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NPD: Q3 Handset Sell-Through Jumps 30+%

By Joseph Palenchar -- TWICE, 11/21/2005

Third-quarter cellular sales to consumers jumped more than 30 percent to 31.6 million units, compared to the year-ago period, and rose 7 percent sequentially from the second quarter, The NPD Group said.

Dollar volume slightly exceeded $2 billion in the third quarter, the company added.

Motorola reaped most of the expanding market's benefits, boasting three of the top five sellers in units, including the ultra-slim RAZR sold by Cingular Wireless and T-Mobile. Motorola continued to hold number one sell-through unit share at 30 percent, the research company added.

"The handset market was very robust in the third quarter," said Neil Strother, mobile devices research director. "These numbers reflect strong replacement demand among consumers, coupled with more limited growth from new subscribers."

Motorola's strength in the quarter reflected in part a significant gain in share within Verizon's handset portfolio. Following right behind Motorola were LG, Nokia and Samsung, all with roughly 16 percent share each.

In the GSM market, Motorola secured top share with 39 percent, followed by Nokia with 22 percent and Samsung at 14 percent. During the third quarter, LG was the leader in CDMA handsets with a 27 percent market share, with Samsung and Motorola tied in second place at 18 percent, NPD said.

NPD bases its conclusions on more than 150,000 completed online consumer research surveys each month based on nationally and demographically balanced samples. The results are projected to represent the entire population of U.S. consumers.

Q3 Handset Sell–Through
Company 3Q 2005 Unit Sales 3Q 2005 Market Share
Motorola 9,458 30%
LG 5,077 16%
Nokia 5,032 16%
Samsung 4,883 16%
Sanyo 1,522 5%
Kyocera 1,378 4%
Sony Ericsson 1,150 4%
UTStarcom/Audiovox 952 3%
Siemens/BenQ 506 2%
Others 1,625 5%
Total 31,583 100%
Source: The NPD Group ©TWICE 2005

Q3 Best-Selling Handsets
Rank Manufacturer Model
1 Motorola RAZR V3
2 Nokia 6010
3 Motorola V551
4 LG VX6100
5 Motorola V180
Source: The NPD Group ©TWICE 2005

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