Qualcomm Inc (QCOM)

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(Updates with comments from Gartner and further market share details)

http://www.iii.co.uk/shares/?type=news&articleid=5132796&action=article

HELSINKI (AFX) - Nokia Corp saw its global mobile handset market share rise to 30.9 pct in the third quarter from 29.7 pct in the previous quarter, and from 28.9 pct in the first quarter, estimated market researcher Gartner Inc.

However, the figure remains lower than the year-ago level of 34.2 pct of the market, according to Gartner.

"For Nokia, breaking back through the 30 percent market share barrier will be an important psychological boost after a disappointing start to the year. Now Nokia must maintain this positive momentum and address shortcomings in the code division multiple access (CDMA) market to ensure it sustains its position," said analyst Ben Wood with Gartner.

Gartner estimated worldwide mobile phone sales to have surpassed 167 mln units in the third quarter, a 26 pct increase from the third quarter of 2003.

"Historically, the third quarter is seldom strong," said Carolina Milanesi, analyst for mobile terminals research at Gartner.

"The industry expected sales to be flat in preparation for Christmas demand. However, all regions apart from Japan registered year on year growth."

Samsung Corp overtook Motorola to take second position with a third quarter market share of 13.8 pct. Last year, Samsung was estimated to have a third quarter market share of 11.2 pct.

According to Gartner, Samsung sold 22.9 mln handsets in the third quarter, while Motorola sold 22.4 mln units, leaving it with a 13.4 pct market share.

"Samsung's move into second place was a result of strong global performance, delivering an increasing spectrum of products based on multiple technologies," Wood said.

It (Samsung) performed particularly well in North America. Despite this, it remains neck and neck between Motorola and Samsung for second place as 2004 comes to an end.

Gartner said that while Motorola slipped to third position, it still remained the market leader in North America, boosted by the strength of the Integrated Digital Enhanced Network (Iden) market.

Gartner said it believes the inventory Motorola built in the channel at the end of this quarter puts it in a good position to fight back for second position in the fourth quarter.

Siemens recovered from a slip in the second quarter and grew its market share to 7.6 pct, compared with 9.1 pct last year.

Gartner said Siemens had surprised the market with a particularly good quarter in the Americas, nearly doubling its market share in North America.

LG, which saw its global market share increase to 6.7 pct from 5.3 pct, had a positive quarter and regained fifth place from Sony Ericsson.

Sony Ericsson was estimated to have a 6.4 pct market share from 5.3 pct one year ago.

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