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July 25, 2011 7:24 AM PDT

Samsung smartphone sales may outshine Apple

Samsung has passed Nokia and may have passed Apple in global smartphone sales during the second quarter, according to estimates from Strategy Analytics analyst Neil Mawston.

Smartphones like the Galaxy S II have boosted Samsung's sales.

Smartphones like the Galaxy S II have boosted Samsung's sales.

(Credit: Josh Miller/CNET)

Responding to a recent series of questions from Bloomberg, Mawston pegged Samsung's second-quarter smartphone sales at anywhere from 18 million to 21 million.

Even on the low end, the numbers surpass those of Nokia, which sold 16.7 million smartphones for the quarter. And if they're are at or near the high end, it means Samsung also edged past Apple, which sold 20.3 million iPhones over the same period.

Either way, the numbers show Android gaining on Apple at the same time that Nokia is just trying to stay in the race, according to Bloomberg. An investor's report from Nomura Securities in June forecast that both Samsung and Apple would overtake Nokia in smartphone sales by the second quarter.

Though still the leading smartphone vendor across the world this year, Nokia's share has steadily dropped. A Gartner report in May discovered that the company's first-quarter share this year had dipped to 25 percent from 30 percent a year ago, its lowest level in 14 years.

In a bid to stay competitive, Nokia reportedly recently trimmed the prices of some of its specific smartphone models. In the meantime, the company is in a bit of a holding pattern as it tries to move ahead on its deal with Microsoft to jump from Symbian to Windows Phone as its core mobile operating system.

The 20.3 million iPhones sold by Apple during the second calendar quarter (Apple's third fiscal quarter) showed a 142 percent jump from a year ago and far surpassed the average analyst's estimate of 16.9 million units, according to Fortune. Apple's COO Tim Cook largely attributed the gains to expansion into emerging markets, including China, Latin America, and the Middle East.

A variety of rumors about an iPhone 5 have bounced around the past several months, but a number of reports point to Apple launching its next iPhone sometime in the fall, probably in September. A new iPhone could slow some of the momentum for Samsung, according to Mawston.

For now though, Samsung may have led the pack in the second quarter with its lineup of Android devices, particularly the Galaxy S II handset, which more than doubled operating profits at the company's mobile phone unit, said Bloomberg. Samsung is now looking to more than double sales of its higher-end smartphones this year.

"Samsung's Android portfolio is selling strongly in most regions," Mawston told Bloomberg. "Samsung stands a reasonable chance of capturing the top spot on a quarterly basis if it can continue expanding its Android portfolio across high-growth markets like China and Brazil. Samsung and Apple will be at similar levels in smartphones by the end of the year."

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Lance Whitney wears a few different technology hats--journalist, Web developer, and software trainer. He's a contributing editor for Microsoft TechNet Magazine and writes for other computer publications and Web sites. Lance is a member of the CNET Blog Network, and he is not an employee of CNET.

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by jlopezcnet (376 comments ) July 25, 2011 7:36 AM PDT
That's fine... I own one and everyone I know who owns one hates theirs. GPS never works right and it's the worst phone evar.

