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Sluggish iPhone sales could lead to stiff fines for Russian operators

by Darren Murph posted May 22nd 2009 @ 2:01PM

See folks, this is the kind of mess you end up with after you gleefully do a deal with the devil. According to a roundup of reports over at Unwired View, three of Russia's major mobile operators could be looking at massive (we're talking hundreds of millions of bucks) fines if they can't sell through their iPhone allotments, and unless a significant market shift happens within the next few months, that situation seems remarkably unlikely. We're told that Vimpelcom pledged to sell 1.5 million iPhones within two years, while Megafon committed to 1 million and MTS the same. Today, just 900,000 iPhones have been imported to Russia, with over half entering the country via grey market channels; we'll let you figure out the math there, but it ain't pretty for Russia's carriers. Of course, we're not shocked in the least -- after getting burnt by a bootable-but-not-usable iPhone over there, are you seriously going to give Apple another chance to win you over?

[Thanks, Staska]

Nokia's profits drop 90% in Q1 2009

by Darren Murph posted Apr 16th 2009 @ 9:24AM

So, there's good news and bad news here, and we're opting to go against tradition by dishing out the positive first. Nokia just pushed out its Q1 2009 results, and while many firms have been struggling to stay afloat, at least it managed to turn a profit of €122 million ($160 million). That said, it's still looking at a staggering 90 percent drop in profits compared to its first quarter of 2008, where it raked in a mind-boggling €1.222 billion ($1.6 billion). Not surprisingly, sales were also down 27 percent to €9.28 billion ($12.2 billion) from €12.7 billion ($16.7 billion). Of course, Nokia's far from being alone in having to showcase less-than-beautiful Q1 numbers, but in reality, the damage could've been much worse; in fact, shares of the company's stock inched up by 8 percent following the reveal, as many had feared an even more significant decline. All in all, Nokia's still holding strong to a 37 percent market share worldwide, and if CEO Olli-Pekka Kallasvuo has anything to do with it (hint: he does), things should be on the up and up here soon.

[Via BBC]

MetroPCS sees huge influx of customers, intros GroupLINE

by Darren Murph posted Apr 10th 2009 @ 9:35PM

We'd already heard that right about now was a great time to be in the prepaid cell business, and that's being proven quite definitively by MetroPCS' Q1 subscriber results. We're told that the firm saw a net addition of 684,000 customers in the first three months of 2009, representing an astounding 51 percent increase year-over-year. While celebrating mightily, the company also saw fit to introduce a "one-call communication solution targeted at families and friends who are trying to save money in today's economy by 'cutting the cord' and replacing their landline telephones with wireless phones." Said "landline replacer" is called GroupLINE, which enables up to five MetroPCS Family Plan subscribers to receive calls on a shared GroupLINE number while still maintaining their individual mobile numbers -- all for just $5 per month. So, anyone looking to tighten the belt by going prepaid? Your options are getting good.

[Via GigaOM]

Read - MetroPCS results
Read - GroupLINE launch

LG looks to boost market share to 10 percent with low-end phones

by Darren Murph posted Feb 18th 2009 @ 5:39PM

Here's a concept: sell cheap, low-margin phones while the economy is in the dumps in order to grow market share. Brilliant, right? Believe it or not, that's the idea that's being pushed around at LG headquarters, as the company has revealed a goal of increasing its global handset market share to at least 10 percent during this year. The company does expect profits to shrink over the course of 2009, but it's still hoping for a high single-digit percent profit margin on mobiles, against 11 percent in 2008. According to Skott Ahn, President and CEO of Mobile Communications at LG: "Developed markets will definitely suffer some contraction, but there's a chance for growth in first-time buyers in emerging markets." So, what does LG really have to do to hit 10 percent? Maintain its sales volume at 2008's level, which was moving some 100.7 million across the globe.

