2010: Sony Ericsson #2 on the global market

With the extreme drop Motorola has experienced (about 9% loss of market share) this year and Samsung only gaining one percentage point (which makes them the second largest mobile phone manufacturer), I’m certain that Sony Ericsson will make it to the top two within the next two years. Sony Ericsson has had a really great profit and has gained about 3 percentage points within one year. Impressive. If they keep it up, they might be able to become the world’s second largest mobile phone manufacturer within Christmas, 2010. By that time Nokia should have already passed the holy 40% market share.

So, what do you think?

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4 Responses

  1. I disagree completely. You have to remember, Samsung has killer positioning everywhere. In the States, they’re known as a first mover. Samsung was in the launch phones for UMTS, HSDPA, PTT, and UMA here in the States. They also have ~4-5 different models currently available on T-Mobile and AT&T. And they have the Korean market just about cornered.

    SE only has 9% of the market right now, with Motorola and Samsung having 13%. So yeah, they’re growing, but they have two other companies to pass, neither of which are exactly sitting on their thumbs. I remember when I read somewhere that they wanted to be number 2 by 2008, that was their goal, and this was back when they only had 4% and weren’t even profitable.

    I think Samsung will continue to push their lead over Motorola, and maybe SE can hit 3rd, but I doubt if they’ll hit 2nd place in the next 5 years.

  2. Samsung isn’t growing much at this point in time. They’ve only increased their market share with 1 percentage point in one year (Q2, 2006 – Q2, 2007), while Sony Ericsson has increased their market share with about 3 percentage points in the same time. That pretty much speaks for itself, doesn’t it? Sony Ericsson sold quite a lot of units this quarter and the number is growing and growing… Still don’t think they’ll make it?

    Oh, and btw. I like how you mentioned that Sony Ericsson ONLY had a 4 percent market share, because right now there’s about 4 percent between Motorola and Sony Ericsson, and about 5 percent between Sony Ericsson and Samsung. Since it’s “only” 4 percent, you still don’t think it’s achievable?

    BTW, Motorola is pretty much sitting on their thumbs with absolutely no innovation seen from them lately. They’ve really got to prove themselves now, if they still want to play along with the big guys like Nokia and (now) Samsung.

    So based on the facts, statistics, figures and my own personal knowledge, I think it’s achievable for Sony Ericsson to make it into the top 2 (maybe not by much, but they’ll be there) within Christmas 2010. It might also be a little later, but I have absolutely no doubt in my mind, that they’ll get there within those five years, that you mention.

    Oh, just got another thing. You mention the USA and Samsung being the first mover there. That’s simply because neither Nokia and Sony Ericsson have got that many phones on the American market, however they’re aiming for this market about now, so I think Samsung (and Motorola) will get tough competition over this market. And 4-5 models ain’t that much at all.

  3. I still disagree. You mention that Samsung has slow growth, but it’s all proportional, since we’re dealing with percentages. Look at the actual number of units shipped. That’s the key.

    Also, it’s easier to move around at the bottom than it is the top. Even in Motorola’s heyday with the RAZR, their market percentage didn’t shift all that much. The market leader merely has to defend their position, which is alot more of a passive action than the up-and-comers having to work hard for each point.

    Thus, my point, that given Nokia, Motorola, and Samsung aren’t throwing in the towel, they’re going to be working to move up, as well.

    The first mover statement shows that Samsung has a commitment to have a device first on the market for any big network innovation. That’s going to be huge, because the consumers that like to have things first are going to end up with Samsungs, will then convince their 2nd tier friends to get the service, and thus they’ll follow and get samsungs, it’s a vicious cycle.

    I’m not saying it’s impossible, just saying it’s ALOT harder than you’d think for them to penetrate the Motorola/Samsung lead.

  4. We’ll see. I still believe they’ll make it 🙂

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