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BlackBerry corners 10% of US market

By Reuters
New York, 11 Aug 2008

For the first time Research In Motion's BlackBerry cornered 10% of US cellphone sales in the second quarter in a market that grew more than 5% despite economic concerns, Strategy Analytics said on Monday.

The research firm said Canada's RIM was seeing huge success with both consumer and enterprise handsets in the US where total mobile phone shipments rose 5.3% to 41.9 million units from 39.8 million in the second quarter of 2007.

Motorola also managed to keep the lead in its home market in the second quarter.

While some analysts have been expecting Motorola to be overtaken by rivals even in its strongest market, the phone maker had better-than-expected US sales in the quarter, giving it 25.8% of the US market compared with its global share of less than 10%.

Motorola barely squeaked ahead of LG Electronics to keep its global number three in the second quarter. It has been losing market share to rivals such as Nokia and Samsung Electronics for well over a year amid criticism of its handset line-up and a lack of phones with high-speed Web links.

"Motorola is not yet out of the woods, but these are encouraging, early signs of stabilisation," said Strategy Analytics analyst Neil Mawston, citing the company's strong distribution network and its US carrier relationships.

Strategy Analytics said LG took second place in the US for the first time in almost two years, due partly to sales of phones with high-speed Web links by the country's number one service AT&T.

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