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Tablets Become Epicenter for ConvergenceDecember 14, 2010After decades of discussion, the convergence of consumer, computer and communications is finally becoming a reality with the arrival of Apple Inc.’s iPad and competing tablets, a development that will have massive implications for the technology world, spurring competition not only among varying types of products—but among entire industries, according to the market research firm iSuppli, now part of IHS Inc. (NYSE: IHS).
“The definition of convergence has changed over time, with the latest version describing it as voice, video and data services being delivered to the home vis-à-vis broadband networks and the new services that would result from this confluence,” said William Kidd, director and principal analyst, financial services for iSuppli.
Rise of the Machine-to-Machine: Wireless M2M Connection Market BoomsNovember 02, 2010Global revenue from sales of Wireless Wide Area Networking (WWAN) modules for Machine-to-Machine (M2M) systems are set to rise nearly sevenfold from 2010 to 2014, according to the market research firm iSuppli Corp.
WWAN M2M modules are devices that allow pieces of equipment to communicate with one another wirelessly. Using technologies such as GRPS, EDGE, CDMA 2000 and UMTS/HSPA, M2M WWAN systems employ mobile cellular networks to transmit data and information.
The WWAN M2M module market will generate total revenue of $1.0 billion in 2010, up a robust 26.4 percent from $813 million in 2009. By the end of 2014, revenue will hit $6.5 billion.
Back-to-School Season Fails to Boost China’s PC Export MarketOctober 26, 2010The back-to-school season has come and gone, and for PC OEMs in China’s export market, it was as if the playground bully took their lunch money, according to the market research firm iSuppli Corp.
China’s desktop PC exports in July fell 12.2 percent, with 2.6 million units shipped, down from 3.0 million in June and virtually unchanged from May. Not surprisingly, revenue from desktop PC exports in July also declined to $1.35 billion, down from $1.49 billion in June.
“China’s OEMs were overoptimistic regarding back-to-school PC demand,” said Kevin Wang, director of China Research at iSuppli.
Sony Ericsson Shifts Focus to High-End Cell PhonesOctober 21, 2010Sony Ericsson Mobile Communications AB in the second quarter saw its smart phone shipments soar even as its overall cell phone shipment ranking declined, reflecting the company’s strategic shift away from lower-margin, higher-volume products and toward more profitable devices, according to iSuppli Corp.
The company’s overall cell phone shipment ranking fell to sixth place in the second quarter, down from fourth in the first quarter. This marked the first time in at least three years that Sony Ericsson didn’t rank among the Top 5 global cell phone brands. While shipments rose 4.8 percent compared to the first quarter, close rivals Research in Motion and ZTE surpassed Sony Ericsson because their growth rates were larger.
Nokia N8 Smart Phone Matches iPhone 4 Costs, iSuppli Teardown RevealsOctober 13, 2010Despite major differences in features and component selection, Nokia’s new N8 smart phone carries a Bill of Materials (BOM) cost nearly identical to that of the iPhone 4, according to a preliminary teardown analysis conducted by iSuppli Corp.
The N8’s BOM amounts to $187.47, according to a preliminary estimate from iSuppli. The 16Gbyte version of the iPhone 4’s BOM came in at $187.51, based on pricing from iSuppli’s teardown in June, although Apple’s component prices have eroded since that time.
“The N8’S BOM shows Nokia is targeting the product squarely at the touch-screen smart phone segment now dominated by the iPhone,” said Andrew Rassweiler, director, principal analyst and teardown services manager, for iSuppli. “Although the two phones differ markedly in key areas, including the camera and the core silicon, both are designed to hit similar production cost budgets.”
Android Becomes Smart Phone Market’s Secret Sauce for Success in Q2October 12, 2010In a sign of the growing momentum behind Google Corp.’s Android, makers of handsets utilizing the operating system represented the majority of the fastest-growing firms among the Top 10 smart phone brands in the second quarter, according to the mobile and wireless research firm iSuppli Corp.
Droid phone specialist HTC Corp. achieved industry-leading growth, with its smart phone shipments rising by a stunning 63.1 percent in the second quarter compared to the first. Meanwhile, on the strength of its Android-based Galaxy line of smart phones, Samsung Electronics posted the second strongest performance, with a 55.6 percent sequential rise. New Android licensee Sony Ericsson came in fourth in terms of growth, with shipments rising by 15.4 percent.
