Samsung Finally Steals the “Largest Phone Manufacturer” Title From Nokia
Recent reports showed that in Q1 2012, Samsung has unceremoniously ended Nokia’s decade-old leadership by outselling the troubled phone vendor for the first time ever. For the beleaguered company, the recent report would come as another nasty blow, as in recent years its products are being increasingly eclipsed by more glorious devices such as Apple iPhone and Samsung Galaxy SIII. Sales records showed that Samsung delivered 88 million mobile phones in the first three months of 2012, slightly surpassed Nokia’s sales, 83 million units in January through March.
Nokia released its official sales figure on last Wednesday and it projects losses from the mobile phone business, in Q1 and Q2 this year. On the other hand, Samsung is due to publish its quarterly sales figures at the end of April. For a few years, Nokia has been struggling in the highly competitive phone industry, but a strong domination in low-cost phones segment has allowed the company to keep its status as the largest mobile phone manufacturer in the industry, by volume. Unfortunately for Nokia, its decline is gaining momentum and getting ousted from the top position after fourteen years of market leadership, would come as a rude awakening for the Finnish phone maker.
In 1998, Nokia overtook Motorola in mobile phone sales by releasing slimmer and more affordable phones. The company also pioneered the smartphone industry by releasing its Nokia 9000 Communicator in 1996, but not until 2007, the smartphone market boomed when Apple released the phone. In financial terms, the news will have little impact, but from PR perspective, this development would certainly hurt the company in the long run.