Gartner: Worldwide Phone Sales Shrink 2.3%

According to research and analyst firm Gartner, the worldwide mobile phone market shrank by 2.3% in the second quarter of this year compared to the same period last year. Gartner cites the worldwide economy as the reason for the decline, and also points to current smartphone owners holding off on upgrading their handsets as the release of the next iPhone looms large.

Detailed numbers show that Nokia's market share dropped by 2.9% compared to the same time last year, with sales dropping 14.8% for the company. Meanwhile, RIM, Motorola, HTC, and LG all saw drops in market share. RIM in particular took a heavy hit, dropping from 3% in 2011 to 1.9% in 2012, but LG also took a heavy tumble, down from 5.7% to 3.4%.

Samsung and Apple both picked up market share from their competitors. Samsung increased its share from 16.3% to 21.6%, helped no doubt thanks to strong sales of its Galaxy range of Android smartphones, while Apple's share increased from 4.6% to 6.9%. Gartner warns, however, that Apple may see a weaker third quarter depending on the release of the next iPhone. Additional data suggests that Android dominates the mobile landscape with 64.1% market share, with iOS bringing up the rear with 18.8%.

Gartner suggests that 419 million phones were sold during the second quarter, with smartphones sales seeing a huge 42% increase compared to the second quarter of last year. Gartner goes on to say that smartphone sales will continue to increase once more manufacturers, including Apple, launch handsets in the second half of 2012, and that feature phones are still feeling the pressure.

[via CNET]