China’s Cable Set-Top Box Shipments Rise Courtesy of Network Convergence ProjectOctober 05, 2010China’s Three Networks Convergence project is driving the expansion of the country’s cable Set-Top Box (STB) market, with shipments set to rise by nearly 25 percent in 2010, according to the market research firm iSuppli Corp. China’s domestic unit shipments of cable STBs will amount to 25.1 million units in 2010, up 24.8 percent from 20.1 million in 2009. The second quarter is expected to generate the strongest growth of the year, as provincial cable television operators...
Semiconductor Distributors Enjoy Soaring Sales in ChinaSeptember 28, 2010Matching the robust and thriving electronics industry in China, semiconductor distributors in the country are expected to enjoy nearly 30 percent growth in 2010, according to the market research firm iSuppli Corp.
With sales in 2010 up 28.5 percent to $33.1 billion, distributors will account for 51 percent share of semiconductor sales in the world’s most populous country. Direct sales from semiconductor suppliers, on the other hand, will make up the remainder—at about $31.7 billion—or 49 percent.
Overall, China’s semiconductor sales from both distributors and chip suppliers are projected to reach $64.8 billion in 2010, up a remarkable 30 percent from $49.5 billion in 2009.
The two channels in 2011 will be virtually tied at $35.4 billion each.
India Cell Phone Penetration to Reach 97 Percent in 2014September 22, 2010Cell phone ownership has become near ubiquitous in India, with wireless subscriptions in 2014 expected to amount to more than 97 percent of the country’s population of 1.26 billion, according to the market research firm iSuppli Corp.
With about 19 million new subscribers added each month during the first four months of 2010 alone, India’s wireless subscription rate is going at a rapid clip. By the end of this year, total wireless subscriptions are projected to reach 766.0 million—45.9 percent higher than the 525.1 million subscribers counted at the end of 2009, iSuppli mobile industry forecasts show.
Global Wireless Subscriptions Reach 5 BillionSeptember 17, 2010Marking a major milestone in the history of technology, the number of worldwide subscriptions for wireless services is expected to reach 5 billion this month, equaling 73.4 percent of the earth’s population, according to the market research firm iSuppli Corp.
“If the importance of an event can be measured by the number of people it affects, then the proliferation of wireless communications stands out as one of the most significant phenomena in the history of technology,” said Dr. Jagdish Rebello, senior director and principal analyst for wireless research at iSuppli. “Wireless communication now has spread to every nation, every age and every income level, becoming a basic staple like food, clothing and shelter. Wireless now represents the biggest stage that any technology market has ever played on, offering unlimited opportunities for members of the mobile communications supply chain.”
China Electronics Export Market Decline in June, Except for PCsSeptember 08, 2010China’s mobile handset and LCD-TV exports declined unexpectedly in June, as the handsets were negatively impacted by a government investigation and the televisions took a hit due to weak demand and rising inventory, according to the China market research company, iSuppli Corp.
Exports of mobile handsets in June amounted to 59.5 million units, down 1 percent from 60 million in May. Meanwhile, total LCD-TV export shipments fell by 3 percent, declining to 4.3 million units, down from 4.4 million the previous month. Channel inventory in June rose compared to May because of weaker-than-expected sales.
BlackBerry Torch Carries $171.05 Bill of Materials, iSuppli Teardown RevealsAugust 17, 2010Research in Motion Ltd.’s new Torch 9800 smart phone carries a Bill of Materials (BOM) of $171.05, according to a dissection and cost model conducted by the Teardown Analysis service at market research firm iSuppli Corp.
“On the outside, the Torch delivers a rich feature set, with three User Interfaces (UIs): a capacitive touch screen, an optical track pad and the first slider QWERTY keyboard found in a BlackBerry,” said Andrew Rassweiler, principal analyst, teardown services manager, for iSuppli.
iPad-Type Tablets Open New Opportunities for Wireless Chip VendorsAugust 12, 2010Booming sales of emerging wirelessly enabled consumer devices will generate new growth opportunities for semiconductor suppliers, spurring the shipments of embedded Wireless Wide Area Network (WWAN) chipsets for slate-type tablets to soar, according to the market research firm iSuppli Corp.
iSuppli forecasts that by 2014, 20.7 million embedded WWAN chipsets will be shipped to the slate-type tablet market—a category that includes Apple Inc.’s iPad—up from almost none in 2009. Meanwhile, 2.1 million embedded WWAN modules will be shipped for the slate market by 2014, up also from virtually nil in 2009, for a whopping 498.4 percent Compound Annual Growth Rate (CAGR).
