Apple Loses Smartphone Share in Q3 as Android Share Doubles

Apple lost market share in Q3 slipping from 16.6% in 3Q10 to 15.0% in 3Q11 as Android doubled its share from 25.3% to 52.5%, according to Gartner.

Apple shipped 17 million iPhones, an annual increase of 21 percent, but down nearly 3 million units from the second quarter of 2011 because of Apple's new device announcement in October. Gartner believes Apple will bounce back in the fourth quarter because of its strongest ever preorders for the iPhone 4S in the first weekend after its announcement. Markets such as Brazil, Mexico, Russia and China are becoming more important to Apple, representing 16 percent of overall sales and showing that the iPhone has a place in emerging markets, especially now that the 3GS and 4 have received price cuts. The Android OS accounted for 52.5 percent of smartphone sales to end users in the third quarter of 2011, more than doubling its market share from the third quarter of 2010.

"Android benefited from more mass-market offerings, a weaker competitive environment and the lack of exciting new products on alternative operating systems such as Windows Phone 7 and RIM," Gartner analyst Roberta Cozza said. "Apple's iOS market share suffered from delayed purchases as consumers waited for the new iPhone. Continued pressure is impacting RIM's performance, and its smartphone share reached its lowest point so far in the U.S. market, where it dropped to 10 percent."


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