I am going back to iPhone when iPhone 5 comes out. By that time I should be ready for an upgrade. (18 months)
Reply to this comment 5 people like this comment
by cpearlm (472 comments ) July 25, 2011 7:46 AM PDT
I'm sure you represent that group of people well since "everyone you know" probably includes all 18 to 21 million people, right?
32 people like this comment
by dodgeman007 (484 comments ) July 25, 2011 8:04 AM PDT
i love my samsung captivate, other than battery life which imo is horrible on every single smart phone in existence... the moment anyone can make one that with regular usage lasts me a couple days between charges ill buy it no matter who makes it. ill even jump ship to apple <shudders>
1 person likes this comment
by CamaroZ28c (47 comments ) July 25, 2011 8:22 AM PDT
I love my Captivate and have never had any GPS problems. It isn't perfect, but what is? And no, the iPhone isn't perfect either.
9 people like this comment
by dgmelvin (208 comments ) July 25, 2011 8:44 AM PDT
Come on. I have a Samsung Fascinate and I have no issues with GPS. I think you are making wild leaps of thought here. Have you kept current with upgrades? I love my phone and am really happy I bought it.
6 people like this comment
by B0bSaget (51 comments ) July 25, 2011 8:50 AM PDT
First off we all know your full of s.h.i.t considering the earliest release date for Galaxy line of phones was in June 2010 so your 18 month is all bs or it just happens that you and EVERYONE you know have one of their pre-Galaxy line of smart phones.
7 people like this comment
by engdome (115 comments ) July 25, 2011 10:02 AM PDT
This must be a troll. I've never heard anyone having problem with their GPS on the samsung phones. However, i heard plenty of complaints for iphone users about the "lack" of built in GPS.
8 people like this comment
by opensuse-ubuntu (898 comments ) July 25, 2011 10:20 AM PDT
i heard plenty of complaints for iphone users about the "lack" of built in GPS.
----------
they don't need GPS on iphones. The only road they need to know is to ........... Apple stores.
5 people like this comment
by jlopezcnet (376 comments ) July 25, 2011 2:51 PM PDT
@engdome - Check google much? Why don't you learn how to google Galaxy and GPS Issues. This is my third galaxy and it still does not lock onto a satellite 90% of the times. When it finally does, it took almost 10 minutes. Common issue and none of the fixes out there work. It's a hardware issue and that has been confirmed by XDA-Developer forums 10k times over.

Look it up. I have tried every ROM, every fix, every modem and it doesn't work. Call me a troll? I own the freaking device. Apparently you do not or you would be dealing with it too. I have seen other gps devices get their lock in less then 30 seconds. My boss has a Moto Droid and his locks on within 10 seconds. Samsung knew this and promised fix after fix. They were late with the fix and late with Froyo. I have nothing good to say about this company
1 person likes this comment
by jlopezcnet (376 comments ) July 25, 2011 2:55 PM PDT
@dgmelvin - I have a Samsung Vibrant and have had to have it replaced 3 times. The most recent was in early June because it would not charge after I turned off wifi hotspot mode. None of the fixes worked. If you don't believe me then just use google.
by Jbhagat2011 (25 comments ) July 25, 2011 7:43 AM PDT
Yeah right!
Reply to this comment 1 person likes this comment
by nmwheele (602 comments ) July 25, 2011 8:19 AM PDT
Are you that stubborn that you can't accept the numbers even when presented to you in the simplist form?
9 people like this comment
by solitare_pax (5541 comments ) July 25, 2011 8:52 AM PDT
THose are "may" numbers - as in "Maybe they sold even more" or "Maybe the analysist is making it all up."

Hard figures never hurt.
2 people like this comment
by phamhlam (265 comments ) July 25, 2011 7:45 AM PDT
Samsung should start adding better WP7 to their line up and that would probably send sales skyrocketing.
Reply to this comment 6 people like this comment
by nibblybits (45 comments ) July 25, 2011 9:32 AM PDT
WP7 phones aren't sending any manufacturers' sales skyrocketing, sorry to disappoint you.
8 people like this comment
by phamhlam (265 comments ) July 25, 2011 9:43 AM PDT
True nibbly but that is because people haven't been exposed to it much yet. Everyone knows that lots of carrier are turn customer towards iPhone and Andriod but WP7 will crawl to the top.
4 people like this comment
by mrmuppet (267 comments ) July 25, 2011 8:04 AM PDT
How is this a surprise? Samsung phones are far cheaper than Apple's?
Reply to this comment 2 people like this comment
by obviouslynotduckwithnukes (87 comments ) July 25, 2011 8:11 AM PDT
Also, Samsung has a (relatively) large number of smartphones for sale.
Apple has two: The iPhone 4 (more than a year old) and the iPhone 3GS (more than two years old).
1 person likes this comment
by MrObvious1 (36 comments ) July 25, 2011 8:13 AM PDT
Samsung has phones from $299.99 to $0, Apple has phones from $299.9 to $49.99, not sure how that's far cheaper...
13 people like this comment
by nibblybits (45 comments ) July 25, 2011 9:36 AM PDT
@MrObvious1

