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U.S. users unimpressed with smart phones: Sales grow in Europe

A new consumer study finds that U.S. wireless users show little to no interest in advanced smart phones, and that handset makers and carriers would be better off selling specialized wireless devices.

According to a new study from Jupiter Research, most U.S. consumers would not buy a smart phone even it was priced under $50. The firm found users interested in voice and text messaging phones, and to a lesser extent phones with Java and BREW capabilities. The survey found little interest in phones that include built-in personal digital assistants, digital cameras or MP3 players.

Because interest in converged devices is low, Jupiter Research advised that carriers and handset vendors should create single-purpose cell phones, PDAs and MP3 players and allow them to function as single units using Bluetooth wireless technology.

At the same time, new research on wireless users in Europe from Canalys shows sales of smart phones continue to increase, with Nokia Corp. leading the voice-centric device market and Palm Inc. dominating the data-centric business.

“Shipments of the high-end phones are growing in line with our forecasts,” said Chris Jones, a Canalys analyst. “And while the camera is still the main attraction for many, users will increasingly take advantage of the other data features.”

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