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Motorola Shadows Samsung, Nokia in Q3

1 December 2007

According to research firm Gartner, mobile phone manufacturer Motorola slipped behind Samsung from second to third place in worldwide market share in handset sales.  Specifically, Motorola’s share in the overall mobile phone market decreased from 20.7% a year ago and 14.6% in Q2 to 13.1% in Q3.  Samsung rose to 13.4% in Q3, up from 12.2% last year and 13.4% from Q2.  Nokia continues to hold the scepter and increased its majority of market share to 38.1%, a 3% increase from a year ago. The Finnish handset maker said that its goal of 40% of the total market share is close to being reached. 

The Big ThreeCompany                   Market Share            3Q07            3Q06            % ChangeNokia    38.1%            35.1%            +3%Samsung            13.4%            12.2%            +10%

Motorola            13.1%            20.7%            -37%

 Despite Motorola’s initial success with its Razr line of handsets, the company is floundering with popularizing other products.  Even though it’s highly unlikely that Motorola will suddenly steal enough market share to make it the king of the mobile phone hill, Gartner research director Caroline Milanesi said that the handset manufacturer still needs to diversify its product line. 

Even though Motorola chief executive Ed Zander promises to create profitable margins for the company by next year, analysts have scrutinized Zander and have even called for his resignation since the company’s $181 million loss for Q1 of this year. 

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