267 million smartphones shipped globally in first quarter of this year; Samsung leads with 30% share
Korean based manufacturer Samsung held the top spot with a 30% share of global smartphone shipments. When many think of the brand, the high-end Samsung Galaxy S5 and Samsung Galaxy Note 3 come to mind. But TrendForce said that Sammy captured the top spot with its low to mid-range devices. The research firm added that Apple had a decline in market share for the second quarter, but that is expected to reverse in the second half of 2014 when the Apple iPhone 6 is released. The Cupertino based tech titan is currently second to Samsung with its share of global smartphone shipments.
Chinese brands took market share away from global manufacturers. Huawei, Xiaomi and Lenovo (not including Motorola) each owned more than 20% of smartphone shipments in Q1.
1. Sauce (unregistered)
Why do companies, Samsung in particular, boast about "shipped" units, and not "sold". Demands based off of prejections is understandable, as well as other shipping reasons, but aren't the sales numbers what matter?
2. pwnarena (Posts: 1040; Member since: 15 Feb 2013)
because there are people who believe shipment figures matter. just wait for the many sammy "fannies" here who will be singing praises for company later. that type of propaganda works very well for them so samsung continues using it.
6. willard12 (Posts: 1164; Member since: 04 Jul 2012)
The devices are shipping to stores and wholesalers that bought them...unless you think Samsung is shipping them the devices for free. All OEMs report shipping numbers, even Apple, except for devices sold from Apple stores. Best Buy has no obligation to report to Samsung how many devices they sold.
11. Ashoaib (Posts: 2839; Member since: 15 Nov 2013)
Propaganda guy, please take an economic lesson.. business management lesson or sales and promotion lesson before talking anything... high demand means more units shipped...
18. pwnarena (Posts: 1040; Member since: 15 Feb 2013)
clueless guy, i hope you're getting my point. try using some brain.
get a clue from your "ally's" post here:
12. shuaibhere (Posts: 877; Member since: 07 Jul 2012)
"You know what????
It's know samsung can't ask each and every retailer seperately....so they report what they ship...
But they report the sold units like after 10 months because at that it becames clear.... "
they prefer using that flexible term so they don't end up getting cornered for taxes by mentioning that they've actualyl sold that much. they do the real accounting/records consolidation near the financial year end to reflect true numbers. bear in mind that prices at launch are way higher than they are after a number of months.
big "shipped" numbers always sound great because they seem to indicate big demand and they excite people lilke you as proven by this post. bear in mind that the report is just for the first quarter. my argument becomes invalid if i say this for the third or fourth quarter report because big shipments by then should already validate high demand.
well, i really have no business thrashing samsung because i like the s5 myself because of the power efficient technology in it. i just hope people like you do some real thinking and not attack anyone who seem to sound inimical to your idol brand.
31. Ashoaib (Posts: 2839; Member since: 15 Nov 2013)
Brainless guy, So do you mean to say retailers are fool and just receive the units without having a high sales/demand and keep stacking up in their stores/shops? high shipments do mean higher sales/demand otherwise retailers will not ask for more supply, they will keep fewer units which they can actually sell bcoz no retailer wants to create a pile of unsold boxes in their stores... ofcourse actual number of sold units appear at the end of fiscal year
3. galanoth (Posts: 393; Member since: 26 Nov 2011)
Shipped numbers are easier to report?
They can see exactly how many units leave their warehouses.
As soon as the phones are out of their control, maybe it's hard to get accurate data back when phones are actually being sold from respective retailers.
5. tedkord (Posts: 7219; Member since: 17 Jun 2009)
Very true. It's also important to note that Apple also reports shipped as sold. Apple can report the devices they sell directly to the public, which Samsung can't because they don't sell direct. But Apple also ships to carriers and retailers, and don't know the sell through immediately. They still report them as sold.
16. Finalflash (Posts: 2141; Member since: 23 Jul 2013)
That isn't true actually. The Apple phones count as sold because the carriers have to actually buy them when they order them. That is why Apple reports sold numbers instead because for all they care they already sold them regardless of them sitting on shelves. Samsung and others ship the phones and only get their cake when it's been sold. Apple does that s**te so the carriers have to push their iPhones otherwise they get stuck with inventory that they already paid for. That is why recently the carriers started pushing more non-iphones so they didn't have to order as many and take such a hit to their Financials every quarter (because their iPhones are just red until sold).
22. willard12 (Posts: 1164; Member since: 04 Jul 2012)
That actually isn't true. Manufacturers don't get "back-pay" after they ship a device. Apple reports the numbers shipped also. If Apple and Samsung reported sold, alalytics firms like Kantar would be out of business. If they mention a number sold, they are citing an analytics firm's data. Carriers are pushing back at the amount they have to subsidize after they negotiate their selling price with Apple. Selling androids and WPs ends up covering the cost of subsidies fro iphones.
"While it’s true that iPhone accessories sales bring in a huge amount of profit for carriers, the higher subsidies on the device itself negatively affects carriers’ bottom lines. Sprint’s CEO has been very vocal about the company’s decision to partner with Apple, saying that taking on the iPhone is a long-term investment. Fortunately, the iPhone has an unusually high customer retention and satisfaction rate."
