Processing .....please wait.. 
The article has been forwarded.... 
News >> Technology >>
Smartphones' demand to accelerate market growth in Q1
By Roshna Sankar
|
Tuesday, 13 April 2010, 23:31 IST
Helsinki: After experiencing a dismal situation in 2009, cellphone majors are likely to report accelerating market growth and booming demand for new smartphones when they unveil March quarter earnings starting this week. According to a survey done by Reuters, sales volume growth is expected to accelerate to 12.7 percent in the first quarter and to reach 10.8 percent this year.
Both Samsung Electronics and LG Electronics are set to continue winning market share in the quarter, but LG's result is expected to suffer. Talking to Reuters, Park Won-jae, analyst at Daewoo Securities said, "LG Electronics will show the lowest profit margin among the global major vendors this year as its problem of weak smartphone offerings will continue to depress earnings growth."
Similarly Nokia, one of the largest cellphone makers, is expected to win some volume market share in the quarter as it is benefiting from increasing demand for cheaper smartphones, but it still lacks top-of-the-range models to battle Apple's iPhone. Blackberry maker Research in Motion (RIM), the second largest smartphone maker after Nokia, reported a rise in profit and sales, helped by strong sales of its cheaper, consumer-focused products, but the results lagged expectations.