Samsung Plans to End Nokia's (NOK) 14-Year Run Atop Global Celphone Sales

December 18, 2012 12:26 PM EST
Nokia Oyj (NYSE: NOK) is paring some gains today following new data out of IHS, Inc. (NYSE: IHS) iSuppli.

According to the report, Samsung will unseat Nokia as top cellphone maker by the end of 2012. The data includes smartphones and feature phones.

Samsung will garner about 29 percent of global mobile phone shipments, up 5 points over 2011. Nokia will see its share drop from 30 percent down to 24 percent.

Notably, Nokia has been on top of the cellphone world for the last 14 years.

Apple, Inc. (Nasdaq: AAPL) will retain the third spot, gaining 3 points to 10 percent share in the process.

Nokia has largely been successful on the back of feature phones, which have been successful in bolstering sales as it tries to gain traction in the smartphone segment.

IHS has cellphone sales rising just 1 percent in FY12, with smartphone sales jumping 35.5 percent higher. Total smartphone penetration will grow 12 points in FY12 to 47 percent.

“The competitive reality of the cellphone market in 2012 was ‘live by the smartphone; die by the smartphone,’” said Wayne Lam, senior analyst for wireless communications at IHS. “Smartphones represent the fastest-growing segment of the cellphone market—and will account for nearly half of all wireless handset shipments for all of 2012. Samsung’s successes and Nokia’s struggles in the cellphone market this year were determined entirely by the two companies’ divergent fortunes in the smartphone sector."

Nokia is 6 percent higher today on word that a new flagship smartphone will be making its way to Verizon Wireless (NYSE: VZ). For more on that, click here.

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