Mobiles: Slowdown Possible

Mobile shipments are shaping up to be softer in the second quarter, says ABI Research Vice President Jake Saunders. "Year on year, the first quarter of 2008 was up 13.7 percent, but the second quarter of 2008 is likely to be softer than in previous years."

Shipment volumes in the developed markets have softened slightly due to the credit crisis, but emerging markets such as Asia-Pacific, South America, and the Middle East/Africa are delivering growth rate percentages in the mid-20sn he says.

Nokia increased its share to 39.9 percent while Samsung and LG were also net winners with 16 percent and 8.4 percent, respectively, he adds.

Motorola continued to lose market share (falling 2.6 percent) to 9.5 percent, while Sony Ericsson lost market share (down to 7.7 percent).

But a new class of mobile device: MIDs (Mobile Internet Devices). MIDs made their debut last year, and some might consider them contenders of a new sort.

ABI Research expects 2008 to top out at 1.28 billion devices shipped – a 12 percent increase year over year. But the firm also warns there could be exposure to the downside.