RIM selling gobs of BlackBerrys, profits just so-so

by Darren Murph posted Feb 12th 2009 @ 2:09PM

Just under a week ago, we found that RIM had sold its 50 millionth BlackBerry, and while that's all fine and dandy, Wall Street only cares about what you've done for it lately. Thus, traders were none too pleased to hear Research In Motion suggest that its fourth fiscal quarter earnings would come in at the low-end of expectations despite anticipating a higher-than-forecast number of new subscribers. So, what's it all mean? In simple terms, it appears that RIM's making less off of each phone sold, with Todd Coupland of CIBC Capital Markets surmising that the firm may simply be selling more of its lower-priced devices. And honestly, that makes perfect sense given the economy. Still, we can think of much, much darker places for RIM to be in than this, and these days, just coming out in the black is a victory.

[Via Wall Street Journal]

Vodafone reports 14 percent rise in revenue

by Darren Murph posted Feb 3rd 2009 @ 9:39PM

Things may not be entirely awesome for most operators these days, but at least Vodafone's making some cash in this cash-strapped market. According to its most recent quarterly results, the outfit has notched a 14 percent increase in revenue, which was helped by the weak pound and exceptional sales in India. More specifically, it realized sales of £10.47 billion ($14.9 billion) compared to £9.16 billion ($13.06 billion) a year prior. Also of note, Voda was thanking data revenue profusely, as said category rose over 25 percent on an organic basis. Nevertheless, the good news prompted it to raise its expectations for the next quarter, which ain't happening too often these days. All the minutiae is parked in the read link.

Apple crosses the magical 1% mark in global phone market share

by Darren Murph posted Jan 29th 2009 @ 6:22PM

Look out, world -- Apple's on the hunt for that number one spot in worldwide mobile market share! Of course, it's got like a bazillion miles to go before it gets there, but achieving that magical 1 percent is always a day worth tearing up about. According to data in a recent ABI Research study, iPhones now make up 1.1 percent of all cellphones, which is a pretty nice bump from the 0.3 percent share the original iPhone held in 2007. As expected, Nokia's still making everyone else look bad with 38.6 percent, while Samsung (16.2 percent) notched the silver and Motorola / LG tied for third with 8.3 percent apiece. Number lovers can dive into the links below for more where this came from, and feel free to dispute the facts 'til your heart's content down in comments.

[Via Electronista]

Nokia ships one millionth 5800 XpressMusic, does a little dance

by Darren Murph posted Jan 23rd 2009 @ 2:53PM

Okay, so we're going on the assumption that the 500,000 figure uttered by Nokia CEO Olli Pekka Kallasvuo during this week's Q4 earnings call was a touch old -- you know, considering that the outfit is now trumpeting the shipment of a cool million. Following a (very!) successful UK launch, Nokia has just shipped its one millionth Tube, which is the handset maker's first mass market touchscreen device. And to think -- it hasn't even debuted in many corners of the globe yet.

Nokia ships half a million 5800 XpressMusic handsets in 30 days

by Darren Murph posted Jan 23rd 2009 @ 8:09AM

If this were coming from any other mouth, we'd definitely second guess it. As it stands, though, it's hard to dispute the words of Nokia's CEO when it comes to matters involving Nokia. Mr. Olli Pekka Kallasvuo stated rather proudly during the firm's Q4 results call that it had shipped just over 500,000 5800 XpressMusic mobiles (better known as the Tube) in just 30 days. That figure becomes even more impressive when you realize that shipments only occurred in select markets, though it should be noted that "units shipped" and "units sold to end users" could indeed be very different things. Still, half a million in just a month ain't too shabby in today's economy, so here's the kudos you're clearly due, Nokia.

Handset makers ponder larger-than-usual price cuts to counter bulging inventories

by Darren Murph posted Jan 22nd 2009 @ 1:17PM

Samsung already declared that the handset market simply isn't what it used to be, and now it seems like a bunch of its rivals are begrudgingly nodding their heads in agreement. According to a new report from Reuters, Nokia and some of its main competitors have begun to "slash prices as demand falls and retailers cut inventories after lackluster holiday sales." Not surprisingly, demand for new handsets was down in the critical last quarter of 2008, and the falling demand at a time when retailers are looking to scale back on inventory holdings has left many with few options. eQ Bank analyst Jari Honko noted that there are just "two ways to cut inventories -- writedowns or dump them on the market," and it seems that most of the cuts thus far have occurred on the mid- to high-end handsets in Europe. Not to be disrespecting any bottom lines, but can we North Americans get a little of that discount love over our way?

