+—————-+——————–|
|Vendor |4Q13 Shipment Volumes| 4Q13 Market |4Q12 Shipment Volumes| 4Q12 Market | Year-over-Year |
| | | Share | | Share | Change |
|——-+———————+—————-+———————+—————-+——————–|
|Samsung| 112.0| 22.9%| 113.6| 23.5%| -1.4%|
|——-+———————+—————-+———————+—————-+——————–|
|Nokia | 63.4| 13.0%| 86.3| 17.8%| -26.5%|
|——-+———————+—————-+———————+—————-+——————–|
|Apple | 51.0| 10.4%| 47.8| 9.9%| 6.7%|
|——-+———————+—————-+———————+—————-+——————–|
|LG | 18.5| 3.8%| 15.4| 3.2%| 20.2%|
|——-+———————+—————-+———————+—————-+——————–|
|Huawei | 17.9| 3.7%| 15.9| 3.3%| 12.6%|
|——-+———————+—————-+———————+—————-+——————–|
|Others | 225.6| 46.2%| 205.1| 42.4%| 10.0%|
|——-+———————+—————-+———————+—————-+——————–|
|Total | 488.4| 100.0%| 484.0| 100.0%| 0.9%|
|——-+———————+—————-+———————+—————-+——————–|

Source: IDC Worldwide Mobile Phone Tracker, January 27, 2014

Note: Data are preliminary and subject to change. Vendor shipments are
branded shipments and exclude OEM sales for all vendors.