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Wireless device market ends 2004 on high note

EL SEGUNDO, Calif.-The mobile-phone market grew at a staggering pace during the critical fourth-quarter shopping season, according to a variety of research reports. Further, that growth stretched from low-end phones to high-end smart devices.

Mobile-phone shipments rose to 195 million units in the fourth quarter, up 14.7 percent from 170 million in the third quarter, according to market research firm iSuppli. Shipments in the fourth quarter were 11.1 percent greater than the previous high of 175.5 million units in the fourth quarter of 2003. Indeed, the strong numbers caused iSuppli to raise its forecast for 2005 to 740 million units, up 5.3 percent from 2004.

Similar numbers from IDC show the worldwide mobile-phone market in the fourth quarter growing 18.1 percent sequentially and 24 percent year-over-year to 194.3 million units.

And according to research firm Canalys, the fourth quarter was also kind to the smart-phone market. The firm found Nokia shipped an impressive 4.9 million smart phones in the quarter-a new record for the company-to help it retain the No. 1 position in the advanced device market. Canalys defines the market as feature phones, smart phones, handhelds and wireless handhelds.

Next up in the market is PalmOne Inc., followed by HP, Research In Motion Ltd. and Motorola Inc. Indeed, Canalys found Motorola did well in the fourth quarter on sales to both consumers and enterprise users.

“Motorola also had a good quarter,” said Chris Jones, the firm’s director and senior analyst. “Shipments of its Windows Mobile and Symbian smart phones were particularly strong in Europe, the Middle East and Africa, and we expect to see its numbers increase during 2005 as more products launch.”

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