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Windows Mobile Loses Ground in Smartphone Market

Microsoft's operating system for consumer smartphones lost market share last quarter, according to research announced this week by Gartner.

Smartphone devices featuring Microsoft's Windows Mobile OS only claimed five percent of sales in the second quarter of 2010. That figure represented a decline from the previous year's second-quarter number of 9.3 percent. The data come from Gartner's "Competitive Landscape: Mobile Devices, Worldwide, 2Q10" report.

Microsoft's overall unit sales featuring the OS in Q2 fell to 3,096,400 smartphones -- down from Q2 2009's number of 3,829,700 smartphones. Overall, Gartner found Windows Mobile to be in fifth place in terms of smartphone sales.


First place belongs to Nokia's Symbian OS, which claimed 41.2 percent of the market. Next is Research In Motion, known for its BlackBerry devices, with 18.2 percent. Finishing slightly better than Microsoft's Windows Mobile was the Android OS and Apple's iOS, finishing with 17.2 percent and 14.2 percent, respectively.

The 4.3 percentage-point drop in market share for Windows Mobile comes on the heels of the company prepping its Windows Phone 7 OS for release later this year. Gartner analysts generally believe that such refresh efforts will contribute to the upward sales trend of new phones.

"Launches of updated operating systems will help maintain strong growth in smartphones in the second half of 2010 and spur innovation," said Carolina Milanesi, research vice president at Gartner, in a released statement. "But we believe market share in the OS space will consolidate around a few key OS providers that have the most support from CSPs and developers, and strong brand awareness with consumers and enterprise customers."

Microsoft is betting that it will end up as one of those "key OS providers" with Windows Phone 7. However, the company faces stiff competition in the consumer mobile market and has had recent setbacks, such as the discontinuation of its Kin phone line.


About the Author

Chris Paoli is the associate Web editor for 1105 Enterprise Computing Group's Web sites, including Redmondmag.com, RCPmag.com, ADTmag.com and VirtualizationReview.com.

Reader Comments:

Fri, Aug 20, 2010 Jeff Dworkin Deep in the Midwest

Windows mobile is the OS of choice and many, many thousands of industrial class handheld devices used by the rail industry, the intermodal shipping industry, and many many others. There's a huge base of installed logistics and inventory management software out there that isn't going anywhere.

Thu, Aug 19, 2010 FriskyBadger

The real magic is going to happen when Palm announces its next phone. Or a partnership between Android and RIM would actually be the best thing that could happen. Android sucks when it comes to Exchange/Outlook Sync. The contacts management is weak. If RIM could get it's email and management onto the DROIDs, it would be a new world.

Thu, Aug 19, 2010 Gino

people - do not hold your breath for mW7. The SP market boat has sailed and MS did not even get out of bed......BTW - I sell MS technology for a living......the SP market in so far as MS is concerned is a waste land.....no CIO is gonna go there

Tue, Aug 17, 2010 Jim

I will be in the market for a new phone this fall, and will definitely look at the Windows Phone 7 platform. If I don't like it, I'll either wait for the iPhone on Verizon's network, or go with an Android phone. I prefer going with the Windows phone since everything is Windows at work.

Mon, Aug 16, 2010 Trevor Dierdorff Colorado

I am ready for a new smart phone but am waiting for Win Moblie 7 to come out before I decide. I am using a Sprint mogul phone with Win Mobile 6.5. It hardly compares to an iPhone or Droid Incredible. MS knows that Win Mobile7 must have competitive offerings to those to achieve greater market share. I am excited to see WM7 and hopeful it will be worth the wait but fear my wait will be rewarded with dissapointment. Here I am MS willing to be sold. Come and get me!

Fri, Aug 13, 2010 Ally SF

The danger of Windows Mobile: The decline is more rapid than expected. The market share of Windows Mobile is basically in free fall. The real problem is that we're seeing OEMs lose interest. Microsoft can claim it will support it forever, but if the OEMs depart, the platform is finished. Enterprises really need to have a strategy in place to migrate to a different platform.

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