[Image courtesy of Guyana Providence Stadium]

LG overtakes Motorola for third place in global handset shipments

by Darren Murph posted Jan 20th 2009 @ 12:57PM

Half a year ago, Motorola was still clinging tight to the number three spot in terms of worldwide handset shipments, but boy -- what a difference six months makes. According to numbers compiled by DigiTimes, LG Electronics managed to ship just over 100 million mobile phones in 2008, while Moto checked in with "just" 99.9 million shipped. That makes LG the third largest handset maker in terms of shipments, barely beating out Moto and Sony Ericsson who placed fourth and fifth, respectively. As expected, Nokia and Samsung are still holding down the top two spots, but it's the continued slippage of Motorola that's most significant here. You know what they say about being on rock bottom, right? We bet Motorola's wondering if that mantra applies here.

[Via phonescoop]

Carphone Warehouse sees retail sales rise 13%

by Darren Murph posted Jan 18th 2009 @ 2:29PM

Who says everyone has to report bum quarters these days? The Carphone Warehouse -- which is only Europe's largest, most recognizable independent mobile phone retailer -- has just reported that retail sales during its most recent quarter were up 13 percent to just over £1 billion ($1.48 billion). Moreover, its connections were up 3% to 3.7 million and subscription connections rose 3% to 1.3 million, though revenues of its TalkTalk Group were down slightly (2%) to £347 million ($514 million). Still, bigwigs at the firm aren't ignorant to the market, noting that "weaker trading conditions" are likely to continue, and thus, affect future numbers. Still, we'd say these guys deserve a round of golf claps for just breaking into '09 in the black.

[Via mocoNews]

HTC expects to move over one million G1 handsets in 2008, party hard in 2009

by Darren Murph posted Dec 23rd 2008 @ 10:27AM

Given just how awesome HTC's most previous quarterly results were, we don't blame it for being a tad optimistic about overall G1 sales. CEO Peter Chou was quoted as saying that the G1 should sell just over a million units this year, with the second Android-powered handset coming in Q1 2009 at the "earliest." Interestingly, the report also stated that HTC was hard at work on its third Google-infused mobile, which isn't at all mind-blowing considering that we're talking about a phone company that has to make new phones in order to stay afloat.

[Via mocoNews]

Internet leaders peg phones as leading medium for internet use by 2020

by Darren Murph posted Dec 17th 2008 @ 7:52PM

A survey of internet leaders, activists and analysts -- which undoubtedly included one Kim Jong Il -- found that by 2020, the leading method for accessing the intarwebz will not be highly potent Alienware gaming rigs, but cellphones. Granted, the finding isn't all that shocking considering just how ubiquitous mobiles are in comparison to full-fledged PCs, but it's still a rather astounding hypothesis. Comically enough, these very "leaders" couldn't come to an agreement on whether the widespread access along with other tech advances would "lead to more social tolerance, more forgiving human relations, or better home lives." Ah well, we've only got a dozen years to find out, no need to spin your wheels now.

[Via mocoNews]

Nokia and Motorola dominate China's smartphone market

by Darren Murph posted Dec 16th 2008 @ 8:01PM

Really, it's not even fair. A recent look at Q3 2008 smartphone sales in China has found that together, Nokia and Motorola encompass around 90% of all handsets sold in the nation (real ones, we presume). The CCID Consulting report also points out that Nokia's share alone is a dominating 69.3%, with its wide range of choices spanning from low-end to ultra-luxurious helping it to hook consumers from all walks of life. Picking up the silver is Moto with a respectable 19.9%, while Dopod snags the bronze with just 4.7%. Overall, handset sales in China were practically flat from Q2, which -- in today's world -- isn't particularly awful. For the number lovers out there (you know who you are), check the read link for even more statistics.

[Via mocoNews, image courtesy of SymbianWebBlog]