Samsung's phones are discounted by resellers, while Apple's aren't. You can get the droid charge for $100 (reg. $299), and pretty every other one for similar discounts, if not completely free. With Apple, you have to get permission from Cupertino to lower the price on their phones, and that is not very easy to do. So yes, Samsung's phones are far cheaper than Apples phones, except maybe right after they come out, when they are all sold out & everyone is charging retail.
1 person likes this comment
by cloudmatt (1062 comments ) July 25, 2011 10:18 AM PDT
I really love watching the argument that "Of course android [insert positive numbers here] just look at [how cheap/how many bogo's are available]". It's bad logic, the base cost of many of these phones(no subsidy no discount) are just about neck and neck and while yes Android phones then get to see a fair amount of discount it's not like Apple isn't allowed to play the same game.

It's like saying "Of course Andy won the race he ran, lil Stevie just walked. Steve would have won if only Andy didn't run". There is NOTHING stopping apple from allowing competitive retail pricing on their devices(computers/phones/pads/pods/etc.) except for corporate decisions not to. Don't hate on Android because Apple won't give you a better deal.
3 people like this comment
by Magicland (365 comments ) July 25, 2011 10:19 AM PDT
Samsung also makes 4G phones, apple, not so much...
5 people like this comment
by Renegade Knight (8169 comments ) July 25, 2011 12:08 PM PDT
If Sumsung sold only 1 cheap phone, they would not have much market share. By building phones for all the market segments they gain broader maker share.

Apple only making one phone works well for them for now. In time they may lose market share since they don't offer high end, low end, and other models phones for the different phone segements. In the case of Apple this matters because of their new strategy of making money off iOS as a focus instead of the phone.
1 person likes this comment
by AK3331 (222 comments ) July 26, 2011 10:04 PM PDT
Maybe not cheaper, but Samsung has a lot more phones, on all major carriers, and in all categories of cellular services (Postpaid, prepaid etc.).
1 person likes this comment
by smitchell75 (92 comments ) July 25, 2011 8:26 AM PDT
Hmmm, I may have found a good place to go Troll hunting! Looks like I'll set up camp here!
Reply to this comment 6 people like this comment
by KilroyRS (317 comments ) July 25, 2011 8:46 AM PDT
OK - here's one to start you off for fun.

I think the success of the Galaxy phones is entirely by mistake as people thought they were actually buying iPhones but couldn't tell the difference. ;)
10 people like this comment
by just_words (105 comments ) July 25, 2011 9:02 AM PDT
All these smart phones are going to look real dumb as soon as this internet fad goes away.
4 people like this comment
by QA_Tester (4294 comments ) July 25, 2011 10:08 AM PDT
@just_words

And when exactly would that be?
1 person likes this comment
by Renegade Knight (8169 comments ) July 25, 2011 12:09 PM PDT
Troll.
2 people like this comment
by RedSubmarine (155 comments ) July 25, 2011 8:48 AM PDT
Hell. It's about time.
Reply to this comment
by collinsrq (1 comment ) July 25, 2011 8:48 AM PDT
Buyer beware....Samsung is not loyal to existing customers. Very disappointed with Samsung's tactics relating to software upgrades. To be fair, the device itself worked well especially after the Froyo upgrade, which was delayed despite Samsung's marketing ploy.
Reply to this comment 3 people like this comment
by Whoshebooboo (464 comments ) July 25, 2011 9:13 AM PDT
Yeah - and Apple has a stellar track record for taking care of its customers right? I don't recall Samsung telling its customers to hold their phones differently.
10 people like this comment
by mike_m_ekim (1309 comments ) July 25, 2011 9:37 AM PDT
Apples iPhone OS updates (promptness and availability to all recent models) are far superior to Android's. I'm a fAndroid but some things are undeniable.
1 person likes this comment
by AK3331 (222 comments ) July 25, 2011 1:19 PM PDT
@Whoshebooboo