4. tedkord (Posts: 7219; Member since: 17 Jun 2009)
Because if they're not selling, retailers aren't ordering more and no more will ship. Samsung doesn't just ship however many it feels like shipping, they ship what retailers order. Retailers order based on demand.
12. shuaibhere (Posts: 1927; Member since: 07 Jul 2012)
You know what????
It's know samsung can't ask each and every retailer seperately....so they report what they ship...
But they report the sold units like after 10 months because at that it becames clear....
17. pwnarena (Posts: 1040; Member since: 15 Feb 2013)
hey don't get so worked up. that's precisely my point. being able to ship huge numbers always sounds great especially for fans but true accounting is done near the fiscal year's end. this is an important distinction because prices of devices at their release are different a few months later.
25. tedkord (Posts: 7219; Member since: 17 Jun 2009)
If what you mean is that there's no significant difference, then I do see what you mean. Retailers order based on demand. Samsung doesn't get to ship whatever they like to each retailer.
10. 0xFFFF (Posts: 3806; Member since: 16 Apr 2014)
Many companies quote unit numbers with arbitrary definitions like "shipped" because it gives them more flexibility when it comes to revenue recognition and other forms of manipulated accounting. It's very important that Samsung's quarterly revenues stay on a consistent steady growth path. How many phones sell through to end users is somewhat secondary. So the units Samsung uses are those that are most flexible for their accounting needs.
27. kryme (Posts: 247; Member since: 24 Oct 2013)
think of it like this.... if they ship 10million phones if those didnt sell u think there would be a need to ship another 10million... samsung is not forcing companies to take the phones the companies r demanding more phones... so if i send u ten phones and u ask for another 10... that mean the first 10 is almost finish or is finish and u want more...
7. TylerGrunter (Posts: 1317; Member since: 16 Feb 2012)
I wonder if Alan read the article, and if so how he translated:
"Companies such as Huawei Device, Lenovo (excluding contributions from Motorola), and Xiaomi all experiencing quarterly growth of more than 20%."
"Huawei, Xiaomi and Lenovo (not including Motorola) each owned more than 20% of smartphone shipments in Q1." (which is ridiculous by the way, that would mean chinese companies controlling more han 60% of the market!!!)
8. twens (Posts: 849; Member since: 25 Feb 2012)
Sammy haters are finding excuses again. Use your common brains. Shipment is equal to units sold. If they are not selling there wouldn't be any shipment.
21. Sauce (unregistered)
Lmao! Shipments made = devices sold to public? LOL?
23. willard12 (Posts: 1164; Member since: 04 Jul 2012)
Shipments made = devices sold to wholesalers and retail stores.
24. Sauce (unregistered)
Yes, I understand that part, but shouldn't public-count be the most important figure? How many out of X are actually sold to the public, and how many sit in the back (in general, not this specific phone)? We want to see how much the public likes and buys this phone. Not what wholesale/retail buys.
26. willard12 (Posts: 1164; Member since: 04 Jul 2012)
Yes. But since best buy, t mobile, rogers, orange, verizon, vodafone, metro wireless, cricket, LG u+, radio shack, virgin mobile, sprint, Tim, wind, wal-mart.....don't report to Samsung, we're left with shipmemt data from. Since the source of the data in this article is from Trend Force not Samsung, I'm not sure you can blame Samsung for info we don't like.
29. taz89 (Posts: 2014; Member since: 03 May 2011)
Sure public sales matter but in reality samsungs customers are the carriers and the carriers customers are us.. Once Samsung got there pay off the carriers that's a sale for them because it's money in the pocket for them.
14. fireblade (Posts: 716; Member since: 27 Dec 2013)
sold doesn't mean quality.
It's like comparing toyota which is sold in hundred millions and ferrari which is sold in a few thousands.
19. pwnarena (Posts: 1040; Member since: 15 Feb 2013)
oh please don't mention toyota as an example of quality when they've had a massive product recall just this past week.
i love made in japan products but let's be factual every once in a while.
15. twens (Posts: 849; Member since: 25 Feb 2012)
Have you own a ferrari? I have a Camry and I know it doesn't give me any issues or cost a fortune to keep. It takes me anywhere I go. So your understanding of quality is subjective. Luxury doesn't equal to quality. Grow up. The iPhone is a luxury goods, it doesn't mean it's quality.
20. AfterShock (Posts: 3698; Member since: 02 Nov 2012)
Nary a mention of Nokia or WP there.
Wonder if that's because of low volumes, or being not actually considered a smart phone?
30. sgodsell (Posts: 2283; Member since: 16 Mar 2013)
Considering 9.5 million WP sold globally in Q3 2013, then WP sold 8.8 million in Q4 2013. That down swing happened during the holiday quarter when Microsoft and Nokia were giving sales as low as $49 for lumia 520's. Android sold in Q3 2013 207 million phones, Q4 2013 Android sold 226 million. Android has never seen a negative growth globally. Also Microsoft's Nokia released 3 Android OS phones in February 2014. All this time Nokia never released an Android phone until this year. Even then its not a traditional Android phone, because it has no Google apps or services, only Microsoft's. Microsoft is using the Android name to push its apps and services instead of using its own WP OS.
32. samirsshah (Posts: 61; Member since: 10 Mar 2011)
Samsung is a monopoly at lower ranges with Apple not competing at lower range of market and Windows Phone not having anything below $200.