Samsung Dominates the Asian Device Manufacturing Landscape

Samsung has generated 67 percent of Asia's device manufacturing revenue, more than twice as much as Asia's other six top device manufacturers combined.

Jun 26, 2013, 10:00 ET from Yankee Group

BOSTON, June 26, 2013 /PRNewswire/ -- The Asian device manufacturing landscape has begun to drastically change due to the success of Samsung and the emergence of several Chinese mobile phone manufacturers. "The Changing Fortunes of the Asian Mobile Phone Manufacturers," a new report from Yankee Group, outlines the transformation of the market with a look at the region's Top 7 manufacturers and advises Asian phone makers on how to survive in the competitive mobile space.

Highlights from the report include:

  • Samsung is winning the mobile phone war in Asia. In 2012, Samsung generated more than twice as much revenue from phone sales than the other six vendors combined. This is in stark contrast with 2008, when Samsung's device revenue was only 36 percent of the total Top 7 revenue and only slightly higher than that of Sony Mobile, which had 30 percent.
  • Asian manufacturers are on the rise again after absorbing the hit from the iPhone introduction. Our data shows that the influence of the Top 7 mobile device manufacturers comes in waves. During the period from 2005 to 2008, the Top 7's share of global handset shipments increased every year. However, it dropped each of the next three years, a trend that emerged after the launch of Apple's iPhone in 2007. Last year, the share again went up and reached its peak at 38 percent.
  • Most phone manufacturers are struggling to make money. Excluding Samsung, the other six top Asian vendors are struggling to maintain regular and consistent profit. In the fourth quarter of 2012, Sony Mobile registered its sixth consecutive quarter with an operating loss. LG has alternated quarterly profits with quarterly losses the last couple of years, and HTC's profit in Q4 2012 was just about 3 percent of its value a year and a half prior.

"With 55 percent of the global population residing in the Asia-Pacific region and with relatively low mobile penetration compared to Europe, North America and Latin America, we fully expect the Asian handset manufacturers to have growing influence on local markets and worldwide," said Senior Analyst Boris Metodiev, author of the report. "Some vendors will find it increasingly difficult to even survive in the dog-eat-dog environment of the mobile world."

About Yankee Group
Yankee Group, a division of The 451 Group, is the preeminent research and advisory firm equipping companies to profit in a mobile world. The core of our content is proprietary research and analytics on the attitudes, behaviors and usage patterns of mobile users. We provide a range of actionable data, insights and advice to marketing, strategy and product executives driving the mobility revolution in leading companies worldwide. Visit

SOURCE Yankee Group