HomeNewsWorldComponent shortages hamper cellphone mkt: Gartner

Component shortages hamper cellphone mkt: Gartner

Shortages of key components such as screens and camera modules will put pressure on the cellphone industry through most of this year, research firm Gartner said on Wednesday.

February 09, 2011 / 21:39 IST

Shortages of key components such as screens and camera modules will put pressure on the cellphone industry through most of this year, research firm Gartner said on Wednesday.

"This situation will not ease until at least the second half of 2011," the research firm said.

Gartner said the cellphone market overall grew 32% last year, while the smartphone market surged 72% from a year ago, putting pressure on component suppliers to keep up with surging demand.

It expects market growth overall to slow to low double-digits this year.

Gartner said Nokia's Symbian platform remained the world leader in the fourth quater, just ahead of Google's Android.

Last week research firm Canalys estimated Android overtook Symbian already in the December quarter.

"There is no doubt in the second or third quarter Android is going to be the No 1," said Gartner analyst Carolina Milanesi, adding that in the first quarter Symbian benefits from holiday-season sales in Asia where its position is stronger.

Nokia's market share dropped to 28.9% last year, falling 7.5 percentage points from year earlier, as it struggled in smartphones and also in the low-end of the market.

"Nokia's future rests on the announcements it will make on 11 February and how well the company can execute on those plans in the limited time available," Gartner said.

Nokia's new Chief Executive Stephen Elop will on Friday unveil his plan to revamp the company.

first published: Feb 9, 2011 05:37 pm

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