Amazon bungled the pricing of the Fire phone, its first smartphone, but is not giving up in the market and will continue to enhance the user experience on the device, according to an Amazon executive.
Xiaomi became the world's third-largest smartphone maker by market share for the first time during the third quarter, although it stands to immediately lose that status after Chinese rival Lenovo completed its acquisition of Motorola Mobility.
Lenovo officially closed its $2.91 billion deal to buy Motorola Mobility from Google, a move that immediately turns Lenovo into the third largest smartphone player in the world by market share. Lenovo, which is popular in China and many markets where Motorola doesn't play, will use a dual-brand strategy to grow the combined company's mobile businesses in emerging markets.
Samsung Electronics' third-quarter profit plunged thanks in large part to a steep decline in its mobile unit's profit and sales, as rising competition from Chinese rivals like Huawei, Lenovo and Xiaomi has started to take a toll. Samsung said its mobile performance in the current fourth quarter remains uncertain, but the company hopes to bounce back thanks new phones with flexible displays in 2015 as well as more competitive phones at different price points.
LG Electronics posted its best results from its mobile unit in five years as sales and operating profit jumped thanks to record-high smartphone sales in the third quarter, driven largely by the G3, the company's latest flagship device.
HALF MOON BAY, Calif.--Motorola Mobility has been through several near-death experiences in the past few years, but its impending acquisition by Lenovo will allow it to double the number of markets it competes in and ride the trend toward lost-cost smartphones, according to Motorola President and COO Rick Osterloh.
Postpaid competition has been dominating mainstream and industry press headlines. Postpaid device and double data promotional moves by all rivals set the competitive tone as we enter the all-important fourth quarter. On Verizon's third-quarter 2014 earnings call, CFO Fran Shammo noted that the prepaid sector growth has slowed relative to previous years, and given entry price points are so close to postpaid, some of those subscribers are moving to postpaid.
Amazon revealed how much it is losing on its Fire smartphone: at least $170 million to date.
Microsoft reported a jump in smartphone sales for the third quarter and also confirmed it will put its own brand name in place of the Nokia brand on its Lumia Windows Phone smartphones going forward.
Fundamental changes in demand will be very disruptive to smartphone suppliers. Smartphone vendors that want to succeed will need to make significant cost reductions while also adapting with new product offerings, changes in supply chains, and product distribution.