Where in his comment did he mention or even imply that he was referring to Apple? He is just talking about Samsung's customer service. Geez.
1 person likes this comment
by wockysan (284 comments ) July 25, 2011 2:04 PM PDT
apple updates practically break previous model iphones..
1 person likes this comment
by jlopezcnet (376 comments ) July 25, 2011 2:59 PM PDT
@collinsrq - amen
1 person likes this comment
by AndroidFTW (4807 comments ) July 25, 2011 9:30 AM PDT
GS2 hardware with Mango OS...sales would explode.
Since WP OS is the most butter-smooth OS on a single core , Sammy could just put out single-core Mango=better battery life and better performance than Android with shell on Dual Cores.
Reply to this comment 4 people like this comment
by QA_Tester (4292 comments ) July 25, 2011 10:10 AM PDT
An article based on someone guess of the sale numbers doesn't mean much. Let's see real sales figures.
Reply to this comment
by Renegade Knight (8169 comments ) July 25, 2011 12:01 PM PDT
Apple doesn't release their numbers so you are stuck with analysis. Analysis while always wrong is far more accurate than guessing.
by mike_m_ekim (1309 comments ) July 25, 2011 3:26 PM PDT
Let's see Apple publish some real numbers, like how many iPhone 4s are sold vs iPhone 3Gs.
by hawkeye_a (1960 comments ) July 25, 2011 5:29 PM PDT
Didn't Apple just release said information at their quartely conference call?
1 person likes this comment
by DrtyDogg (2169 comments ) July 26, 2011 3:46 AM PDT
Apple doesn't break down their numbers based on models, and they also release channel numbers opposed to sell through numbers. Analyst are trying to guestimate sell through numbers which is hard when they involve so many possible retailers through many different countries.
by AluminumMonster (317 comments ) July 25, 2011 10:41 AM PDT
My sister has a Galaxy S or whatever it's called and it feels very cheap. I have an Iphone and don't really care for it anymore, but I do think it's better than anything Samsung has released in terms of aesthetics

The latest version of the Galaxy looks much better though.
Reply to this comment
by mike_m_ekim (1309 comments ) July 25, 2011 3:25 PM PDT
I'm sorry everything about your sister is cheap.
by zaraki11 (5 comments ) July 25, 2011 3:14 PM PDT
No one will defeat apple ! HaHaHa !
Reply to this comment
by hawkeye_a (1960 comments ) July 25, 2011 5:30 PM PDT
Apple are winning...all the way to the bank
by DrtyDogg (2169 comments ) July 26, 2011 3:48 AM PDT
@hawkeye_a: only a true fanboy brags about corporate profits!
by AndroidFTW (4807 comments ) July 25, 2011 5:12 PM PDT
As soon as you see the big SAMOLED Plus screen , the iPhone looks small and washed-out.
Game over.
Reply to this comment 1 person likes this comment
by hawkeye_a (1960 comments ) July 25, 2011 7:52 PM PDT
Apple just won it's patent case against Apple. Samsung is going to loose business and shut down, and before that all Samsung phones will be banned from being sold. Game over for Samsung
by james_welbes (548 comments ) July 26, 2011 3:44 AM PDT
@hawkeye_a I KNEW IT! Apple would eventually run out of people to sue, and would inevitably have to sue themselves! It was only a matter of time...
1 person likes this comment
by DrtyDogg (2169 comments ) July 26, 2011 3:47 AM PDT
was that english? Apple sued itself now too?
2 people like this comment
by RonS7 (1 comment ) July 27, 2011 8:48 AM PDT
I love it! For a year I have celebrated the SGS (Samsung Galaxy S), whatever the market name. I'm sick of going to the bookstore and only finding books on iGadgets and one or two on Blackberry. "For Dummies" finally came out with one for the SGS... not that it's much more than rudimentary. But it's out there. One of these days we'll be getting our groceries out of an iFridge, cooking on an iRange, filtering water with an iFilter, driving a green iMobile, cutting grass with an iMower and sleeping on an iBed -- all outfitted with an LCD screen, internet connectivity, notepad and GPS positioning. Next thing we'll have is an iLicense just to drive a car. Down with iGadgets. Go Samsung! I LOVE the large, super amoled screen. All we need now is a app called iZap which scrambles all iGadget devices within range of a Samsung smart phone. (Just kidding. Just kidding. Don't want any of you Apple eaters to get diarhea in your iDiapers. :-) ) Written with love, R
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