Joseph Palenchar On May 20 2013 - 12:00am

Smartphone, Tablet Market Strategies In A State Of Flux


NEW YORK – The wireless handset industry is in a state of flux.

Growing share by two dominant smartphone players is forcing handset vendors to adjust their marketing strategies. Other handset vendors are trying to claw their way back to relevancy, and they’re getting the support of carriers and retailers looking to bolster handsetvendor competition. Chinese vendors are swooping in amid the market changes to build their share.

Meantime, carriers are questioning their reliance on costly handset subsidies and closely monitoring the success of T-Mobile in selling unsubsidized no-contract handsets. Smartphone vendors are also closely monitoring T-Mobile’s success, wondering about the potential impact on sales if the unsubsidized business model catches on.

For now, smartphone sales continue to grow, though more modestly because of market saturation, as consumers snap up phones with bigger screens, faster processors and new features available because of smartphones’ growing processor power.

What’s in store for the future? To find out, TWICE assembled a panel of handset vendors and asked them to respond to emailed questions. Here’s what they had to say.

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