Google’s Android to Outstrip Apple’s iOS by 2012, iSuppli ForecastsAugust 05, 2010Google Inc. is expected to prevail in a key battleground for its wireless war with Apple Inc., as the smart phone market share of the Android Operating System (OS) rises to surpass that of the iPhone’s iOS in 2012, iSuppli Corp. predicts.
Android will be used in 75 million smart phones by 2012, up from 5 million in 2009. Meanwhile, iOS usage will amount to 62 million in 2012, up from 25 million in 2009.
This will give Android a 19.4 percent of the global market for smart phone OSes in 2012, up from 2.7 percent in 2009. In contrast, Apple’s iOS for the iPhone will see its share shrink to 15.9 percent in 2012, down from 13.8 percent in 2009.
China Green Policies Spur Local Wind Energy and Photovoltaic MarketsAugust 04, 2010Chinese government policies intended to promote the adoption of green technologies are having the desired effect, with the country enjoying a boom in wind power capacity and Photovoltaic (PV) installations that is fueling the establishment of a new generation of global green energy suppliers, according to iSuppli Corp.
“Thanks to assiduous government support, the China markets for wind power and photovoltaic solar energy— two major green industries in the country—climbed to new highs in 2009, the latest year for which statistics are available,” said Isaac Wang, senior analyst for China research at iSuppli.
Government Incentives Spur Doubling in China LED Market by 2014July 29, 2010Driven by government subsidies and soaring demand from new applications such as LCD-TV backlighting and general illumination, China’s Light-Emitting Diode (LED) market is set to more than double from 2009 to 2014, according to iSuppli Corp.
LED revenues in China will reach $7.1 billion by 2014, up from $3.4 billion in 2009, for a Compound Annual Growth Rate (CAGR) of 12.8 percent. Ultra-High Brightness (UHB) LEDs will increase particularly rapidly, rising to $1.8 billion by 2014, up from $686 million in 2010.
HTC Droid Incredible Carries $163.35 Bill of Materials, iSuppli Teardown RevealsJuly 29, 2010HTC Corp.’s Droid Incredible smart phone carries a Bill of Materials (BOM) of $163.35, according to a dissection conducted by iSuppli Corp.’s Teardown Analysis Service.
“The Droid Incredible could have been dubbed the ‘Nexus Two’ given its similarity to HTC’s Nexus One introduced early this year,” observed Andrew Rassweiler, director and principal analyst and teardown services manager for iSuppli. “Indeed, the phones are very similar in terms of costs and features, with the main difference being the Incredible’s support for the CDMA air standard used by carrier Verizon in the United States.”
Wireless Infrastructure Spending to Rise in 2011 as 4G Deployment StartsJuly 28, 2010Following two years of declining expenditures, global capital spending on wireless infrastructure equipment is set to return to growth in 2011 as carriers in the developed world start deploying next-generation 4G networks, according to iSuppli Corp.
Capital spending on wireless infrastructure throughout the world is projected to reach $40.3 billion in 2011, up 6.7 percent from $37.8 billion in 2009.
Four Out of Five Cell Phones to Integrate GPS by End of 2011July 16, 2010
With cell phones increasingly becoming the nexus of the burgeoning markets for navigation and Location Based Services (LBS), the use of Global Positioning System (GPS) technology in such platforms is set to explode during the coming years, according to iSuppli Corp.
In the fourth quarter of 2011, 79.9 percent of cell phones shipped—amounting to 318.3 million units—will incorporate GPS functionality, up from 56.1 percent in the first quarter of 2009—or 187.8 million units—iSuppli predicts.
The adoption of GPS in mobile handsets is being driven by smart phones.
Gray-Market Cell Phones Impacted by Chinese Government InvestigationJuly 08, 2010A Chinese government crackdown will cause shipments of gray-market cell phones to decline in June and result in shipments falling short of iSuppli Corp.’s previous forecast for the year 2010.
Total shipments of gray-market cell phones manufactured in China, which are not recognized or licensed by government regulators, are expected to fall 25 percent in June compared to the previous month in May. iSuppli predicts gray market cell phone unit shipments will amount to 172 million in 2010. While this is up 18.6 percent from 145 million in 2009, this represents a significant decline in the growth rate from the 43.6 percent expansion in 2009.
Gray market phones not only employ fake International Mobile Equipment Identity (IMEI) numbers—which are used by wireless networks to identify valid devices—but also do not carry test/quality certifications or network entry permits.